Europe Vertical Farming Market, By Growth Mechanism (Hydroponics, Aeroponics, Terraponics, Aquaponics), Structure (Shipping Containers, Building Based), Type (Biopesticides, Biofertilizer, Biostimulants), Crop Type (Leafy Green, Pollinated Plants, Nutraceutical Plant), Application (Indoor, Outdoor), Offering (Hardware, Software Services), Component (Lighting System, Irrigation and Fertigation System, Climate Control, Sensors, Building Material, HVAC Systems, Shelves and Racks, Others), Fruits, Vegetables and Herbs (Bell and Chili peppers, Strawberry, Tomato, Lettuce, Cucumber, Herbs, Leafy Greens (excluding lettuce), Others) – Industry Trends and Forecast to 2030.
Europe Vertical Farming Market Analysis and Size
Vertical farming is considered a novel method for feeding large global populations. Building a farm that will meet the requirement of people, vertical farming serves cheaper, organic, disease-free crops and preserves limited natural resources. In vertical farming, no requirement for any pesticides since the indoor space for farming is already free of bacteria and viruses, and microorganisms and plants can be grown easily. Various pharmaceutical companies are now introducing new indoor farming techniques generally used to manufacture biopharmaceutical products to produce various crops.
Data Bridge Market Research analyses that the scientific instruments market, which was USD 913.56 million in 2022, would rise to USD 5,877.77 million by 2030 and is expected to undergo a CAGR of 26.20% during the forecast period 2023 to 2030. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include in-depth expert analysis, geographically represented company-wise production and capacity, network layouts of distributors and partners, detailed and updated price trend analysis and deficit analysis of supply chain and demand.
Europe Vertical Farming Market Scope and Segmentation
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Report Metric
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Details
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Forecast Period
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2023 - 2030
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Base Year
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2022
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Historic Years
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2021 (Customizable to 2015 - 2020)
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Quantitative Units
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Revenue in USD Million, Volumes in Units, Pricing in USD
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Segments Covered
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Growth Mechanism (Hydroponics, Aeroponics, Terraponics, Aquaponics), Structure (Shipping Containers, Building Based), Type (Bio pesticides, Bio fertilizer, Bio stimulants), Crop Type (Leafy Green, Pollinated Plants, Nutraceutical Plant), Application (Indoor, Outdoor), Offering (Hardware, Software Services), Component (Lighting System, Irrigation and Fertigation System, Climate Control, Sensors, Building Material, HVAC Systems, Shelves and Racks, Others), Fruits, Vegetables and Herbs (Bell and Chili peppers, Strawberry, Tomato, Lettuce, Cucumber, Herbs, Leafy Greens (excluding lettuce), Others)
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Countries Covered
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Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe
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Market Players Covered
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Deere and Company (U.S.), CropMetrics LLC (Netherlands), Trimble Navigation Limited (Australia), CropX (U.S.), AgSmarts Inc (India), AgSense, LLC (India), AGCO Corporation (Austria), DICKEY-john (U.K), Monsanto Company (Mexico), Ag Leader Technology (U.S.) Farmers Edge (U.S.), GEOSYS (U.S.), Granular (U.S.), Gro Intelligence (U.S.), Proagrica (U.K.), Fasal (India), AGEYE Technologies (U.S.), HelioPas AI (Germany), OneSoil (Belarus)
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Market Opportunities
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Market Definition
Vertical farming is a method by which crops mature in vertically stacked layers. It is completed in a controlled environment using techniques such as hydroponics, aquaponics, and aeroponics that do not use soil. It uses mineral nutrition solutions to grow food in water without soil. The main advantage of this method is that it reduces soil-related cultivation issues such as soil-borne pests, insects, and illnesses.
Europe Vertical Farming Market Dynamics
Drivers
- Growing popularity of hydroponics growth mechanism
The increasing popularity of the hydroponics growth mechanism is expected to drive market growth during the forecast period. Hydroponics is a popular growth mechanism because of its low installation costs and ease of operations. It is a procedure for growing plants without soil. Here the soil is replaced by a mineral solution placed around the plant roots. Also, the hydroponics method reduces the risk of soil organisms causing diseases. Growing awareness among farmers and consumers about the side effects of pesticides will likely surge the demand for hydroponics and eventually drive the market growth rate.
- Increasing adoption of automation and digitization in vertical farming
Growing adoption of automation and digitization in vertical farming will likely propel market growth in the projected period. Automation and digitization in vertical farming minimize time, reduce distribution and environmental expenses, improve production, and standardize high quality. The Internet of things (IoT) has become the mainstream technology in vertical farming that drives agriculture. The internet of things (IoT) growth has revolutionized the agriculture sector and boosted the market growth.
Opportunities
- Emerging technological advancement in the agriculture sector
As the vertical farming industry grows, new trends in the agriculture sector are evolving to keep up with technological advancements. One of the newest trends is next-generation vertical farms, which are farms that use hi-tech methods to produce high quality and quantity of crops all year round. For instance, Sweetgreen, a Swedish company that operates in the vertical farming market using a digitally based in-store service, debuted and developed the 'NextGen' of super-efficient in-store vertical farms in 2021. The 'Farming-as-a-Service growing' company unit for leafy greens is now at the store's door. Thus, the emerging technological advancement in agriculture will likely generate lucrative market growth opportunities.
