Mushroom compost has a high organic matter content which makes it a useful material for soil improvement and mulching, it is excellent on the vegetable garden, as vegetable crops usually grow best when the soil is not acid.

Mushroom compost use should be avoided where ericaceous plants such as rhododendrons, camellias, azaleas and heathers are being grown, as these plants need acidic growing conditions and are chalk-hating. It is also unsuitable for fruit crops (which prefer neutral to acid conditions) and is not recommended for use as a lawn top-dressing, except where the soil is very acid and a definite need for lime has been established.