Haridwar couple quits pharma sector for mushroom farming, earns Rs 12,000 daily

With a B. Pharma degree and an MBA from ICFAI Business School (Bengaluru), marketing medicines was an easy professional choice for Vibhor Chauhan. His wife, Sarika, a postgraduate in commerce, also worked with him in Haridwar, Uttarakhand.

“We were involved in contract manufacturing and marketing of medicines. We worked for seven to eight years and then heard about mushroom farming,” Vibhor tells 30Stades.

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The idea to venture into mushroom farming came from Vibhor’s father, who worked in a bank. He received a loan proposal related to mushroom farming. Although the loan could not be sanctioned, he found the project promising and encouraged his son to explore it.

“I researched online and learned about the basics of button mushroom cultivation. Sarika and I decided to try on a small scale online before starting a commercial venture,” he says.

The pilot project

In December 2017, the couple procured 400 ready-made button mushroom bags from a third party and set them up in a 10x20 ft (200 sq ft) room. The total initial investment, including racks and transportation, was around Rs 40,000.

Also Read: Bihar farmer earns Rs 25 lakh a month from 6,000 sq ft mushroom unit, trains others for free

“We began harvesting in January 2018. The first yield was approximately 350 kg, which was sold in the local mandi at Rs 100 to Rs 120 per kg. We were able to recover the initial investment,” Vibhor says.

“The pilot project gave us a few learnings – one, there was a good market for mushrooms in Haridwar, and we did not have to search for buyers far and wide. Two, it was a high-return business that could be run throughout the year in an AC environment,” Sarika says.

Seeking deeper technical knowledge, they visited local mushroom farms. “But nobody had the time to share guidance. So I underwent a 10-day training programme at the Directorate of Mushroom Research (DMR) in Solan in 2019,” Vibhor says.

Scaling up

After training, Vibhor set up a commercial facility spread across 20,000 sq ft. The infrastructure included four insulated PUF panel rooms and air conditioning arrangements. Button mushrooms can be grown in winter without ACs. However, year-round businesses need temperature control through ACs.

Also Read: MBA quits job to start mushroom business with wife; clocks Rs24 lakh in Bihar village

Each of the rooms at the unit has a capacity of 15,000 to 20,000 compost bags. The total investment for the four-room unit and compost yard was around Rs 70 lakh, financed through a bank loan. “We also received a government subsidy of Rs 14.5 lakh,” Vibhor says.

The plant became operational in 2019, and the first commercial crop was harvested in December that year. Their first harvest was sold at Rs 100 per kg. However, by March 2020, the nationwide lockdown halted hotel demand and disrupted supply chains, resulting in losses.

“After a year, it came back on track,” Sarika says.

By 2021-22, as hotels reopened, annual production reached 30 to 50 tonnes. The daily output currently averages 100 to 150 kg.

“Mushroom prices are around Rs 100 per kg in winter and rise to Rs 170 in summer, with an annual average of about Rs 120 per kg. This translates to daily revenues of Rs 10,000 to Rs 12,000,” he explains.

Production runs in cycles. “About 2,000 bags are filled at a time, and after 20 days, the next room is prepared, ensuring continuous output,” he adds.

Also Read: Four women professors who became mushroom millionaires

The economics of button mushroom farming

The couple procures spawn from outside, while compost is prepared in-house. “We source raw materials such as wheat straw and mustard husk from Punjab and Haryana, increasing transportation costs and adding a time lag. We also add chicken manure during composting,” Sarika says.

One compost lot produces 15 to 20 tonnes and costs around Rs 1.5 lakh. It is sufficient to fill 2,000 bags, she adds.

A single 10 kg bag costs Rs 75 and yields 1.5 to 2 kg of mushrooms. With average revenue per bag around Rs 220, margins are high at around 65 percent.

The couple sells the produce in the local Haridwar mandi. “Wholesalers also come directly to the unit to buy mushrooms. We don’t have to struggle for marketing due to high local demand,” Vibhor says.

Encouraged by stable demand, the couple expanded further in January 2025, adding four more rooms. They now operate eight production rooms and employ five permanent workers.

According to Vibhor, for year-round commercial production, an investment of Rs 60–70 lakh is required. Seasonal production can be started with a smaller outlay, the agripreneur adds.

(Riya Singh is a Ranchi-based journalist who writes on environment, farming, sustainability, startups, & women empowerment).

Also Read: How this mushroom farmer earns Rs 20,000 daily from just 2,000 sq ft

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