Leading North American businesses have come together to form the Functional Mushroom Council (FMC), the first-of-its-kind nonprofit bringing a unified voice to the rapidly expanding functional mushroom industry in North America. Since its debut at SupplySide Global in late October, the Council has welcomed a wave of additional brands, growers, suppliers, and individual experts who share a commitment to elevating this industry.

In 2026, the FMC will release new research on quality standards, bioactive compound profiles, and the health impact of full–life-cycle, whole-mushroom products — research that clearly demonstrates the stronger and more consistent benefits of North American–grown mushrooms compared with ingredients imported from other regions.

This work will underscore what consumers and brands are increasingly recognizing: North American functional mushrooms are high-quality, transparently manufactured, and scientifically backed.

The council was founded by industry leaders including Fungi Perfecti, M2 Ingredients, Monterey Mushrooms, Aloha Medicinals, Mycopia and Far West Fungi. These founding members, with deep expertise in organic mushroom cultivation and sustainable practices, came together to form a coalition dedicated to pushing the boundaries of scientific inquiry, market education, and industry integrity across North America.

The Functional Mushroom Council’s mission is threefold:

• To foster rigorous research that illuminates the benefits of functional mushrooms.
•  To educate the public and industry on their health and wellness potential.
• To support the success of growers, suppliers, and brands throughout North America.

“People have benefitted from functional mushrooms for thousands of years, and North American growers have been cultivating them for decades. What’s changed in recent years is the rapid expansion of capacity and scientific investment to keep up with consumer demand and expectations,” said Dr. Julie Daoust, chair of the Functional Mushroom Council and chief science officer at M2 Ingredients. “As the industry has grown, so have concerns around ingredient quality and labeling accuracy. Today, we’re working together to establish North America as the global leader in the highest-quality, most scientifically backed functional mushrooms — and to champion real transparency across the entire supply chain.”

“In my expert opinion, the best products are formulated incorporating mushroom mycelium grown in the U.S. where we are held to higher standards of quality, sustainability, and care,” added Paul Stamets, member and founder of Fungi Perfecti. 

The U.S. functional mushroom market surpassed $1.6 billion in 2023 and is on track to reach approximately $2.0–$2.2 billion in 2025, reflecting continued double-digit growth across supplements, beverages, and food applications. North America remains one of the fastest-growing regions globally, with rapid expansion across direct-to-consumer, digital, and brick-and-mortar channels.

One of the strongest drivers is the mushroom coffee sector, now responsible for hundreds of millions in U.S. annual sales and projected to sustain double-digit CAGR through 2030. This heightened consumer demand is positioning North America as a key force shaping global trends, elevating quality standards, and accelerating innovation across functional beverages, powders, and ready-to-drink products.

“Until recently, many brands had to source their functional mushroom ingredients from imported or foreign suppliers,” said Amir Karian, vice-chair of the Functional Mushroom Council and director of Monterey Nutra. “But that dynamic has changed. North America’s leading growers — the same innovators who came together to form the Functional Mushroom Council — have rapidly scaled their capacity, quality systems, and scientific infrastructure to meet the needs of this booming category. Today, brands no longer need to rely on overseas suppliers. They can partner directly with North American growers who produce the highest-quality, organically grown functional mushrooms in the world, backed by unmatched transparency, consistency, and innovation.”