Vertical Farming Market Size, Share, and Trends 2024 to 2034

Vertical Farming Market Size and Forecast 2024 to 2034

The global vertical farming market size accounted for USD 7.51 billion in 2024 and is expected to reach around USD 90.71 billion by 2034, expanding at a CAGR of 28.3% from 2024 to 2034. The North America vertical farming market size reached USD 2.34 billion in 2023.

Vertical Farming Market Key Takeaways

• North America led the global market with the highest market share of 40% in 2023.
• By structure, the shipping container segment has captured a revenue share of around 54.3% in 2023.
• The building-based segment held a revenue share of 45.7% in 2023.
• By growth mechanism, the hydroponics segment has held a 41% revenue share in 2023.

U.S. Vertical Farming Market Size and Growth 2024 to 2034

The U.S. vertical farming market size was estimated at USD 1.64 billion in 2023 and is predicted to be worth around USD 25.99 billion by 2034, at a CAGR of 28.5% from 2024 to 2034.

North America held the largest share of the vertical farming market while contributing almost 40% of the market share in 2023. Vertical farming is gaining traction in North American countries with the rising efforts of sustainability and food security in the area. Vertical farming ensures food security by offering the solutions for producing food on building and even closer where they are planned to be consumed. The overall material shortage and supply chain disruptions during the COVID-19 pandemic offered a significant potential for the vertical farming market to grow in North America. The United States and Canada are observed to remain as the largest contributors to the market in the upcoming years. Growing urbanization and degradation of food product quality is observed to promote the market’s expansion in the upcoming years.

Market Overview

Vertical farming by 2050 is considered to be a new method for feeding huge global populations. Building a farm that is close to the people it serves by supplying cheaper, organic, disease-free crops and preserving limited natural resources. The more sustainable and innovative method of agriculture than conventional agriculture and greenhouse farming is known to be vertical farming. It takes very little water and saves a large amount of soil and space. In difficult conditions, such as villages, mountain towns and deserts, this farming method is useful. The growth of the global vertical farming market is driven by rising customer health awareness, along with increasing urbanization and increasing per capita income. Indoor farming methods are also used by companies involved in the manufacture of pharmaceutical goods for cultivation and crop production in a green climate. Many pharmaceutical companies are introducing indoor farming techniques that are commonly used in producing biopharmaceutical products for the production of various crops.

Vertical Farming Market Growth Factors

• Rising population levels across the globe
• Stabilized crop production irrespective of climatic changes
• Insufficiency of farming land worldwide
• Conservation as well as reutilization of natural resources

Market Scope

Growth Mechanism Insights

The prime market share in the global vertical farming market was recorded in 2023 by hydroponic segment. Over the projected period, the climate control segment is predictable to register a high CAGR. To drive demand for hydroponic components, increasing adoption of hydroponic components by farmers to minimize the weight load and infrastructure needed to support the equipment is anticipated. Vertical farming automation aims to minimize time to market, reduce costs for distribution, production and the environment, and standardize high quality.

Fruits, Vegetables & Herbs Insights

Using this method, strawberries, lettuce, leafy greens, and tomatoes are among the most cultivated vegetables. Of all products, due to its adaptability to grow in small spaces with limited need for additional care, lettuce shows significant growth. Validating the economic viability of that crop, which ensures that the company is making a large amount of money from its cultivation, is one of the important factors behind growing any crop in vertical farming. Similarly, one of the criteria is the time taken for crops to grow completely because some vegetables such as lettuce and mint grow quickly, while herbs and some fruiting crops take longer to grow, but can have higher margins than many other plants.

Structure Insights

In terms of revenue, the shipping container conquered the sector in 2023 and is projected to remain leading during the forecast era. This growth is accredited to the structure's capability to assistance grow crops irrespective of the geographical site. Over the forecast period, factors such as budding technological advances and penetration of precision farming are expected to drive the shipping container segment. In Japan, China, and other Asian countries, the building based segment is extensively accepted and is the fastest-growing segment by revenue due to its growing acceptance in the region.

Vertical Farming Market Companies

• 4D Bios Inc
• Illumitex Inc
• Urban Crop Solutions
• Koninklijke Philips N.V.
• AMHYDRO (American Hydroponics)
• AeroFarms
• Agrilution
• Everlight Electronics Co., Ltd
• Hort Americas
• Others

Recent Developments

• In year 2018, The leading player Fluence was awarded the Canadian Cannabis Awards as the best lighting firm of 2018 by OSRAM. The award will support the firm achieve universal recognition in lighting horticulture.

Major Market Segments Covered

By Growth Mechanism

• Hydroponics
• Aeroponics
• Aquaponics

By Component

• Lighting
• Climate Control
• Sensor
• Irrigation
• Others

By Fruits, Vegetables & Herbs

• Bell & Chili peppers
• Strawberry
• Tomato
• Lettuce
• Cucumber
• Herbs
• Leafy Greens (excluding lettuce)
• Others

By Structure

• Shipping Container
• Building-based

By Geography

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • France
  • United Kingdom
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Rest of Latin America
• Middle East & Africa (MEA)
  • GCC
  • North Africa
  • South Africa
  • Rest of Middle East & Africa