The global vertical-farming market generated more than $2 billion in 2018. It’s estimated to generate about $13 billion by 2026, growing at an annual rate of about 25 percent to 2026.
Optimum usage of vertical space and energy utilization, ease in monitoring and harvesting of crops, and limited availability of arable land for conducting traditional agriculture will drive growth of the global vertical-farming market, according to Allied Market Research. But heavy investments and technologies in the development phase restrain that growth, the market analyst stated.
On the basis of structure the building-based segment held the largest share in the vertical-farming market in 2018, accounting for about three-fifths of the total market. The segment is estimated to maintain its dominance during the forecast period. But the shipping-container-based segment is expected to experience the greatest growth, at an annual rate of 28 percent to 2026. Allied Market Research attributes expected growth in the container segment due to reduced costs and time for construction in comparison to conventional agriculture.
The hydroponics and aquaponics segment together constituted about three-fourths of the total share of the vertical-farming market in 2018. The segment is estimated to maintain its lead position during the forecast period. The aeroponics segment is projected to have an annual growth rate of about 26 percent from 2019 to 2026. Expected growth rate is attributed to reduced waste generation, reduction in labor cost, and less water required to produce fruits and vegetables.
The Asia-Pacific and North America regions together accounted for about three-fourths of the global vertical-farming market. But the market is expected to have the greatest growth in Europe; Allied Market Research estimates an annual growth rate of 26 percent to 2026. The growth is expected due to concerns about water availability in various regions. Visit alliedmarketresearch.com for more information.