Vietnam Mushroom Market Outlook to 2030

Vietnam Mushroom Market Overview

The Vietnam Mushroom Market was valued at USD 362 million, based on a five-year historical analysis. This growth is primarily driven by increasing consumer demand for healthy food options, rising awareness of the nutritional and medicinal benefits of mushrooms, and the expansion of the food processing industry. The market has seen a significant uptick in both domestic consumption and exports, reflecting a broader trend towards plant-based diets.

Key cities dominating the market include Ho Chi Minh City and Hanoi, which serve as major hubs for distribution and consumption. The urban population in these cities is increasingly health-conscious, leading to a higher demand for fresh and processed mushrooms. Additionally, the presence of numerous food processing companies in these areas contributes to the market's growth.

In 2024, the Vietnamese government continued to promote sustainable agricultural practices in mushroom cultivation. This includes updated guidelines for organic farming and the use of environmentally friendly materials in production. The initiative is designed to enhance food safety and quality while supporting local farmers in adopting sustainable methods.

Vietnam Mushroom Market Segmentation

By Source: The market is segmented into various sources, including cultivated mushrooms, wild mushrooms, and processed mushrooms. Among these, cultivated mushrooms dominate the market due to their consistent supply and the ability to grow them year-round. Varieties such as Agaricus bisporus (button mushrooms) and Pleurotus ostreatus (oyster mushrooms) are particularly popular among consumers for their versatility in cooking and health benefits. The increasing trend of home cooking and the rise of vegetarian diets have further fueled the demand for cultivated mushrooms.

By Application: The market is further segmented by application into food and beverages, pharmaceuticals, and cosmetics. The food and beverage sector holds the largest share, driven by the increasing incorporation of mushrooms in various cuisines and processed food products. The growing trend of health and wellness has led to a surge in the use of mushrooms as functional ingredients in health supplements and natural remedies, thereby expanding their application in the pharmaceutical sector as well.

Vietnam Mushroom Market Competitive Landscape

The Vietnam Mushroom Market is characterized by a competitive landscape with several key players, including Vinafood, Green Farm, and FPT Food. These companies are actively involved in mushroom cultivation, processing, and distribution, contributing to the market's growth. The competition is driven by factors such as product innovation, quality assurance, and expanding distribution networks.

Vietnam Mushroom Market Industry Analysis

Growth Drivers

Increasing Health Consciousness Among Consumers: The Vietnamese population is showing a growing preference for health-conscious food choices, significantly boosting demand for mushrooms due to their rich nutritional profile. Mushrooms are valued for their high antioxidant content and immune-boosting properties, making them popular among consumers seeking natural health benefits. In 2024, mushroom consumption in Vietnam is rising steadily, supported by increased production-Vietnam produces over 100,000 metric tons of mushrooms annually-and expanding retail availability.

Rising Demand for Organic and Natural Products: The rising demand for organic and natural products in Vietnam is strongly influencing the mushroom sector. Consumers are increasingly prioritizing organically cultivated mushrooms due to health concerns and a preference for pesticide-free foods. This shift is encouraging producers to adopt organic farming methods, improving product quality and safety. Organic mushrooms are gaining traction in urban markets and specialty stores, supported by growing awareness of sustainability and wellness.

Expansion of the Food Service Industry: The Vietnam mushroom market is growing due to rising health awareness and changing dietary preferences. Mushrooms are valued for their nutritional benefits, including vitamins, minerals, and immune-boosting properties. Increased cultivation efforts, government support, and expanding e-commerce channels are enhancing market reach. Fresh mushrooms dominate consumption, favored for their versatility in cooking. Challenges include maintaining optimal cultivation conditions and managing pests, but innovations and training programs are helping farmers improve yields and quality across the country

Market Challenges

Limited Awareness of Mushroom Varieties: Despite the growing interest in mushrooms, there remains a significant knowledge gap among consumers regarding different mushroom varieties and their uses. In 2024, it is estimated that only 30% of consumers in Vietnam can identify various edible mushrooms. This lack of awareness limits market growth, as consumers may not fully appreciate the culinary and health benefits of diverse mushroom types, hindering broader adoption in diets.

Competition from Alternative Protein Sources: The rise of plant-based diets and alternative protein sources poses a challenge to the mushroom market. These alternatives attract consumers who might otherwise choose mushrooms as a protein source. To remain competitive, mushroom producers must emphasize their unique health benefits and culinary versatility.

Vietnam Mushroom Market Future Outlook

The Vietnam mushroom market is poised for significant growth in the coming years, driven by increasing health awareness and a shift towards organic products. Innovations in cultivation techniques and the expansion of e-commerce platforms are expected to enhance distribution channels, making mushrooms more accessible to consumers. Additionally, the growing food service industry will likely continue to embrace mushrooms as a versatile ingredient, further solidifying their place in Vietnamese cuisine and contributing to market expansion.

Market Opportunities

Growth in Export Markets: Vietnam's mushroom exports are robust, with over 16,000 shipments recorded from November 2023 to October 2024, reaching more than 104 countries globally. The United States, Japan, and Vietnam itself are the top importers, collectively accounting for 81% of global mushroom exports. Export prices per kilogram have remained stable around $1.87-$1.88 in recent years. Vietnam's production is projected to reach over 26,000 metric tons by 2026, supported by growing global demand and expanding cultivation efforts.

Development of Value-Added Mushroom Products: The value-added mushroom product segment in Vietnam is expanding, with dried mushrooms and mushroom-based snacks gaining popularity. These products cater to consumers seeking convenient, healthy options. Vietnam exports over 7,000 metric tons of dried mushrooms annually, meeting demand in markets like the US, Japan, and Europe. Innovations in packaging and product variety are enhancing shelf life and appeal. Growing awareness of mushrooms' nutritional benefits is driving domestic consumption, while export volumes continue to rise, supporting industry diversification and growth.