Magic Mushroom Market Size is estimated to reach $1.2 billion by 2027. Furthermore, it is poised to grow at a CAGR of 10.3% over the forecast period of 2022-2027. Magic Mushroom or Psilocybin mushrooms which are commonly known as shrooms, mushies, blue meanies, golden tops, liberty caps, philosopher's stones and liberties are a polyphyletic informal group of fungi that contain psilocybin that turns into psilocin upon ingestion. Psilocybin is considered one of the most well-known psychedelics, according to the Substance Abuse and Mental Health Services Administrations (SAMHSA). Magic mushrooms are potential drugs for depression, obsessive-compulsive disorder, quitting smoking, alcohol addiction, cocaine addiction, cluster headaches and cancer-related or other end-of-life psychological distress. It functions as Lysergic Acid Diethylamide (LSD), which is known as a mind-altering drug. According to Mental Health America, 19.86% of adults are experiencing a mental illness which is equivalent to 50 million Americans and 4.91% are experiencing a severe mental illness. WHO declared depression as a common mental disorder and approximately 280 million people were affected by it in the world in 2021. Owing to such prevalence of diseases and disorders pharmaceutical companies and research centers focus on various methods to tackle these challenges using a polyphyletic group of mushrooms by using dephosphorylation and other methods to produce the novel drug.
Psilocybin mushrooms remain a Schedule I drug according to the Drug Enforcement Administration and other Schedule I drugs include marijuana, MDMA and LSD. Owing to such potential of magic mushroom, various institutes and research centers focus on studying innovative drug production to treat various disorders. Such potential application of magic mushrooms helps to fuel the Magic Mushroom Industry over the forecast period 2022-2027.
Magic Mushroom Market Report Coverage
The report: “Magic Mushroom Market Forecast (2022-2027)", by Industry ARC covers an in-depth analysis of the following segments of the Magic Mushroom Market.
Key Takeaways
- Geographically, North America held a dominant market share in the year 2021, owing to the increasing burden of mental disorders and growing demand for lysergic acid diethylamide drugs help to grow Magic Mushroom Market Size in this region.
- The Magic Mushroom Industry is predicted to increase owing to innovative drugs launched by key market players and research and development on Hygrophorus mushrooms. However, the lack of skilled technicians may limit market growth over the forecast period 2022-2027.
- A detailed analysis of strengths, weaknesses, opportunities and threats will be provided in the Magic Mushroom Market Report.
Magic Mushroom Market Segment Analysis- By Form
The Magic Mushroom Market based on the form can be further segmented into Fresh and Processed. The Processed segment held a dominant market share in the year 2021 and is estimated to grow with the fastest CAGR rate of 10.9% over the forecast period 2022-2027. This is owing to the use of mushroom which is processed by dephosphorylation and can be eaten with mixed food and with beverages, they eat as dried, or smoked with cannabis and also drink as tea. The processed form of mushroom such as mushroom going through a dephosphorylation process is mostly used in pharmaceuticals for the study and develop new drugs. In March 2019, the FDA approved a TRD nasal spray (designed to mimic the positive effects of the hallucinogenic ketamine) as the first new antidepressant on the market. Owing such use of processed magic mushrooms and Hygrophorus mushrooms helps to fuel Magic Mushroom Market Share over the forecast period 2022-2027.
Magic Mushroom Market Segment Analysis- By End-Use Application
Magic Mushroom Market based on the end-use application type can be further segmented into pharmaceutical applications, Research Centers, Organizations and Others. The Pharmaceutical applications segment held a dominant market share in the year 2021 and is estimated to grow with the fastest CAGR rate of 11.1% over the forecast period 2022-2027. The polyphyletic group of magic Mushrooms is mostly used for various mental disorders. Mostly treatment-resistant depression (TRD) and the latest potential therapy target major depressive disorder (MDD). TRD is estimated to affect about 5 million people in the U.S. at least 17 million American adults have MDD, which is more commonly referred to simply as “depression.” Depression is the leading cause of disability among Americans aged 15 to 44 and affects hundreds of millions of people globally, according to popular science. Such high potential of magic mushrooms in pharmaceuticals helps to drive the Magic Mushroom Share over the forecast period 2022-2027.
Magic Mushroom Market Segment Analysis- By Geography
The Magic Mushroom Market based on Geography can be further segmented into North America, Europe, Asia-Pacific, South America and the Rest of the World. North America held a dominant market share of 36% in the year 2021. This is owing to the high burden of mental diseases and the growing demand for lysergic acid diethylamide drugs in this region. According to Mental Health America, 50 million adults are suffered from mental illness in 2021 and 7.74% of adults in America reported having a substance use disorder in the past year. The state prevalence of adults with substance uses disorder ranges from 5.98% in Florida to 12.30% in the District of Columbia. Also, the estimated number of adults with serious suicidal thoughts is over 11.4 million - an increase of 664,000 people from 2021. Such a high prevalence of mental disease in this region helps to grow the Magic Mushroom Market Size in this region.
