Avondale, PA – Mushroom production growth continues to increase as a result of a strong industry focus on increasing the conversation and promotion around the uses and benefits of adding fresh mushrooms to the everyday diet for consumers. According to the USDA National Agricultural Statistics Service (NASS) production report, the value of domestic mushroom production jumped by 2 percent from last year’s level. The 946-million-pound crop in 2015-2016 was valued at $1.19 billion. The various successes of association and grower marketing programs have resulted in sales and production growth in all segments and varieties for both organic and conventionally grown mushrooms, benefiting the entire fresh mushroom industry.
This strong demand for the Agaricus crop resulted in $1.1 billion in sales from more than 922 million pounds sold. Pennsylvania accounted for 64 percent of the total volume of sales and second-ranked California contributed 12 percent. Brown mushrooms (Portabella and Crimini varieties) accounted for 165 million pounds, up 3 percent from last season. Brown mushrooms accounted for 18 percent of the total Agaricus volume sold and 23 percent of the total Agaricus value. Another record was set with 90 percent of Agaricus mushrooms going into the fresh market.
“Mushrooms are being used in more ways, which is shown in this annual production report,” said Bev King, communications manager for the American Mushroom Institute. “Increased demand from retail and foodservice is reflected in the 19 million additional pounds (or 2 percent) produced this year. It marks the third straight year of growth.”
Production of specialty mushrooms, including varieties such as shiitake and oyster mushrooms, grew by 19 percent to 25 million pounds, with a sales value of $95 million.
Sales of organic mushrooms continue to rise as the interest in organic produce grows. While certified organic mushrooms are only 7 percent of total mushroom sales, 91.1 million pounds of certified organic mushrooms were produced last year, a 49 percent increase from the previous year. Organic mushroom production costs are 25-30% higher than conventional. Not all mushrooms organically produced are sold organically. Due to market demand approximately 71% of all mushrooms grown organically are sold organically allowing for continued growth in the category as demand increases. Total mushroom sales at retail grew by over $6.7 million over the 52-week period ending July 10, 2016. Both conventional and organic mushrooms saw strong dollar growth nationally, each adding an incremental $34 million to the category. The increased awareness of fresh mushroom usage is growing both organic and conventional mushroom sales at a positive rate.
Domestic production comes from 141 million square feet in growing area while supply continues to try and meet increasing demand. With tremendous usage of fresh mushrooms around the busy holiday season, supply is always tight and the same is expected for the upcoming 2016 holiday season.
Labor availability and increased costs are driving forces in managing productivity. Like other agricultural sectors, a shortage of workers has resulted in unharvested mushroom crops.
The Blend continues to be the biggest trend in the mushroom industry. As consumers continuously seek out healthier, more plant-based but convenient options, the Blend continues to grow in popularity and consumption. Chefs, the initial adopters of the Blend, are continuing to see the sustainability and flavor benefits of offering the Blend, with menu mentions continuing to increase each year. Forecasts are for the Blend to continue to grow in popularity, propelling fresh mushroom sales growth. The consumer is generally becoming more adventurous with their cuisine choices; and since mushrooms fit into virtually every cuisine, they are an easy choice to add to the menu or the shopping cart. “We are seeing a huge response to the Blend marketing program through growing awareness and sales in all categories,” said Bart Minor, Mushroom Council President “Customers are reading about the benefits of the Blend in the media and enjoying the Blend at schools and restaurants. Soon they will be coming into the grocery store more interested in adding mushrooms to their weekly meal plan.”
Retail sales data back up the NASS report findings. The mushroom dollars are strong and growing in all regions. For a 52-week period ending June 12, 2016, the total U.S. dollar sales grew 6.6 percent, with total mushroom volume increasing by 4.1 percent. Total mushrooms sales grew by over $72 million compared to prior year to exceed $1.1 billion in retail dollar sales, according to IRI/Freshlook Marketing. Fresh mushroom sales continue to outpace total produce sales growth in retail sales for the same 52-week period.
The White segment saw strong dollar growth with an increase of 5.9 percent. The total volume in pounds of White mushrooms increased 3.3 percent while Browns grew 4.4 percent. Brown mushroom dollar sales grew 6.6 percent, driven by Crimini (up 7.6%), a $17.7 million increase.
The USDA NASS provides an annual report on domestic mushroom production, which was released on August 19, 2016. The report covers all domestic production of mushrooms from July 1, 2015 to June 31, 2016. To view the complete NASS report, visit: http://www.usda.gov/nass/PUBS/TODAYRPT/mush0816.pdf.
Source: American Mushroom Institute
