Fresh Mushroom Market

Fresh mushroom market Size, Share, Growth (2023-2028)

Fresh Mushroom market was valued at USD 63.0 Billion in 2023 and is expected to reach USD 90.4 Billion by 2028 with a CAGR of 5.8% during the forecast period 2023-2028. 

Fresh Mushroom Market Overview:

Mushrooms are fungi that grow in an ecosystem's damp and moist parts. Most mushrooms that grow out in the wild are inedible and cause poisoning if consumed. However, several edible ranges of fresh mushrooms can be harvested and are safe for human consumption. The most common types of fresh mushrooms are shiitake mushrooms, White button mushrooms, Portabello mushrooms, Enoki mushrooms, etc. Hygienically packed fresh mushrooms can be consumed in both raw and cooked Form. They are often used in several cuisines around the world, like pasta, hotpots, biryanis, Manchurians, soups, sandwiches, and even in curry forms. Fresh mushrooms can be identified through smell, color, and texture; newly harvested and packaged mushrooms have an earthy fragrance and look lively. 

REPORT COVERAGE:

Fresh Mushroom Market Drivers:

The several health befits of fresh mushrooms result in a preference for fungi among the populations leading to market growth. Mushrooms are a high source of vitamin D, vitamin B6, and selenium, therefore supporting better digestion and the release of extra antioxidants in the body for better detoxification and increased immunity and protein intake. Furthermore, mushrooms are said to have helped increase gut health, protect brain activity, enhance cognitive abilities, and reduce cholesterol and sodium intake, which may lead to obesity and high blood pressure. Mushrooms are also proven to help reduce the risk of cancer due to their ability to reduce cell damage. Therefore, mushrooms' several significant health advantages support the market growth during the forecast period. Furthermore, mushrooms can help mitigate several serious chronic diseases like cardiovascular problems and diabetes as they are a source of fiber, protein, and antioxidants. Additionally, the growing availability of fresh mushrooms in the market in various forms providing multiple options and dish choices, supports the market's growth. Moreover, the growing awareness about mushrooms being a superfood also supports the market's growth. Additionally, if adequately refrigerated, the long storage life of mushrooms supports the market's demand. For example, fresh mushrooms from supermarkets can stay in the fridge for up to two weeks before going rancid. Furthermore, the growing concern toward cultivating healthier habits and foods supports the mushroom market. Additionally, the growing health-based mushroom snacks like mushroom protein crisps, mushroom puffs, snack bars, roasted mushrooms, etc., drive the market demand. 

The growing interest in the production and export of mushrooms among key players is also supporting the growth of the market. In addition, the innovative cultivation procedures and the marketing for mushroom sales drive the market's growth. Additionally, growing technologies and training in the agricultural field surrounding the ways to grow mushrooms support the market demand. Furthermore, the growing populations of vegetarians and vegans worldwide support market growth. Mushrooms can be an excellent substitute for meat for people who have recently given up non-vegetarian food and are looking for something with a similar texture and flavor. In addition, mushrooms are widely used in a number of authentic recipes worldwide, like ramen, hotpots, and cream-based dishes leading to market demand. 

Fresh Mushroom Market Restraints:

The high purchase cost of mushrooms is a significant drawback for the market as not all populations can afford the superfood. Additionally, some exotic types of fresh mushrooms, like black mushrooms, out of season or at your nearest convenience store, can be complex, acting as a drawback to market growth. Furthermore, mushrooms need a long time to harvest and require intensive manual labor for proper harvest. Therefore, it is a highly tedious process. Additionally, the mushrooms found in a convenience store are safe to consume. However, mushrooms are strictly not to be picked from the wild. Mushrooms can be poisonous and wild mushrooms can cause several health problems like diarrhea, convulsions, indigestion, etc. several specific types of mushrooms also have psychedelic properties, which could lead to potential hallucinations. Therefore, it is essential to be highly careful when deciphering edible and nonedible mushrooms.

Impact of Covid-19 on the global fresh mushroom market:

Covid led to massive economic losses in various industries, including the food industry. Due to the abandonment of agricultural processes and direct harvest sales for farmers, there were higher food prices and a need for more revenue for cultivators. In addition, the lockdown led to several restrictions on the availability of various foods in the market. However, the fresh mushrooms market received a positive impact from the global pandemic. As mushroom is considered a superfood with properties to enhance immunity, there was an uproar demand for these microfungi. During the forecast period, there was a conscious wave of consumer demand for mushrooms, leading to more cultivators taking up mushroom farming to cut losses caused by the pandemic. Therefore, the pandemic had a benefitting effect on the global fresh mushroom market. 

Fresh mushrooms market key developments:

• In January 2023, South mill champs, a significant mushroom supplier located in the North American Region, announced the opening of its new mushroom farm site, considered the largest one-site mushroom farm in all of America. The farm has been established in Oxford Pa and is expected to yield significant revenue for the market. In addition, the company reported having experienced significant profits in revenue due to the surge in demand for mushrooms as a healthy product leading them to expand their business to support more income. 

• In January 2023, Red Light Holland, the European mushroom production giant, is planning its expansion into the North American Region with the help of several experts from Canada and through trusted partnerships in the Region. The project aims to grow several innovative mushrooms across a land mass of approximately 65,000 sq feet. The company plans to expand the sites in Ontario Peterborough within eight weeks with the help of several Canadian engineers. 

