Hydroponics Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The Hydroponics Market is segmented by Type (Aggregate Hydroponic System and Liquid Hydroponic System), Crop Type (Tomato, Lettuce and Leafy Vegetables, Pepper, Cucumber, and Other Crop Types), and Geography (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa). The report offers the market sizes and forecasts in value (USD million) for all the above segments.

Market Snapshot

hydroponics market
Study Period: 2017-2027
Base Year: 2021
Fastest Growing Market: Asia Pacific
Largest Market: North America
CAGR: 7.8 %
hydroponics industry

Need a report that reflects how COVID-19 has impacted this market and its growth?

Market Overview

The hydroponics market is anticipated to register a CAGR of 7.8% during the forecast period (2022-2027).

While many industries are contracting because of the COVID-19 pandemic, hydroponic farming is growing in terms of demand. This type of farming practice was expanding across the urban areas even before the pandemic. It is now witnessing a huge growth rate because vertical farms control everything, from seeds to stores. Vertical farms also provide consumers with information about the origin of their food and the way in which it is produced.

Strengthening the food production and distribution systems has become a key concern for the future, which has boosted the need for hydroponics farms over the long term. As per FAO studies, the development of alternate growing systems such as hydroponics is anticipated to play an important role in global food security by supplying safe and nutritious food. In addition, this can also help in tackling the logistical uncertainties in the market. Thus, the need for hydroponics is anticipated to grow during the forecast period.

In terms of crops, leafy vegetables and microgreens have traditionally been the most cultivated hydroponic crops. However, the area under hydroponics in crops that are exotic to warmer climates, such as cherry tomatoes, lettuce, microgreens, and a wide variety of other cool-season crops, has been increasing.

North America is the largest geographic segment of the market studied. Hydroponics is an environment-friendly and profitable technology. It has been promoted by various governments and non-governmental organizations for its benefits in terms of food security. The need for food supply against the explosive population increase by 2050 has catalyzed the growth of the hydroponics market. Additionally, with the increasing success rates associated with the commercial hydroponics industry and the increasing difficulty of growing crops on soil, the hydroponics market is expanding exponentially.

Scope of the Report

Hydroponics involves the process of growing plants using mineral nutrient solutions in sand, gravel, or liquid without using soil. In simple words, hydroponic is a technique of growing plants without soil.

The Hydroponics Market is segmented by Type (Aggregate Hydroponic System and Liquid Hydroponic System), Crop Type (Tomato, Lettuce and Leafy Vegetables, Pepper, Cucumber, and Other Crop Types), and Geography (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa). The report offers the market sizes and forecasts in value (USD million) for all the above segments.

Aggregate Hydroponic System
Closed System
Open System
Liquid Hydroponic System
Crop Type
Lettuce and Leafy Vegetables
Other Crop Types
North America
United States
Rest of North America
United Kingdom
Rest of Europe
Rest of Asia-Pacific
South America
Rest of South America
Middle-East and Africa
Saudi Arabia
United Arab Emirates
South Africa
Rest of Middle-East and Africa

Report scope can be customized per your requirements. Click here.

Key Market Trends

Higher Consumption of Salads and Exotic Vegetables

The demand for exotic fruits and vegetables has been constantly growing at a higher rate due to the increased purchasing power of consumers. The cost of these exotic products is high, as most of these products are imported, and thus, several research institutions and universities are focusing on establishing more simplified hydroponics systems to accelerate the production of exotic fruits and vegetables and meet the escalating demand. Increasing awareness among the consumers of eating fresh vegetables may also fuel the market in the future. The demand for exotic vegetables like red and yellow capsicum and red lettuce in food and retail chains, like Burger King and KFC, is anticipated to boost sales during the forecast period.

Also, with the rapid urbanization, the demand for hydroponically grown vegetables and crops has been increasing from several industries such as hotels, restaurants, fast food chains, railway catering, NGOs, and defense, which encourages the farmers to cultivate through hydroponics systems.

hydroponics market share

North America Dominates the Market

The demand for fresh vegetables and fruits in the region is driving the market demand for hydroponic operations. At present, the hydroponics farms present in the region are family or small business operations that cover approx. 1 acre. Rooftop hydroponic gardens in urban setups like New York are helping the market grow further. The future growth of the hydroponics market in the region depends greatly on the development of hydroponic production systems that are competitive in cost with systems of open-field agriculture. Hydroponic production has gained popularity among commercial vegetable producers since it is an efficient method to control inputs and manage facilitates for disease and pests and not a labor-intensive method to manage larger areas of production. As hydroponics eliminates the need for soil fumigants and can increase yields of popular vegetables, farmers in the region are anticipated to adopt hydroponics as a popular cultivation method. The increasing adoption of hydroponics as a cultivation method is anticipated to drive the market growth.

 hydroponics market types

Competitive Landscape

The global Hydroponics input provider market is consolidated with major layers holding the majority of the market share. Some of the prominent players operating in the market include Koninklijke Philips N.V, Argus Control Systems Ltd, American Hydroponics, Hydrodynamics International, Inc., and Lumigrow, Inc. Partnerships and collaborations has enabled players to enter new markets and also in Research & Developments activities for launching new products that cater to the needs of growers across the globe.

