Phillips Mushroom Farms, a grower and marketer of mushrooms based in Kennett Square, PA, is looking to expand its product portfolio with the goal of injecting some life into a slumping category.

Sean Steller, director of business development, said mushroom consumption has been in decline the past few years due to a variety of factors.

“A significant increase in consumption occurred from 2020-22 when the pandemic was happening and people were cooking more at home,” he said. “But now with people returning to the office, along with other trends such as the popularity of dietary supplements, rapidly changing diet trends and cost inflation across the retail sector, mushrooms are struggling to maintain per-capita consumption levels.”

To help counter declining numbers, Steller said that Phillips is trialing new varieties to renew interest in the category. He noted that the company, which is nearing 100 years in business, has been a longtime innovator of mushrooms via its in-house spawn lab.

“Some of our initial projects included Shiitake and Oyster mushroom cultivation 40 years ago,” said Steller. “Now, the mushrooms we have in testing are not necessarily new, but rather an expansion of what we offer, with a goal of increasing availability and access to more consumers and chefs.”

He said that current trials are focused on developing different Oyster varieties such as Pink Oyster, which he said has been performing well in retail and foodservice tests this year, owing in part to their visual appeal.

“Pink, Yellow and Gray Oysters pair well when trying to add a pop of color and flavor to a dish,” he said.

Other varieties that have received positive feedback include:

• Chestnut: A versatile mushroom with a nutty flavor and slightly sweet taste. The chewy texture stays crunchy after cooking.
• Pioppini (aka Black Poplar or Velvet mushrooms): Nutty, earthy flavor used in a variety of recipes such as pasta, risotto, soups and salads. This mushroom has been studied for antioxidant and anti-inflammatory properties.
• Woodear: This gelatinous mushroom is often used in soups, stir-fries and salads for the crunchy bite. Woodear mushrooms are rich in fiber, antioxidants and natural compounds that may support heart health and immunity based on ongoing research.

Steller said summer is traditionally not a peak time for mushroom consumption aside from the meaty Portabella variety, which is a popular grilling item.

“Summer is a time when people tend to travel, thus they are not cooking at home as much,” he said. “So, we lean into our Portabella mushroom promotions to get people to put more mushrooms on the grill.”

In addition to the standard six-ounce Portabella Cap package, the company is also offering a 14-ounce Portabella Cap pack that includes four to five caps.

“This is a great value, especially when compared to the soaring prices of meat,” said Steller.

He also sees using Shiitakes in a similar fashion on the grill, perhaps stuffed with a cheese blend or even sliced and baked as a healthier version of bacon.

“The best part about mushrooms is that they are so versatile, you can use each variety in hundreds of recipes,” he said.