Agriculture

Potential of Mushroom Farming in India: Types, Prices, and Profit

Updated on 27th July, 2026, By Tractorkarvan
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Potential of Mushroom Farming in India: Types, Prices, and Profit

Mushrooms are fungi that grow on moist surfaces such as wood or other organic matter. In general, the mushroom scientific name is considered as phylum Basidiomycota under the class Agaricomycetes. Mushroom Farming in India has seen a huge growth due to its rising demand for edible purposes.

As a result, the profitability from mushroom farming is potentially high. Let's read the complete blog to learn about mushroom cultivation, its varieties, and health benefits.

Table of Contents

Mushroom Farming – An Overview

Mushroom farming is the practice of growing edible mushrooms under controlled conditions for food, medicine, or commercial sale.

Mushroom Farming is becoming increasingly popular in the agricultural sector due to its profit potential. It requires small land, less cultivation time, and makes effective use of agricultural waste and by-products, which helps save farmer time. It is suitable for both small-scale farmers and large commercial agri-entrepreneurs.

What are the health benefits of Mushroom Farming?

Mushroom species are low in saturated fat and calories, and they also add various micronutrients, phytochemicals, and flavanol’s to your meal. The potential health benefits of eating mushrooms are:

  • Mushrooms help improve gut health as they are a great source of prebiotics.
  • Mushrooms contain potassium, which helps maintain healthy blood pressure levels.
  • They are equipped with powerful antioxidants, ergothioneine, and glutathione, that may help prevent cancer.
  • They have a savory, or umami, taste that can substitute for some of the ground beef in a recipe or stand in for steak in a vegetarian meal.
  • Some mushroom species are exposed to UV light when they are grown, which produces Vitamin D. Thus, they help maintain strong bones and support immunity.

State-Wise Production of Mushroom Farming in India (2024-25)

According to the National Horticulture Board (NHB), Ministry of Agriculture and Department of Animal Husbandry, the total production of Mushroom Farming in India 2024-25 was 398.77 thousand metric tonnes. The state-wise production of Mushroom farming is as follows:

State

Production ('000 Tonnes)

Percent Share (%)

Uttar Pradesh

48.80

12.27

Orissa

47.00

11.79

Bihar

44.93

11.27

Maharashtra

32.34

8.11

Uttarakhand

31.90

8.00

Which are the Top Mushroom Varieties Cultivated in India?

The Different types of mushroom cultivation done in India are as follows. Let's discuss them in brief:

Button Mushrooms

Types of Mushroom- Button mushroom

Button mushrooms, scientifically known as Agaricus bisporus, are one of the most widely consumed varieties of mushrooms in India. They are identified by their round shape, white caps, and mild flavor. They can be used in a wide range of culinary applications to prepare mouthwatering dishes. They are grown seasonally and in environmentally controlled cropping houses. Button mushrooms need 20 – 28 degrees Celsius for vegetative growth and 12 – 28 degrees Celsius for reproductive growth. The humidity required for the growth of this variety is 80 – 90% with proper ventilation during cropping.

Oyster Mushrooms

Types of Mushroom- Oyster mushroom

Oyster mushrooms, also known as pearl mushrooms, scientifically classified as Pleurotus ostreatus, are considered one of India's finest mushrooms, offering various health benefits along with a delicate seafood flavour. They are shaped like a fan and dusty color and look a lot like oysters. They can be easily grown in tropical and temperate regions and are widely cultivated in the states of Maharashtra, Karnataka, Odisha, West Bengal, etc.

Milky Mushrooms

Types of Mushroom- Milky mushroom

Milky mushrooms, scientifically known as Calocybe indica, can be grown during the summer season when the temperature is high for direct consumption or commercial purposes. They are milky white in appearance, which sets them apart from other types of mushrooms. They are also quite commonly used in preparing a wide variety of dishes and find a special place in the Indian food menu. They are widely grown in states like Karnataka, Andhra Pradesh, Kerala, Tamil Nadu, and Odisha.

