Grow Light Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Report Covers Global Grow Light Market Analysis and It is Segmented by Light Source (High-Intensity Discharge (HID) Lights, Light Emitting Diodes, Fluorescent Lights, and Other Light Sources), by Installation Type (New Installations, and Retrofit Installations), by Application (Indoor Farming, Vertical Farming, Commercial Greenhouse, and Others Applications), and by Geography (North America, Europe, Asia-Pacific, Latin America, and Middle East and Africa). The Report Offers Market Forecasts and Size in Value (USD) for all the Above Segments.

Grow Light Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Grow Light Market Size

Grow Lights Market Summary
Study Period 2019 - 2030
Market Size (2025) USD 5.56 Billion
Market Size (2030) USD 12.41 Billion
CAGR (2025 - 2030) 17.40 %
Fastest Growing Market Asia-Pacific
Largest Market Europe
Market Concentration Low

Major Players

Grow Lights Market Major Players

*Disclaimer: Major Players sorted in no particular order

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Grow Light Market Analysis

The Grow Lights Market size is estimated at USD 5.56 billion in 2025, and is expected to reach USD 12.41 billion by 2030, at a CAGR of 17.4% during the forecast period (2025-2030).

The grow lights industry is experiencing transformative growth driven by escalating global food security concerns and changing demographics. According to the United Nations, the world population is projected to reach 9.74 billion by 2050, with approximately 80% residing in urban areas, creating unprecedented challenges for food production and distribution. This demographic shift is compelling agricultural stakeholders to adopt innovative cultivation methods that maximize space utilization and crop yields. The integration of artificial lighting solutions, such as horticultural lighting, in agriculture has become increasingly critical as traditional farming methods struggle to meet the rising food demand, which is expected to increase by 50% by 2050 compared to current levels.


Technological advancements in LED grow lights solutions are revolutionizing the controlled environment agriculture sector. Manufacturers are developing sophisticated spectrum-specific lighting systems that can be precisely tuned to optimize plant growth at different stages of development. The industry is witnessing a shift from traditional high-intensity discharge (HID) lights to more energy-efficient LED solutions that offer superior light spectrum control and reduced heat emission. These innovations are enabling growers to achieve higher yields while minimizing energy consumption and operating costs, contributing to the growth of the LED grow lights market.


The market is experiencing significant consolidation through strategic investments and partnerships between technology providers and agricultural companies. Major retailers and agricultural technology firms are making substantial investments in vertical farming operations, exemplified by Walmart's recent initiative to integrate vertical farming products into its California stores. The industry is also seeing increased investment in manufacturing capabilities, as demonstrated by OSRAM's planned EUR 800 million investment in Malaysia for advanced LED technologies and microLED manufacturing. This trend highlights the expansion of the grow light market size.


Sustainability and resource efficiency have emerged as central themes driving market innovation. The World Economic Forum reports that Dubai's newly opened 30,000-square-meter vertical farm, utilizing advanced industrial grow lights technology, is set to produce more than 900 tonnes of leafy greens annually while consuming 95% less water than traditional field cultivation. This development exemplifies the industry's focus on creating sustainable food production systems that minimize environmental impact while maximizing output. The integration of smart controls and automation systems with horticultural lighting is enabling precise resource management and optimal growing conditions, further enhancing the efficiency of controlled environment agriculture operations.

Segment Analysis: By Light Source

LED Segment in Grow Lights Market

The Light Emitting Diodes (LED) segment dominates the global LED grow light market, commanding approximately 47% market share in 2024, driven by its superior energy efficiency and advanced technological capabilities. LED grow lights have emerged as the preferred choice for commercial greenhouse operations and vertical farming facilities due to their ability to provide customizable light spectrums that can be optimized for different growth stages and crop types. These lights offer significant advantages, including lower heat emission, longer operational lifespans of up to 50,000 hours, and the ability to reduce energy consumption by up to 70% compared to traditional lighting solutions. The segment's growth is further propelled by continuous innovations in LED technology, such as the development of spectrum-tunable solutions and integration with smart control systems that enable precise light management for optimal plant growth. Additionally, the increasing adoption of LED grow lights in cannabis cultivation facilities and urban farming operations has strengthened its market position, as these applications require reliable and efficient lighting solutions for year-round production.

