Oyster Mushroom Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Type (Pearl Oyster, Blue Oyster, Golden Oyster, Pink Oyster, Phoenix Oyster, King Oyster), By Form (Fresh, Processed), By Distribution Channel (Hypermarkets/Supermarkets, Convenience Stores, Specialty Stores, Online, Others), By Region, By Competition 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 60.73 Billion
CAGR (2026-2031)	9.16%
Fastest Growing Segment	Processed
Largest Market	Asia Pacific
Market Size (2031)	USD 102.75 Billion

Market Overview

The Global Oyster Mushroom Market will grow from USD 60.73 Billion in 2025 to USD 102.75 Billion by 2031 at a 9.16% CAGR. The Global Oyster Mushroom Market centers on the cultivation and distribution of Pleurotus species, a group of edible fungi renowned for their shell-like appearance, mild flavor, and meat-like texture. The primary drivers propelling market growth include the rising consumer shift toward plant-based protein alternatives and the mushroom's robust nutritional profile, which is rich in vitamins and antioxidants. Furthermore, the ease of cultivating oyster mushrooms on diverse agricultural waste substrates, such as straw and sawdust, lowers production barriers and supports sustainable farming practices, thereby reinforcing supply capabilities to meet increasing global demand.

Despite these positive factors, the market faces a significant challenge regarding the highly perishable nature of fresh oyster mushrooms, which necessitates stringent cold chain logistics to prevent rapid quality deterioration. According to the American Mushroom Institute, the value of sales for commercially grown specialty mushrooms, a category comprising oyster and shiitake varieties, totaled $95.0 million in the 2024-2025 season. This substantial market value underscores the sector's potential, yet logistical constraints related to shelf-life preservation continue to complicate long-distance transport and limit broader market expansion.

Key Market Drivers

Accelerating Global Adoption of Plant-Based Diets and Meat Substitutes serves as a primary catalyst expanding the Global Oyster Mushroom Market. As consumers increasingly reduce meat intake, the oyster mushroom’s dense, fibrous texture and umami-rich flavor profile have positioned it as a premier whole-food vegan protein source. This trend is particularly evident in the food service sector, where chefs utilize the fungi to replicate the mouthfeel of pulled pork or seafood in center-of-plate dishes. According to the Mushroom Council, January 2024, in the 'Forecasters Agree: Mushrooms Trending in 2024' article, the inclusion of mushrooms in main meal categories on restaurant menus rose by 12% compared to previous years, reflecting this dietary shift. This demand surge necessitates robust supply chains, yet regional preferences remain strong; for instance, according to FreshPlaza, December 2024, Pleurotus varieties accounted for approximately 10% of total mushroom sales volumes for major distributors in key European markets like Greece.

The High Bio-Efficiency and Cost-Effectiveness of Sustainable Cultivation further propels market scalability. Oyster mushrooms possess a unique enzymatic ability to decompose lignocellulosic agricultural by-products, such as wheat straw and sawdust, converting low-value waste into high-value nutrition with minimal resource input. This bio-efficiency lowers the barrier to entry for small-scale and urban farmers, fostering localized production hubs that mitigate transport costs. The economic viability of this model is reinforced by premium market pricing; according to the United States Department of Agriculture (USDA), August 2024, in the 'Mushrooms' report, the average price received by growers for specialty mushrooms reached $5.45 per pound for the 2023-2024 season, a significant increase that incentivizes production on cost-efficient substrates. This attractive return on investment, combined with sustainable input usage, continues to attract commercial investments into the sector.

Download Free Sample Report

Key Market Challenges

The highly perishable nature of oyster mushrooms stands as a critical impediment to the expansion of the Global Oyster Mushroom Market, creating severe logistical hurdles that restrict scalability. Unlike hardier agricultural commodities, Pleurotus species possess a delicate structure and high moisture content, making them exceptionally prone to rapid microbial deterioration, enzymatic browning, and texture loss immediately post-harvest. This biological volatility mandates the use of expensive, high-velocity cold chain networks, as even minor temperature fluctuations during transit can render the product unsellable. Consequently, producers are often forced to confine their distribution footprints to local or regional territories to ensure quality, effectively preventing the development of a cohesive long-distance or international trade network.

These distribution limitations are particularly detrimental given the premium valuation of the crop, where inventory loss translates into significant financial setbacks. The high stakes of transportation inefficiency are evident in recent pricing trends. According to the USDA National Agricultural Statistics Service, in 2025, the average price received by growers for specialty mushrooms reached $5.83 per pound. This substantial unit value exacerbates the economic impact of shrinkage and spoilage, deterring investors and growers from attempting to penetrate broader markets where transit times might compromise the integrity of this high-value asset.

Key Market Trends

The Development of Whole-Cut Mushroom Meat Analogues and Jerky is revolutionizing the market by shifting focus from culinary fruiting bodies to advanced mycelium cultivation. Manufacturers are now utilizing solid-state fermentation to grow Pleurotus mycelium into dense, fibrous slabs that mimic the texture of whole-muscle animal proteins like bacon, rather than simply using chopped mushrooms for ground meat substitutes. This technological leap allows for high-density vertical farming of root structures specifically engineered for meat-like consistency, distinct from traditional agricultural mushroom farming. According to AgFunderNews, October 2025, in the 'MyForest Foods' mycelium bacon sizzles' article, MyForest Foods successfully expanded the distribution of its oyster mushroom mycelium-based bacon to over 2,500 retail locations nationwide, signaling strong commercial scalability for these novel whole-cut products.

