THE US VERTICAL FARMING MARKET SIZE TO REACH USD 3 BILLION BY 2024, GROWING AT A CAGR OF OVER 24% DURING THE FORECAST PERIOD

US vertical farming market offers analysis on market size & forecast, market share, industry trends, growth drivers, and vendor analysis. The market study also includes insights on segmentation by growth systems (hydroponics, aeroponics, and aquaponics), by the environment (indoor and outdoor), and by technology (lighting devices, software, growth mechanism components, climate control, and sensing devices) Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2019 – 2024

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152 Pages

19 Tables

46 Charts

1 Regions

1 Countries

23 Companies

3 Market Segment

VERTICAL FARMING MARKET IN US MARKET REPORT SCOPE

Report Attribute Details
MARKET SIZE (REVENUE) USD 3 BILLION (2024)
CAGR 3% (2019-2024)
BASE YEAR 2018
FORECAST YEAR 2019-2024
MARKET SEGMENTS Growth systems (hydroponics, aeroponics, and aquaponics), by the environment (indoor and outdoor), and by technology (lighting devices, software, growth mechanism components, climate control, and sensing devices)
GEOGRAPHIC ANALYSIS United States
COUNTRIES COVERED United States

INDUSTRY INSIGHTS 

With the increase in environmental strain and growing need for alternative food, production solution is augmenting the growth of the US vertical farming market. Vertical farms are designed in the middle of the urban city landscape and are relatively safe from unpredictable weather and largely free from pesticides, herbicides, and fertilizers. The vertical spaces are using precision agriculture which uses low inputs and results in year-round production with increased yields in the US market. The availability of fresh food which doesn’t have to travel a million miles and reduced loss of produce en-route and food miles is boosting the demand for vertical agriculture market in the US. The immediate end-consumers of the vertical grow system are communities, hotels, restaurants, and supermarkets in-and-around the area of the farm. This urban farming technique require an indoor controlled environment that heavily hinges on the substantial power supply, understanding the requirement of support from lighting, equipment, HVAC, dehumidifiers, and automation, thus, the farmers have to ensure that the facilities meet the energy requirements. The leading vendors are ensuring a proper distribution strategy and system in place that can render a perception that these products are top-notch and better quality in the US market. The large farmers are investing in the development and implementation of advanced technologies that will help them increase their production and generate significant market revenues. The increase in urban agriculture and new developments in the space of vertical farms, rooftop greenhouses,  and home to new farming-based startups will contribute to the growing revenues in the US vertical farming market.

The vertical farming technique offers speedier supply chain for seedling production and with an eight-week turnaround time of seedling ordering system. These systems will help farmers to meet the growing demand and offer promotions and special offers to consumers in the US market. The increasing focus on plug development and reduced shrink of plants will encourage companies to introduce innovative technologies in the market. The US vertical farming market is projected to reach values of around $3 billion by 2024, growing at a CAGR of more than 24% during 2018-2024. 

US VERTICAL FARMING MARKET TRENDS

The recent trend of the farm-to-table movement that promotes localized, organic farming concepts will contribute to the development of US vertical farming market. The desire to eat local and the availability of hyper fresh year-around produce is leading to the popularization of the farm-to-table movement in the US market. The growing demand for fresh ingredients, safe production processes, and better taste experience is fueling the growth of the farmers market set-up in the US region. Leading restaurants are incorporating locally-made ingredients to attract a maximum number of consumers in the market. National chains such as Chipotle and Subway are also participating in this movement in the US market. The drastic shift from eating packaged foods to healthier, locally grown, organic food will drive the growth of the local agricultural community in the US market. Logistics and remote communities are adopting urban indoor farming that facilitates local food production and drives revenues in the market. New players are entering the market to promote business development and gain a larger US vertical farming market share.

US VERTICAL FARMING MARKET – SEGMENTATION

This market research report includes a detailed segmentation of the market by

  • Growth Systems
  • Environment
  • Technology 

US VERTICAL FARMING MARKET – BY GROWTH SYSTEMS

Incorporation of wireless multi-network grow room technology in the hydroponic segment will transform the US vertical farming market

The US vertical farming market by growth systems is categorized into hydroponics, aeroponics, and aquaponics. Hydroponics segment dominated around half of the total market share in 2018, growing at a CAGR of more than 22% during the forecast period. The use of hydroponics enables long-term cultivation of a wide range of crops in the market. The recent developments in the field of hydroponics to cater to the casual indoor grower, simplifying technology and economics is boosting the growth of this segment in the US market. The use of this vertical farming technique that ensures the water chemistry is maintained and controlled to enhance natural plant bio-actives will aid in better health. The growing demand for “superfoods” will lead to the development of this segment in the US market. The introduction of new cloud technologies that aid growers with accuracy, convenience, and relevant information will transform the hydroponics segment in the US vertical farming market.  The incorporation of wireless multi-network grow room technology  products that link timers, CO2, lighting, VPD, temperature and humidity, and irrigation layers, and enables customization of the system will lead to the evolution of the market.