Market Analysis of Grow Lights Market: Chart for By Light Source

Remaining Segments in Grow Lights Market by Light Source

The grow lights market encompasses several other significant lighting technologies, each serving specific applications and market niches. High-Intensity Discharge (HID) lights continue to maintain a strong presence in the market, particularly in large-scale commercial greenhouse operations where high light output is crucial. Fluorescent lights remain popular for small-scale operations and home growing applications, offering a cost-effective solution for cultivators with limited space and budget requirements. The market also includes other lighting technologies such as plasma and induction grow lights, which provide specialized solutions for specific growing conditions and requirements. These traditional lighting technologies continue to evolve with improvements in energy efficiency and spectral output, though they face increasing competition from LED solutions. Each technology offers distinct advantages in terms of initial cost, heat management, and specific growing applications, allowing growers to choose solutions that best match their particular needs and operational scale.

Segment Analysis: By Installation Type

New Installations Segment in Grow Lights Market

New installations dominate the grow lights market, commanding approximately 74% market share in 2024, driven by the rapid expansion of commercial greenhouse facilities and vertical farming operations worldwide. The segment's prominence is attributed to increasing investments in new indoor farming facilities, particularly in urban areas where fresh produce demand continues to rise. Major agricultural technology companies and startups are establishing new controlled environment agriculture facilities, incorporating advanced LED grow light systems as a fundamental component. The segment's robust growth is further supported by government initiatives promoting modern agricultural methods and sustainable farming practices. The integration of smart farming technologies, automation systems, and IoT-enabled grow light solutions in new installations has made this segment particularly attractive to commercial growers seeking to optimize crop yields and energy efficiency.

Retrofit Installations Segment in Grow Lights Market

The retrofit installations segment represents a crucial component of the grow lights market, focusing on upgrading existing horticultural lighting systems with more energy-efficient and technologically advanced solutions. This segment addresses the growing need for modernizing traditional farming facilities with LED grow lights that offer superior performance and reduced operational costs. Retrofit installations are particularly appealing to established greenhouse operators and indoor farming facilities looking to enhance their cultivation capabilities without complete facility reconstruction. The segment is driven by the increasing awareness of energy conservation, the need for spectrum-specific lighting solutions, and the potential for significant long-term cost savings. Technological advancements in retrofit solutions, including wireless control systems and smart automation features, are making it easier for growers to upgrade their existing infrastructure while minimizing disruption to ongoing operations.

Segment Analysis: By Application

Commercial Greenhouse Segment in Grow Lights Market

The commercial greenhouse segment continues to dominate the global LED grow lights market, holding approximately 59% market share in 2024. This significant market position is primarily driven by the increasing adoption of controlled environment agriculture practices and the growing demand for year-round crop production. Commercial greenhouses are leveraging advanced LED grow light technologies to optimize plant growth cycles, enhance crop yields, and maintain consistent production quality throughout the year. The segment's prominence is further strengthened by the rising focus on sustainable farming practices and the need to meet the growing demand for fresh produce in urban areas. Additionally, technological advancements in greenhouse automation and climate control systems, integrated with sophisticated grow light solutions, are enabling commercial greenhouse operators to achieve higher operational efficiency and better crop management.

Vertical Farming Segment in Grow Lights Market

The vertical farming segment is emerging as the most dynamic sector in the grow lights market, projected to grow at approximately 19% during 2024-2029. This remarkable growth trajectory is driven by the increasing adoption of vertical farming solutions in urban areas, where space constraints and the need for local food production are paramount concerns. The segment's expansion is supported by technological innovations in LED lighting systems specifically designed for multi-layer cultivation environments. Vertical farms are increasingly incorporating advanced spectrum-controlled grow lights that can be customized for different crop types and growth stages. The integration of smart lighting controls, automation systems, and data analytics is further enhancing the efficiency and productivity of vertical farming operations, making it an attractive solution for sustainable urban agriculture.

