The global psychedelic mushrooms market is projected to more than double over the next seven years, growing from an estimated $1.5 billion in 2024 to $3.3 billion by 2031.
That’s according to a new report by Persistence Market Research, which forecasts a compound annual growth rate (CAGR) of 10.3% through 2031, up from a historical CAGR of 8.12% between 2019 and 2023.
This sharp rise is being driven by growing demand for psilocybin-based therapies to address mental health conditions such as anxiety, depression, PTSD and addiction. The report notes that clinical trials are producing encouraging results, while psilocybin’s connection to enhanced neurogenesis and cognitive function is gaining broader recognition in the medical field.
North America remains the dominant force in the market, buoyed by ongoing legalization efforts in states like Oregon and Colorado. Europe is also emerging as a key growth area, with countries like the Netherlands and the UK increasingly embracing psilocybin for therapeutic use.
However, legal hurdles and safety concerns still present obstacles to widespread adoption. Psilocybin remains a Schedule I controlled substance in many countries, and the lack of standardized dosing raises safety and regulatory questions.
Despite these challenges, the report points to promising developments, including the rise of microdosing kits, psilocybin-infused beverages, and new clinical applications for eating disorders and chronic pain. Companies like Compass Pathways, Cybin Inc., MindMed, and Atai Life Sciences are leading the charge in product innovation and regulatory engagement.
With increased investment, shifting public perception, and expanding access to psychedelic therapy, analysts believe the market is positioned for sustained long-term growth.