Aquaponics has a self-regulating mechanism, have managed to keep the robustness of the crops in tack, thereby building the right flavor profile and nutrition, thereby, driving the demand for these systems across high-end restaurants and supermarket chains. Vendors are leveraging advanced technology to improve the efficiency and productivity of aeroponics to attract a maximum number of consumers in the US vertical farming market.

US VERTICAL FARMING MARKET – BY ENVIRONMENT 

The growing popularity of vertical rooftop gardens will increase the adoption of outdoor farming practices in the US vertical farming market

The environment segment in the US vertical farming market is divided into indoor and outdoor. The outdoor segment is the fastest growing sector in the US market, at CAGR of approximately 26% during the forecast period. The increasing adoption of the local food movement and growing demand for fresh produce is fueling the growth of the outdoor segment in the US market. Restaurants, housing complexes, schools, and supermarkets are using outdoor vertical agriculture practices to offer nutrient-rich and fresh produce in the US market. The increasing popularity of rooftop vertical gardens that uses aeroponics to produce hyperlocal produce is transforming the vertical farming industry. The pan-ethnic growth is reshaping the food and beverage industry bolstering the demand for exotic crops and herbs that cannot be sourced locally. Such changes in consumer tastes and preferences will allow restaurants to outdoor farming techniques to bridge the gap between the demand and supply in the US market. Various universities are developing a vertical farm-to-cafeteria program to inculcate farming practices in the students’ curriculum and promote development in the US vertical farming market.

The growing need for high-quality produce on demand, food safety, and sustainability are the major factors attributing to the rise in adoption of the vertical farming method in the US market. The growing popularity of customizable warehouse growth systems with players offering advanced technology to suit the needs of the grower is transforming the market. Shipping container and building-based vertical farms are the most common indoor farms in the US vertical farming market.

US VERTICAL FARMING MARKET – BY TECHNOLOGY

LED horticultural lighting systems offer innovative features for superior crop production in the US vertical farming market

The US vertical farming market by technology is segmented into lighting devices, software, growth mechanism components, climate control, and sensing devices. Lighting devices occupied more than 1/3rd of the total market share in 2018, growing at a CAGR of around 24% during the forecast period. The development of customized lighting systems for research testing,top-lighting, inter-lighting, and tissue culture is augmenting the growth of the lighting devices segment in the US market. The increasing focus on using moisture sensors and GPS enabled  tractors that aims to produce food sustainably and profitably in the US market will fuel the demand for LED lighting systems in the market. The development of horticulture LED lighting systems with advanced features will lead to the development of the market over the next few years. The top vendors are offering consulting services and digital controls that can help vertical farmers to understand the biomass potential of their growing spaces in the US market. The integration of light control system with a logistics or climate computer systems will fuel the growth of the US vertical farming market.

The farmers are leveraging software solutions to the development of superior farm management systems to attract a large number of consumers in the US market. The increasing use of climate control systems such as chillers, heaters, AC units, dehumidifiers, humidifiers, CO2 enrichment, and full spectrum artificial lighting will lead to the development of the US vertical farming market.

The vertical farming market research report includes in-depth coverage of the industry analysis with revenue and forecast insights for the following segments:

Growth Systems

  • Hydroponics
  • Aeroponics
  • Aquaponics  

Environment

  • Indoor
  • Outdoor

Technology

  • Lighting Devices
  • Software
  • Growth Mechanism Components
  • Climate Control
  • Sensing Devices

Frequently Asked Questions

The US vertical farming market size is expected to reach revenues of approximately USD 3 billion by 2024, growing at an impressive CAGR of over 24% during the forecast period.
With the increase in environmental strain and growing need for alternative food, production solution is augmenting the growth of the US vertical farming market.
The key players are Aerofarm, Plenty, Green Spirit Farms, Bowery Farming
The drastic shift from eating packaged foods to healthier, locally grown, organic food will drive the growth of the local agricultural community in the US market.
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The US vertical farming market size is expected to reach revenues of approximately $3 billion by 2024, growing at an impressive CAGR of over 24% 2018–2024.

