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Grand View Research, Inc. – Market Research And Consulting.

According to a report, “Matcha Market Size, Share & Trends Analysis Report By Grade (Ceremonial, Classic, Culinary), By Application (Regular Tea, Matcha Beverages, Food, Personal Care), By Region, And Segment Forecasts, 2018 – 2025”, published by Grand View Research, Inc.,The global matcha market size is expected to reach USD 5.07 billion by 2025, according to a new report by Grand View Research, Inc. Rising prevalence of chronic diseases has augmented the demand for healthy and nutrient-rich food & beverage alternatives. Anti-oxidant and vitamin-rich composition of matcha tea has fueled the product demand across the globe. 

Anti-oxidants, including epigallocatechin gallate (EGCG), prevent diseases such as cancer, Type-2 diabetes, cardiovascular problems. EGCG present in the product can repair DNA damage caused by UV radiation and controls the proliferation of cancerous cells. The product also has the potential to reduce stress and promotes a state of relaxation. L-theanine present in the product acts in a synergistic way to activate alpha waves in the brain and thus improves brain functioning. Furthermore, high chlorophyll content of the product prevents toxin accumulation in body.

Key product grades available in the industry include ceremonial, classic, and culinary. Ceremonial accounts to be the most expensive product grade owing to its superior and high-quality production process. Classic grade is the most widely consumed variety, owing to its enhanced taste and flavor. The demand for culinary grade is predicted to grow at a robust pace, due to emerging use in bakery and cooking applications.

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Asia Pacific held the largest share of the global industry revenues in 2016, owing to traditional tea culture in Japan and China. The product was majorly consumed in form of regular tea, followed by other beverages in Asia Pacific. Experiment and innovation led to the preparation of various beverages, including smoothies, lattes, and juices. Various cafes and food chains have incorporated various matcha tea-based foods and beverages in their product portfolios. North America has exhibited spurring demand over the recent past, owing to heightened consumer awareness in the U.S.

U.S. matcha market revenue, by application, 2014 – 2025 (USD Million)

Further key findings from the report suggest:

• The global matcha market was valued at USD 2.62 billion in 2016 and is expected to grow at a CAGR of 7.6% from 2017 to 2025, owing to rising consumer awareness regarding product features, such as detoxification, anti-ageing, and improvements to immune system

• Culinary grade is estimated to be the fastest-growing segment of the overall product industry, over the forecast period, driven by the rapidly growing use of the product in formulation of snacks, desserts, bakery, and confectionery items

• Classic grade was the largest segment of the industry, accounting for around 56% share of the global revenue in 2016, owing to the superior health benefits offered by this product grade

• Regular tea application segment is expected to dominate the global market, owing to energy stimulation and detoxifying properties of the product

• North America is expected to witness considerable growth over the forecast years, drive by the rising number of outlets selling matcha-based beverages in the U.S. market

• Key players in the industry are focusing on expanding their product portfolios along with organizing events to boost consumer awareness, with the objective of sustaining major shares of the overall industry revenues 

Grand View Research has segmented the global matcha market on the basis of grade, application and region:

Application Insights

Matcha has broad usage in regular tea, beverages, food, and personal care. Regular tea was the largest application segment of the matcha market in 2016, accounting for over 56% share of the global market revenue. Product consumption as regular tea ensures an optimum intake of nutrition-rich ingredients. Increased purchasing power and influence of Japanese tradition have boosted the product usage in regular tea. 

Global matcha market revenue, by application, 2015, (%)

Rising demand for low-calorie beverages with detoxifying and energy-enhancing properties have propelled the product demand in various beverages including lattes, smoothies, juices, and mocktails. Growing consumer preference for healthy drinks has encouraged various cafes and beverage chains to introduce matcha beverages. Starbucks Corporation, Smoothie King Franchises, Inc., Jugofresh, and The Coffee Bean & Tea Leaf are few of the retail chains involved in providing beverages.

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The product is employed in the formulation of foods including cakes, cookies, pastries, yogurt, ice creams, pasta, cereals, energy bars, chocolates, and candies Food is estimated to be the fastest growing segment over the forecast period, owing to rising demand for healthy food products. The bitter taste and malty flavour have encouraged its usage in various food recipes.

Matcha Grade Outlook (Volume, Tons; Revenue, USD Million, 2014 – 2025)

• Ceremonial

• Classic

• Culinary

Matcha Application Outlook (Volume, Tons; Revenue, USD Million, 2014 – 2025)

• Regular tea

• Matcha beverages

• Food

• Personal care

Matcha Regional Outlook (Volume, Tons; Revenue, USD Million, 2014 – 2025)

• North America

  • U.S.

• Europe

  • Germany

  • UK

• Asia Pacific

  • China

  • Japan

• Central & South America

  • Brazil

• Middle East & Africa 

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About Grand View Research

Grand View Research provides syndicated as well as customized research reports and consulting services on 46 industries across 25 major countries worldwide. This U.S.-based market research and consulting company is registered in California and headquartered in San Francisco. Comprising over 425 analysts and consultants, the company adds 1200+ market research reports to its extensive database each year. Supported by an interactive market intelligence platform, the team at Grand View Research guides Fortune 500 companies and prominent academic institutes in comprehending the global and regional business environment and carefully identifying future opportunities.

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