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Abstract: Mushroom processors in the United States market a product mix that includes brine packed mushrooms, freeze-dried mushrooms, and pickled mushrooms. Brine packed mushrooms, which represent about 65% of the mushroom products processed in the United States, are merchandized in three product styles as buttons, slices, and stems and pieces. During the sixties, foreign processors have captured a significant share of the U.S. market for brine packed mushrooms. In 1960, for example, imports of canned mushrooms into the U.S. totalled 2.3 million canned pounds. By 1969, imports had risen to 22.7 million canned pounds, or about one-third of the U.S. market for canned mushrooms. Taiwan has been the principal exporting nation, supplying over 80% of the U.S. imports of canned mushrooms. This increased competition from foreign processors has forced domestic canners to adopt labour-saving and other techniques to achieve a higher level of efficiency. The purpose of the research reported in this article was to provide the mushroom processing industry in the U.S. with information concerning costs and revenues associated with different production processes (quality of raw product, product mix, shrinkage) and factor rates (wage level). Such information is essential for profit-maximization decisions.
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