Mycelium Market Size – By Nature, Product Type Analysis, Share, Growth Forecast, 2025 - 2034

Mycelium Market Size

The global mycelium market was valued at USD 2.9 billion in 2024 and is estimated to grow at a CAGR of over 6.1% from 2025 to 2034 and will grow from USD 3.1 billion in 2025 to USD 5.2 Billion in 2034.
 

As industries look for environmentally sustainable option to plastic, focus for using mycelium in the areas like packaging, construction has been increased. According to statistics global biodegradable plastic market value in 2023 was around 6 billion which is expected to reach USD 19 billion by 2032.   Policies and consumer preferences are shifting towards mycelium-based packages as it is becoming a much more mainstream option. At the same time, the mycelium is being incorporated in the fast fashion and footwear industries as a replacement for leather in their vegan products. Both movements are driven by the same underlying reason which is the ever-increasing demand for green products.
 

The food and beverage segment has provided a commendable growth opportunity for the mycelium industry. In addition, the recent popularity of plant-based diets brings numerous customers looking for mycelium-based meat alternatives, thus raising the overall product relevance. These mycelium products outperform other soy proteins in protein content, texture, and overall nutrition. An increase in health obsessed consumers who try to avoid gluten, GMOs, and other allergens only drives more need. Mycelium is also used for other fermented, and probiotic functional foods, which supports the growth of gut health supplements.
 

Mycelium is a highly useful material in construction. In construction mycelium is used as renewable and sustainable material to manufacture building components like bricks, furniture and insulation panels owing to its ability to grow in specific shapes and binding organic substrates of waste together. However current application of mycelium in construction are limited to non-structural elements currently because of its concerns regarding compressive strength and resistance to moisture in certain conditions. Mycelium absorbs significant amounts of moisture which affects its structural integrity and need additional treatment before specific use.
 

Mycelium Market Trends

• Elevated Requirement for Eco-Friendly Materials – In just five years online searches globally for sustainable goods have jumped by 71%, also 72% of consumers say that they purchase more green products now.  Governments and companies across the world are being forced to address stringent environmental issues stemming from plastic waste and are therefore turning to mycelium-based solutions. Mycelium is especially popular in packaging industry and is experiencing rapid growth, they are used to biodegradable containers since many companies now a days understands the importance and popularity of sustainable products in consumers.
   
• Application in Plant-Based Proteins– The plant-based food industry has also seen an increase in the acceptance of mycelium meat substitutes because of their high protein content and fibrous structure. Mycelium offers a clean label, non-GMO, and allergen free option for environmentally and health-conscious proteins. In addition, fermented mycelium is incorporated into probiotics and gut health supplements and other functional foods because of its prebiotic and immune boosting properties. The increasing need for high fiber gluten-free protein-rich mycelium further drives the use of mycelium in food applications.
   
• Amplified Financing Mycelium in Construction – Industry experts are looking for mycelium-based construction elements because of their lightweight and good thermal insulation properties. The promise of new carbon neutral and energy efficient buildings fuels the imagination of architects and builders to use mycelium composites for insulation, panelling, and even furniture.
   
• Expansion in Fashion and Textile -Mycelium is particularly popular in fashion and textile. They are used to make many products including clothing, accessories and leather alternatives. The cloths made by mycelium are waterproof, noni toxic and fire resistant. They can be made as thin as paper for lamp shades and dresses or really thick for heavy duty items.
   
• New Developments in Medicine – The regenerative and antimicrobial characteristics of mycelium provide opportunities in drug delivery systems, wound healing, and biomaterials. Biotechnological innovations like these are bound to multiply in the years to come.
   

Mycelium Market Analysis

Based on nature, the market is divided into organic, processed, raw, and conventional. Organic segment dominated market by generating USD 1.2 billion in 2024 and is expected to reach USD 2.2 billion by 2034.
 

The market is supported by increasing popularity of sustainable materials hence organic mycelium dominate the industry. Unlike any other materials organic mycelium is biodegradable and renewable which makes them suitable alternative in industry like packaging and construction. Organic mycelium can be used to make food and beverage containers, clothing and accessory fabrics, building insulation, and so much more. The issue of global warming and attaining sustainable solutions has led to the increased demand for organic mycelium, resulting in its innovation and market growth across multiple industries.
 

Based on product type, the mycelium market is categorized into powder, capsules, tablets, and others. Powder accounted for 36.9% of the market share in 2024 and is projected to grow through 2034.
 

The flexibility of mycelium powder’s production processes allows it to take the lead in the market. Power form is popular than any other form die to many reasons including extended shelf life, ease of use and variety in many applications. Mycelium powder can be easily mixed with food and supplements without changing their texture and composition. Powder forms allows better absorption in medical and supplement applications, also powder form is easy to use and transport.
 

Besides, mycelium powder is very economical and scalable, which enhances its suitability for various mass production processes. In a nutshell, the predominance of powdered mycelium in any market is an indicator of its potential towards innovation and sustainability in a growing mycelium industry.
 

The mycelium market can be categorized by end-use industry segmentation which includes packaging, construction, food and beverages, clothing and apparel, automotive and animal feed among others. Packaging have the greatest proportion of the market share of mycelium industry due to its importance and need for a substitute for traditional packaging materials like plastic.
 

