Retail

The drink taking over South African coffee shops

Kirsten Minnaar • 31 July 2025

Matcha is booming in popularity in South Africa, making its way into well-known coffee chains, grocery stores, and even dedicated shops.

The Japanese tea has dominated social media, with influencers around the world sharing brewing tips, recipes and reviews.

Matcha is a powdered form of organic green tea that has its roots in ancient China, where it was first enjoyed during the Tang Dynasty.

It flourished in Japan during the 12th century, thanks to Buddhist monks discovering its potential to aid meditation.

This distinctive green tea became a cornerstone of Japanese culture, celebrated in traditional tea ceremonies that embody mindfulness, respect, and harmony.

Today, matcha is beloved for its health benefits, caffeine and distinct earthy flavour, appealing to health-conscious and social media-savvy consumers.

Matcha has also been making its mark in South Africa. The drink can now be found in popular coffee chains like Starbucks, Vida e Caffe, Naked Coffee, and Bootlegger.

Consumers can even buy their own instant matcha products from stores like Woolworths, Checkers, Makro and Clicks.

At-home matcha kits and powders are also popular for enthusiasts who want to try their hand at crafting the perfect drink.

With global demand for matcha growing, the tea’s market value has exploded. According to Japan’s agricultural ministry, matcha production nearly tripled between 2010 and 2023.

In 2024, matcha accounted for more than half of the 8,798 tonnes of green tea exported from Japan, twice as much as 10 years ago.

A report by Grand View Research estimated that the global matcha market was $4.3 billion in 2023 and is projected to reach $7.43 billion in 2030, growing at a compound annual growth rate (CAGR) of 7.9% from 2024 to 2030.

Matcha stores open in South Africa

Niche cafes with a specific focus on matcha have also been popping up. One such café is Love Matcha, which has grown to five franchises in the Western Cape since it launched in February 2025.

Love Matcha told Daily Investor that over the past 12 to 18 months, they have seen a clear rise in matcha’s popularity in South Africa. This spike in interest comes from everyone, from first‑time tasters to loyal daily drinkers.

“In-store traffic, DMs asking for preparation tips, and wholesale enquiries from cafés have all climbed steadily. We’re also seeing more ‘matcha moments’ on social media, which accelerates awareness.”

They believe matcha’s popularity in South Africa is due to three factors. First, it has energy content. “People want sustained energy without the jitters,” the brand explained. “Matcha’s L‑theanine + caffeine combo delivers calm focus.”

The second reason is matcha’s versatility. It can be served hot, iced, sparkling, blended, or even in cocktails. Matcha fits multiple occasions and dietary preferences, as it is dairy-free and sugar-controlled.

Finally, better quality products and barista training have meant that many consumers enjoy an improved first matcha experience. This means that they are more likely to become habitual matcha drinkers.

Love Matcha explained that its primary customer base consists of health‑conscious professionals and students looking for a clean energy alternative to coffee.

They are also popular with fitness and wellness communities – especially yoga, Pilates, and runners – who enjoy functional beverages.

Those who enjoy speciality drinks, latte art, and cocktails also frequent Love Matcha. Finally, the store caters to wholesale partners, such as cafés, restaurants, and bars, which rely on consistent quality and training.

For Love Matcha, this is only the beginning. “We’re growing through a mix of new stores, strategic pop‑ups, and franchising in key nodes across Cape Town, Gauteng, and KZN,” it said.

“We’re also expanding our wholesale and e‑commerce footprint, developing event concepts, like wellness activations, and exploring ready‑to‑drink formats with the same quality standards.”

The company also stressed the importance of quality and consistency in their matcha products.

“We combine premium-grade matcha with exceptional customer experience. Every cup is whisked to perfection by trained baristas, and our stores are designed to educate and inspire,” Love Matcha said.

“We also prioritise community and sustainability – from partnering with local events and creators to making conscious packaging and sourcing choices.”

The group added that these partnerships also make matcha more accessible, fun, and inclusive to South African consumers.

Global demand dries up matcha stores

This Japanese tea has become such a global sensation that supplies worldwide have come under strain.

Traditionally, matcha is produced using a centuries-old and highly specialised process. Green tea leaves, called tencha, are kept under shade for weeks while growing.

The leaves are harvested, de-veined by hand, dried, and ground into powder using stone mills. This process only produces 40 g of matcha an hour.

Learning how to make matcha also takes years of training, and requires equipment, labour and investment.

Japanese producers have struggled to keep up with the demand, and adverse weather has made production even more difficult.

The Kyoto region, which accounts for about a quarter of Japan’s tencha production, was hit by severe heat waves in 2024, Japan’s hottest year on record. This led to weak yields in the April to May 2025 harvest.

Between difficult farming conditions and sky-high demand, many matcha producers and sellers have had to halt orders, impose limits on how much consumers can buy, and plan shipments strategically.

Love Matcha explained that it has been keeping a buffer stock with staggered shipments of its 100% pure, premium-grade matcha to reduce risk.

“While global shipping can cause occasional delays, we’ve avoided material stock‑outs by forecasting carefully, diversifying freight routes, and maintaining close supplier relationships,” it said.

This high demand has led to increased interest in matcha farming, with the Japanese government encouraging tea producers to farm on a larger scale to reduce costs.

However, increasing production will be a slow process. The number of tea plantations in Japan has dropped to a quarter of what it was 20 years ago.

Tokyo tea shop Jugetsudo’s store manager, Shigehito Nishikida, told Al Jazeera that this is because farmers are struggling to find successors.

New tea fields also need five years to mature, which means that efforts to boost tencha production won’t solve the current shortages.

The matcha demand, paired with product shortages, means that businesses and consumers will be paying a premium for the Japanese drink.

A May auction in Kyoto fetched 8,235 yen per kg of tencha, a 170% increase from a year earlier. According to the Global Japanese Tea Association, this is also well above the previous record of 4,862 yen set in 2016.

For reference, consumers can expect to pay the following for some popular matcha products in South Africa:

R50 to R65 for a matcha (hot or iced) at a coffee shop
R79 for a pack of instant Matcha Latte
R80 to R470 for 100 g of matcha powder, depending on the brand, grade and quality

Even as prices grow, though, customers’ interest is only increasing, and the trend shows no sign of stopping.

As recently as 30 July, Vida e Caffe announced a new iced matcha lineup, featuring an iced matcha, a blended frio matcha, and an iced strawberry matcha latte.