The US vertical farming market is driven by the movement of agriculture toward a more sustainable model. The use of layout and workflow optimization will enable proper optimization and highest labor efficiency in the US market. The market research report provides in-depth market analysis and segmental analysis of the US vertical farming market by growth systems, environment, and technology.

Base Year:                  2018

Forecast Year:           2019–2024

The report considers the present scenario of the US vertical farming market and its market dynamics for the period 2019−2024. It covers a detailed overview of various market growth enablers, restraints, and trends. The study covers both the demand and supply sides of the market. It also profiles and analyzes the leading companies and several other prominent companies operating in the market.

Major Vendors in the US Vertical Farming Market

  • Aerofarm
    • Business Overview
    • Major Product Offerings
    • Key Strategies
    • Key Strengths
    • Key Opportunities
  • Plenty
  • Green Spirit Farms
  • Bowery Farming

Prominent Players in the US Vertical Farming Market

  • Acre In A Box
    • Business Overview
    • Product Offerings
    • Key Strategies
    • Key Strengths
  • Altius Farms
  • Crop One Holdings
  • American Hydroponics (AMHYDRO)
  • Dream Harvest Farming Company
  • Edenworks
  • Farm.One
  • Freight Farms
  • Green Girl Produce
  • Green Living Technologies International
  • GreenTechAgro
  • LA Urban Farms
  • Living Greens Farm
  • Moonflower Farms
  • Plant Chicago
  • Square Roots
  • Urban Crop Solutions
  • Urban Organics
  • Oasis Biotech

Market Segmentation by Growth Systems

  • Hydroponics
  • Aeroponics
  • Aquaponics  

Market Segmentation by Environment

  • Indoor
  • Outdoor

Market Segmentation by Technology

  • Lighting Devices
  • Software
  • Growth Mechanism Components
  • Climate Control
  • Sensing Devices

 

1          Research Methodology

2          Research Objectives

3          Research Process

 

4          Report Coverage

4.1       Market Definition

4.2       Base Year

4.3       Scope of Study

4.3.1   Market Segmentation by Growth System

4.3.2   Market Segmentation by Environment

4.3.3   Market Segmentation by Technology

 

5          Report Assumptions and Caveats

5.1       Key Caveats

5.2       Inclusions

5.3       Exclusions

5.4       Currency Conversion

5.5       Market Derivation

 

6          Market at a Glance

7          Introduction

7.1       Overview

7.2       STATE OF THE US ECONOMY

7.3       Agriculture in the US: An overview

7.3.1   Indoor Agriculture

7.4       Vertical farming market: An Overview

7.4.1   Success Factors

 

8          Market Dynamics

8.1       Market Growth Enablers

8.1.1   Archaic agricultural system threatens food security

8.1.2   Need for sustainable agricultural operations

8.1.3   Solution to food desert crisis

8.1.4   Intensifying farm-to-table movement

8.1.5   Big bets on vertical farming

8.1.6   YOY Impact of Market Growth Enablers

8.2       Market Growth Restraints

8.2.1   Lack of economic and societal viability

8.2.2   Massive energy usage

8.2.3   Low potential to replace conventional food production

8.2.4   Unproven demand for indoor-grown food

8.2.5   Dearth of expertise

8.2.6   YOY Impact of Market Growth Restraints

8.3       Market Opportunities & Trends

8.3.1   Growing popularity of plug & play farms

8.3.2   Scope for further automation using big data and AI

8.3.3   Kitchen gardens fuel concept of on-site farming

8.3.4   Crop transformations and increased variety

8.3.5   YOY Impact of Market Opportunities and Trends

 

9          Vertical Farming Market IN US

9.1       Market Size & Forecast

9.2       Porter’s Five Forces Analysis

9.2.1   Threat of New Entrants

9.2.2   Bargaining Power of Suppliers

9.2.3   Bargaining Power of Buyers

9.2.4   Threat of Substitutes

9.2.5   Competitive Rivalry

 

10        By Growth System

10.1    Market Overview

10.2    Hydroponics vertical farming

10.2.1 Market Size & Forecast

10.3    Aeroponics vertical farming

10.3.1 Market Size & Forecast

10.4    Aquaponics vertical farming

10.4.1 Market Size & Forecast

 

11        By Environment

11.1    Market Overview

11.2    Indoor Vertical farming

11.2.1 Market Size & Forecast

11.3    Outdoor Vertical farming

11.3.1 Market Size & Forecast

 

12        By Technology

12.1    Market Overview

12.2    Lighting Devices

12.2.1 Market Size & Forecast

12.3    Software

12.3.1 Market Size & Forecast

12.4    Growth mechanism component

12.4.1 Market Size & Forecast

12.5    Climate Control

12.5.1 Market Size & Forecast

12.6    Sensing Devices

12.6.1 Market Size & Forecast

 

