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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.

Segment Overview

The global vertical farming market is segmented on the basis of component, growth mechanism, and geography.

Global Vertical Farming Market Segmentation

Global Vertical Farming Market Segmentation

Top Impacting Factors

Top Impacting Factors

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.

Sales Trend of Organic Food in America, 2006-2015 ($Billion)

Sales Trend of Organic Food in America, 2006-2015 ($Billion)

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.

Competitive landscape

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.

Key Benefits

  • 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:

By Component

  • Irrigation Component
  • Lighting
  • Sensor
  • Climate Control
  • Building Material
  • Others

By Growth Mechanism

  • Hydroponics
  • Aeroponics
  • Aquaponics

By Geography

  • North America
    • U.S.
    • Mexico
    • Canada
  • Europe
    • UK
    • Germany
    • France
    • Netherlands
    • Rest of Europe
  • Asia-Pacific
    • China
    • India
    • Japan
    • Australia
    • Singapore
    • Rest of Asia-Pacific
  • LAMEA
    • Brazil
    • Saudi Arabia
    • South Africa
    • Rest of LAMEA

Key Players

  • AeroFarm
  • FarmedHere
  • Illumitex, Inc.
  • Koninklijke Philips N.V.
  • Sky Green
  • Everlight Electronics
  • Green Sense Farms
  • American Hydroponics
  • Hort Americas
  • Agrilution
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Title/ Chapter Name

Chapter: 1 INTRODUCTION

1.1. REPORT DESCRIPTION
1.2. KEY BENEFITS FOR STAKEHOLDERS
1.3. KEY MARKET SEGMENTS
1.4. RESEARCH METHODOLOGY

1.4.1. Secondary research
1.4.2. Primary research
1.4.3. Analyst tools and models

Chapter: 2 EXECUTIVE SUMMARY

2.1. CXO PERSPECTIVE

Chapter: 3 MARKET OVERVIEW

3.1. MARKET DEFINITION AND SCOPE
3.2. KEY FINDINGS

3.2.1. Top impacting factors
3.2.2. Top winning strategies
3.2.3. Top investment pockets

3.3. PORTERS FIVE FORCES ANALYSIS

3.3.1. Porters five forces analysis

3.4. MARKET DYNAMICS

3.4.1. Drivers
3.4.2. Restraint
3.4.3. Opportunity

Chapter: 4 GLOBAL VERTICAL FARMING MARKET, BY COMPONENT

4.1. OVERVIEW

4.1.1. Market size and forecast

4.2. IRRIGATION COMPONENT

4.2.1. Introduction
4.2.2. Key market trends, growth factors, and opportunities
4.2.3. Market size and forecast

4.3. LIGHTING

4.3.1. Introduction
4.3.2. Key market trends, growth factors, and opportunities
4.3.3. Market size and forecast

4.4. SENSOR

4.4.1. Introduction
4.4.2. Key market trends, growth factors, and opportunities
4.4.3. Market size and forecast

4.5. CLIMATE CONTROL

4.5.1. Introduction
4.5.2. Key market trends, growth factors, and opportunities
4.5.3. Market size and forecast

4.6. BUILDING MATERIAL

4.6.1. Introduction
4.6.2. Key market trends, growth factors, and opportunities
4.6.3. Market size and forecast
4.6.4. Glass Greenhouse

4.6.4.1. Market size and forecast

4.6.5. Plastic Greenhouse

4.6.5.1. Market size and forecast

4.7. OTHERS

4.7.1. Introduction
4.7.2. Key market trends, growth factors, and opportunities
4.7.3. Market size and forecast

Chapter: 5 GLOBAL VERTICAL FARMING MARKET, BY GROWTH MECHANISM

5.1. OVERVIEW

5.1.1. Market size and forecast

5.2. HYDROPONICS

5.2.1. Introduction
5.2.2. Key market trends, growth factors, and opportunities
5.2.3. Market size and forecast

5.3. AEROPONICS

5.3.1. Introduction
5.3.2. Key market trends, growth factors, and opportunities
5.3.3. Market size and forecast

5.4. AQUAPONICS

5.4.1. Introduction
5.4.2. Key market trends, growth factors, and opportunities
5.4.3. Market size and forecast

Chapter: 6 GLOBAL VERTICAL FARMING MARKET, BY GEOGRAPHY

6.1. OVERVIEW

6.1.1. Market size and forecast

6.2. NORTH AMERICA

6.2.1. Introduction
6.2.2. Key market trends, growth factors, and opportunities
6.2.3. Market size and forecast
6.2.4. U.S.

