Global Vertical Farming Market - WishTree Insight

Global Vertical Farming Market by Structure (Building-Based and Shipping Container), Growing Mechanism (Aeroponics, Hydroponics, and Aquaponics), Offering (Hydroponics Components, Lighting, Sensors, and Climate Control), Vegetables & Herbs, Fruits (Lettuce, Bell & Chili Peppers, Cucumber, Strawberry, Herbs, Leafy Greens, and Others), and Regions, The Asia Pacific, Middle East Africa, Europe, North America, and Latin America) - Global Industry Analysis, Share, Growth, Trends, Size, and Forecast 2021 – 2031

The Vertical Farming market size was valued at USD 4.47 billion in 2021 and is expected to surpass USD XX billion by 2031, expanding at a CAGR of 25.9 % during the forecast period, 2021–2031. The market's growth is attributed to the unprecedented growth of the global population and the growing adoption of environment-friendly production of vegetables, fruits, and herbs.

INTRODUCTION

Stacking farms vertically defines Vertical agriculture. In vertical farming, food is produced in vertically stacked layers such as shipping, containers, skyscrapers, and warehouses. Vertical farming enables more production of crops on a small land. It is a non-traditional crop cultivation method that enables easy harvesting, high yield, less water consumption, a negligible effect on climate, and requires less area. One hectare of vertical farming is equivalent to almost 10 hectares of traditional farming. The increased demand for organic products among consumers is expected to spur the development of vertical farming.

Market Trends, Drivers, Restraints, and Opportunities

• Rise in the popularity of organic food is expected to create lucrative growth in the vertical farming market.
• Ease of crop monitoring & harvesting is a crucial factor to grow the global vertical farming market.
• Balanced energy utilization and a decrease in arable land are driving the market growth of vertical farming.
• High initial investments are expected to restrain the market.
• Involvement of nascent technology is anticipated to hamper the market.
• Growing urban population and surge in adoption of technology-driven agriculture are anticipated to create lucrative opportunities for the vertical farming market players.

Scope of the Report

Market Segment Insights

The shipping segment has registered a considerable CAGR of 50.1%

Based on structure, the vertical farming market is bifurcated into building-based and shipping containers. The shipping segment has registered a considerable CAGR of 50.1% and is expected to be dominant over the forecast period owing to the ability of the structure to help grow crops.

The hydroponics segment is expected to expand at a rapid pace

Based on the growing mechanism, the vertical farming market is divided into aeroponics, hydroponics, and aquaponics. The hydroponics segment is expected to expand at a rapid pace during the forecast period owing to low installation costs and ease of operations. However, the aquaponics segment is anticipated to hold a key share of the market in the coming years.

The lighting segment has registered a considerable CAGR of 40.1%

On the basis of offering, the vertical farming market is segregated into hydroponics components, lighting, sensors, and climate control. The lighting segment is projected to register a considerable CAGR of 40.1% in the year 2021, owing to the dependence of vertical farms on artificial lighting. On the other hand, the climate control segment is anticipated to account for a major market share of 27.4% during the forecast period.

The tomato segment is expected to expand at a rapid pace

Based on vegetables & herbs, and fruits, the vertical farming market is divided into lettuce, bell & chili peppers, cucumber, strawberry, herbs, leafy greens, and others. The tomato segment is expected to expand at a rapid pace during the forecast period due to the high average demand for tomatoes compared to other crops. However, the lettuce segment is anticipated to hold a key share of the market in the coming years owing to consistent demand, and fast growth.

Asia Pacific constitutes a key market share of 35.2% in 2021

In terms of regions, the vertical farming market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. The market of Asia Pacific is expected to constitute a key share of 35.2% in 2021 and is anticipated to be dominant in the market during the projected period. The growth in the region is attributed to the growing awareness regarding the importance of alternative farming due to the less availability of fertile agricultural land. However, the market in Europe is anticipated to expand at a rapid pace during the forecast period due to the growing expansion of genetically modified crop technology.

Competitive Landscape

Key players competing in the Vertical Farming market are American Hydroponics (U.S.); BrightFarms Inc. (U.S.); GrowUp Urban farms (U.K.); Vertical Farm Systems (Australia); Everlight Electronics Co., Ltd. (Taiwan); Agrilution GmbH (Germany).

FAQs

Mention the market size of the Vertical Farming in 2021.

The market size of Vertical Farming in 2021 was USD 4.47 billion.

During the forecast period, what is the CAGR of the market?

During the forecast period, the CAGR of the market is expected to be 25.9%.

What are the key drivers of the market?

The market's growth is attributed to the unprecedented growth of the global population and the growing adoption of environment-friendly production of vegetables, fruits, and herbs.

What segments are covered in the Vertical Farming report?

The segments covered in the report are structure (building-based and shipping container), the growing mechanism (aeroponics, hydroponics, and aquaponics), offering (hydroponics components, lighting, sensors, and climate control), vegetables & herbs, fruits (lettuce, bell & chili peppers, cucumber, strawberry, herbs, leafy greens, and others).

Mention the key players in the market.

American Hydroponics (U.S.); BrightFarms Inc. (U.S.); GrowUp Urban farms (U.K.); Vertical Farm Systems (Australia); Everlight Electronics Co., Ltd. (Taiwan); Agrilution GmbH (Germany).