Vertical Farming Market Overview:
Global Vertical Farming Market was valued at $1.5 billion in 2016, and is projected to reach $6.4 billion by 2023, growing at a CAGR of 23.6% from 2017 to 2023. Vertical farming is a revolutionary approach used to produce food and medicinal plants in vertically stacked layers such as in a skyscraper, used warehouse, or shipping container. It facilitates huge quantity of nutritious and quality fresh food without relying on favorable weather, high water usage, skilled labor, and high soil fertility. Moreover, it ensures reliable yield and consistency in crop production round the year along with climate control, and no effects of external environment factors such as diseases, pests, or predator attacks.
The demand for vertical farming is expected to increase globally during the forecast period, owing to various factors such as rise in popularity of organic food, increase in urban population, and decrease in arable land. However, high initial investments and involvement of nascent technology hamper the market growth.
The global vertical farming market is segmented on the basis of component, growth mechanism, and geography.
Increase in Popularity of Organic Foods
Organic food refers to the products obtained through farming system that does not use synthetic fertilizers, pesticides, and growth regulators. Presently, people across the globe have become increasingly aware about the source of food that they consume on a daily basis, and have switched from the food grown with the use of chemicals and pesticides to organic food. In North America, the sales of organic food witnessed significant growth over the past few years.
As depicted in the above graph, the organic food market in America witnessed growth from 2006 to 2015. In 2016, the organic food market contributed nearly 5% share of overall food sales in America. The demand for organic food surpasses supply every year; thus, vertical farming is poised to be rapidly adopted.
Europe is Expected to be the most Lucrative Region
The European vertical farming market is expected to grow at the highest CAGR during the forecast period, owing to growth in concern over availability of water in certain parts, majorly in central and southern regions, rise in demand of organic food, and requirement of ensuring urban food security.
The report provides a comprehensive analysis of key market players and the significant strategies adopted by them. The key players include, AeroFarm, FarmedHere, Illumitex, Inc., Koninklijke Philips N.V., Sky Green, Everlight Electronics, Green Sense Farms, American Hydroponics, Hort Americas, Agrilution, and others.
- The study provides an in-depth analysis of the global vertical farming market to elucidate the prominent investment pockets.
- Current trends and future estimations are outlined to determine the overall market scenario.
- The report provides information about key drivers, restraints, and opportunities with a detailed impact analysis.
Vertical Farming MarketKey Segmentation:
- Irrigation Component
- Climate Control
- Building Material
By Growth Mechanism
- North America
- Rest of Europe
- Rest of Asia-Pacific
- Saudi Arabia
- South Africa
- Rest of LAMEA
- Illumitex, Inc.
- Koninklijke Philips N.V.
- Sky Green
- Everlight Electronics
- Green Sense Farms
- American Hydroponics
- Hort Americas