6.2.4.1. Market size and forecast

6.2.5. Canada

6.2.5.1. Market size and forecast

6.2.6. Mexico

6.2.6.1. Market size and forecast

6.3. EUROPE

6.3.1. Introduction
6.3.2. Key market trends, growth factors, and opportunities
6.3.3. Market size and forecast
6.3.4. UK

6.3.4.1. Market size and forecast

6.3.5. Germany

6.3.5.1. Market size and forecast

6.3.6. France

6.3.6.1. Market size and forecast

6.3.7. Netherlands

6.3.7.1. Market size and forecast

6.3.8. Rest of Europe

6.3.8.1. Market size and forecast

6.4. ASIA-PACIFIC

6.4.1. Introduction
6.4.2. Key market trends, growth factors and opportunities
6.4.3. Market size and forecast
6.4.4. China

6.4.4.1. Market size and forecast

6.4.5. India

6.4.5.1. Market size and forecast

6.4.6. Japan

6.4.6.1. Market size and forecast

6.4.7. Australia

6.4.7.1. Market size and forecast

6.4.8. Singapore

6.4.8.1. Market size and forecast

6.4.9. Rest of Asia-Pacific

6.4.9.1. Market size and forecast

6.5. LAMEA

6.5.1. Introduction
6.5.2. Key market trends, growth factors, and opportunities
6.5.3. Market size and forecast
6.5.4. Brazil

6.5.4.1. Market size and forecast

6.5.5. Saudi Arabia

6.5.5.1. Market size and forecast

6.5.6. South Africa

6.5.6.1. Market size and forecast

6.5.7. Rest of LAMEA

6.5.7.1. Market size and forecast

Chapter: 7 RELATED INDUSTRY INSIGHTS

7.1. Global Hydroponics Market

7.1.1. Executive Summary

7.2. Global Precision agriculture Market

7.2.1. Executive Summary

Chapter: 8 COMPANY PROFILES

8.1. AEROFARMS

8.1.1. Company overview
8.1.2. Operating business segments
8.1.3. Business performance
8.1.4. Key strategic moves and developments

8.2. AGRILUTION

8.2.1. Company overview
8.2.2. Operating business segments
8.2.3. Business performance
8.2.4. Key strategic moves and developments

8.3. American Hydroponics

8.3.1. Company overview
8.3.2. Operating business segments
8.3.3. Business performance
8.3.4. Key strategic moves and developments

8.4. Everlight Electronics

8.4.1. Company overview
8.4.2. Operating business segments
8.4.3. Business performance
8.4.4. Key strategic moves and developments

8.5. FARMEDHERE

8.5.1. Company overview
8.5.2. Operating business segments
8.5.3. Business performance
8.5.4. Key strategic moves and developments

8.6. Green Sense Farms

8.6.1. Company overview
8.6.2. Operating business segments
8.6.3. Business performance
8.6.4. Key strategic moves and developments

8.7. HORTI AMERICAS

8.7.1. Company overview
8.7.2. Operating business segments
8.7.3. Business performance
8.7.4. Key strategic moves and developments

8.8. ILLUMITEX

8.8.1. Company overview
8.8.2. Operating business segments
8.8.3. Business performance
8.8.4. Key strategic moves and developments

8.9. Koninklijke Philips N.V.

8.9.1. Company overview
8.9.2. Operating business segments
8.9.3. Business performance
8.9.4. Key strategic moves and developments

