Global Hydroponics Market by Crops (Tomatoes, Peppers, Herbs, Cucumbers, Lettuce), by Type (Liquid Systems, Aggregate Systems) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

In 2020, the global hydroponics market was worth USD 2.1 billion. The market is expected to grow at a compound annual rate (CAGR of 20.7%) between 2021 and 2028. The growing use of hydroponics systems for indoor vegetable farming is responsible for this high growth rate. The popularity of other farming methods for marijuana cultivation is rapidly increasing, due to legalization in many countries such as Canada, South Africa, South Africa, and the Czech Republic. Hydroponics is anticipated to be in demand due to consumers becoming more aware of the harmful effects of pesticides on their health. These systems will be easy to use and install cost-effectively in the near future.

Hydroponic farming allows plants to grow without soil. The soil is replaced with a mineral solution that is placed around the roots. The plant roots are immersed in the chemical solution, and then checked for proper chemical composition. The hydroponics system eliminates soil organism-caused diseases. Hydroponically grown plants yield higher than those grown in soil due to proper control of nutrients.

Globally, the population is growing and increasing food demand. According to the Food and Agriculture Organization of the United Nations (UN), the global population will reach 9.1 billion people by 2050. Food production will increase from 25% to 70%. This will drive demand for other farming techniques that produce high yields in a shorter time. Alternative high-yield farming techniques are being adopted in regions such as Europe and Asia Pacific where water and arable land are scarce. This is expected to increase market growth.

Market growth is expected to be boosted by technological advances in climate control, nutrient films techniques, and sensing technology. With numerous sensors, web platforms and software, hydroponics solution providers provide many ways for consumers to manage and monitor their crops. SmartBee Technology, Inc., for example, offers irrigation controls, water and nutrient sensors, as well software that provides real-time control to farmers. Advanced Internet of Things technology allows remote and automatic data collection and monitoring. The market will grow significantly between 2021 and 2028 due to technological advances in hydroponics.

Crops Insights

The market was dominated by tomatoes, which accounted for more than 40% of total market share in 2020. Because of its faster cultivation rate, tomatoes are hydroponically grown crops that require less water than regular farmed tomatoes. Indoor farmers grow tomatoes using rock wool, perlite or coconut coir. The hydroponic method is expected to produce the largest amount of tomatoes in Europe and Asia Pacific by 2028.

Hydroponic growers are increasingly turning to leafy vegetables like spinach, arugula and kale. Because of its high raw consumption, green and white leaf lettuce are the most popular hydroponically grown vegetables among indoor growers. Hydroponic lettuce cultivation is on the rise in North America due to its growing demand from both households and fast-food restaurants. Globally, the market for lettuce will grow at a faster rate of 23% during the forecast period.

Type Insights

In 2020, the aggregate system held the largest market share at 55%. This is due to its popularity among indoor hydroponic farmers and its simplicity of installation. These systems use inert media and solid media like peat, rock wool or vermiculite to support the plants. Drip systems, ebb-and flow systems, as well as wick systems are the primary technologies used in aggregate systems. The most popular type of aggregate system is the ebb-and-flow, which is simple and economical to build.

Due to growing popularity of closed-system cultivation among growers, the liquid systems segment will expand at the fastest rate CAGR between 2021 and 2028. To cultivate lettuce and other leafy veggies, deepwater culture and Nutrient Film Techniques (NFT), are becoming more popular. Liquid systems are more efficient than using a solid medium. The roots are submerged directly in the nutrient solution. Liquid systems also speed up the growth of plants by providing nutrients directly to their roots, which results in maximum yields. Although soilless farming reduces the risk of soil-borne disease, the risk for spreading pathogens increases when nutrients are recirculated in closed systems. This is why liquid systems need to be maintained regularly for the monitoring and changing of nutrient solutions.

Regional Insights

Asia Pacific was the dominant market for hydroponics with 37% of the total market in 2020. This is due to hydroponics adoption in China, Australia and South Korea. Due to the emergence of urban hydroponic farms, the market in India and China is expected to grow significantly during the forecast period. North America has a great potential for growth due to numerous companies that are located there, and the increasing adoption of alternative farming methods in urban areas. AeroFarms (U.S.), AMHYDRO, Argus Control System Limited (Canada), LumiGrow and AMHYDRO are some of the major market players in North America.

Europe had the second largest market share in 2020 due to high adoption of hydroponics, which is a result of rapid industrialization and scarcity land. Europe is home of developed economies such as France and Germany. The region will also experience a significant CAGR due to the expansion of genetically modified crop technology. The lack of incentives from government and inaccessible equipment for large hydroponic farms are expected to limit the growth of developing countries in the Middle East, Africa and South America.

Market Share Insights & Key Companies

AeroFarms (U.S.), Illumitex, Inc., (U.S.), American Hydroponics, (U.S.) are just a few of the industry leaders. These companies are involved in partnerships, business expansions, product development, and contracts to increase their market share. To meet market requirements, the companies are building greenhouses and expanding their hydroponic farms. For instance, In April 2021, AeroFarms announced the commencement of the construction of its second commercial 136,000 square foot indoor vertical farm in Danville-Pittsylvania County, Virginia. Danville Farm is conveniently located near more than 1,000 grocery shops in the region, providing access to approximately 50 million people within a few hours. Many vendors also invest in research and development to create differentiated products that will help them keep ahead of their competitors. Signify Holding, a Netherland company, spent 4.8% of its 2020 revenue on research and development. The company expects to benefit from this investment in order to improve its product offerings. These are some of the most prominent players in the global hydroponics industry:

• AeroFarms

• AmHydro

• Argus Control System Ltd.

• Emirates Hydroponics Farms

• Freight Farms

• Green Sense Farms Holdings, Inc.

• Heliospectra AB

• LumiGrow

• Signify Holding

• Terra Tech Corp.

Up Market Research published a new report titled “Hydroponics Market research report which is segmented by Crops (Tomatoes, Peppers, Herbs, Cucumbers, Lettuce), by Type (Liquid Systems, Aggregate Systems), By Players/Companies LumiGrow, Green Sense Farms Holdings Inc, Emirates Hydroponics Farms, Heliospectra AB, AeroFarms, Freight Farms, Signify Holding, Terra Tech Corp, AmHydro, Argus Control Systems Ltd”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

Report Scope

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global Hydroponics Market Report Segments:

The market is segmented by Crops (Tomatoes, Peppers, Herbs, Cucumbers, Lettuce), by Type (Liquid Systems, Aggregate Systems).

Some of the companies that are profiled in this report are:

1. LumiGrow
2. Green Sense Farms Holdings Inc
3. Emirates Hydroponics Farms
4. Heliospectra AB
5. AeroFarms
6. Freight Farms
7. Signify Holding
8. Terra Tech Corp
9. AmHydro
10. Argus Control Systems Ltd

Hydroponics Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the Hydroponics Market

Overview of the regional outlook of the Hydroponics Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The Hydroponics Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of Hydroponics Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Tomatoes

                2. Peppers

                3. Herbs

                4. Cucumbers

                5. Lettuce

                1. Liquid Systems

                2. Aggregate Systems

8. Market scenario by region, sub-region, and country.
9. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
10. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
11. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the Hydroponics Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

How you may use our products:

• Correctly Positioning New Products
• Market Entry Strategies
• Business Expansion Strategies
• Consumer Insights
• Understanding Competition Scenario
• Product & Brand Management
• Channel & Customer Management
• Identifying Appropriate Advertising Appeals

Reasons to Purchase the Hydroponics Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.