SAN FRANCISCO, March 1, 2022 /PRNewswire/ -- The global vertical farming market size is expected to reach USD 33.02 billion by 2030, according to a new report by Grand View Research, Inc. It is expected to expand at a CAGR of 25.5% from 2022 to 2030. Increased use of Internet of Things (IoT) sensors for producing crops is likely to spur market demand over the forecast period.
Key Insights & Findings from the report:
- The escalating production of biopharmaceutical products is anticipated to drive the market.
- In terms of structure, the building-based segment is expected to register a significant CAGR of 27.8% over the projected period.
- Based on offering, the climate control segment is expected to witness high growth over the forecast period as the growth of crops can be controlled by monitoring and adjusting the concentrations of minerals.
- By growing mechanism, the aeroponics segment is expected to observe considerable growth over the forecast period as the aeroponics facilitate fast growth in plants (under normal conditions)
- The North American regional market is expected to witness significant growth over the forecast period owing to the expansion of small-scale, commercial vertical farms.
Read 120-page market research report, "Vertical Farming Market Size, Share & Trends Analysis Report By Structure (Shipping Container, Building-based), By Offering, By Growing Mechanism, By Fruits, Vegetables & Herbs, By Region, And Segment Forecasts, 2022 - 2030", published by Grand View Research.
Vertical Farming Market Growth & Trends
Information obtained from the sensors is stored on the cloud and analyzed to perform the required actions. The growing automation in agriculture and increasing use of big data and predictive analytics for maximizing yields are also likely to drive the market.
Vertical farming is effective in ensuring stability in crop production and maintaining reliability even in adverse climatic conditions. It provides multiple benefits over the traditional farming technique, such as less use of water, the lesser need for agrochemicals, and low dependence on agricultural labor. Vertical farming makes use of metal reflectors and artificial lighting to maximize natural sunlight.
Genetically modified organisms and the environmental and health effects of pesticides and other non-natural substances that are used for increasing agricultural production have encouraged consumers to adopt organic foods. According to the Organic Trade Association, the U.S. organic industry sales increased by around 5% in 2019 owing to the increased investment in infrastructure and education. As per the Organic Foods Production Act of 1990, the handlers and growers of organic products need to comply with the regulations.
Artificial lighting helps in extending the hours of natural daylight, which further increases the health, growth rate, and yield of the plants. Artificial lighting such as high-pressure sodium lighting and LED lighting can extend the availability of crops (throughout a season). LED lighting systems produce a dual-band color spectrum and generate low heat. They are anticipated to witness significant growth over the forecast period.
A hydroponic system is a method of growing plants without soil. A hydroponic system eliminates the need for pesticides and artificial ripening agents and helps in producing nutritionally-rich vegetables. However, factors such as high initial investment and fewer crop varieties are likely to restrain the market growth.
Vertical Farming Market Segmentation
Grand View Research has segmented the global vertical farming market based on structure, offering, growing mechanism, fruits, vegetables, & herbs, and region:
Vertical Farming Structure Outlook (Revenue, USD Million, 2017 - 2030)
- Shipping Container
Vertical Farming Offering Outlook (Revenue, USD Million, 2017 - 2030)
- Hydroponic Components
- Climate Control
Vertical Farming Growing Mechanism Outlook (Revenue, USD Million, 2017 - 2030)
Vertical Farming Fruits, Vegetables, & Herbs Outlook (Revenue, USD Million, 2017- 2030)
- Bell & Chili Peppers
- Leafy Greens (excluding lettuce)
Vertical Farming Regional Outlook (Revenue, USD Million, 2017 - 2030)
- · North America
- Asia Pacific
- South Korea
- South America
- Middle East and Africa (MEA)
List of Key Players of Vertical Farming Market
- AeroFarms (U.S.)
- Illumitex, Inc. (U.S.)
- American Hydroponics (U.S.)
- Agrilution GmbH
- Brightfarms Inc.
- Everlight Electronics Co., Ltd.
- Freight Farms
- GrowUp Urban Farms Ltd.
- Green Sense Farms, LLC
- Vertical Farm Systems
Check out more related studies published by Grand View Research:
- Smart Agriculture Market - The global smart agriculture market size is anticipated to reach USD 29.18 Billion by 2028. Factors such as consistent growth in population, low availability of cultivable land, government incentives, and demand for fresh and high-quality food are expected to drive the smart greenhouse market.
- Vertical Farming Produce Market - The global vertical farming produce market size is anticipated to reach USD 6.46 billion by 2027, expanding at a CAGR of 25.7% from 2020 to 2027. Increasing demand for fresh organic vegetables, the emergence of state-of-the-art agriculture techniques, and growing urbanization are critical factors responsible for market growth.
- Hydroponics Market - The global hydroponics market size is estimated to reach USD 9.76 billion by 2028, exhibiting a CAGR of 20.7% from 2021 to 2028. The adoption of smart farming technologies, such as vertical farming, which has helped the evolution of hydroponics, is expected to spur market growth.
Browse through Grand View Research's Next Generation Technologies Industry Research Reports.
About Grand View Research
Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research Helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.
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