8.10. Sky Greens

8.10.1. Company overview
8.10.2. Operating business segments
8.10.3. Business performance
8.10.4. Key strategic moves and developments

LIST OF TABLES

TABLE 1. GLOBAL VERTICAL FARMING MARKET, BY COMPONENT, 2016-2023 ($MILLION)
TABLE 2. IRRIGATION COMPONENT MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 3. LIGHTING MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 4. SENSOR MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 5. CLIMATE CONTROL MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 6. BULDING MATERIAL MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 7. OTHERS MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 8. GLOBAL VERTICAL FARMING MARKET, BY GROWTH MECHANISM, 2016-2023 ($MILLION)
TABLE 9. HYDROPONICS VERTICAL FARMING MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 10. AEROPONICS VERTICAL FARMING MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 11. AQUAPONICS VERTICAL FARMING MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 12. VERTICAL FARMING MARKET, BY GEOGRAPHY, 2016-2023 ($MILLION)
TABLE 13. NORTH AMERICA VERTICAL FARMING MARKET, BY COMPONENT, 2016-2023 ($MILLION)
TABLE 14. NORTH AMERICA VERTICAL FARMING MARKET, BY GROWTH MECHANISM, 2016-2023 ($MILLION)
TABLE 15. NORTH AMERICA VERTICAL FARMING MARKET, BY COUNTRY, 2016-2023 ($MILLION)
TABLE 16. EUROPE VERTICAL FARMING MARKET, BY COMPONENT, 2016-2023 ($MILLION)
TABLE 17. EUROPE VERTICAL FARMING MARKET, BY GROWTH MECHANISM, 2016-2023 ($MILLION)
TABLE 18. EUROPE VERTICAL FARMING MARKET, BY COUNTRY, 2016-2023 ($MILLION)
TABLE 19. ASIA-PACIFIC VERTICAL FARMING MARKET, BY COMPONENT, 2016-2023 ($MILLION)
TABLE 20. ASIA-PACIFIC VERTICAL FARMING MARKET, BY GROWTH MECHANISM, 2016-2023 ($MILLION)
TABLE 21. ASIA-PACIFIC VERTICAL FARMING MARKET, BY COUNTRY, 2016-2023 ($MILLION)
TABLE 22. LAMEA VERTICAL FARMING MARKET, BY COMPONENT, 2016-2023 ($MILLION)
TABLE 23. LAMEA VERTICAL FARMING MARKET, BY GROWTH MECHANISM, 2016-2023 ($MILLION)
TABLE 24. LAMEA VERTICAL FARMING MARKET, BY COUNTRY, 2016-2023 ($MILLION)
TABLE 25. AEROFARMS: COMPANY SNAPSHOT
TABLE 26. AEROFARMS: OPERATING SEGMENTS
TABLE 27. AGRILUTION: COMPANY SNAPSHOT
TABLE 28. AGRILUTION: OPERATING SEGMENTS
TABLE 29. AMERICAN HYDROPONICS: COMPANY SNAPSHOT
TABLE 30. AMERICAN HYDROPONICS: OPERATING SEGMENTS
TABLE 31. EVERLIGHT ELECTRONICS: COMPANY SNAPSHOT
TABLE 32. EVERLIGHT ELECTRONICS: OPERATING SEGMENTS
TABLE 33. FARMEDHERE: COMPANY SNAPSHOT
TABLE 34. FARMEDHERE: OPERATING SEGMENTS
TABLE 35. GREEN SENSE FARMS: COMPANY SNAPSHOT
TABLE 36. GREEN SENSE FARMS: OPERATING SEGMENTS
TABLE 37. HORT AMERICAS: COMPANY SNAPSHOT
TABLE 38. HORT AMERICAS: OPERATING SEGMENTS
TABLE 39. ILLUMITEX: COMPANY SNAPSHOT
TABLE 40. ILLUMITEX: OPERATING SEGMENTS
TABLE 41. KONINKLIJKE PHILIPS N.V.: COMPANY SNAPSHOT
TABLE 42. KONINKLIJKE PHILIPS N.V.: OPERATING SEGMENTS
TABLE 43. SKY GREENS: COMPANY SNAPSHOT
TABLE 44. SKY GREENS: OPERATING SEGMENTS

