MUSHROOM CULTIVATION

BUSINESS PLAN

Presented By: Neeraj Garwal;

 Business Overview
 An enlarged complex aboveground fleshy fruiting body of a fungus
 It is widely consumed due to its high medicinal and nutritional
value .
 It is free from cholesterol, fat and gluten and very low in sodium.
 There are over 2,300 species of edible mushrooms grown and
available globally.
The body of the mushroom in called mycelium and its individual
parts are microscopic .
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 Business Overview Contd…
 Location : Mukteshwar, Bhimtal
 Mushroom For our B-Plan :
a) White Button Mushroom
b) Shiitake Mushroom
c) Oyster Mushroom
d) Enoki Mushroom
 Production Cycle : 3 months

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 Our Vision Statement :
Our vision is to be a major supplier of quality mushrooms in India,
European Countries (Germany , United Kingdom , France , Italy).
 Our Mission Statement :
To achieve our set vision, we intend to practice sustainable farming
practices by growing our edible gourmet mushrooms in a controlled
environment and using organic substrates as much as we can .

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 Our Products and Services
 We intend to grow and sell all the kinds of mushroom that is being consumed
in India and United states of America .
 Some of the products and services we intend to engage in are:
1. Fresh mushrooms such as common
a) button mushroom,
b) shiitake, oysters,
c) medicinal reishi,
d) enoki
2. Processed mushrooms (dried, canned, frozen)
3. Give trainings to intending new farmers .
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 S.W.O.T Analysis
 Strength :
1. Huge mushroom farm having ability to meet demands of our customers
2. Offering fresh and processed mushrooms to our various customers.
3. We will also offer training to intending mushroom farmers .
 Weaknesses:
1. The mushroom business is not new, which means that there are other established
mushroom businesses .
2. We have to create the right awareness within customers and also ensure that our
mushrooms are of the highest quality .

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 S.W.O.T Analysis Contd…
Opportunity:
1. Increasing number of people awareness about health .
2. Always on lookout for new technological advancements .
 Threats:
1. Arrival of new competitors to our same location .
2. No such differences in production of mushroom .

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 Market Analysis

Market Trends :
1. Increase in processed food consumption .
2. Love for consuming food that is healthy .
3. Ease of growing mushrooms .
4. Mushroom market is filled with intense competitors – small, medium and
large scale .

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 Market Analysis Contd…
 Our target market :
Huge target market available to buy our mushrooms .
1. Selling mushrooms in retails , and in wholesale to following group of people : -
a) Local health food stores
b) Households
c) Farmers’ markets
d) Supermarkets
e) Restaurants Hotels
f) Factory cafeterias
g) College cafeterias
h) Caterers and catering services .

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Market Analysis

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Market Analysis

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 Temperature for Growing and Cropping Mushroom

MUSHROOMS GROWING CROPPING CYCLES

WHITE BUTTON 22-25 14-16 OCTOBER – MARCH

MUSHROOMS

OYSTER 25-30 22-26 MARCH-SEPTEMBER

SHIITAKE 22-27 15-20 OCTOBER - FEBRURARY

ENOKI 22-27 20-25 MAY-SEPTEMBER

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 Sales Strategy

 Sources of Income :
Generation of income for our business from different sources such as :
1. Different kinds of fresh mushrooms such as button, shiitake, oyster, enoki .
2. Processed mushrooms (frozen, dried, canned) .
3. Give training to new intending farmers .

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 Marketing Strategy

1. Creating a unique website with user friendly interface .

2. Participating in all food festivals and trade fairs for
networking purposes .
3. Make use of our social media platforms
4. Placing adverts in local newspapers, food and lifestyle
magazines
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 Pricing Strategy

1. The prices for our mushrooms will totally depend on the kind of
mushrooms
2. Some breed demand more attention than others and command high
price .
3. Cut down costs where necessary to reduce our final price.
4. The price we would set for our mushrooms are fair to our
customers and ourselves .
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 Budget
Starting a mushroom farm business requires capital just like any other business .
1. Cost of start-up inventory (spawn, substrate, growing bags,
packaging materials) – ₹3,50,000
2. Cost of store equipment (racks, bin, shelves) – ₹1,40,000
3. Operational costs for the 3 months (utility bills, employees
salaries)- ₹7,00,000
4. Other start-up expenses (stationeries, furniture, computer, phone,
printer) – ₹1,05,000
5. Cost of launching an official website – ₹20,000
6. Miscellaneous – ₹2,10,000
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 Sources of Finance
1. Trained mushroom cultivators are extended loans after preparing the project report for the
cultivation process which has to be approved by the national bank for agriculture and rural
development (NABARD/NHB). These cases are then recommended to the nationalized
banks for processing the required loan amount.
2. The national horticulture board also provides assistance to the mushroom farmers. The
subsidy amount is 20% of the total project cost (maximum of 25 lakhs in normal areas and
30 lakhs in hilly regions).
3. The state government also provides subsidies to the mushroom farmers so as to encourage
the unemployed youth. 100% subsidy is given for the transport of compost.
4. The rashtriya krishi vikas yojna provides assistance of rs 80,000 for the construction of a
mushroom house of dimensions (20 ft x 12 ft x 10 ft), other tools etc.
5. Assistance to the mushroom farmers is given by the department of agriculture and co-
operation under the scheme of national horticulture mission.
The key facts:
For spawn units, compost preparation and training 100% assistance for public sector and50% of total cost for the
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private sector in the form of subsidy (maximum subsidy rs 50lakhs) S u i t e s
 Bibliography
1. https://en.wikipedia.org/wiki/Shiitake
2. https://www.reuters.com/brandfeatures/venture-capital/article?id=66733
3. https://pdfs.semanticscholar.org/aec7/85934644a8475b5dd72051961e1706fb43a
7.pdf
4. https://timesofindia.indiatimes.com/Know-all-about-
mushrooms/articleshow/47514152.cms
5. http://nhb.gov.in/report_files/Button_Mushroom/BUTTON%20MUSHROOM.htm
6. https://www.krishisewa.com/articles/production-technology/46-technology-for-
mushroom-cultivation.html
7. https://www.cbi.eu/market-information/processed-fruit-vegetables-edible-
nuts/dried-mushrooms/europe/
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