Remaining Segments in Application Market

The indoor farming and other applications segments also play crucial roles in shaping the grow lights market landscape. Indoor farming applications are gaining traction among small to medium-scale growers and research facilities, offering controlled environments for specialized crop production and experimental cultivation. The other applications segment, which includes areas such as research facilities, tissue culture laboratories, and landscaping, contributes to market diversity by supporting various specialized growing requirements. These segments are benefiting from the ongoing technological advancements in LED lighting solutions, improved energy efficiency, and the increasing focus on sustainable growing practices. The versatility of modern grow light systems allows these segments to cater to specific needs across different applications, from small-scale indoor gardens to sophisticated research facilities.

Grow Lights Market Geography Segment Analysis

Grow Lights Market in North America

The North American grow lights market maintains a significant position in the global landscape, commanding approximately 30% of the total grow light market share in 2024. The region's dominance is primarily driven by the rapidly increasing demand for nutritious food and the widespread adoption of advanced agricultural technologies. The presence of over 20,000 natural food stores and the integration of organic products in conventional grocery stores has created a robust ecosystem for indoor farming applications. The long winters and poor sunlight conditions in many parts of the region have historically been limiting factors for the agriculture sector, making grow lighting solutions an essential choice for year-round cultivation. The efficiency improvements in LED technology, coupled with an 85% decline in prices, have motivated multiple energy companies to invest in research and development. Indoor urban farmers, especially those farming vertically, have built their profitability models around these technological advancements. The region's market is further strengthened by stringent energy efficiency standards, particularly the Department of Energy's mandate for minimum efficiency requirements in general-service lightbulbs. The United States grow light market is a key contributor to this regional dominance.

Market Analysis of Grow Lights Market: Forecasted Growth Rate by Region

Grow Lights Market in Europe

The European grow lights market has demonstrated robust growth, with an impressive growth rate of approximately 17% during the period 2019-2024. The region has established itself as a pioneer in controlled environment agriculture (CEA), transitioning from using grow lights as supplemental lighting sources to primary light sources in indoor farming operations. The market's expansion is closely tied to the region's focus on reducing dependency on imports from various external markets in Africa and Asia. The adoption of LED grow lights for horticulture purposes has gained significant momentum, especially in metropolitan areas. The region's commitment to sustainable agriculture and energy efficiency has driven innovations in lighting technologies, particularly in variable spectrum solutions that cater to different growth stages of plants. European countries have also witnessed substantial investments in research and development facilities, focusing on developing advanced lighting solutions that optimize plant growth while minimizing energy consumption.

Grow Lights Market in Asia-Pacific

The Asia-Pacific grow lights market is positioned for exceptional growth, with a projected CAGR of approximately 19% during the period 2024-2029. The region's market dynamics are shaped by the rapid increase in urban agriculture initiatives, including vertical farming, greenhouses, and growth chambers. Countries like Japan, Taiwan, and China are emerging as significant demand centers for grow lights technology. The market's expansion is particularly notable in urban areas where land constraints and food security concerns are driving the adoption of indoor farming solutions. The integration of advanced technologies in agricultural practices, combined with government support for modern farming methods, has created a favorable environment for market growth. The region's focus on developing sustainable and efficient farming practices, particularly in densely populated urban areas, continues to drive innovation in grow light technologies and their applications. The India grow light market is expected to play a pivotal role in this growth trajectory.