Furthermore, Asia-Pacific is estimated to grow with the fastest CAGR over the forecast period 2022-2022. This is owing to the high number of depression and suicide cases in this region. Hygrophorus russula mushrooms are quite common as edible mushrooms in the markets of southwestern China. In countries like Nepal, suicide is the leading cause of death among women aged 15-49. Low- and middle-income countries (LMICs) contribute to 79% of global suicide cases in 2021, according to the Nepal Red Cross Society. Nepal is one of the LMICs which is ranked seventh globally and stands in the second position among South Asian countries based on the proportion of suicidal cases. Also, India is the world’s second-most populous nation with a severely understaffed healthcare sector, with only 0.75 psychiatrists for every 100,000 patients. Additionally, according to World Health Organisation, in China, 54 million peoples suffer from depression and 41 million suffer from anxiety disorders in 2021. Owing to such a high prevalence of mental disorders in the Asia-Pacific region helps to grow the Magic Mushroom Industry over the forecast period 2022-2027.
Magic Mushroom Market Drivers
Increasing Prevalence of Mental Disorders Helps to Drive Market.
The prevalence of mental disorders around the world is increasing rapidly. According to a research paper published in PLOS ONE in January 2022, the COVID-19 pandemic is associated with an increased suicide rate in Nepal. Also, according to United Nations Office on Drugs and Crime, reported in the World Drug Report, 2021 that around 275 million people used drugs worldwide in the last year, while over 36 million people suffered from drug use disorders and current projections suggest an 11% rise in the number of people who use drugs globally by 2030 and a marked increase of 40mind-altering% in Africa, owing to its rapidly growing and young population. Pharmaceutical companies mostly use processed forms of mushrooms, such as those that have undergone a dephosphorylation procedure. Furthermore, according to the World Health Organisation, depression and anxiety cost $1 trillion to the global economy. Such high prevalence and burden of mental disorders fuel Magic Mushroom Market Share growth over the forecast period 2022-2027.
Increasing Public Awareness Towards Mental Illness Aid Market Growth.
The efforts of various government agencies and organizations are influencing the public awareness about mental health. The World Health Organisation conducts various campaigns to spread awareness about mental disease at the global level. Also, the Mental Health Organisation based in the United Kingdom takes various initiatives to fight against various mental illnesses. Indian Government National Health Mission plays important role in mental health programs to early detection and treatment, short-term training, awareness program and others. In 2021, the Indian government allocated INR 597 crore for mental healthcare, according to the press information bureau (PIB). The European Union spends 4% of GDP on mental health which is more than 600 billion in 28 European Union Countries. Such high spending on mental health for polyphyletic and hygrophorus mushrooms by various organizations helps to grow the Magic Mushroom Market Share over the forecast period 2022-2027.
Magic Mushroom Market Challenges
Lack of Skilled Technicians is Hampering Market Growth.
The global healthcare industry needs lots of skilled healthcare workers in the industry. According to the WHO, the number of healthcare workers around the globe would reduce by 12.9 million by 2035. The global shortage of healthcare personnel is linked to several factors including an aging workforce, a decline in the number of persons joining the profession, early retirements, insufficient training and increased demands from a growing and aging population. The chain of hospitals, clinical laboratories and diagnostic centers spreads all over the globe. With the increasing global population, there is an increased load on the healthcare system to provide efficient service. The factors such as high investment in infrastructure, equipment and machinery, also lack skilled professionals are impeding the Magic Mushroom Market size growth over the forecast period 2022-2027.
Magic Mushroom Industry Outlook
Product launches, mergers and acquisitions, joint ventures and geographical expansions are key strategies adopted by players in the Magic Mushroom Market. The top 10 companies in the Magic Mushroom Market are:
- Champignon Brands Inc.
- Hollister Biosciences Inc
- Red Light Holland
- Axsome Therapeutics Inc
- Johnson & Johnson
- Champignon Brands Inc.
- Artisan Growers Ltd.,
- Novo Formulations Ltd.
- Herbalife Nutrition Ltd.
- Monterey Mushroom, Inc
Recent Developments
- In October 2021’ Hollister Biosciences Inc announced a series of operational and strategic updates to create shareholder value and enhance; governance, operations and market positioning while preparing the Company for the next phase of its growth.
- In July 2021, Red Light Holland completed the acquisition of 100 Acres of Farmland in Ontario, Canada. Red Light's Farm Division plans on growing mushroom production with projected additional 65,000 sq. feet of "Innovative and Unique" Mushroom production facilities.
- In January 2021, Champignon Brands Inc. announced the opening of a new Canadian Rapid Treatment Center of Excellence (CRTCE) clinic in Ottawa, Ontario. This expansion is connected with Mississauga and Toronto clinics (CRTCE Clinics) in addressing the unmet need for depression and suicide through novel ketamine therapy treatment.
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