| Study Period | 2019 - 2030 |
| Market Size (2025) | USD 15.52 Billion |
| Market Size (2030) | USD 25.34 Billion |
| CAGR (2025 - 2030) | 10.30 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Vertical Farming Market Analysis
The Vertical Farming Market size is estimated at USD 15.52 billion in 2025, and is expected to reach USD 25.34 billion by 2030, at a CAGR of 10.30% during the forecast period (2025-2030).
The demand for organic products has increased due to improved living standards and higher disposable income, leading to the development of vertical farming with widespread organic practices. Consumers are implementing small-scale cultivation in their homes to produce pesticide-free food. The growing health consciousness and preference for residue-free food have encouraged the adoption of advanced techniques like hydroponics and aeroponics.
Microgreens produced through vertical farming methods contain high concentrations of polyphenols - antioxidants that help reduce the risk of heart disease, Alzheimer's disease, diabetes, and certain cancers. According to Statistics Canada, greenhouse lettuce production increased from 14,528 metric tons in 2022 to 14,751 metric tons in 2023, with vertical farming contributing significantly to this growth. Government funding has supported the expansion of vertical farming production capacity across various countries. In August 2022, Saudi Arabia's Ministry of Environment, Water, and Agriculture allocated USD 27 million to develop and implement vertical farming technologies to enhance food security.
The anticipated increase in food demand by 2050 due to population growth has accelerated vertical farming market development. Investment in the market supports technological advancement and sector development. The ability to control plant growth with minimal space and water requirements has increased the popularity of vertical farming, particularly in regions facing potential food shortages. Commercial growers are implementing advanced technologies, including hydroponic systems and electronic traceability systems. These operations are investing in LED lighting solutions and monitoring systems while adopting new technologies to reduce operational risks. The need to meet growing population demands and limited agricultural land and water resources is anticipated to drive the global vertical farming market during the forecast period.
Vertical Farming Market Trends
Hydroponic Holds the largest Market Share by Type
Population growth, urbanization, water scarcity, and climate change have contributed to declining arable land availability per person. The continuous reduction in per capita farmland has necessitated a focus on increasing productivity. Hydroponics has emerged as an efficient method for growing various crops, including kale, lettuce, pea shoots, and broccoli. This situation has created a need to increase yield from available land through vertical farming methods.
The United States Department of Agriculture (USDA) reports that farmers have removed land from crop production due to poor growing conditions and limited irrigation water supplies. The increasing demand for organic and sustainable products, combined with declining yields, has impacted farmer profitability. The USDA data shows a consistent decrease in farmland area, from 880.1 million acres in 2022 to 879 million acres in 2023, with reductions occurring in both cropland and grazed forestland areas.
Furthermore, companies including Janco Greenhouse, Freight Farms, and Elevate Farms are implementing advanced hydroponic systems with Deep Flow Techniques (DFT). These organizations are developing IoT and analytics technology to monitor and optimize water chemistry for plant growth. In June 2023, Growee, an Israeli hydroponic company, expanded its operations in Florida, United States, implementing data analytics and IoT systems for plant growth monitoring. The Growee cloud system provides growers with real-time insights through their mobile application. These technological implementations have enabled farmers to achieve higher yields with reduced resource consumption. Vertical farming, incorporating technology and automation for optimal land use, represents a solution for enhancing food production capacity.
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North America Dominates the Market
The United States market dominated the North American region. Growing concerns about food security and nutrition are expected to open several novel opportunities for the industry to prosper. The United States is anticipated to invest a significant share in facilitating the ecosystem for future foods. As more consumer insights develop toward 'fresh-from-farm-to-table,' the availability of freshly harvested vegetables across retail outlets is anticipated to increase in the country (which is also the pioneer in adopting this concept).
The growth of urban populations has accelerated vertical farming development, particularly through the transformation of vacant warehouses, derelict buildings, and high-rises. According to World Bank data in 2023, the urban population share of the United States and Canada reached 83.20% and 81.86%, increasing from 83.08% and 81.75% in 2022, respectively. Furthermore, the market leaders are actively adopting strategies like partnerships and expansions to solidify their market positions. In 2023, AeroFarms, a leading indoor vertical farming player, expanded its reach through a strategic partnership with Amazon Fresh in the United States.
Indoor cultivation of microgreens is gaining traction among Canadian growers. This method allows precise environmental control, repurposing of existing mill spaces, and a year-round, chemical-reduced production. The expansion of indoor farming facilities that grow microgreens is also fueling the market’s growth. In 2022, GoodLeaf Farms, Canada's pioneering and largest commercial indoor vertical farm that grows mustard greens, micro arugula, and micro radish, spearheaded the expansion of its technology-driven operations into both Eastern and Western Canada.
Additionally, in 2022, in collaboration with local growers, 30MHz a company specializing in products and services for vertical farming startups introduced cost-effective solutions in Mexico. Having established a presence in Mexico, 30MHz continues to deliver budget-friendly technological solutions, empowering growers to enhance their cultivation practices. Thus, the expansion of companies to the vertical farming market through increased investment is anticipated to drive the growth of the market studied during the forecast period.
