Uji Tea Auction 2026: Gyokuro Sets Record High at ¥500,000/kg ($3,137)

Record-Breaking Uji Tea Auction Signals Surging Demand for Japanese Green Tea

On April 24, 2026, Japan's premier tea-growing region made headlines when hand-picked, hand-rolled gyokuro from Uji City sold for a record ¥500,000 per kilogram — approximately $3,137 USD — at the season-opening hatsuchi (first auction) held at the JA Zen-Noh Kyoto Uji Tea Distribution Center in Joyo City, Kyoto Prefecture. The price surpassed the previous record of ¥388,000/kg (~$2,434 USD) set just one year earlier, representing a roughly 1.3× increase year-over-year. For U.S. buyers and importers of Japanese matcha and green tea, this auction serves as a key early indicator of the market conditions shaping the 2026 crop season.

What Is Gyokuro — and Why Does It Command Such High Prices?

Gyokuro (玉露, literally "jade dew") is one of Japan's most prized green teas. Grown under shade covers for approximately three weeks before harvest, gyokuro develops a deep umami flavor, vivid green color, and elevated L-theanine content. Unlike tencha — the shade-grown leaf that is stone-ground into matcha powder — gyokuro is processed as whole-leaf tea. Its rarity, labor-intensive cultivation, and exceptional cup quality place it at the very top of the Japanese tea price spectrum. Hand-picked and hand-rolled gyokuro, as sold at this auction, represents the absolute pinnacle of craftsmanship.

Key Figures from the 2026 Uji Hatsuchi Auction

Top lot: Hand-picked, hand-rolled gyokuro from Uji City — ¥500,000/kg (~$3,137 USD), an all-time record

Previous year's record: ¥388,000/kg (~$2,434 USD) — 2026 price is approximately 1.3× higher

Top sencha lot: ¥333,339/kg (~$2,091 USD) for Wazuka-grown sencha, surpassing last year's record of ¥252,025/kg

Average auction price (Day 1): ¥20,879/kg (~$131 USD), up from ¥17,098/kg last year

Participating buyers: 80 companies, 150 buyers — exceeding last year's turnout

Total lots offered: Gyokuro (4 lots, 37 kg) and sencha (115 lots, 1,088.7 kg)

The Global Matcha Boom Is Reshaping Japan's Tea Economy

The record prices are not occurring in a vacuum. Driven by explosive worldwide demand for matcha, the Uji Tea Distribution Center reported that its total transaction volume for fiscal year 2025 reached a record ¥10.38 billion (~$65.1 million USD) — nearly double the ¥5.02 billion (~$31.5 million USD) recorded in fiscal year 2024. Tencha (碾茶), the shade-grown raw leaf that is ground into matcha powder, accounted for approximately 90% of that total transaction value, underscoring just how central matcha has become to Japan's entire tea industry.

Tencha is the unprocessed, shade-grown leaf harvested from the same plants used for gyokuro. While gyokuro retains the leaf structure through careful rolling and drying, tencha leaves are de-stemmed and dried flat before being stone-ground into the fine powder known as matcha. As global café culture and food manufacturers continue to incorporate matcha into beverages, confections, and cosmetics, demand for high-quality tencha has surged far beyond what traditional Japanese domestic consumption alone would drive.

Crop Conditions: 2026 Season Off to a Favorable Start

At the auction's opening ceremony, Yoshida Toshikazu, chairman of the Kyoto Tea Producers Council, noted that the 2026 crop has benefited from the absence of frost damage — a significant relief after previous seasons where late cold snaps threatened yields. He acknowledged that production costs continue to rise, but stressed that quality would not be compromised. The first tencha auction of the 2026 season is expected to begin around May 11, which will be the more direct indicator of matcha ingredient pricing for international buyers.

What This Means for U.S. Matcha Importers and Café Buyers

For U.S. cafés, restaurants, and food businesses sourcing Japanese matcha, the signals from this auction are worth watching closely. Record prices at the premium end of the market — gyokuro and high-grade sencha — typically reflect broader upward pressure across the tea supply chain. With tencha comprising the overwhelming share of transaction volume and the season-opening prices trending significantly higher year-over-year, buyers sourcing culinary and ceremonial-grade matcha for 2026 should anticipate continued price appreciation and potentially tighter availability of top-tier lots.

Working with an established Japanese supplier who sources directly from Uji and other premier growing regions remains the most effective strategy for locking in consistent quality and managing cost volatility. At Matcha Wholesale Japan, we monitor the Japanese tea auction market throughout the season to keep our buyers informed and ensure reliable supply of authentic Japanese matcha.

Source:
Asahi Shimbun / Yahoo! Japan News (April 25, 2026): 宇治茶玉露1キロ50万円、過去最高額で落札　京都で初市
USD/JPY exchange rate reference: ¥159.36 per $1 USD (April 24, 2026)