Vertical Farming Revenue Is Anticipated to Grow at a Compound Annual Growth Rate of 25% through 2030
Food security challenges due to population growth, climate change, and the COVID-19 pandemic are drivers in market growth
A new report from Guidehouse Insights analyzes the global market for vertical farming technology in four key segments and provides global market forecasts through 2030.
Vertical farming, an agricultural method that involves crops being grown indoors in vertically stacked horizontal trays or on vertical poles, is growing in popularity in the US, Europe, and Asia Pacific. The indoor environment—including temperature, humidity, nutrients, and lighting—is controlled through Internet of Things (IoT) controls. These consist of sensors placed among the plants and software that performs analysis to ensure the optimum conditions for the healthiest, fastest-growing plants and the most harvests possible. According to a new report from Guidehouse Insights, vertical farming revenue is anticipated to grow at a compound annual growth rate (CAGR) of 24.8% through 2030.
“Primary drivers for vertical farming are the growing world population and concern about carbon emissions,” says Richelle Elberg, principal research analyst with Guidehouse Insights. “Moreover, the COVID-19 pandemic has shown how quickly supply chains can break down, forcing the need to source food and other necessary items closer to where they are consumed.”
While the outlook for vertical produce farming technology for the coming decade is favorable, vertical farm operators face a steep learning curve when beginning operations and may need considerable coaching to make the best use of available technologies. Additionally, startup costs for vertical farming are generally high, according to the report.
The report, Vertical Farming, analyzes the global market for vertical farming technology in four key segments: lighting, services and infrastructure, water delivery and recovery systems, and controls. The study provides an analysis of market issues associated with vertical farming. Global market forecasts, broken out by segment, region, crop type, method type, and structure type, extend through 2030. The report also examines the competitive landscape. An executive summary of the report is available for free download on the Guidehouse Insights website.
*The information contained in this press release concerning the report, Vertical Farming, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.