Reishi Mushrooms

Types of Mushroom- Reishi mushroom

Reishi mushrooms, scientifically known as Ganoderma lucidum, have immense medicinal properties. They are known to boost immunity and contain several antioxidants that are good for your health. These types of mushrooms are gaining popularity in India's herbal and wellness industries.

Shiitake Mushrooms

Types of Mushroom- Shiitake mushroom

Shiitake mushrooms, scientifically known as Lentinula edodes, are added to different dishes for their smoky and rich flavour. They are mainly sourced from East Asia and are now cultivated in various parts of India due to their increasing popularity and market demand. They are used for boosting the immune system, lowering blood cholesterol levels, and as an anti-aging agent.

What are the Steps involved in Mushroom Farming?

It is important to maintain ideal environmental conditions for farmers involved in its cultivation for healthy growth and improved yield. Here is the step-by-step process for starting mushroom cultivation.

Spawn Production

The first step in mushroom cultivation is the production of spawns or mushroom seeds. Spawn is a vegetative mycelium culture that is used to inoculate the substrate for mushroom growth. These are produced from either fruiting culture or stocks of selected specimens of mushrooms. These stocks can be grown in a lab, and fruiting culture can be imported from different places.

Composting

The substrate is the material on which mushrooms grow. Generally, substrates include straw, sawdust, compost, or a blend of different organic materials. The substrate is pasteurized before being used to grow mushrooms to eliminate bacteria and competing fungi that could obstruct the growth of mushrooms.

Spawning

Spawning is the process of mixing spawn with compost. There are three different methods of spawning. These are spot spawning, surface spawning, and layer spawning. In general, the mushroom seeds are mixed with the whole compost at the rate of 500 – 750 grams per 100 kg compost or 0.75 ml per kg compost.

Casing

After spawning, a casing layer, which is a peat moss or a mix of soil and peat, is spread over to promote fruiting and moisture retention. The casing layer promotes a microclimate for the development of mushrooms.

Cropping

Crop management means maintaining optimal conditions for mushroom growth, which includes regulating temperature, humidity, and airflow. It also includes preventing the crop from pests and diseases to ensure healthy mushrooms are produced.

Harvesting

Different types of mushrooms are harvested at different stages of development. For instance, button mushrooms are harvested when the caps are closed, while oyster mushrooms are generally harvested when the caps begin to flatten. The correct harvesting technique involves gently twisting or cutting the mushrooms to avoid damage.

What are the factors Required for Successful Mushroom Cultivation?

The key factors that affect the growth and development and influence the life cycle of mushrooms are as follows.

Humidity

Mushrooms grow where the humidity levels are high. Therefore, it requires Humidity between 80 – 90% for optimal growth.

Temperature

Different varieties of mushrooms need different temperatures to grow.

  • Button Mushroom requires a temperature of 15-25°C.
  • Oyster Mushroom requires a temperature of 20-30°C.

Ventilation

Adequate airflow is vital for the growth of mushrooms, as it leads to healthy mushroom growth and reduces the risk of mould or bacterial infections.

Final Thoughts

Mushroom Farming is a profitable and sustainable opportunity for farmers, entrepreneurs, and small businesses. Its low land requirement, short cultivation cycle, and growing market demand make it an attractive agricultural venture. You can select different mushroom varieties according to your needs. Therefore, it can become a reliable source of income and a successful agribusiness for you.

Frequently Asked Questions On Potential of Mushroom Farming

1. What are the most common types of mushrooms available in India?

The most common mushrooms found in India are Button Mushroom, Oyster Mushroom, Shiitake Mushroom, and Reishi Mushroom.

Button mushrooms are considered the best edible mushrooms found in India.

Button mushrooms are widely cultivated and eaten in India.

Solan is known as the city of mushrooms in India.

Button mushrooms are the regarded as the best mushroom type in India, in terms of wide availability, affordability, and has a flavor that goes well with any Indian culinary.

Tractorkarvan
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