LIST OF FIGURES

FIGURE 1. MARKET SEGMENTATION
FIGURE 2. TOP IMPACTING FACTORS
FIGURE 3. TOP WINNING STRATEGIES: PERCENTAGE DISTRIBUTION (2013-2016)
FIGURE 4. TOP INVESTMENT POCKETS IN GLOBAL VERTICAL FARMING MARKET, BY GROWTH MECHANISM
FIGURE 5. BARGAINING POWER OF SUPPLIERS
FIGURE 6. BARGAINING POWER OF BUYERS
FIGURE 7. THREAT OF SUBSTITUTES
FIGURE 8. THREAT OF NEW ENTRANTS
FIGURE 9. INTENSITY OF COMPETITIVE RIVALRY
FIGURE 10. COMPARATIVE REGIONAL SHARE ANALYSIS OF IRRIGATION COMPONENT MARKET, 2016 & 2023 (%)
FIGURE 11. GLOBAL IRRIGATION COMPONENT MARKET, 2016-2023 ($MILLION)
FIGURE 12. GLOBAL IRRIGATION COMPONENT MARKET ANALYSIS, 2016 & 2023
FIGURE 13. COMPARATIVE REGIONAL SHARE ANALYSIS OF LIGHTING MARKET, 2016 & 2023 (%)
FIGURE 14. GLOBAL LIGHTING MARKET, 2016-2023 ($MILLION)
FIGURE 15. GLOBAL LIGHTING MARKET ANALYSIS, 2016 & 2023
FIGURE 16. COMPARATIVE REGIONAL SHARE ANALYSIS OF SENSOR MARKET, 2016 & 2023 (%)
FIGURE 17. GLOBAL SENSOR MARKET, 2016-2023 ($MILLION)
FIGURE 18. GLOBAL SENSOR MARKET ANALYSIS, 2016 & 2023
FIGURE 19. COMPARATIVE REGIONAL SHARE ANALYSIS OF CLIMATE CONTROL MARKET, 2016 & 2023 (%)
FIGURE 20. GLOBAL CLIMATE CONTROL MARKET, 2016-2023 ($MILLION)
FIGURE 21. GLOBAL CLIMATE CONTROL MARKET ANALYSIS, 2016 & 2023
FIGURE 22. COMPARATIVE REGIONAL SHARE ANALYSIS OF CLIMATE BUILDING MATERIAL, 2016 & 2023 (%)
FIGURE 23. GLOBAL BUILDING MATERIAL MARKET, 2016-2023 ($MILLION)
FIGURE 24. GLOBAL BUILDING MATERIAL MARKET ANALYSIS, 2016 & 2023
FIGURE 25. COMPARATIVE REGIONAL SHARE ANALYSIS OF CLIMATE OTHER, 2016 & 2023 (%)
FIGURE 26. GLOBAL OTHER MARKET, 2016-2023 ($MILLION)
FIGURE 27. GLOBAL OTHER MARKET ANALYSIS, 2016 & 2023
FIGURE 28. COMPARATIVE REGIONAL SHARE ANALYSIS OF HYDROPONICS VERTICAL FARMING MARKET, 2016 & 2023 (%)
FIGURE 29. GLOBAL HYDROPONICS VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 30. GLOBAL HYDROPONICS VERTICAL FARMING MARKET ANALYSIS, 2016 & 2023
FIGURE 31. COMPARATIVE REGIONAL SHARE ANALYSIS OF AEROPONICS VERTICAL FARMING MARKET, 2016 & 2023 (%)
FIGURE 32. GLOBAL AEROPONICS VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 33. GLOBAL AEROPONICS VERTICAL FARMING MARKET ANALYSIS, 2016 & 2023
FIGURE 34. COMPARATIVE REGIONAL SHARE ANALYSIS OF AQUAPONICS VERTICAL FARMING MARKET, 2016 & 2023 (%)
FIGURE 35. GLOBAL AQUAPONICS VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 36. GLOBAL AQUAPONICS VERTICAL FARMING MARKET ANALYSIS, 2016 & 2023
FIGURE 37. U.S. VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 38. CANADA VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 39. MEXICO VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 40. UK VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 41. GERMANY VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 42. FRANCE VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 43. NETHERLANDS VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 43. REST OF EUROPE VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 44. CHINA VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 45. INDIA VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 46. JAPAN VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 47. AUSTRALIA VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 48. SINGAPORE VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 49. REST OF ASIA-PACIFIC VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 50. BRAZIL VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 51. SAUDI ARABIA VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 52. SOUTH AFRICA VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 53. REST OF LAMEA VERTICAL FARMING MARKET, 2016-2023 ($MILLION)
FIGURE 54. AEROFARMS: COMPANY SNAPSHOT
FIGURE 55. AGRILUTION: COMPANY SNAPSHOT
FIGURE 56. AMERICAN HYDROPONICS: COMPANY SNAPSHOT
FIGURE 57. EVERLIGHT ELECTRONICS: COMPANY SNAPSHOT
FIGURE 58. FARMEDHERE: COMPANY SNAPSHOT
FIGURE 59. GREEN SENSE FARMS: COMPANY SNAPSHOT
FIGURE 60. HORT AMERICAS: COMPANY SNAPSHOT
FIGURE 61. ILLUMITEX: COMPANY SNAPSHOT
FIGURE 62. KONINKLIJKE PHILIPS N.V.: COMPANY SNAPSHOT
FIGURE 63. SKY GREENS: COMPANY SNAPSHOT

