Dublin, March 11, 2025 (GLOBE NEWSWIRE) -- The "Vietnam Hydroponics Market, By Region, Competition, Forecast & Opportunities, 2020-2030F" report has been added to ResearchAndMarkets.com's offering.
The Vietnam Hydroponics Market was valued at USD 58.45 Million in 2024, and is expected to reach USD 64.07 Million by 2030, rising at a CAGR of 4.50%
Vietnam's arable land is rapidly decreasing due to the continuous expansion of urbanization and industrialization. As cities expand and industries grow, the available land for agriculture is shrinking at an alarming rate. This significant decline has sparked a growing interest in exploring alternative farming methods that can efficiently utilize smaller spaces. One such method gaining popularity is hydroponics, which involves growing plants in a nutrient-rich water solution instead of traditional soil-based cultivation.
Vietnamese consumers, now more than ever, are demanding high-quality and safe produce. They are increasingly aware of the potential risks associated with soil-borne diseases and pests commonly found in traditional farming methods. Hydroponics, with its soil-free growing environment, provides a solution that ensures the production of premium quality fruits and vegetables, free from such risks. Additionally, the controlled environment of hydroponics allows for year-round cultivation, regardless of weather conditions, further fueling its appeal to both farmers and consumers.
Not only does hydroponics offer a solution to the constraints of limited arable land and consumer demand, but it also presents a path to higher crop yields. Compared to traditional farming methods, hydroponics has proven to deliver significantly higher productivity. This has been a driving factor behind its increasing adoption in Vietnam, a country heavily dependent on agriculture for its economy. Improved productivity and efficiency in farming are warmly welcomed as they contribute to overall food security and economic growth.
The hydroponics market in Vietnam is on a promising upward trajectory. The combination of shrinking arable land, increasing consumer demand for high-quality produce, and the pursuit of enhanced crop yields has created a perfect environment for the growth and flourishing of hydroponics. In May 2021, the ISU Chemical-L&P Consortium facilitated the establishment of a local subsidiary in Vietnam. Last month, the consortium secured a contract valued at $1.04 million for the development of a strawberry vertical farm.
As Vietnam continues to embrace this innovative farming method, the sector is poised to thrive, offering sustainable solutions to the challenges faced by traditional agriculture.
Key Market Drivers
Hydroponics is a soil-less method of agriculture where plants are grown in nutrient-rich water solutions. This innovative and sustainable farming technique offers numerous advantages, making it an ideal solution for meeting the increasing demand for safe and organic produce in Vietnam. Vietnamese consumers' demand for safe and organic produce is on the rise. Concerns about food safety, coupled with a growing understanding of the health benefits of organic food, have led to a strong preference for such products. Hydroponics perfectly aligns with this narrative as it eliminates the risk of soil-borne diseases and pests, ensuring the safety and quality of the produce.
One of the key benefits of hydroponics is its ability to provide efficient use of space. With the vertical farming approach, crops can be grown in stacked layers, maximizing the yield per square meter. This is particularly advantageous in densely populated areas where arable land is limited. Additionally, hydroponics allows for precise control over nutrients and environmental conditions, ensuring optimal plant growth and maximizing the nutrient content of the produce. Another advantage of hydroponics is its potential to yield fully organic fruits and vegetables. The nutrients used in hydroponic systems can be derived from organic sources such as fish waste, duck manure, or other natural alternatives. This eliminates the need for chemical pesticides, making the produce not only safe but also truly organic. As the demand for organic food continues to grow, hydroponics provides a sustainable solution to meet this market need.
The growth of hydroponics in Vietnam is also supported by the government's initiatives to promote safe and sustainable farming practices. Recognizing the importance of food safety and environmental sustainability, the government has been actively encouraging farmers to adopt hydroponics as a viable alternative to traditional farming methods. This support from the government further solidifies hydroponics as a reliable and efficient method for meeting the country's agricultural needs. The increasing demand for safe and organic produce is a significant driver of Vietnam's hydroponics market. According to government data, solar projects must compete with land allocated for agriculture and aquaculture, potentially complicating development in regions like the Mekong Delta. This area plays a critical role in Vietnam's food supply, contributing over 90% of the country's rice exports, 50% of domestically consumed rice, and 90% of national aquaculture production.
Key Market Challenges
The Vietnam hydroponics market faces a significant challenge due to the high initial investment required for setting up hydroponic systems. Unlike conventional farming, hydroponic cultivation relies on advanced infrastructure, including specialized nutrient delivery systems, climate control units, artificial lighting, and automated monitoring tools. The installation of greenhouse structures and controlled environment agriculture (CEA) technology adds to the capital expenditure, making it financially difficult for small and medium-scale farmers to adopt hydroponic farming.
Beyond the initial setup, operational costs pose another challenge. Hydroponic farming requires continuous monitoring of nutrient levels, pH balance, and water quality, necessitating the use of sophisticated sensors and filtration systems. Electricity expenses also contribute significantly, particularly for temperature and humidity regulation in controlled environments. Additionally, the reliance on imported hydroponic nutrients, substrates, and equipment further escalates costs, as Vietnam has limited domestic production capacity for specialized hydroponic inputs.
For many farmers, securing financial resources for hydroponic farming remains a hurdle due to the lack of affordable credit options. While government subsidies and private investments have started to emerge, they remain insufficient to drive large-scale adoption. Without substantial financial assistance or cost-effective alternatives, hydroponics remains an expensive proposition for the majority of Vietnam's agricultural community, limiting its widespread adoption.
Report Scope:
Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in the Vietnam Hydroponics Market.
- Vingroup Joint Stock Company (Vingroup JSC)
- Green Farm Vietnam Nam.
- Truong Phuc Farm Co., Ltd
- Fresh Studio
- Famifarm Hydroponics
Vietnam Hydroponics Market, By Type:
- Aggregate Systems
- Liquid Systems
Vietnam Hydroponics Market, By Crop Type:
- Lettuce
- Sweet Potato
- Tomato
- Cucumber
- Melon
- Others
Vietnam Hydroponics Market, By Region:
- Northern
- Central
- Southern
Key Topics Covered:
1. Product Overview
2. Research Methodology
3. Executive Summary
4. Voice of Customer
5. Vietnam Hydroponics Market Outlook
6. Northern Vietnam Hydroponics Market Outlook
7. Central Vietnam Hydroponics Market Outlook
8. Southern Vietnam Hydroponics Market Outlook
9. Market Dynamics
10. Market Trends & Developments
11. Policy & Regulatory Landscape
12. Vietnam Economic Profile
13. Vietnam Hydroponics Market: SWOT Analysis
14. Porter's Five Forces Analysis
15. Competitive Landscape
16. Strategic Recommendations
For more information about this report visit https://www.researchandmarkets.com/r/ye1hm4
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