Grow Lights Market in Latin America

The Latin American grow lights market is experiencing significant transformation driven by the increasing adoption of vertical farming and commercial greenhouse practices. The region's market growth is primarily influenced by factors such as the constantly increasing demand for food and the depleting availability of land for traditional farming. Agricultural sectors across Latin America are actively seeking innovative solutions to address challenges such as low margins for producers, water scarcity, seasonality issues, and the need for enhanced food safety measures. The region's focus on implementing new technologies, particularly controlled environmental agriculture techniques, is reshaping the agricultural landscape. With more than 80% of the population residing in cities, the demand for urban farming solutions has created new opportunities for grow light applications. The market is further supported by increasing awareness about vertical farming techniques and the development of sophisticated growing systems that optimize resource utilization.

Grow Lights Market in Middle East & Africa

The Middle East & Africa grow lights market is witnessing substantial development, primarily driven by the high demand for nutritious food and the need for sustainable farming solutions in challenging climatic conditions. The region's market is characterized by significant investments in advanced agricultural technologies, particularly in controlled environment agriculture. The adoption of vertical farming has gained considerable prominence across the GCC grow light market, generating substantial interest and increased investments from both regional and overseas players. The market's growth is further supported by government initiatives aimed at reducing dependence on food imports and developing local food production capabilities. The integration of sophisticated lighting technologies in agricultural projects demonstrates the region's commitment to advancing indoor farming practices. The market is particularly active in developing solutions that address the unique challenges of desert agriculture and urban farming in space-constrained environments.

Grow Light Industry Overview

Top Companies in Grow Lights Market

The grow lights market features established players like Signify Holding, Savant Systems, Heliospectra AB, OSRAM Licht AG, and Lemnis Oreon leading the innovation landscape. These grow light companies are heavily investing in research and development to create advanced LED technologies with improved efficiency and specialized spectrums for different plant growth stages. Strategic partnerships with agricultural technology providers and research institutions have become increasingly common to enhance product development and market reach. Operational agility is demonstrated through modular production systems and customized solutions catering to varying customer requirements across indoor farming, vertical farming, and greenhouse applications. Geographic expansion strategies are being pursued through distributor networks and regional partnerships, particularly in emerging markets with growing indoor farming adoption. Product portfolios are being diversified to include smart lighting solutions with IoT integration and automated control systems, reflecting the industry's move toward more sophisticated growing environments.

Fragmented Market with Strong Regional Players

The grow lights market exhibits a fragmented structure with a mix of global conglomerates and specialized lighting manufacturers competing across different regions. Large multinational corporations leverage their established distribution networks and technological capabilities to maintain market presence, while specialized players focus on niche applications and regional markets with customized solutions. The market is characterized by ongoing consolidation through strategic acquisitions and partnerships, as evidenced by major players acquiring smaller innovative companies to enhance their technological capabilities and market reach. Regional players maintain strong positions in their respective markets through a deep understanding of local farming practices and regulatory requirements.


The competitive dynamics are shaped by varying levels of market maturity across regions, with developed markets showing higher consolidation and emerging markets remaining relatively fragmented. Merger and acquisition activities are primarily driven by the need to acquire new technologies, expand geographic presence, and strengthen vertical integration capabilities. Companies are increasingly focusing on building comprehensive solution portfolios that combine lighting hardware with control software and advisory services, leading to strategic partnerships and acquisitions in the technology space. The market also sees collaboration between lighting manufacturers and agricultural research institutions to develop optimized growing solutions for specific crops and environments.

Innovation and Service Integration Drive Success

Success in the grow lights market increasingly depends on companies' ability to deliver integrated solutions that combine efficient lighting technology with smart control systems and expert advisory services. Incumbent players are focusing on strengthening their research and development capabilities, expanding their service offerings, and building stronger relationships with key customer segments such as commercial greenhouse operators and vertical farming companies. Market leaders are also investing in developing energy-efficient solutions and establishing themselves as complete solution providers rather than just equipment manufacturers. The ability to provide comprehensive support services, including light planning, crop optimization, and energy management, has become crucial for maintaining market position.