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Vertical Farming Industry Overview
The market is fragmented, with major revenue-generating companies such as Aerofarms, BrightFarm, Vegpro International Inc., and Little Leaf Farms LLC among others, cornering just some part of the market share. Major players in the market have extended their product portfolio and taken the approach of expansion and partnerships to broaden their business and strengthen their position in the market. Since the industry is in its developing stage, many startups, as well as local companies, are slowly expanding their businesses, hence dispersing the market share.
Vertical Farming Market Leaders
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Aerofarms
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BrightFarms
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Vegpro International Inc.
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Little Leaf Farms LLC
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Goodleaf Farms
- *Disclaimer: Major Players sorted in no particular order
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Vertical Farming Market News
- June 2023: AeroFarms, a renowned company in indoor vertical farming expanded the distribution of its highly-regarded microgreens in retail stores such as Walmart and Stop & Shop in the Mid-Atlantic and Northeast regions.
- March 2023: AeroFarms expanded its indoor vertical farming ventures in Saudi Arabia, the United Arab Emirates, and Qatar. The joint venture agreement is signed by Saudi Arabia’s Public Investment Fund with the company and established a vertical farm that produces 1,100 metric tons of crops every year.
- January 2023: Pure Harvest Smart Farms partnered with the Singapore Food Agency to establish the city-state's first advanced hybrid greenhouse vertical farm focused on boosting sustainable food security in Singapore. The initiative was made for Singapore's key “30 by 30" national food security goal, which would use innovation in the agricultural technology sector and boost research and development opportunities for local partners.
Vertical Farming Industry Segmentation
Vertical farming is a farming method through which crops are grown in vertically stacked layers. It is done in a controlled environment using techniques, such as aquaponics, hydroponics, and aeroponics that do not make use of soil. The Vertical Farming Market is Segmented by Growth Mechanism (Aeroponics, Hydroponics, and Aquaponics), Structure (Building-based Vertical Farms and Shipping Container-based Vertical Farms), Components (Lighting, Climate Control, Sensors, and Other Hydroponic Components), Crop (Tomato, Berries, Lettuce and Leafy Vegetables, Pepper, Cucumber, Microgreens, and Other Crop Types), and Geography (North America, Europe, Asia-Pacific, South America, and Africa). The report offers market estimation and forecasts in value (USD) for the above-mentioned segments.
| Growth Mechanism | Aeroponics | ||
| Hydroponics | |||
| Aquaponics | |||
| Structure | Building-based Vertical Farms | ||
| Shipping Container-based Vertical Farms | |||
| Components | Lighting | ||
| Climate Control | |||
| Sensors | |||
| Other Hydroponic Components | |||
| Crop | Tomato | ||
| Berries | |||
| Lettuce and Leafy Vegetables | |||
| Pepper | |||
| Cucumber | |||
| Microgreens | |||
| Other Crop Types | |||
| Geography | North America | United States | |
| Canada | |||
| Mexico | |||
| Rest of North America | |||
| Europe | United Kingdom | ||
| France | |||
| Sweden | |||
| Rest of Europe | |||
| Asia-Pacific | Singapore | ||
| China | |||
| Japan | |||
| Taiwan | |||
| Rest of Asia-Pacific | |||
| South America | Brazil | ||
| Rest of South America | |||
| Africa | South Africa | ||
| Rest of Africa | |||
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Vertical Farming Market Research Faqs
How big is the Vertical Farming Market?
The Vertical Farming Market size is expected to reach USD 15.52 billion in 2025 and grow at a CAGR of 10.30% to reach USD 25.34 billion by 2030.
What is the current Vertical Farming Market size?
In 2025, the Vertical Farming Market size is expected to reach USD 15.52 billion.
Who are the key players in Vertical Farming Market?
Aerofarms, BrightFarms, Vegpro International Inc., Little Leaf Farms LLC and Goodleaf Farms are the major companies operating in the Vertical Farming Market.
Which is the fastest growing region in Vertical Farming Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Vertical Farming Market?
In 2025, the North America accounts for the largest market share in Vertical Farming Market.
What years does this Vertical Farming Market cover, and what was the market size in 2024?
In 2024, the Vertical Farming Market size was estimated at USD 13.92 billion. The report covers the Vertical Farming Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Vertical Farming Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Vertical Farming Industry Report
The global vertical farming market is experiencing remarkable growth, this growth is driven by the adoption of sustainable methods for fruit and vegetable production, leveraging advanced technologies such as hydroponics, aeroponics, and LED lighting in controlled environments. This ensures consistent crop yield year-round, addressing food security concerns amidst increasing global urbanization and population. North America, notably the United States, is making substantial investments in vertical farming, with projects like the large-scale vertical farm in Pennsylvania focusing on microgreens, showcasing the region's commitment to 'fresh-from-farm-to-table' concepts. Despite facing high initial investment costs, the industry is propelled forward by innovations in robotics, AI, and IoT, enhancing efficiency from irrigation to harvesting. Insights from Mordor Intelligence™ highlight the top vertical farming companies contributing to the market's expansion, indicating a promising future for vertical farming in meeting the growing demand for high-quality, organic food. Get a sample of this industry analysis as a free report PDF download.
