June 5, 2024 (press release) –
The global vertical farming market size was valued at USD 5.70 billion in 2023 and is projected to reach a valuation of USD 6.92 billion in 2024. The market is expected to reach USD 50.10 billion by 2032 with a CAGR of 28.1% during the forecast period. “Vertical Farming Market Size, Share & Industry Analysis, By Type (Hydroponics, Aeroponics, and Aquaponics), By Structure (Building-Based Vertical Farms and Shipping-Container Vertical Farms), By Component (Lighting System, Irrigation and Fertigation System, Climate Control, Sensors, and Others), and Regional Forecast, 2024-2032”
Vertical farming refers to the cultivation of crops in vertically stacked layers, employing controlled environments, and advanced technologies. Growing urbanization, unavailability of arable land, and advancements in light-emitting diode (LED) technology are driving factors for the market growth. Incorporation of robotics and AI technologies into farming operations is offering market growth opportunities.
During the COVID-19 pandemic, the market was slowed down due to the impact on agriculture sector. Lack of presence of labor due to lockdown restrictions imposed by the government in various countries impacted the logistics and harvesting plans in the agriculture sector.
Incorporation Of Artificial Intelligence In The Farming Sector Offers Numerous Benefits
Integrating artificial intelligence in the farming sector offers benefits such as better resource efficiency, promotion of sustainability, early detection of insects, pests, and nutrient deficiencies in crops, automation of vertical farming practices, and others. Market players are enhancing their product offerings with the integration of AI through new product launches, partnerships, investments, and others.
Urban Crop Solutions Introduced Research Indoor Farm Solutions
In November 2023, Urban Crop Solutions introduced Research Indoor Farm Solutions which is a modernized vertical farming technology in Limburgerh of facility of BASF in Germany. This facility will help in fast-tracking several sustainable agricultural plans and design sustainable agricultural solutions which are more operative and environmentally friendly.
Integration Of Robotics And AI Into Farming Operations To Propel The Vertical Farming Practices
Integration of robotics and AI into farming operations is set to drive the vertical farming market growth. Vertical farming robots includes automated systems, including robotic arms, drones, and conveyors, which are made for various operations such as crop cultivation, management, and harvesting. In addition, AI has the ability to detect the signs for plant diseases, pests, or nutrient deficiencies which allows room to protect the crop health and reduce the losses.
However, high initial costs of investments and infrastructure can discourage investors and organizations to take up such farming practices, hampering the market growth.
Sustainable Agricultural Solutions by the Key Market Players to Drive the Market Competition
The market players are committing into bringing developments alongside environmentally sustainable agricultural solutions. These players include Urban Crop Solutions, AeroFarms, Freight Farms, Inc., Plenty Unlimited Inc., VertiVegies, and Sky Greens.
Key Industry Development
- October 2023: Dubai showcased its new vertical farm utilizing iFarm technologies in the UAE. The farm is of 784m² industrial structure, providing a total growing area of 712m².
To get a detailed report summary and research scope of this market, click here:
https://www.fortunebusinessinsights.com/industry-reports/vertical-farming-market-101958
List of Key Players Profiled in the Market Report: -
- ams-OSRAM AG (Austria)
- Signify Holding (Netherlands)
- Heliospectra (Sweden)
- EVERLIGHT ELECTRONICS CO., LTD. (Taiwan)
- Urban Crop Solutions (Belgium)
- AeroFarms (U.S.)
- Freight Farms, Inc. (U.S.)
- Plenty Unlimited Inc. (U.S.)
- VertiVegies (Singapore)
- Sky Greens (Singapore)
- iFarm (Finland)
Further Report Findings:
- North America held largest part in the global vertical farming market share due increased urbanization in Canada and U.S. This urbanization has propelled the demand for high-quality organic food grown using substantial agriculture practices. The market was valued USD 2.33 billion in 2023.
- Asia Pacific is set to have the highest CAGR during the study period due to increasing scarcity of water along with increasing demand for food in China, Japan, and India. Demand for innovative farming techniques is increasing in the region which is driving the market growth.
- Based on type, hydroponics is expected to grow with a maximum CAGR as they use 90% less water than conventional soil-based farming.
Table of Segmentation
| ATTRIBUTE |
DETAILS |
| Study Period |
2019-2032 |
| Base Year |
2023 |
| Estimated Year |
2024 |
| Forecast Period |
2024-2032 |
| Historical Period |
2019-2022 |
| Growth Rate |
CAGR of 28.1% from 2024 to 2032 |
| Unit |
Value (USD billion) |
| Segmentation |
By Type
By Structure
By Component
By Region
|
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