PART 2 - The whole food (freezedried) mushroom powder MISCONCEPTION in Australia

In Australia, many local mushroom growers market their freeze-dried, raw mushroom powders—often including both the fruiting body and mycelium grown on grain—as a "superior" option. However, while these products may retain some whole-food nutrients, they lack the critical extraction process necessary to unlock the full medicinal potential of mushrooms.

Why whole mushroom powders are marketed as superior

Australian mushroom growers often promote their freeze-dried powders as:

1. Whole food-based, meaning they contain all parts of the mushroom
2. Retaining enzymes and micronutrients due to minimal processing
3. Locally grown, which appeals to consumers looking for Australian-made products

IMPORTANT - this marketing ignores the key issue: bioavailability. Without extraction, many of the active compounds—such as beta-glucans, triterpenes, and polysaccharides—remain locked within the chitin cell walls, making them largely indigestible to humans. This is why Traditional Chinese Medicine (TCM) has always relied on extracted mushrooms, rather than raw powders, for medicinal use.

The issue with mycelium-based powders

Many Australian whole-food mushroom powders also contain mycelium, which is often grown on grains like rice, wheat, or sorghum. Because the mycelium cannot be fully separated from its growing medium, the final product contains a significant amount of starch and filler rather than the potent fungal compounds found in the fruiting body.

Yet, some Australian growers misrepresent these powders as:

1. "Full-spectrum" – implying they are more complete, despite high levels of grain residue
2. "More natural" – when in reality, they dilute the potency of medicinal compounds
3. "Superior to extracts" – despite lacking the critical extraction process that TCM has relied on for centuries

The reality: extracted powders are superior for medicinal use

Historically and scientifically, extracted mushroom powders—especially those processed via subcritical water extraction—offer far greater bioavailability, potency, and effectiveness than freeze-dried raw mushroom powders.

1. Extraction releases beneficial compounds trapped in chitin (the outer layer of a mushroom similar to that of crustaceans)
2. No grain or filler—just pure medicinal mushroo
3. Higher potency per gram compared to raw powders

Conclusion

Australian growers promoting freeze-dried raw mushroom powders as superior fail to acknowledge the centuries of herbal wisdom and modern scientific research that highlight the importance of extraction. While whole mushroom powders may have some nutritional value, they simply cannot match the medicinal efficacy of properly extracted mushroom powders.

Why suppliers offer you grain-based mycelium vs. fruiting body products

Simple answer is more money, less time and easy to provide. Mushroom supplements made from grain-grown mycelium can be 4–5 times more profitable than those made exclusively from fruiting bodies. This is because:

1. Grain-based products contain a high percentage of filler (rice, wheat, or sorghum), meaning companies can produce more powder per batch without actually increasing mushroom content.
2. Fruiting body extracts require a significantly higher mushroom-to-powder ratio, making them more costly but far more potent.

Let's compare:

The bar graph clearly highlights the differences:

Grain-Based Mycelium: 4-5x more powder, 30% mycelium, Companies using grain sell more with less mushroom. Fruiting Body Extract: more potent, 100% mushroom, cost more, superior medicinal value.

As Mycotherapists and growers of mushrooms (OMG Mushrooms), we encourage consumers to conduct their own due diligence rather than be swayed by marketing hype. Medicinal mushrooms have long been valued for their potential to support the body's natural functions, but their efficacy depends on proper extraction and controlled processing. Only through scientifically validated methods can their bioactive compounds be made bioavailable for optimal benefit.

Naturopaths remain among OMG Mushrooms' strongest advocates and largest referral partners because they recognise the importance of consuming medicinal mushrooms as nature intended—following the time-honored traditions of Traditional Chinese Medicine (TCM), which has refined these practices for thousands of years.