The worldwide vertical farming industry has garnered $3.98 billion in revenue in 2021, and it is projected to generate $30.2 billion revenue in 2030, rising at a rate of 25.2%. It is ascribed to advantages of the vertical farming, including less consumption of power, water, and land requirements, that facilitates growers to reduce the processing and washing time of produced crops.
In addition, the shortage of
agricultural land, and rising demand for organic food are major drivers of the
industry. In addition, the advanced agriculture techniques provide support to
growers to expand production by more than 230 times crop yields compared to
conventional farming.
The cannabis industry is
primarily adopting enhanced indoor agriculture to boost productivity. Moreover,
the unexpected explosion of the worldwide urban population and the rising focus
on the eco-friendly production of fresh fruits and vegetables fuel the
application of indoor agriculture.
Furthermore, the rising
demand and production of tomatoes have fuelled over the last years. In
addition, the growing popularity of green salads fuels the demand for spinach
worldwide. Vertical farming companies are producing various types of breeds to
fuel production and cater to vegetable demand.
The hydroponics category
holds the largest revenue share, at 45%, and it is projected to retain the same
position in the coming years. It is ascribed to economic implementation and
ease of operation. Hydroponically grown plants produce greater yields compared
to soil-growing plants. Such methods provide support in reducing the risk of
diseases caused by soil.
The aquaponics category is
projected to capture the largest industry share in the near future. It is the
combination of aquaculture or fish farming to develop an efficient closed-loop
system, that propels the farming of various types of crops without impacting
pesticides or harmful chemicals.
The lighting category
captures the industry share, ascribing to growing consumer demands for organic
foods. The lighting components consist of LED lights, grow light reflectors,
pink lights, grow light ballasts, and various types of artificial cultivation
lights that support vertical agriculture.
The shipping container leads
the industry with more than 50% industry, and it is projected to experience the
same trend in the coming future. The major advantages of container farming
include easy transportation and less area requirement due to the whole process
of crop production in a container.
Such types of cultivation
offer more than eight times the growing area, compare to single-level
agricultural land. Thus, such cultivation offers nearly eight times better
growing area compare to single-level agricultural land, thus it determines food
security for a longer period in the city.
APAC holds a significant
share of the industry, with more than 32% in 2021. The Indian vertical farming
industry is projected to rise rapidly in the coming years. Due to the
insufficiency of fertile agricultural land and the growing population, vertical
agriculture is massive adoption in the region.
Therefore, the shortage of
agricultural land fuels the demand for vertical farming industry.
