South Korean mushroom producers seek dedicated law and regulatory relief
South Korean producers are pressing for a dedicated mushroom industry law and revisions to waste, farmland and origin-labeling rules. They argue that regulatory changes could lower substrate disposal costs and support expansion into mycelium-based food, materials and biotechnology.
Producers call for a separate legal framework
South Korea’s mushroom producers are urging lawmakers to establish a dedicated industry law and remove regulations that they say constrain investment, resource recycling and commercial development. At a press briefing at the Korea Press Center in Seoul, the Korea Mushroom Producers Association called for the rapid passage of the proposed Act on the Development and Support of the Mushroom Industry.
Representative Kim Sun-kyo, who introduced the bill, attended the briefing and said he would work for its prompt passage by the National Assembly. Producers argue that mushrooms need a support system tailored to their production and research requirements, noting that sectors including ginseng, Korean beef, beekeeping, insects and floriculture already operate under individual laws.
Disposal costs weigh on mushroom farms
According to Korean Farmers and Fishermen Newspaper, South Korea’s mushroom production was worth about KRW 743.5 billion in 2024, equivalent to 1.2% of agricultural and forestry output. The domestic consumer market is estimated at more than KRW 1 trillion. The global mushroom market, meanwhile, is projected to reach as much as KRW 175 trillion by 2033.
Producers identify spent growing substrate as one of the sector’s most immediate regulatory problems. Although mushroom substrate is made from plant-based materials, it is classified as waste under the current Waste Management Act. Farms consequently face disposal charges of about KRW 200,000 per tonne. The association says recognition of spent substrate as a circular resource would permit its use in compost, animal feed, bioenergy and new materials, turning a disposal liability into a potential input for other industries.
Mycelium broadens the industry’s ambitions
The association also wants policy to cover spawn and mycelium rather than focusing mainly on fruiting-body production. Potential applications cited by producers include functional food, cosmetics, biomaterials, alternative protein and biodegradable packaging. However, domestic research, commercialization and administrative support are currently divided among several government bodies. Spawn management is split between the Ministry of Agriculture, Food and Rural Affairs and the Korea Forest Service.
Origin-labeling requirements are another target for revision. Producers say the existing standards do not adequately reflect the cultivation characteristics of shiitake mushrooms. Association chairman Kim Min-soo said the proposed law should provide a foundation for expanding the resource-circulation and ecological value of mushrooms into a national strategic industry. For farms, the immediate stakes are lower treatment costs and clearer rules. For processors and investors, the broader issue is whether South Korea can build coordinated supply chains around spawn, mycelium and spent substrate while supporting commercial products beyond fresh mushrooms.