There are a lot of companies in different industries such as food and beverages, electronics and cosmetics which have been utilizing mycelium-based packaging because of stringent standards and growing preference from consumers towards sustainable packaging to lower carbon emissions and waste. These consumer spending trends are the reasons why packaging is on the list of fastest growing sectors in the mycelium industry.
 

U.S. dominated the global mycelium market in 2024. It generated a revenue of USD 726.9 million in 2023.
 

There are various reasons behind the fact that the United States market is a monopoly. One is that the region has a number of institutions and companies, old and young, that specialize in micro and biotechnology which increases the innovation and growth of the market. Also, the U.S. is a leading superpower in today’s world, particularly in the packaging, construction, and textile sectors, allowing for mycelium-based products to be easily incorporated into other businesses.
 

Furthermore, organic mycelium and other alternatives are easier to enforce in the region due to sustainability promoting regulatory frameworks coupled with active consumer concern. In summation, collaborations and funding into mycelium focused startups and programs amplify the rate of microtechnology innovation and market creation in the country.
 

Mycelium Market Share

Top 5 companies in the mycelium industry include Bolt Threads, Ecovative, FreshCap Mushrooms, Huisong, and Magical Mushroom Company. Manufacturers opts for various strategies to gain competitive advantage in the market for example mergers and acquisition, new product launch, capacity expansion at specific location.
 

Kynda which is B2B company in biotech announced its first ever no waste food solution based on mycelium in the European market. They will start with its launch in Germany. This new product is sustainable, zero waste and animal free. Also, the product emit 700% lesser greenhouse gas emissions compared to pea protein, contains all 9 important amino acids hence the product stands as a perfect substitute for plant-based and meat options.
 

Mycoworks which is a biomaterials technology company based in California, has launched three new versions of Reishi which is a product made from mycelium, and it behaves similar to animal leathers. The three new versions are called Reishi Doux, Reishi Pebbles, Reishi Natural. The company also made it public that they will start producing these materials at a factory in South Carolina.
 

Ecovative which is a well-known name in mycelium materials launched Forager. Forger is a business segment which focusses on marketing, designing and manufacturing vegan leather like materials, foams for automotive and fashion industry. The product called as Forager Hides and Forager Foams are made of mycelium avoiding animals or petroleum. These materials are fully biodegradable and home compostable. Forager is utilizing Ecovatives AirMycelium technology which will help them to produce huge sheets of mycelium material at commercial level.
 

China based 70/30 Food Tech which is total plant-based meal company and a producer of mycelium based ingredient announced that they will launch Mycelium research Lab in Banglore, India. With the help of this lab the startup is planning produce affordable proteins for Asia and the new lab will provide them presence in two important markets in Asia.
 

South Korea is set to import its first mycelium-based beef products from Infinite Roots, formerly Mushlabs, which is collaborating with Pulmuone, one of the top 3 food producers in South Korea. This mycelium cultivated process is likely to do wonders in the region where there seems to be a high appetite for Pulmuone’s Earth Diet brand products that include the new mycelium produced burger patties and meatballs.
 

The collaboration was made to capture the market with nutritionally rich, clean labeled, environmentally friendly protein products that Korean customers stand to benefit from. While Infinite Roots has the tech and the manufacturing infrastructure, Pulmuone capitalizes on the robust food market in the country and helps with brand recognition. Their aim is to change the paradigm in the culinary world where mycelium is viewed not only as a high value crop, but as a protein-rich plant meat alternative.
 

These new products from Pulmuone are advertised as “100% plant-based” which South Koreans are known for their sophisticated palate and a deep affection for umami that mushrooms serve so well. Together, mycelium and mushrooms are perfect ingredients for Infinite Roots and Pulmun’s joint venture that hopes to attract those who appreciate delicious tastes and environmental sustainability. This action seeks to address the growing world fixation on the consumption of protein rich food products with the need to protect the environment.
 

Mycelium Market Companies

Some of the eminent market participants operating in the mycelium industry include:

• Bolt Threads
• Ecovative
• FreshCap Mushrooms
• Huisong
• Magical Mushroom Company
• Mycelia
• Mycotech Lab
• MycoTechnology
• MycoWorks
• Scelta Mushroom
   

Mycelium Industry News

• In order to bolster the company’s yearly output to about 6 million units, The Magical Mushroom Company set up new production facilities in Bulgaria and Italy in November 2021.
   
• In April 2021, Atlast Food Co raised $40 million during the Series A funding round spearheaded by Viking Global Investors and also some notable participation from 40 North, AiiM Partners, Senator Investment Group, Stray Dog Capital, and Robert Downey Jr.’s Footprint Coalition. The money will be used to increase the mycelium-based whole – cut – meat alternatives production, including their lead product, MyBacon.
   

The mycelium market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) & volume (Kilo Tons) from 2021 to 2034, for the following segments:

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Market, By Nature

• Organic
• Processed
• Raw
• Conventional

Market, By Product Type

• Powder
• Capsules
• Tablets
• Others

Market, By End-Use Industry

• Packaging
• Construction
• Food and beverage
• Clothing and apparel
• Automotive
• Animal feed
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico
• MEA
  • UAE
  • Saudi Arabia
  • South Africa