For contenders looking to gain market share, success factors include developing specialized solutions for specific crop types or growing environments, establishing a strong local presence through partnerships, and offering competitive pricing without compromising on quality. The market shows moderate end-user concentration, with large-scale commercial farmers and greenhouse operators wielding significant buying power. While substitution risk from traditional lighting solutions is low due to the superior benefits of LED technology, regulatory requirements regarding energy efficiency and environmental impact are becoming increasingly important factors in product development and market strategy. Companies must also focus on building robust supply chains and maintaining cost competitiveness while meeting growing demand for sustainable solutions. Notably, the integration of plant breeding grow lights and European-made grow lights is becoming a key differentiator in the market.

Grow Light Market Leaders

  1. OSRAM Licht AG

  2. Heliospectra AB

  3. Savant Systems Inc.

  4. Signify

  5. Lemnis Oreon BV

  6. *Disclaimer: Major Players sorted in no particular order
Grow Lights Market Concentration
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Grow Light Market News

  • February 2024: AeroGarden, announced the launch of Harvest 2.0, the next iteration of its best-selling Harvest unit. The new sleek, design-forward, and easy-to-use indoor garden fits seamlessly into your home, and is available in black and white colors, with additional varieties to come. The newly redesigned full spectrum, detachable 15W LED grow light with an automatic timer supports growing plants faster than in soil, all while providing gentle illumination and minimizing the amount of light directed away from plants.
  • October 2023: Proplant Propagation, a Québec-based crop producer, has decided to implement Sollum's dynamic smart LED fixtures in its propagation greenhouses. This strategic investment in precision supplemental lighting aims to enhance product quality through customized light recipes.

Grow Light Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET INSIGHTS

  • 4.1 Market Overview
  • 4.2 Industry Attractiveness - Porter's Five Forces Analysis
    • 4.2.1 Bargaining Power of Suppliers
    • 4.2.2 Bargaining Power of Buyers
    • 4.2.3 Threat of New Entrants
    • 4.2.4 Threat of Substitutes
    • 4.2.5 Degree of Competition
  • 4.3 Industry Value Chain Analysis
  • 4.4 Assessment of the Impact of COVID-19 on the Market

5. MARKET DYNAMICS

  • 5.1 Market Drivers
    • 5.1.1 Growth in the Adoption of Indoor Farming Practices
    • 5.1.2 Growing Government Support for the Adoption of Modern Agricultural Methods
    • 5.1.3 Legalization of Cannabis in Different Countries
  • 5.2 Market Restraint
    • 5.2.1 High Set-up and Maintenance Costs
    • 5.2.2 Varying RequirementsiIn Lighting Spectrums for Different Crops

6. MARKET SEGMENTATION

  • 6.1 By Light Source
    • 6.1.1 High-intensity Discharge (HID) Lights
    • 6.1.2 Light Emitting Diodes
    • 6.1.3 Fluorescent Lights
    • 6.1.4 Other Light Sources
  • 6.2 By Installation Type
    • 6.2.1 New Installations
    • 6.2.2 Retrofit Installations
  • 6.3 By Application Type
    • 6.3.1 Indoor Farming
    • 6.3.2 Vertical Farming
    • 6.3.3 Commercial Greenhouse
    • 6.3.4 Other Application Types
  • 6.4 By Geography***
    • 6.4.1 North America
    • 6.4.2 Europe
    • 6.4.3 Asia
    • 6.4.4 Australia and New Zealand
    • 6.4.5 Latin America
    • 6.4.6 Middle East and Africa

7. COMPETITIVE LANDSCAPE

  • 7.1 Company Profiles*
    • 7.1.1 Signify Holding
    • 7.1.2 Savant Systems Inc.
    • 7.1.3 Heliospectra AB
    • 7.1.4 OSRAM Licht AG
    • 7.1.5 Lemnis Oreon BV
    • 7.1.6 Iwasaki Electric Co. Ltd
    • 7.1.7 Ennostar Inc.
    • 7.1.8 EVERLIGHT Electronics CO. LTD
    • 7.1.9 California LightWorks
    • 7.1.10 Valoya
    • 7.1.11 Crecer Lighting
    • 7.1.12 AB Lighting

8. INVESTMENT ANALYSIS

9. FUTURE OF THE MARKET

**Subject to Availability
*** In the Final Report Asia, Australia and New Zealand will be Studied Together as 'Asia Pacific'
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Grow Light Industry Segmentation

A grow light is an electric lamp that functions as an artificial light source to stimulate plant growth. Grow lights either attempt to deliver a light spectrum identical to that of the sun or deliver a spectrum more tailored to the needs of the plants for photosynthesis.