Growth in population has fueled the demand for both more food and more land to grow food; however, availability of arable land is limited and expensive. Vertical farming is an innovative way to grow crop in cities without the need of soil, with minimum water usage and almost no need of pesticides. Crops grown through vertical farming are organic, environmentally safe, and healthy to consume.

Presently, nearly 54% of the world’s population resides in urban areas, and is expected to reach 66% by 2050. The future cities are expected to produce their own food due to increase in global population and limited area of arable land. Vertical farming permits farmers to harvest fresh organic crops in ever-growing cities with additional advantages such as high yield, pesticides, and low water requirement. Presently, food supplies from traditional farming is used by the urban population. These farmers use pesticides to achieve higher yield and use preservatives to extend shelf life of foods. Rise in demand for fresh, home-grown organic food has fueled the growth of the vertical farming market.

According to United Nations Population Division (2009), the global population is expected to increase from about 6.9 billion in 2010 to 9.2 billion in 2050. Presently, the growth rate of global population is nearly 80 million per annum. This is a major concern, as habitable area of Earth is limited to nearly 13 billion hectares. In 2008, the total arable area in the world was near about 4.88 billion hectares. The growth of the vertical farming market is driven by food security, adverse effects of farming on the ecosystem & climate, fitness & nutrition, and others. Moreover, shift from traditional agricultural techniques to vertical farming to cater to the increasing demand–supply gap boosts the market growth.

Hydroponics accounts for the majority of market share in the growth mechanism segment, owing to its capability to produce more nutritious eatables in less space consumption. Moreover, this growth mechanism uses 10 times less water than conventional agriculture. Aeroponics is anticipated to grow with a fast-paced rate in the forthcoming years.

North America is the second highest revenue contributor to the global vertical farming market, after Asia-Pacific. The market growth is attributed to factors such as alarming rate of water level depletion, presence of drought-stricken states, and increase in environmental concerns.

Key players in the vertical farming market are AeroFarm, FarmedHere, Illumitex, Inc., Koninklijke Philips N.V., Sky Green, Everlight Electronics, Green Sense Farms, American Hydroponics, Hort Americas, Agrilution, and others.

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