13        Competitive Landscape

14        Market Vendor Analysis

14.1    Market Ranking Analysis

 

15        Key Company Profiles

15.1    AeroFarms

15.1.1 Business Overview

15.1.2 Major Product Offerings

15.1.3 Key Strengths

15.1.4 Key Strategies

15.1.5 Key Opportunities

15.2    Plenty

15.2.1 Business Overview

15.2.2 Major Product Offerings

15.2.3 Key Strengths

15.2.4 Key Strategies

15.2.5 Key Opportunities

15.3    Green Spirit Farms

15.3.1 Business Overview

15.3.2 Major Product Offerings

15.3.3 Key Strengths

15.3.4 Key Strategies

15.3.5 Key Opportunities

15.4    Bowery Farming

15.4.1 Business Overview

15.4.2 Major Product Offerings

15.4.3 Key Strategies

15.4.4 Key Strengths

15.4.5 Key Opportunities

 

16 Other Prominent Vendors

16.1    Acre In A Box

16.1.1 Business Overview

16.1.2 Product Offerings

16.1.3 Key Strategies

16.1.4 Key Strengths

16.2    Altius Farms

16.2.1 Business Overview

16.2.2 Product & Service Offerings

16.2.3 Key Strategies

16.2.4 Key Strengths

16.3    Crop One Holdings

16.3.1 Business Overview

16.3.2 Product Offerings

16.3.3 Key Strengths

16.3.4 Key Strategies

16.4    American Hydroponics (AmHydro)

16.4.1 Business Overview

16.4.2 Product & Service Offerings

16.4.3 Key Strengths

16.4.4 Key Strategies

16.5    Dream Harvest Farming Company

16.5.1 Business Overview

16.5.2 Product Offerings

16.5.3 Key Strategies

16.5.4 Key Strengths

16.6    Edenworks

16.6.1 Business Overview

16.6.2 Product Offerings

16.6.3 Key Strengths

16.6.4 Key Strategies

16.7    Farm.One

16.7.1 Business Overview

16.7.2 Product Offerings

16.7.3 Key Strategies

16.7.4 Key Strengths

16.8    Freight Farms

16.8.1 Business Overview

16.8.2 Product & Service Offerings

16.8.3 Key Strengths

16.8.4 Key Strategies

16.9    Green Girl Produce

16.9.1 Business Overview

16.9.2 Product Offerings

16.9.3 Key Strategies

16.9.4 Key Strengths

16.10  Green Living Technologies International

16.10.1 Business Overview

16.10.2 Product Offerings

16.10.3 Key Strategies

16.10.4 Key Strengths

16.11  GreenTech Agro

16.11.1 Business Overview

16.11.2 Product & Service Offerings

16.11.3 Key Strategies

16.11.4 Key Strengths

16.12  LA Urban Farms                  

16.12.1 Business Overview

16.12.2 Product Offerings

16.12.3 Key Strengths

16.12.4 Key Strategies

16.13  Living Greens Farm

16.13.1 Business Overview

16.13.2 Product Offerings

16.13.3 Key Strengths

16.13.4 Key Strategies

16.14  Moonflower Farms

16.14.1 Business Overview

16.14.2 Product Offerings

16.14.3  Key Strategies

16.14.4 Key Strengths

16.15  Plant Chicago

16.15.1 Business Overview

16.15.2 Product & Service Offerings

16.15.3 Key Strategies

16.15.4 Key Strengths

16.16  Square Roots

16.16.1 Business Overview

16.16.2 Product Offerings

16.16.3 Key Strategies

16.16.4 Key Strengths

16.17  Urban Crop Solutions

16.17.1 Business Overview

16.17.2 Product & Service Offerings

16.17.3 Key Strengths

16.17.4 Key Strategies

16.18  Urban Organics

16.18.1 Business Overview

16.18.2 Product & Service Offerings

16.18.3 Key Strategies

16.18.4 Key Strengths

16.19  Oasis Biotech

16.19.1 Business Overview

16.19.2 Product Offerings

16.19.3 Key Strengths

16.19.4 Key Strategies

 

17        Report Summary

17.1    Key Takeaways

17.2    Strategic Recommendations

17.3    Qualitative Summary

17.4    Quantitative Summary

 

18        Appendix

18.1    Abbreviations

 

List of Exhibits       

Exhibit 1         Segmentation of Vertical Farming Market in US

Exhibit 2         Market Size Calculation Approach 2018

Exhibit 3         Case for Vertical Farming

Exhibit 4         Change in Real GDP in US 2017−2023 (%)