The market for grow lights was evaluated by analyzing separate market sizes for different light sources, including high-intensity discharge (HID) lights, light-emitting diodes, fluorescent lights, and other sources. There are two different types of installations used for grow lights that are new and retrofit installations across different applications, which include indoor farming, vertical farming, and commercial greenhouse in multiple regions. The competitive landscape has been taken to calculate the penetration of grow light products and how players involve themselves in organic and inorganic growth strategies. Additionally, these companies continuously innovate their products to increase their market share and profitability. Further, the market study has also focused on the impact of the COVID-19 pandemic on the market ecosystem. 

The report covers grow light market analysis and it is segmented by light source (high-intensity discharge (HID) lights, light emitting diodes, fluorescent lights, and other light sources), by installation type (new installations, and retrofit installations), by application (indoor farming, vertical farming, commercial greenhouse, and others applications), and by geography (North America, Europe, Asia-Pacific, Latin America, and Middle East and Africa). The report offers market forecasts and size in value (USD) for all the above segments.

By Light Source High-intensity Discharge (HID) Lights
Light Emitting Diodes
Fluorescent Lights
Other Light Sources
By Installation Type New Installations
Retrofit Installations
By Application Type Indoor Farming
Vertical Farming
Commercial Greenhouse
Other Application Types
By Geography*** North America
Europe
Asia
Australia and New Zealand
Latin America
Middle East and Africa
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Grow Light Market Research FAQs

How big is the Grow Lights Market?

The Grow Lights Market size is expected to reach USD 5.56 billion in 2025 and grow at a CAGR of 17.40% to reach USD 12.41 billion by 2030.

What is the current Grow Lights Market size?

In 2025, the Grow Lights Market size is expected to reach USD 5.56 billion.

Who are the key players in Grow Lights Market?

OSRAM Licht AG, Heliospectra AB, Savant Systems Inc., Signify and Lemnis Oreon BV are the major companies operating in the Grow Lights Market.

Which is the fastest growing region in Grow Lights Market?

Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).

Which region has the biggest share in Grow Lights Market?

In 2025, the Europe accounts for the largest market share in Grow Lights Market.

What years does this Grow Lights Market cover, and what was the market size in 2024?

In 2024, the Grow Lights Market size was estimated at USD 4.59 billion. The report covers the Grow Lights Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Grow Lights Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Grow Lights Market Research

Mordor Intelligence provides a comprehensive analysis of the grow lights market. We leverage extensive expertise in horticultural lighting research and consulting. Our detailed examination covers the entire spectrum, from industrial grow lights to agricultural grow lights. This includes crucial segments like vertical grow light systems and plant breeding grow lights. The report encompasses various technologies, from LED agricultural grow lights to traditional lighting solutions. It also analyzes key regions, including the united states grow light market, india grow light market, and gcc grow light market.

Stakeholders across the industry, from commercial led grow lights manufacturers to grow industry lighting providers, benefit from our actionable insights. These insights are available in an easy-to-download report PDF format. The analysis covers emerging trends in industrial led grow lights, developments in livestock grow lights, and innovations in light-emitting diode grow lights. Our research methodology incorporates extensive grow analysis across various applications. This provides valuable intelligence for businesses involved in plant grow lights and research driven led grow light development. The report offers a detailed examination of market dynamics, growth drivers, and future opportunities in the grow light industry, supporting strategic decision-making for industry participants.