- The increasing rate of population widens the market scope
As a result of increasing populations and per capita incomes, which have changed consumer preferences for more healthy, organic, and environmentally friendly foods, the vertical farming industry has been growing in various ways across geographical areas of Europe. This has created several opportunities for vertical farming businesses. The market for organic farming, which naturally inclines to produce vegetables and fruits without pesticides and insecticides, highly depends on vertical farming. Therefore, the increasing rate of population will create ample opportunities for market growth.
Restraints/ Challenges
- The high initial cost associated with vertical farming
The high initial cost of vertical farming is expected to hamper the market's growth during the forecast period. Vertical farming is expensive because every step of this process, from locating the right facilities to selecting the best performing crops, costs a major amount of money. Also, the land prices alone considerably increase the upfront cost because land in metropolitan regions of Europe is normally costly. Hence, these factors will hamper the market growth.
- Lack of practical knowledge
Lack of practical knowledge related to vertical farming among farmers is also one of the major factors likely to hamper the growth of the vertical farming market. Lack of knowledge among farmers regarding the usage of A.I.-based vertical farming is hampering the market growth. A.I. in vertical farming helps manage the farmer energy consumption and creates numerous opportunities to become more sustainable farming.
This vertical farming market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the vertical farming market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.
Impact and Current Market Scenario of Raw Material Shortage and Shipping DelaysData Bridge Market Research offers a high-level analysis of the market and delivers information by keeping in account the impact and current market environment of raw material shortage and shipping delays. This translates into assessing strategic possibilities, creating effective action plans, and assisting businesses in making important decisions.
Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.
Expected Impact of Economic Slowdown on the Pricing and Availability of Products
When economic activity slows, industries begin to suffer. The forecasted effects of the economic downturn on the pricing and accessibility of the products are taken into account in the market insight reports and intelligence services provided by DBMR. With this, our clients can typically keep one step ahead of their competitors, project their sales and revenue, and estimate their profit and loss expenditures.
Recent Development
- In 2022, Sky Urban Solutions Holding, the parent company of Sky Greens, announced signing an agreement with GEM, a Luxembourg-based private substitute investment group. This agreement offers Sky Urban a shared membership capacity of up to USD 50 million for a 36 months.
- In 2022, AeroFarms decided to develop their business nationwide from the Northeast area to all whole food markets, particularly after seeing growing demand for their specialty green. AeroFarms will be the primary indoor farming company in the Whole Foods Market Global Planogram.
- In 2022, Singrow, a Singapore-headquartered agtech company, intended to develop across and beyond Asia and introduce its consumer concept, Blooom. This company plans to surge its partner farm footprint to the Philippines, Hong Kong, Thailand, and the Middle East, beyond its present presence in Indonesia, China, and Singapore.
Europe Vertical Farming Market Scope
The vertical farming market is segmented on the basis of growth mechanism, structure, type, application, offering, component and fruits, vegetables and herbs. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.
Growth Mechanism
- Hydroponics
- Aeroponics
- Terraponics
- Aquaponics
Structure
- Shipping Containers
- Building Based
Type
- Bio pesticides
- Bio fertilizer
- Bio stimulants
Crop Type
- Leafy Green
- Pollinated Plants
- Nutraceutical Plants
Application
- Indoor
- Outdoor
Offering
- Hardware
- Lighting
- Hydroponic
- Climate Control
- Sensors
- Software
- Services
Component
- Lighting System
- Irrigation and Fertigation System
- Climate Control
- Sensors
- Building Material
- HVAC systems
- Shelves and Racks
- Others
Fruits, Vegetables and Herbs
- Bell and Chili peppers
- Strawberry
- Tomato
- Lettuce
- Cucumber
- Herbs
- Leafy Greens (excluding lettuce)
- Others
Vertical Farming Market Regional Analysis/Insights
The vertical farming market is analyzed and market size insights and trends are provided by country, growth mechanism, structure, type, application, offering, component and fruits, vegetables and herbs as referenced above.
The countries covered in the vertical farming market report are Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe.
Germany dominates in the Europe vertical farming market owing to changing consumer preference towards natural and organic fresh food in this region. Germany is now using free unutilized space to produce leaf, which will further enhance the market growth.
The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.
Competitive Landscape and Vertical Farming Market Share Analysis
The vertical farming market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to vertical farming market.
Some of the major players operating in the vertical farming market are:
- Deere and Company (U.S.)
- CropMetrics LLC (Netherlands)
- Trimble Navigation Limited (Australia)
- CropX (U.S.)
- AgSmarts Inc (India)
- AgSense, LLC (India)
- AGCO Corporation (Austria)
- DICKEY-john (U.K.)
- Monsanto Company (Mexico)
- Ag Leader Technology (U.S.)
- Farmers Edge (U.S.)
- GEOSYS (U.S.)
- Granular (U.S.)
- Gro Intelligence (U.S.)
- Proagrica (U.K.)
- Fasal (India)
- AGEYE Technologies (U.S.)
- HelioPas AI (Germany)
- OneSoil (Belarus)
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