Mushroom Market Size - By Type (Button Mushrooms, Shiitake Mushrooms, Oyster Mushrooms, Matsutake Mushrooms, Truffles Mushrooms), Application (Food and Beverages, Cosmetics, Pharmaceutical), Form, Distribution Channel & Global Forecast, 2023-2032

Mushroom Market Size - By Type (Button Mushrooms, Shiitake Mushrooms, Oyster Mushrooms, Matsutake Mushrooms, Truffles Mushrooms), Application (Food and Beverages, Cosmetics, Pharmaceutical), Form, Distribution Channel & Global Forecast, 2023-2032

Mushroom market size is projected to expand at over 6.5% CAGR from 2023 to 2032 due to the thriving health-conscious lifestyles and the increasing demand for plant-based diets. The rising awareness of the nutritional benefits, including high protein and low-calorie content will increase the consumer preferences for mushrooms.

Additionally, the culinary versatility of mushrooms and their usage in various cuisines is resulting in the growing exploration of exotic mushroom varieties. The sustainable nature of mushroom cultivation, efficient use of resources along with the growing focus on organic and locally sourced produce is also aligning with eco-conscious consumer trends. For instance, in November 2023, Sempera Organics, a vertically integrated company specializing in mushroom cultivation, introduced six new mushroom species to its product line for catering to the dietary supplement and functional food/beverage sector. The influx of government initiatives for promoting mushroom cultivation will also benefit the industry growth.

The mushroom market is segregated into type, form, application, distribution channel, and region.

Based on type, the oyster mushroom industry is projected to exhibit 6.9% CAGR through 2032. The growth is driven by the mild flavor of oyster mushroom, its versatile culinary applications, and nutritional profile. The adaptability of oyster mushrooms to various climates, shorter cultivation time, and the increasing consumer interest in exotic varieties will also fuel the product demand in the coming years.

The processed mushrooms form segment is estimated to accumulate sizeable market revenue share by recording 6.8% CAGR during 2023-2032, attributed to benefits, such as convenience and extended shelf life. The demand for processed mushrooms, such as canned and frozen varieties is also rising as they meet the consumer preferences for providing easy incorporation into various dishes.

Regionally, the Europe mushroom market is projected to grow at 6.6% CAGR between 2023 and 2032, fueled by the growing consumer awareness of the nutritional benefits and versatile culinary applications. The high demand for plant-based diets is leading to the exploration of exotic mushroom varieties. The high focus on sustainability and locally sourced produce further aligns with the surging consumer preferences in the region. The ingress of government initiatives for promoting healthy eating habits and sustainable agriculture practices will further boost the regional market expansion.