Dublin, Aug. 16, 2023 (GLOBE NEWSWIRE) -- The "Global Vertical Farming Market by Growth Mechanism (Hydroponics, Aeroponics, Aquaponics), Structure (Building-based, Shipping container-based), Crop Type, Offering (Lighting, Sensors, Climate Control, Software, Services) & Region - Forecast to 2028" report has been added to ResearchAndMarkets.com's offering.
The global vertical farming market is experiencing significant growth, with an estimated value of USD 5.1 billion in 2023 and expected to reach USD 15.3 billion by 2028, growing at an impressive CAGR of 24.7% during the forecast period 2023-2028. The market's remarkable growth is driven by the escalating demand for fresh, locally produced food as consumers become more conscious of food origin and quality, and the desire for farm-to-table options continues to surge.
Hardware Segment to Dominate the Vertical Farming Market
Throughout the forecast period, the hardware segment is projected to dominate the vertical farming market. Key hardware components such as LED lighting, sensors, and climate control offer notable advantages in vertical farming. LED lighting surpasses traditional options in terms of energy efficiency, leading to reduced operating costs and lower heat production, which is particularly beneficial in vertical farms. Sensors play a crucial role in monitoring various factors like temperature, humidity, light levels, and nutrient levels, enabling optimal growing conditions for plants. Climate control systems ensure a consistent and tailored environment for plant growth, safeguarding vertical farms from pests and diseases and ensuring a healthy and productive cultivation environment. The incorporation of these hardware devices significantly enhances efficiency, productivity, and plant health in vertical farming.
Aquaponics Growth Mechanism to Offer Lucrative Growth Opportunities
The aquaponics growth mechanism holds substantial growth potential in vertical farming due to its efficient water usage and high productivity. Aquaponics involves the symbiotic cultivation of plants and fish in a closed system, where fish waste provides nutrients for the plants, and the plants filter the water for the fish. This technique conserves water, consuming up to 90% less water compared to traditional farming methods. The continuous recycling and reusing of water minimize waste and promote sustainability. Moreover, aquaponics demonstrates high productivity, generating substantial yields of food in a compact area, optimizing the use of resources like water and nutrients, leading to efficient growth and harvest.
Lettuce Among the Most Cultivated Crops in Vertical Farms
Lettuce holds a significant share in vertical farms due to its short growth cycle and efficient use of vertical space. Its compact size allows for efficient use of available vertical space, maximizing yield per square meter. The high demand for lettuce in the market, particularly in urban areas where vertical farms are commonly located, makes it a popular choice for health-conscious consumers seeking fresh, locally-grown produce. The proximity of vertical farms to urban centers enables quicker delivery and access to consumers, ensuring fresher produce compared to long-distance transportation from traditional farms.
North America to Lead the Vertical Farming Market
North America is likely to dominate the vertical farming market during the forecast period due to its large and expanding population, creating a high demand for fresh and locally sourced produce. Vertical farming addresses this demand by enabling year-round cultivation, independent of weather conditions. The region's robust economy and access to substantial venture capital fuel the growth of the vertical farming industry, providing resources for infrastructure development and technological advancements. Additionally, certain governments in North America actively support the vertical farming sector by offering financial incentives and regulatory assistance, creating a conducive environment for industry growth and innovation.
Market Dynamics
Drivers
- Potential for Higher Yields Compared with Conventional Farming Methods
- Continuous Advancements in Light-Emitting Diode (LED) Technology
- Year-Round Crop Production, Irrespective of Weather Conditions
- Requirement for Minimum Resources
- Limited Arable Land
Restraints
- Lack of Technically Skilled Workforce and Choice of Limited Cultivable Crops
- High Initial Capital Investment Requirements
Opportunities
- Ability to Reduce Ecological Footprint of Agriculture
- Potential Market Opportunities in Asia-Pacific and Middle East
- Viability to Cultivate Cannabis Using Vertical Farming Technique
Challenges
- Maintenance of Temperature, Humidity, and Air Circulation in Vertical Farms
- Energy-Intensive Nature of Vertical Farming, Leading to High Operational Costs
- Difficulty in Achieving Economies of Scale
Case Study Analysis
- Ljusgarda Implemented Heliospectra's LED Lighting in Indoor Growth Facility
- Hortipolaris Cultivation and Research Facility Implemented Fluence LED Lighting Solution
- AeroFarms Uses Advanced Technologies to Take Vertical Farming to New Heights
- Benefits of IoT Deployment in Indoor Vertical Farms
- Riat Used Signify's LED Lighting Solution to Grow Tomatoes and Cucumbers in Vertical Farms
- Karma Farm Adopted Hydroponic Solution for Year-Round Crop Production
Competitive Landscape
- 4D Bios Inc.
- AeroFarms
- Agricool
- Altius Farms
- AmHydro
- AMS-Osram AG
- Bowery Farming Inc.
- BrightFarms
- Everlight Electronics Co. Ltd.
- Fluence
- Freight Farms, Inc.
- Future Crops
- GP Solutions, Inc.
- Green Sense Farms Holdings, Inc.
- Heliospectra
- Hortipolaris Cultivation and Research Facility
- Infarm
- Intelligent Growth Solutions Limited
- Karma Farm
- Ljusgarda
- Plenty Unlimited Inc.
- Riat
- SananBio
- Signify Holding
- Sky Greens
- Spread Co. Ltd.
- Urban Crop Solutions
- Valoya
- Vertical Farm Systems
- Vertical Future Ltd.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 218 |
| Forecast Period | 2023 - 2028 |
| Estimated Market Value (USD) in 2023 | $5.1 Billion |
| Forecasted Market Value (USD) by 2028 | $15.3 Billion |
| Compound Annual Growth Rate | 24.7% |
| Regions Covered | Global |
For more information about this report visit https://www.researchandmarkets.com/r/luiaqi
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