Matcha, the trendy green tea powder, has seen a surge in demand due to social media, leading to significant supply shortages and price hikes. Traditionally used in ceremonies, it is now popular in various beverages and desserts. Japan, the primary producer, faces challenges such as climate change, an aging workforce, and a complex production process, resulting in a mere 7% of total tea production. As prices soar, unauthorized resellers are capitalizing on the situation, prompting some suppliers to limit purchases. While new producers are entering the market, it will take time to increase supply adequately.
Source: https://www.supplychaindive.com/news/matcha-shortage-social-medias-latest-obsession/761258/