Using natural wastes and precision agriculture in vertical farming for mushroom cultivation.
A zero-waste vertical farming system that turns agricultural residues into premium, nutrient-rich mushrooms using precision controls.
- Palani region, Tamil Nadu, India
- Tier -3
- SDG-2
- SDG-12
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Story
We are Kudai-Fungi, a team of passionate college students driven by the vision to build a sustainable, zero-waste, circular economy through innovative mushroom cultivation. As aspiring entrepreneurs, our journey began with a simple yet strong intent to convert waste into wealth and energy while providing protein-rich, nutritious food to communities across India.
To address these challenges, we developed a unique, sustainable model that transforms agricultural residue into a valuable resource, using it as a substrate for mushroom cultivation. After harvesting, the spent mushroom substrate (SMS) is further repurposed as organic fertilizer, animal feed, and bioenergy, ensuring a fully integrated, waste-free system.
Our vision is to create a trusted mushroom brand, offering innovative, nutrient-rich food to promote better health for all.
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Problem
Problem - India generates over 500 million tons of agricultural waste yearly, causing pollution, methane emissions and relying on synthetic fertilizers.
- Millions of people suffer from food insecurity and India ranks 111th of 125 on the Global Hunger Index.
- Farmers struggle with low productivity and high costs from unsuitable water and fertilizer use. In urban areas, limited land and unpredictable weather forces suboptimal yields.
Solution
Solution - Upcycle organic residues like (cow dung, corn stalks, coconut husk, and gypsum) into mushroom substrate.
- Use lactic acid bacteria & yeast to control pathogens, maintain PH, and optimize nutrient availability.
- Deploy IoT-enabled vertical racks to precisely regulate water, temperature, and humidity.
- Repurpose residues from mushroom cultivation for organic fertilizers, biogas, and animal feed.
- Ensure every byproduct from the mushroom farming process is used without waste, and minimizes environmental impact.
- Use spent mushroom substrate (SMS) to convert agricultural remains into valuable products.
- Creating an ecosystem where remains from one process become input for another promising sustainable agricultural practice.
Market & Growth
Market & Growth - TAM: Food, pharmaceuticals, and dietary supplements (estimated to be around $50 billion).
- SAM: The organic and specialty mushrooms segment within our geographic region (estimated to be $5 billion annually).
- SOM: Local supermarkets, restaurants, and direct-to-consumer sales channels (estimated to be $500 million annually).
- Processed mushrooms demand in India to grow at a CAGR of 13.1% from 2024 to 2030.
- The online mushrooms sales to grow at a CAGR of 13.3% from 2024 to 2030.
Business Model
Business Model Source agri-waste from farmers → prepare substrate in a modular facility → sell fresh mushrooms and value-added products (powders, supplements) via D2C sales, franchise, B2B collaborations, exports, subscriptions, organic stores and hospitality partners.
Competitors
Competitors Traditional outdoor mushroom farms, small local cultivators lacking precision vertical systems.
USP
USP - Unique- The product is eco-friendly and cultivated with zero-waste farming methods.
- Rich in vitamins, minerals, and antioxidants for better health.
- Premium-quality mushrooms at competitive prices for consumers and businesses.
Target Audience
Target Audience - Health-conscious consumers, sustainability, eco-friendly enthusiasts, vegans, and fitness enthusiasts in urban, semi-urban, and rural areas.
- Restaurants specializing in gourmet or organic food market
- Entrepreneurs or businesses interested in agritech or food innovation business.
The team consists of 3 members;
- Pragadeeswaran S S – CEO
- Mithra R – CTO
- Samyuktha Elango – COO
- Agriculture remains corn flat and cow dung effectively reduces reliance on chemical fertilizers.
- Reduces input costs for farmers, expanding the market for organic mushrooms.
- Mushrooms are a rich source of protein and nutrients. Its cultivation creates employment opportunities.
Total Ask: ₹ 1,50,000
Hi, Our Donars
- MVP design finalized, gearing up for on-site pilot test.
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