Traditional agriculture is transforming into smart agriculture due to the use of the Internet of Things. Smart agricultural greenhouses provide a well-controlled environment for crop cultivation to improve the quality and quantity of the yield. However, such a system requires accurate prediction of environmental factors to ensure ideal crop growth and management, which is achieved using an automatic environmental control system. Mushroom cultivation is an eco-friendly, profitable agribusiness because of its nutritious and medicinal value but it is labor-intensive, and it grows in sensitive environment. It needs to optimize and provide the required growing environmental conditions through an automatic environmental control system. Hence, a smart mushroom growing and monitoring has been proposed using fuzzy logic controller (FLC) to optimize temperature and humidity of mushroom house and thereby to increase mushroom production. This research work proposes an automatic environmental control system using a FLC, which is simulated using MATLAB/Simulink and evaluated for response time of actuators such as sprinkler to optimize temperature and humidifier to optimize humidity. The results are compared with a simulated a proportional, integral, and derivative (PID) controller with evaluation metrics as transient time, settling time, overshoot and peak time. The result shows that response time of sprinkler and humidifier operated using FLC is far lesser than that of PID controller, also it performed better in terms of settling time, peak time and overshoot. This FLC is not only going to be cost effective, but also is going to help to improve mushroom quality and productivity