3 min readGuwahatiJul 4, 2026 05:19 AM IST
First published on: Jul 3, 2026 at 06:47 PM IST
Featuring in lattes and desserts across trendy cafes, matcha tea has found growing demand in India. And on Friday, the first batch of Indian-manufactured matcha tea, produced at a tea estate in Assam, was sold at the Guwahati Tea Auction Centre (GTAC).
The five-kg batch of matcha produced at the Chota Tingrai Tea Estate in Assam’s Tinsukia district was sold for Rs 3,000 at the GTAC to a Guwahati-based buyer.
Currently, the matcha sold in Indian markets is imported from Japan, China and Vietnam.
Mritunjay Jalan, director of Chota Tingrai Tea Estate, said that they had set up a Japanese tea manufacturing facility on their estate in 2016 and had been working with experts from the country since then to produce green tea, but decided to venture specifically into matcha this year after observing a jump in demand.
“We had begun 10 years ago when we realised that there was a big demand for green tea starting in India, but that the Indian market did not have authentic green tea… But the demand for matcha had not picked up at the time and it is a very specialised product. You cannot mass-produce it, and we didn’t want to jump ahead because the market was not ready, and investments are high. But last year, we saw such a huge demand for matcha globally, which has also reached India, and we thought now is the right time to start,” he said.
Assam Chief Minister Himanta Biswa Sarma highlighted this move after Friday’s sale.
“Furthering our glorious tea legacy, Assam becomes the first state in India to commercially produce matcha tea at the Chota Tingrai Tea Estate in Tinsukia. This diversification of the viral drink will help strengthen Brand Assam Tea in the global markets. This has been made possible due to the strong India-Japan ties and our collaboration in various fields, and has fetched a handsome price in the Guwahati Tea Auction Centre,” he said.
Challenging time for Assam tea
The market for Assam tea has been grappling with several issues for a long time, not least of which, multiple stakeholders say, is that production outweighs the demand. Different stakeholders often hold up the global boom in demand for matcha as a contrast to what they say is a largely stagnant demand for Assam tea, with the challenges in the industry pushing several estates into diversifying into sectors such as tea tourism.
The investment in producing matcha is sizable, Jalan says, and production capacity is roughly 1/10 of that of a black tea factory. For now, he says, the target market for them is domestic.
“Tea estates in Assam will have to adapt and diversify because it is a fact that the black tea market has stagnated, with the result that the year when there is good production, prices fall… We ourselves have also diversified into tea tourism, but we are also diversifying within tea, trying to provide the new age products that are in demand,” he said.
The market for Assam tea has been grappling with several issues for a long time, not least of which, multiple stakeholders say, is that production outweighs the demand. (File Photo) 
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