Shiitake Mushrooms
The entry of K-mushrooms into global markets has been accelerated. Mushrooms including Shiitake mushrooms that are widely used for Korean traditional pancakes, galbijjim (braised beef short ribs), japchae (glass noodles with sauted vegetables), and greens during national holidays including Chuseok (Korean Thanksgiving Day) have gained popularity in Australia and the UK.
TAccording to industry sources, Smithy Mushrooms Holdings, Hyundai Corporation Holdings’ subsidiary responsible for mushroom business in the UK, posted a turnover of GBP 10 million (KRW 16 billion) last year, twice as much as KRW 7.9 billion reported in 2019.
THyundai Corporation Holdings founded Smithy Mushrooms Holdings jointly with Green Co., Ltd, an agricultural company located in Cheongdo, Gyeongsangbuk-do, Korea, in 2018 and established a mushroom farm in Lancashire in the UK. The company has since supplied mushrooms to more than 1150 branch stores for TESCO, a local supermarket chain, and 300 or more shops for Marks & Spencer.
TThe subsidiary’s main items are shiitake and oyster mushrooms. The mushrooms are not familiar to local customers in the UK, who usually enjoy button mushrooms, but they have recently gained popularity. Demand for vegan ingredients in Europe has soared, increasing the popularity of mushrooms as food sources to replace meat. In particular, Asian mushrooms have been recognized as healthy food, solidifying their position as a high-value-added item.
TAgainst this backdrop, Hyundai Corporation has continuously expanded its mushroom business. Based on the belief that trading itself has limitations in growth, the general trading company launched the mushroom business. Believing that the global competitiveness of K-mushrooms has already been proven, Hyundai Corporation is planning to scale up the business.
Hyundai Corporation Holdings’ mushroom farm in the UK
To this end, the company is enlarging its 2nd mushroom farm in the UK to set up mushroom ingredient production systems. Mushroom farm II is expected to produce media (nutrients for growing mushrooms) used for the farm I. In other words, it is planning to manufacture media in the UK, all of which have been imported up to now. This means that not only end products but also ingredients are produced locally.
A Hyundai Corporation official said, “Consumers in the UK and other European nations highly prefer local foods. Therefore, our local production and supply systems are designed to meet such needs.”
The mushroom business has gained momentum in Australia as well. Hyundai Corporation Holdings established its mushroom business subsidiary in Australia in 2021. The subsidiary posted a turnover of AUD 10 million (KRW 9 billion) last year. At first, it concentrated on supplying organic button mushrooms but has recently prepared to expand its business, building shiitake mushroom cultivation facilities.
A Hyundai Corporation official mentioned, “Based on our additional investment in Australia, we plan to raise our retail chain sales. Encouraged by our success in the UK and Australia, we are preparing to expand our business to North America.”
Employees of Hyundai Corporation Holdings’ mushroom farm in Australia are checking mushrooms.