Assam Estate Sells India’s First Matcha Tea

New Delhi, India Jul 4, 2026 ALN: An Assam tea estate on Friday (July 3, 2026) sold India’s first commercially-produced matcha tea, marking a significant shift from conventional teas. This event is not merely a commercial milestone; it represents a broader trend in the tea industry, where diversification and innovation are becoming essential in response to changing consumer preferences and global market demands. The introduction of matcha tea into the Indian market signifies a pivotal moment for Assam, a region historically known for its robust black teas.

Matcha is a finely ground powder made from specially grown and processed green tea leaves. The production process of matcha is unique and labor-intensive, involving shading Camellia sinensis tea leaves for three to four weeks before harvest. This shading technique blocks approximately 90% of sunlight from reaching the leaves, which in turn boosts chlorophyll and amino acid levels. The result is a vibrant green color and a rich flavor profile that distinguishes matcha from traditional green tea. The meticulous cultivation and processing methods required for matcha production set it apart as a premium product, appealing to a niche market that values quality and health benefits.

During the auction, five kilograms of the first-ever batch of India-produced matcha tea was sold at the Guwahati Tea Auction Centre during sale number 27. Auctioned by J. Thomas & C. Pvt. Ltd., the matcha was purchased by Guwahati-based Sheosons Chai Co. at a price of ₹3,000 per kilogram. This sale not only highlights the premium nature of matcha but also sets a precedent for future sales of specialty teas in India. The high price reflects the production costs and the perceived value of matcha among consumers, particularly those who are health-conscious and willing to invest in quality products.

“Matcha is made by finely grinding the shade-grown tea leaves into a vibrant green powder. Unlike regular green tea, where the leaves are steeped and discarded, matcha is whisked into water and consumed entirely, providing higher levels of antioxidants, amino acids, and natural caffeine,” explained Dinesh Bihani, the secretary of Guwahati Tea Auction Buyers’ Association. This method of consumption has contributed to matcha's popularity, particularly among health-conscious consumers looking for natural sources of energy and wellness benefits. The rising trend of health and wellness has been a driving force behind the increased interest in matcha, as it is often marketed as a superfood with numerous health benefits, including improved metabolism and enhanced focus.

The matcha sold at the auction originated from Chota Tingrai Tea Estate, located in eastern Assam’s Tinsukia district. This estate has made significant investments in its production capabilities, reflecting a commitment to quality and innovation. Mrityunjay Jalan, the director of Chota Tingrai, stated that his estate spent a decade collaborating closely with Japanese tea manufacturers, agronomists, equipment suppliers, and tea experts to produce matcha. This partnership underscores the importance of cross-cultural collaboration in enhancing agricultural practices and product quality. The blending of Assam's rich tea heritage with Japanese expertise in matcha production is a noteworthy example of how traditional practices can evolve through innovation and collaboration.

“We sought to bridge traditional Assam tea heritage with authentic Japanese expertise by establishing a fully automated, state-of-the-art Japanese tea manufacturing facility on our estate. We are confident that the matcha from Chota Tingrai will appeal to Indian and international households,” Mrityunjay Jalan remarked. The establishment of such facilities not only enhances production efficiency but also ensures that the quality of the tea meets international standards. This investment in technology and quality control is crucial for competing in the global market, where consumers are increasingly discerning about the products they purchase.

Matcha is primarily manufactured in Japan, China, and Vietnam, where it has been a staple for centuries. However, the global demand for matcha has surged in recent years, leading to a worldwide shortage. This shortage has prompted producers in various countries, including India, to explore the cultivation and processing of matcha to meet consumer needs. The rise in popularity of matcha lattes, smoothies, and health supplements has played a significant role in this trend. As consumers seek out new and innovative beverage options, matcha has emerged as a fashionable choice, particularly in cafes and health food stores.

“It is a matter of pride that top-quality matcha tea is being produced in Assam,” commented Bidyananda Barkakoty, the adviser to the North Eastern Tea Association. His statement reflects the growing recognition of Assam as a region capable of producing high-quality specialty teas, which can compete on the global stage. He noted that the introduction of specialty teas like matcha adds a valuable dimension to the tea portfolio of a state that has traditionally been synonymous with rich and robust black teas. This diversification is essential for the long-term sustainability of Assam's tea industry, which has faced challenges from fluctuating prices and changing consumer preferences.

The implications of this shift are significant for Assam’s tea industry. Chief Minister Himanta Biswa Sarma lauded the “monumental shift” in Assam’s 200-year-old tea industry, stating that the diversification into matcha will help strengthen the brand Assam Tea in global markets. This diversification is crucial as the tea industry faces challenges such as fluctuating prices, climate change, and competition from other beverage options. By embracing innovative products like matcha, Assam's tea producers can better position themselves in a competitive landscape and appeal to a broader audience.

Moreover, the production of matcha is seen as a way to enhance the economic viability of tea estates in Assam. By tapping into the specialty tea market, producers can potentially increase their profit margins and create new job opportunities within the region. This shift could also encourage younger generations to engage in tea cultivation and processing, thereby ensuring the sustainability of the industry. As the demand for specialty teas grows, it is likely to attract investment and interest from both domestic and international players, further boosting the local economy.

The collaboration between India and Japan in this endeavor is particularly noteworthy. The strong ties between the two nations have facilitated knowledge transfer and investment in agricultural practices, which are essential for the successful production of matcha. This partnership could serve as a model for other agricultural sectors in India looking to innovate and expand their offerings. By leveraging international expertise, Indian producers can enhance their competitiveness and improve the quality of their products.

In conclusion, the sale of India’s first commercially-produced matcha tea at the Guwahati Tea Auction Centre represents a significant development in Assam’s tea industry. It highlights the potential for innovation and diversification in a sector that has long been characterized by traditional practices. As the global demand for matcha continues to rise, Assam’s tea estates are well-positioned to capitalize on this trend, contributing to the region’s economic growth and enhancing its reputation in the international tea market. The successful production of matcha could pave the way for other specialty teas to emerge from Assam, further enriching the state’s tea heritage and ensuring its relevance in the ever-evolving global beverage landscape.