Japan Tea Market Overview, 2028

Tea is strongly rooted in Japanese culture and history, is thriving in the Land of the Rising Sun. The tea market in Japan has maintained a strong link to its historical roots while simultaneously adapting to modern customer demands, making it a fascinating and dynamic industry. This brilliant green powdered tea represents Japanese culture. Matcha is used in traditional tea rituals and is growing in popularity because of its earthy, umami-rich flavour. Its health benefits and culinary applications have earned it international acclaim. Sencha is the most popular green tea in Japan. It is distinguished by its grassy, vegetal characteristics and pleasant flavour. Sencha comes in a variety of grades, ranging from daily teas to premium options. Japanese teas, particularly matcha, have gained a global following. The export market is expanding, with consumers worldwide seeking authentic Japanese teas for their unique flavours and health benefits. Premium and high-quality teas are becoming increasingly popular among Japanese consumers. This trend extends beyond conventional Japanese teas like matcha and gyokuro to rare and limited-edition teas from specific locales. As a result, there is a greater demand for teas with distinct flavour profiles, such as tea grown at higher elevations or in shadowed areas. Single-origin teas have gained popularity in Japan, emphasising the distinct areas and terroirs that impact tea flavour. Consumers are expressing a preference for teas that can be traced back to a certain region, highlighting the distinct characteristics imparted by the local environment.

According to the research report "Japan Tea Market Overview, 2028," published by Bonafide Research, the Japan Tea market is expected to add more than USD 700 Million from 2023 to 2028. In the Japanese tea market, sustainability and organic farming practices are gaining favour. Consumers are becoming more sensitive to environmental and health concerns, which is fueling an increase in organic and eco-friendly tea production. Sustainable practices, including pesticide reduction and biodiversity conservation, are becoming more common. Consumers are increasingly seeking transparency and traceability in their tea products. They want to know where their tea comes from, what cultivars are used, and how it is processed. This demand for transparency has resulted in a closer relationship between tea producers and consumers. The booming tourism industry in Japan has had a significant impact on the tea market. Domestic and international tourists can participate in tea ceremonies, visit tea plantations, and learn about the intricacies of Japanese tea culture. This engagement has led to a broader global appreciation for Japanese teas. Annually an individual in Japan consumes more than 950 grams of tea. Cold brew and iced teas have grown in popularity as customers seek out refreshing beverages. Japanese tea makers have responded by developing tea kinds and mixes that are excellent for cold brewing, resulting in tea that is smoother and less bitter. Japanese teas are highly valued by Japanese consumers and tea connoisseurs worldwide. As a result, there is an increasing emphasis on quality control procedures, such as tight tea grading and certification criteria, to assure the best quality in each tea product.

Based on tea type market is segmented into green tea, black tea, oolong tea, herbal tea and white tea. Among them green tea is expected to grow at rapid pace in Japan tea market. Green tea has deep cultural roots in Japan, dating back to ancient times. It is an integral part of Japanese traditions and ceremonies such as the wonderful Japanese tea ceremony (chanoyu). This cultural understanding ensures that green tea remains a favored and widely consumed beverage. Green tea is frequently associated with a variety of health advantages, including antioxidant qualities, potential weight-loss benefits, and overall well-being. Green tea's popularity as a healthful beverage has been boosted by these health claims. Japan is well-known for producing high-quality green tea, and there are numerous green tea kinds available to suit a variety of tastes and preferences. Sencha, gyokuro, and bancha are some popular Japanese green teas. The Japanese tea business has also embraced innovation and modernization, developing new varieties and flavours to appeal to a younger audience. Green tea-infused items such as ice cream, chocolates, and even alcoholic beverages are becoming increasingly popular.

Based on applications market is divided into residential and commercial. Commercial application is predicted to register highest growth rate in Japan tea market. Commercial establishments including restaurants, cafes and hotels are increasingly including specialty teas in their menus. Japanese teas such as matcha and sencha have gained popularity around the country, leading to greater commercial demand for these teas and the worlds is placing more emphasis on health and wellness, both domestically and internationally, with green tea in particular being healthy of benefits are related. More and more consumers are looking for healthier drinks, and retailers are meeting this demand by offering tea options that match these preferences Japan is a popular tourist destination, and tourists often seek out traditional tea experiences. The hospitality and tourism industry takes advantage of this by offering tea services and experiences, allowing professionals to drink tea again. In terms of distribution channel market is divided into supermarkets /hypermarkets, speciality stores, convenience stores and online. Convenience stores are one of the key distribution channels for tea in Japan. Convenience stores, also known as "konbini" in Japan, can be found almost anywhere. With thousands of locations in cities, towns, and even rural places, they are extremely accessible and handy. This widespread availability ensures that tea may be purchased at any time and from practically any location. Convenience stores cater to rapid, on-the-go purchases. Without the need for a protracted shopping experience, shoppers may quickly grab a bottle of tea or a tea-based beverage, pay at the counter, and be on their way. Convenience stores sell a variety of hot and cold ready-to-drink teas. Traditional green teas, flavoured teas, and tea-based beverages are among them, appealing to a wide range of consumer preferences.

Considered in this report:
• Geography: Japan
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028



Aspects covered in this report:
• Japan Tea market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Tea Type:
• Green Tea
• Black Tea
• Oolong Tea
• Herbal Tea
• White Tea
• Others

By Application:
• Residential
• Commercial

By Distribution Channel:
• Supermarkets/ Hypermarkets
• Speciality Stores
• Convenience Stores
• Online

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources.

Intended audience:
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Tea industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.