• On January 11, 2023, the mushroom giant company Delta Quad Holdings, situated in colorado, announced the collapse of a giant mushroom firm near that supplied fresh mushrooms to the Rocky Mountain West due to environmental disputes and side losses due to federal lawsuits. The establishment's employees need to be appropriately credited salaries and abrupt unemployment. Despite receiving around $1.7 million as covid compensation, the company still couldn't sustain the losses and had to cut off the supply branch. 

Fresh Mushrooms Market Segmentation:

By product

• Oyster

• Button

• Shittake

• Matsutake

• Truffles

• Others

The Button Mushrooms segment is expected to dominate the market during the forecast period as they are the most commonly available and consumed mushrooms worldwide. It is also a relatively more straightforward type of mushroom to cultivate, leading to more farming, availability, and market for the segment. Additionally, the mild flavor and meat, like the texture of button mushrooms, support the market for the segment. 

Furthermore, the Shittake mushrooms segment is also expected to have a sizable growth along with matsutake due to the rising popularity of Japanese, Chinese, Thai, and Korean cuisine worldwide. Shiitake mushrooms have a unique umami flavor and are packed with nutrients leading to more demand for the segment. Additionally, shiitake mushrooms are consumed fresh and dried, leading to more versatility supporting the segment. 

By Form, 

• Processed

• Fresh

The Fresh mushrooms segment is expected to dominate the market during the forecast period as they are considered the healthiest ways to consume mushrooms. Fresh mushrooms retain all their nutritional values and add a lot of flavor to food. Additionally, the growing effort to increase the shelf life of fresh mushrooms is expected to support the segment's dominance.

The Processed segment is expected to have a growing revenue due to consumers' growing interest in packaged snacks that are preserved, dried, and frozen for sale. Even though packaged and processed food might not have the same health benefits, the added flavors and increased shelf life attract public popularity. 

By Distribution Channel, 

• Grocery Stores

• Convenience Stores

• Supermarkets & Hypermarkets

• Direct to Customer

• Online Stores

The Supermarkets & Hypermarkets segment is expected to dominate during the forecast period due to the growing presence of mushrooms as a necessary food in the exotics segment of significant markets. Additionally, the growing influx of consumers in grocery giants like super and hypermarkets supports the segment's dominance. 

However, the Online segment is also expected to witness growth in recent times due to the growing internet penetration and home delivery services. In addition, the growing market availability of national and international trades supports segment growth. Especially after the pandemic, the populations are more habituated to technologies leading to demand for the segment. 

By Application, 

• Pharmaceutical

• Cosmetics

• Food

The Food segment is expected to dominate the market during the forecast period as mushrooms are consumed heavily as foods in multiple dishes. In addition, the advantages of mushrooms as a superfood are pushing the interest of consumers to consume them regularly, leading to segment growth. 

The Pharmaceutical segment is also expected to grow due to the use of mushrooms in the research and development of medicines, as it has multiple medicinal properties. 

Fresh Mushrooms Market Regional Analysis:

• North America

• Europe

• Asia-Pacific

• Latin America

• Middle East and Africa

The Asia-Pacific region is expected to dominate the market during the forecast period due to the heavy use of mushrooms in traditional medicine to improve immunity and several cuisines. Mushrooms are a mandatory food in countries like China, Japan, Australia, South Korea, Thailand, Vietnam, etc., and even countries like India are now showing interest in the benefits of mushrooms supporting market growth in the Region. Asia is considered the cultural exporter of mushrooms to the world, and China is the largest mushroom producer and exporter in the world. China was estimated to produce around 41.1 million metric tons of mushrooms and truffles in 2021, and the number is continuously growing. Mushrooms are considered a staple food in Japanese households and are consumed regularly. The food is predicted to have existed since 4000 years ago in the Asian Region and therefore is a part of their culture. Therefore, the fresh mushroom market in Asia-Pacific is expected to dominate. 

However, the European Region is also expected to have significant growth in the market as Europe is estimated to have around 35% of total mushroom production. Additionally, the European Mushroom Growers Group (GEPC) was reported to have cultivated approximately 1,095,000 tons of mushrooms in 2020, and the organization is continuously making efforts to increase production. Therefore, growing production and sales in countries like the U.K., France, Poland, Belarus, Romania, etc., are expected to support the market in the Region. Additionally, growing efforts from the EU farm production to spread awareness regarding healthier foods support the market. 

The market in North America is also expected to have sizable revenue due to the presence of several key market players in countries like the US and Canada supporting market growth. In addition, growing health consciousness among populations results in increasing demand and supply. It is also growing production, and regional exports support market growth. For example, It is estimated that approximately 340,000 tons of mushrooms are produced annually in the US alone. 

Fresh Mushrooms Market Key Players:

1. Drinkwater Mushrooms

2. OKECHAMP S.A

3. Costa Group

4. The Mushroom Company

5. Bonduelle Group

6. CMP Mushroom

7. Monterey Mushroom, Inc

8. Greenyard

9. Shanghai Fengke Biological Technology Co., Ltd

10. Monaghan Group