Expansion into Cosmeceutical and Anti-Aging Skincare Formulations is emerging as a high-value growth avenue, capitalizing on the bioactive properties of oyster mushrooms beyond dietary nutrition. The species is increasingly recognized for its high concentration of ergothioneine, a potent antioxidant that protects skin from oxidative stress and inflammation, prompting its integration into serums and moisturizers. This trend represents a diversification into the personal care sector, where functional fungal extracts command premium prices compared to fresh food commodities. According to Seppic, April 2025, in the 'Mushroom trend: benefits in skin care' article, the global beauty industry witnessed a 49% increase in the number of cosmetic product launches containing mushroom extracts between 2019 and 2024, reflecting this surging industrial demand for fungi-based bioactive ingredients.

Segmental Insights

The Processed segment represents the fastest-growing category in the Global Oyster Mushroom Market, primarily driven by the necessity to mitigate the high perishability of fresh produce. Preservation techniques such as drying and canning significantly extend shelf life, facilitating easier logistics and international trade. Moreover, the expanding health food sector is fueling demand for powdered and extracted forms used in dietary supplements and plant-based products. This shift enables food manufacturers to incorporate mushroom-based nutrients into various ready-to-eat meals and beverages, ensuring year-round availability and consistent quality for consumers globally.

Regional Insights

Asia Pacific holds a dominant position in the global oyster mushroom market, driven by widespread consumption and large-scale production capabilities, especially in China. The region benefits from the abundant availability of agricultural by-products, such as rice and wheat straw, which serve as cost-effective substrates for cultivation. Additionally, the integral role of fungi in local culinary traditions sustains high market demand. Data from the Food and Agriculture Organization highlights the region's capacity to leverage these natural resources, enabling efficient production that meets both domestic needs and export opportunities.

Recent Developments

• In March 2025, MyForest Foods significantly expanded its production capabilities at its facility in Green Island, New York. The company reported that its vertical farming infrastructure had achieved a production capacity of approximately 20,000 pounds of oyster mushroom mycelium per week. This operational growth was part of a larger strategic plan supported by regional funding, allowing the business to address the increasing retail demand for its meatless bacon product. The facility upgrades involved the implementation of precise climate control systems designed to maximize the growth efficiency of the oyster mushroom root structure, which serves as the primary ingredient in their food offerings.
• In December 2024, Sylvan Bio introduced a new exotic mushroom strain known as SPX 281 to the commercial market. This product launch featured a sporeless variety of the oyster mushroom, which was developed to address specific cultivation challenges such as respiratory health risks for farm workers caused by heavy spore loads. The new strain was engineered to provide consistent yields and maintain high product quality while significantly improving safety standards in growing environments. The company marketed this release as a practical solution for growers seeking to optimize their production of Pleurotus species while eliminating the operational difficulties associated with spore management.
• In September 2024, Smallhold Inc. announced the completion of its corporate restructuring and its official exit from Chapter 11 bankruptcy. The company, known for its organic oyster and specialty mushrooms, transitioned its business model from managing large company-owned facilities to a decentralized partner farm network comprising independent certified organic growers. This strategic shift was facilitated by a controlling investment from the Monomyth Group. The organization stated that this new operational structure would enhance supply chain resilience and allow the brand to focus on expanding its product availability in retail chains across the country.
• In January 2024, MYCO announced the acquisition of a new production site in Leeming Bar, North Yorkshire, to specifically expand its capabilities in the oyster mushroom market. The company secured a 20,000-square-foot facility, formerly a food factory, with the intention of converting it into a dedicated vertical farm and product development center. This strategic expansion aimed to support the increased manufacturing of Hooba, a sustainable protein ingredient derived directly from oyster mushrooms. The new site was established to create numerous jobs and effectively meet the growing consumer demand for plant-based meat alternatives by combining raw material cultivation and final processing within a single location.

Key Market Players

• Monterey Mushrooms LLC
• North American Medicinal Mushroom Extracts
• South Mill Mushroom Sales Inc.
• Amax NutraSource Inc.
• Bio-Botanica Inc.
• Bristol Botanicals Ltd.
• Hunan Huacheng Biotech Inc.
• Xi'an Greena Biotech Co., Ltd.
• The Mushroom Company
• Phillips Mushroom Farms L.L.P.

By Type	By Form	By Distribution Channel	By Region
Pearl Oyster Blue Oyster Golden Oyster Pink Oyster Phoenix Oyster King Oyster	Fresh Processed	Hypermarkets/Supermarkets Convenience Stores Specialty Stores Online Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Oyster Mushroom Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Oyster Mushroom Market, By Type:

• Pearl Oyster
• Blue Oyster
• Golden Oyster
• Pink Oyster
• Phoenix Oyster
• King Oyster

• Oyster Mushroom Market, By Form:

• Fresh
• Processed

• Oyster Mushroom Market, By Distribution Channel:

• Hypermarkets/Supermarkets
• Convenience Stores
• Specialty Stores
• Online
• Others

• Oyster Mushroom Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE