Dr. Hiresha Verma, Founder of Han Agrocare Llp, Sahaspur, Uttarakhand, elaborates on mushroom cultivation and value added products.
Our company is into cultivation of medicinal mushrooms and making value-added products which produce nutraceutical dietary supplements. They are super foods and have the properties such as anti-cancer, anti-viral, anti-inflammatory, and antioxidants. They are rich source of protein and D2. We started into this with the purpose of giving a healthy lifestyle with medicinal mushrooms as it takes care of the mental health also. Also we wanted to empower women. We are working with rural Indian women and supporting farmers to utilise the Agri waste as mushrooms are formed on Agri waste. Post Covid, many of us are going through mental disturbance, lifestyle disease, depression, and many such issues. We are catering to the local demand, and we are replacing the Chinese and Indonesian markets as these mushrooms were imported from these countries into India. We have fresh and dry mushroom, such as Ganoderma, Lions Mane, Shitake, Turkey Tail, Cordyceps, and Maitake. We also come up with mushroom ginger ale, mushroom tea, mushroom coffee, and coffee cookies etc, apart from nutraceuticals. We mainly grow Lions Mane, Cordyceps, Ganoderma, Shitake, Turkey Tail, Maitake etc. We have vegan and gluten free Shitake Ginger ale, marmalade, sauce, soup, chips, chocolates, Nutri bar, and cookies. We can mix our mushroom extract powder with dough for making parathas and rotis. On the nutraceutical front, we have capsules, extract powders, and tincture bottles.
Each mushroom has its own benefit. For example, Shitake is very rich source of D2, helps improving immunity, cholesterol, and sugar control. Reishi is for destress, relaxation, and longevity, Maitake is full of Vitamin D, controls sugar and cholesterol, Cordyceps helps in improving performance, energy, endurance, Turkey Tail is good for liver immunity, Lions Mane is for nerve health, memory, and focus. Chaga is good for health, immunity, etc. Our functional foods have a great taste and benefits for health and wellness. Our unique selling proposition involves diverse mushroom portfolio, vegan, gluten free, keto friendly, paleo friendly, and for therapeutic use. We use innovative cultivation techniques for growing the mushrooms. Our mushrooms are organic, natural, and chemical free, and we have our R and D focus. Analysing the market trend, we find that fresh and dry medicinal mushrooms have global market of 40.65 billion, growing at 9.85 CAGR, functional food has global market of 137.1 billion and growing at 6.8 CAGR, and nutraceuticals have a global market of 1.7 billion, growing at a CAGR of 7.2. In India, the projected market is 18 billion for nutraceuticals, 6 billions for functional food, and 20 billion in terms of fresh and medicinal mushroom. Taking into consideration the consumption levels, India’s consumption rate is currently at 30 gm per person whereas in USA and Europe, it is 30 kg per person. We have a target markets of B2B that includes health and wellness, alternative medicine practitioners, nutraceutical industries, fitness and sports sector, and retail market. Under B2C we have consumers, eCommerce platforms, vegans, vegetarians, and urban population. Fresh and dry mushrooms are sent to Uttarakhand, Delhi, NCR, and Gurgaon.
Our business model goes thus: we have our own 2 acre farm with the capacity of 2 tons per day. We have spawn lab, substrate lab, growing and packaging units. We have about 5 thousand women and landless farmers and tribals working for us. We give the substrates to them, offer technical support, and we buy the produce back from them. We are currently present in 6 states. We sell packed value-added products to nutraceuticals, supermarkets, retailers, HORECA, and distributors. We make money by selling the substrate, commercial mushrooms, and we buyback from the women farmers. Functional food is another source of revenue for us along with nutraceuticals. We also use AI and IoT in our business. They are used to detect diseases, prevention, quality control, sorting, supply chain management, R and D, and cultivation optimisation. In 2020 after Covid, we started with Shiitake and Ganoderma. In 2021, we added a few more medicinal mushrooms and started extracts. In 2022, we launched nutraceutical products. It was in 2023 we expanded to North India market, in 2024, expanded Pan India, and started exports too. We have won many awards such as Emerging Woman Entrepreneur award in 2022, Enterprising Woman award in 2021, and we are recognised as one of the top 75 Agri entrepreneurs and innovators by NITI Ayog inaugurated by our Home Minister Hon’ble. Shri Amit Shah. We have won the best Social Enterprise award and We Can award.
What are the essential requirements for starting a mushroom cultivation venture? Which mushroom is most profitable for cultivation in our regions? What is the exact difference in price between these varieties?
For starting a venture, we can use a small room also as mushroom cultivation is an indoor activity. The room size of 8 x 8 or 10 x 10 will be enough. We have to have racks to place the pots and we can start the production. Locally button mushroom is highly consumed. Till 2020, I was also doing button mushroom cultivation only. With more than 12 years of experience in growing mushrooms, we have now shifted to medicinal mushrooms. If people take up this, they can fetch a very good profit and value. They can grow Ganoderma, Lions Mane, and Shitake. While button mushrooms can sell at Rs. 100 and not more than Rs. 120, the Shitake can fetch you Rs. 800 to Rs.1000 per kg.
What is the difference in the taste of these mushrooms? Can you explain the process of preparing substrate for mushroom cultivation?
Farming-wise and technically they are one, they can be cultivated by anyone. In terms of money, there is a lot of difference. Shitake mushrooms have a smoky flavour, and so all cuisines of China and Indonesia have this in their ingredients. In India, we have to develop the taste which is slowly coming up. People are now slowly accepting it, and Shitake mushrooms are being used in 5 and 7 star hotels. The advantage with these mushrooms is that they have a longer shelf life compared to the button mushroom which perishes after 2 to 3 days. We need proper set up for cultivating these mushrooms. They are all different from each other in terms of growing, compost, etc. For button mushroom, we make compost from whet or rice straw. We have to wet these straws, pasteurised at 58 degrees for 7 days, and we can take it out, mix spawn, and grow button mushrooms. In the case of others, we can do this in la also, autoclave, lamina flow, pass through sterilised bag which are made from saw dust. From fodder we make bags, sterilise it at the LBS of 22 for 3 hours, and after cooling down, we mix spawn, wait for the mycelium to grow, and after 2 months fruiting starts.
How can we control the temperature and humidity in optimal mushroom growth? What are the common challenges faced by mushroom growers, and how can they be overcome?
We have automatically controlled room whereas the substrate we give to women and landless farmers are done in the natural conditions. Ganoderma is good for summer climate with 20 to 38 degrees and grows very well. Shitake needs 16 to 20 degrees. So according to the climate you can decide which one to grow in natural conditions. Mushroom demands actions to be taken at the right time. If water is needed, we have to water them on time, and we have to give air too. We cannot miss them. The biggest mistake the mushroom growers do is they do not take it seriously to follow the parameters to grow mushrooms. It is not difficult, but it is a time game. Whatever procedure has to be done should be done at the same time. We cannot postpone it. It is not like any other normal crop where you can postpone your action.
What value added products can be derived from mushroom, and how do you produce them? What are the potential environmental benefits of mushroom compared to other crops?
We have done a lot of R and D in producing our products which are done purely on scientific methods with proper bio-compounds, and we have nutraceutical range where we have tinctures, extract powders. We have functional foods such as mushroom tea, mushroom coffee, mushroom Ginger ale, mushroom marmalades, sauce, cookies, Nutri bars, chocolates etc. There are 64 varieties of mushroom, and each one has different parameters and requirements in terms of temperature.
Are there any regulatory licenses or certifications needed for selling mushroom products? can you recommend any low cost technique for scaling up mushroom production? Any government incentives or support programs available for mushroom growers?
It is like any vegetable, and so we don’t need any license. But when we come up with value added products, we need FSSAI license to make the products and sell them in market as our brand. It does not require any high tech solutions you can start in a small room. We have covered poultry farms, vacant cow sheds. It has to be indoor and covered one. Both Central and state governments have many schemes related to mushroom. Central government gives 40% subsidy for starting our own farm. No such schemes for medicinal mushrooms. You can approach the concerned department to get the support.
How do you market mushroom products effectively to local consumers and businesses?
We have our target market in all 3 segments. Our B2B goes through distributors, institutional types, retailers, and supermarkets. B2C we have eCommerce websites such as Amazon, Snapdeal, Flipkart, etc. Our fresh and dry mushrooms go to hotels, functional food to retailers, and nutraceuticals to companies and pharmacies. We supply in bulk too. It is all over India, and we are exporting to USA, UAE, and Canada.
Please tell us about your career background and why you got interested in this field. Do you require minimum number of people? Is this training offline or online?
I am from an IT background and never knew anything about mushrooms. In 2013, when there was floods in Uttarakhand hills, I happened to help an NGO to distribute food and clothes to villagers. I found that most of them were women and children. I wanted to help these women. I was making searches for the one that would suit them as most of the women were uneducated. Then somebody told me that Uttarakhand is good for mushroom cultivation. I started studying and cultivating about it, and without any training I started a small cultivation in a servant room. I invested Rs. 2 thousand and got back Rs. 5 thousand after selling them. I took training and started teaching the women on how to grow mushrooms. They were the inspirations. I got most of the knowledge about it as I have done everything on my own. Earlier the women were not getting any money, but now they are earning about Rs. 15 thousand per month on an average. At least 30 to 40 people should be there. I have a target of teaching at least one lakh women. The training is both offline and online. But offline training will give them the practical benefit of understanding. We can guide them with technical support too. This is something practical and not theory.
Do you have any idea to what extent IIHR, Bangalore, can help in growing mushrooms? Can they supply varieties or do we contact you for them? What is the time frame for medicinal mushroom to get the final product? What is the profit margin if done in a systematic way?
We are starting our unit in Telangana, teaching a few women in Kerala to grow the mushrooms. In the same way we are open to help people in Bangalore to grow mushrooms, and we can buy back from them too. For Shitake, it takes 3 months from mycelium till hardening of mushroom, and one month for fruiting, and for Ganoderma it takes one month for mycelium and one month for fruiting. Some take 2 to 4 months too. Profit margin will be around 45 to 50% easily.
Our company is into cultivation of medicinal mushrooms and making value-added products which produce nutraceutical dietary supplements. They are super foods and have the properties such as anti-cancer, anti-viral, anti-inflammatory, and antioxidants. They are rich source of protein and D2. We started into this with the purpose of giving a healthy lifestyle with medicinal mushrooms as it takes care of the mental health also. Also we wanted to empower women. We are working with rural Indian women and supporting farmers to utilise the Agri waste as mushrooms are formed on Agri waste. Post Covid, many of us are going through mental disturbance, lifestyle disease, depression, and many such issues. We are catering to the local demand, and we are replacing the Chinese and Indonesian markets as these mushrooms were imported from these countries into India. We have fresh and dry mushroom, such as Ganoderma, Lions Mane, Shitake, Turkey Tail, Cordyceps, and Maitake. We also come up with mushroom ginger ale, mushroom tea, mushroom coffee, and coffee cookies etc, apart from nutraceuticals. We mainly grow Lions Mane, Cordyceps, Ganoderma, Shitake, Turkey Tail, Maitake etc. We have vegan and gluten free Shitake Ginger ale, marmalade, sauce, soup, chips, chocolates, Nutri bar, and cookies. We can mix our mushroom extract powder with dough for making parathas and rotis. On the nutraceutical front, we have capsules, extract powders, and tincture bottles.
Each mushroom has its own benefit. For example, Shitake is very rich source of D2, helps improving immunity, cholesterol, and sugar control. Reishi is for destress, relaxation, and longevity, Maitake is full of Vitamin D, controls sugar and cholesterol, Cordyceps helps in improving performance, energy, endurance, Turkey Tail is good for liver immunity, Lions Mane is for nerve health, memory, and focus. Chaga is good for health, immunity, etc. Our functional foods have a great taste and benefits for health and wellness. Our unique selling proposition involves diverse mushroom portfolio, vegan, gluten free, keto friendly, paleo friendly, and for therapeutic use. We use innovative cultivation techniques for growing the mushrooms. Our mushrooms are organic, natural, and chemical free, and we have our R and D focus. Analysing the market trend, we find that fresh and dry medicinal mushrooms have global market of 40.65 billion, growing at 9.85 CAGR, functional food has global market of 137.1 billion and growing at 6.8 CAGR, and nutraceuticals have a global market of 1.7 billion, growing at a CAGR of 7.2. In India, the projected market is 18 billion for nutraceuticals, 6 billions for functional food, and 20 billion in terms of fresh and medicinal mushroom. Taking into consideration the consumption levels, India’s consumption rate is currently at 30 gm per person whereas in USA and Europe, it is 30 kg per person. We have a target markets of B2B that includes health and wellness, alternative medicine practitioners, nutraceutical industries, fitness and sports sector, and retail market. Under B2C we have consumers, eCommerce platforms, vegans, vegetarians, and urban population. Fresh and dry mushrooms are sent to Uttarakhand, Delhi, NCR, and Gurgaon.
Our business model goes thus: we have our own 2 acre farm with the capacity of 2 tons per day. We have spawn lab, substrate lab, growing and packaging units. We have about 5 thousand women and landless farmers and tribals working for us. We give the substrates to them, offer technical support, and we buy the produce back from them. We are currently present in 6 states. We sell packed value-added products to nutraceuticals, supermarkets, retailers, HORECA, and distributors. We make money by selling the substrate, commercial mushrooms, and we buyback from the women farmers. Functional food is another source of revenue for us along with nutraceuticals. We also use AI and IoT in our business. They are used to detect diseases, prevention, quality control, sorting, supply chain management, R and D, and cultivation optimisation. In 2020 after Covid, we started with Shiitake and Ganoderma. In 2021, we added a few more medicinal mushrooms and started extracts. In 2022, we launched nutraceutical products. It was in 2023 we expanded to North India market, in 2024, expanded Pan India, and started exports too. We have won many awards such as Emerging Woman Entrepreneur award in 2022, Enterprising Woman award in 2021, and we are recognised as one of the top 75 Agri entrepreneurs and innovators by NITI Ayog inaugurated by our Home Minister Hon’ble. Shri Amit Shah. We have won the best Social Enterprise award and We Can award.
What are the essential requirements for starting a mushroom cultivation venture? Which mushroom is most profitable for cultivation in our regions? What is the exact difference in price between these varieties?
For starting a venture, we can use a small room also as mushroom cultivation is an indoor activity. The room size of 8 x 8 or 10 x 10 will be enough. We have to have racks to place the pots and we can start the production. Locally button mushroom is highly consumed. Till 2020, I was also doing button mushroom cultivation only. With more than 12 years of experience in growing mushrooms, we have now shifted to medicinal mushrooms. If people take up this, they can fetch a very good profit and value. They can grow Ganoderma, Lions Mane, and Shitake. While button mushrooms can sell at Rs. 100 and not more than Rs. 120, the Shitake can fetch you Rs. 800 to Rs.1000 per kg.
What is the difference in the taste of these mushrooms? Can you explain the process of preparing substrate for mushroom cultivation?
Farming-wise and technically they are one, they can be cultivated by anyone. In terms of money, there is a lot of difference. Shitake mushrooms have a smoky flavour, and so all cuisines of China and Indonesia have this in their ingredients. In India, we have to develop the taste which is slowly coming up. People are now slowly accepting it, and Shitake mushrooms are being used in 5 and 7 star hotels. The advantage with these mushrooms is that they have a longer shelf life compared to the button mushroom which perishes after 2 to 3 days. We need proper set up for cultivating these mushrooms. They are all different from each other in terms of growing, compost, etc. For button mushroom, we make compost from whet or rice straw. We have to wet these straws, pasteurised at 58 degrees for 7 days, and we can take it out, mix spawn, and grow button mushrooms. In the case of others, we can do this in la also, autoclave, lamina flow, pass through sterilised bag which are made from saw dust. From fodder we make bags, sterilise it at the LBS of 22 for 3 hours, and after cooling down, we mix spawn, wait for the mycelium to grow, and after 2 months fruiting starts.
How can we control the temperature and humidity in optimal mushroom growth? What are the common challenges faced by mushroom growers, and how can they be overcome?
We have automatically controlled room whereas the substrate we give to women and landless farmers are done in the natural conditions. Ganoderma is good for summer climate with 20 to 38 degrees and grows very well. Shitake needs 16 to 20 degrees. So according to the climate you can decide which one to grow in natural conditions. Mushroom demands actions to be taken at the right time. If water is needed, we have to water them on time, and we have to give air too. We cannot miss them. The biggest mistake the mushroom growers do is they do not take it seriously to follow the parameters to grow mushrooms. It is not difficult, but it is a time game. Whatever procedure has to be done should be done at the same time. We cannot postpone it. It is not like any other normal crop where you can postpone your action.
What value added products can be derived from mushroom, and how do you produce them? What are the potential environmental benefits of mushroom compared to other crops?
We have done a lot of R and D in producing our products which are done purely on scientific methods with proper bio-compounds, and we have nutraceutical range where we have tinctures, extract powders. We have functional foods such as mushroom tea, mushroom coffee, mushroom Ginger ale, mushroom marmalades, sauce, cookies, Nutri bars, chocolates etc. There are 64 varieties of mushroom, and each one has different parameters and requirements in terms of temperature.
Are there any regulatory licenses or certifications needed for selling mushroom products? can you recommend any low cost technique for scaling up mushroom production? Any government incentives or support programs available for mushroom growers?
It is like any vegetable, and so we don’t need any license. But when we come up with value added products, we need FSSAI license to make the products and sell them in market as our brand. It does not require any high tech solutions you can start in a small room. We have covered poultry farms, vacant cow sheds. It has to be indoor and covered one. Both Central and state governments have many schemes related to mushroom. Central government gives 40% subsidy for starting our own farm. No such schemes for medicinal mushrooms. You can approach the concerned department to get the support.
How do you market mushroom products effectively to local consumers and businesses?
We have our target market in all 3 segments. Our B2B goes through distributors, institutional types, retailers, and supermarkets. B2C we have eCommerce websites such as Amazon, Snapdeal, Flipkart, etc. Our fresh and dry mushrooms go to hotels, functional food to retailers, and nutraceuticals to companies and pharmacies. We supply in bulk too. It is all over India, and we are exporting to USA, UAE, and Canada.
Please tell us about your career background and why you got interested in this field. Do you require minimum number of people? Is this training offline or online?
I am from an IT background and never knew anything about mushrooms. In 2013, when there was floods in Uttarakhand hills, I happened to help an NGO to distribute food and clothes to villagers. I found that most of them were women and children. I wanted to help these women. I was making searches for the one that would suit them as most of the women were uneducated. Then somebody told me that Uttarakhand is good for mushroom cultivation. I started studying and cultivating about it, and without any training I started a small cultivation in a servant room. I invested Rs. 2 thousand and got back Rs. 5 thousand after selling them. I took training and started teaching the women on how to grow mushrooms. They were the inspirations. I got most of the knowledge about it as I have done everything on my own. Earlier the women were not getting any money, but now they are earning about Rs. 15 thousand per month on an average. At least 30 to 40 people should be there. I have a target of teaching at least one lakh women. The training is both offline and online. But offline training will give them the practical benefit of understanding. We can guide them with technical support too. This is something practical and not theory.
Do you have any idea to what extent IIHR, Bangalore, can help in growing mushrooms? Can they supply varieties or do we contact you for them? What is the time frame for medicinal mushroom to get the final product? What is the profit margin if done in a systematic way?
We are starting our unit in Telangana, teaching a few women in Kerala to grow the mushrooms. In the same way we are open to help people in Bangalore to grow mushrooms, and we can buy back from them too. For Shitake, it takes 3 months from mycelium till hardening of mushroom, and one month for fruiting, and for Ganoderma it takes one month for mycelium and one month for fruiting. Some take 2 to 4 months too. Profit margin will be around 45 to 50% easily.