Exhibit 5         Indoor Agriculture versus Conventional Agriculture

Exhibit 6         US Crops Grown Under Cover 1998 and 2014 (million sq. ft)

Exhibit 7         Indoor Agriculture: A Structural Overview

Exhibit 8         Financial/Operational Overview of Indoor Agriculture (US$ /sq ft)

Exhibit 9         Food Security in the US 2016

Exhibit 10       Case for Sustainability in Agriculture

Exhibit 11       Integration of Local Food: An Overview 2016

Exhibit 12       State Vegetable and Food Production as Share of Demand (%) 2018

Exhibit 13       Corporate and Venture Capital Activity (US$ million)

Exhibit 14       Statistics and Viability of Vertical Farming 2017

Exhibit 15       Energy Use in Vertical Farming: An Overview

Exhibit 16       Perceptions of Vertical Farming versus Other Methods of Food Production

Exhibit 17       Vertical Farming Market in US 2018−2024 (US$ million)

Exhibit 18       Five Forces Analysis 2018

Exhibit 19       Vertical Farming Market in US by Growth System 2018 & 2024

Exhibit 20       Vertical Farming Market in US by Growth System (US$ million)

Exhibit 21       Vertical Farming Market in US by Growth System 2018 & 2024

Exhibit 22       Vertical Farming Market in US - Comparison by Contract Type 2018−2024

Exhibit 23       Hydroponics Overview

Exhibit 24       Vertical Farming Market in US by Hydroponics 2018−2024 (US$ million)

Exhibit 25       Vertical Farming Market in US by Aeroponics 2018−2024 (US$ million)

Exhibit 26       Vertical Farming Market in US by Aquaponics 2018−2024 (US$ million)

Exhibit 27       Aquaponics Overview

Exhibit 28       Vertical Farming Market in US by Environment 2018 & 2024

Exhibit 29       Vertical Farming Market in US by Environment (US$ million)

Exhibit 30       Vertical Farming Market in US by Application 2018 & 2024

Exhibit 31       Indoor Vertical Farming Market in US 2018–2024 (US$ million)

Exhibit 32       Outdoor Vertical Farming Market in US 2018–2024 (US$ million)

Exhibit 33       Vertical Farming Market in US by Technology 2018 & 2024

Exhibit 34       Vertical Farming Market in US by Technology (US$ million)

Exhibit 35       Vertical Farming Market in US by Technology 2018 and 2024

Exhibit 36       Vertical Farming Market in US - Growth Comparison by Technology 2018–2024

Exhibit 37       Vertical Farming Market in US by Lighting Devices 2018–2024 (US$ million)

Exhibit 38       Vertical Farming Market in US by Software 2018–2024 (US$ million)

Exhibit 39       Vertical Farming Market in US by Growth Mechanism Component 2018–2024 (US$ million)

Exhibit 40       Vertical Farming Market in US by Climate Control 2018–2024 (US$ million)

Exhibit 41       Vertical Farming Market in US by Sensing Devices 2018–2024 (US$ million)

Exhibit 42       Overview of Labor in Indoor Farming

Exhibit 43       Primary Space of Focus of Indoor Farmers 2018–2024

Exhibit 44       Main Crop Type 2018

Exhibit 45       Main Crop Type by Profitability in Indoor Farming 2018

Exhibit 46       Main Goal of Indoor Farmers 2018–2024

 

List of Tables

Table 1            Key Caveats

Table 2            Currency Conversion 2013−2017

Table 3            Lettuce Production and Sustainability Statistics Across Different Production Methods

Table 4            YOY Impact of Market Growth Enablers 2018−2024

Table 5            YOY Impact of Market Growth Restraints 2018−2024

Table 6            YOY Impact of Market Opportunities and Trends 2018−2024

Table 7            Most Common Crops Grown by Facilities 2017

Table 8            Market Ranking Analysis 2017

Table 9            Aerofarms: Product Offerings

Table 10         Plenty: Product Offerings

Table 11         Green Spirit Farms: Product Offerings

Table 12         Bowery: Product Offerings

Table 13         Qualitative Summary of Vertical Farming Market in US

Table 14         Vertical Farming Market in US by Growth System (US$ million)

Table 15         Vertical Farming Market in US by Growth System (%)

Table 16         Vertical Farming Market in US by Environment (US$ million)

Table 17         Vertical Farming Market in US by Environment (%)

Table 18         Vertical Farming Market in US by Technology (US$ million)

Table 19         Vertical Farming Market in US by Technology (%)

 

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