The hydroponic systems output market is highly fragmented, with the top five companies, such as Bright Farms, Inc., FreshBox Farms, Pegasus Agritech, Village Farms International, Inc., and Thanet Earth, among others, cornering just 7.1% of the market share, while the rest of the market is shared among numerous players. Some of which include, Circle Fresh Farms, Green Sense Farms Holdings Inc., Plenty Unlimited Inc., etc.

Recent Developments

In 2021, Bright Farms, the leading grower of indoor leafy greens opened its latest indoor farm in Hendersonville, NC. The 6-acre greenhouse would produce 2 million pounds of lettuce per year for the Southeast region, doubling down on BrightFarms’ mission to make higher quality, safer produce available to people across the country.

In 2021, Goose Island UK and AeroFarms, a leader in indoor vertical farming has unveiled Hail Hydro, a brand new session IPA made from hydroponic hops grown indoors by AeroFarms. 

In June 2019, Lumigrow partnered with Gold Leaf Technologies Inc., a Canada-based distributor of quality LED lighting products, in a bid to expand local horticultural lighting sales in British Columbia and Alberta, Canada.

In May 2019, Lumigrow launched its product, TopLight, developed a wirelessly controllable LED lighting system powered with TopLight Node. It is the company’s first intelligent 3-channel power supply for commercial greenhouse and indoor crop production.

In January 2019, Argus Control Systems Ltd partnered with Hydrofarm Holdings Group Inc. to provide advanced environmental systems and services for horticultural production in the United States and Canada.

Table of Contents


    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study




    1. 4.1 Market Overview

    2. 4.2 Market Drivers

    3. 4.3 Market Restraints

    4. 4.4 Porter's Five Forces Analysis

      1. 4.4.1 Bargaining Power of Suppliers

      2. 4.4.2 Bargaining Power of Buyers

      3. 4.4.3 Threat of New Entrants

      4. 4.4.4 Threat from Substitutes

      5. 4.4.5 Intensity of Competitive Rivalry


    1. 5.1 Type

      1. 5.1.1 Aggregate Hydroponic System

        1. Closed System

        2. Open System

      2. 5.1.2 Liquid Hydroponic System

    2. 5.2 Crop Type

      1. 5.2.1 Tomato

      2. 5.2.2 Lettuce and Leafy Vegetables

      3. 5.2.3 Pepper

      4. 5.2.4 Cucumber

      5. 5.2.5 Microgreens

      6. 5.2.6 Other Crop Types

    3. 5.3 Geography

      1. 5.3.1 North America

        1. United States

        2. Canada

        3. Mexico

        4. Rest of North America

      2. 5.3.2 Europe

        1. Germany

        2. United Kingdom

        3. France

        4. Spain

        5. Italy

        6. Netherlands

        7. Rest of Europe

      3. 5.3.3 Asia-Pacific

        1. China

        2. Japan

        3. India

        4. Australia

        5. Rest of Asia-Pacific

      4. 5.3.4 South America

        1. Brazil

        2. Argentina

        3. Rest of South America

      5. 5.3.5 Middle-East and Africa

        1. Saudi Arabia

        2. United Arab Emirates

        3. South Africa

        4. Rest of Middle-East and Africa


    1. 6.1 Most Adopted Strategies

    2. 6.2 Market Share Analysis

    3. 6.3 Company Profiles

      1. 6.3.1 Hydroponic Crop Producers

        1. Bright Farms

        2. Circle Fresh Farms

        3. Hydrodynamics International Inc.

        4. Village Farms International Inc.

        5. Pegasus Agritech

      2. 6.3.2 Input Providers

        1. Argus Control Systems Limited

        2. Hortisystems UK Ltd

        3. Hydrodynamics International Inc

        4. Koninklijke Philips NV

        5. Kubo Group

        6. GreenTech Agro LLC

        7. Heliospectra AB

        8. American Hydroponics Inc.

        9. Lumigrow Inc.

        10. General Hydroponics Inc.

        11. Growlife

        12. Terra Tech

        13. Thanet Earth

        14. Valoya



You can also purchase parts of this report. Do you want to check out a section wise price list?

Frequently Asked Questions

The Hydroponics Market market is studied from 2017 - 2027.

The Hydroponics Market is growing at a CAGR of 7.8% over the next 5 years.

Asia Pacific is growing at the highest CAGR over 2021- 2026.

North America holds highest share in 2021.

Koninklijke Philips N.V., Argus Control Systems Ltd., American Hydroponics, Hydrodynamics International, Inc., Lumigrow, Inc. are the major companies operating in Hydroponics Market.

80% of our clients seek made-to-order reports. How do you want us to tailor yours?

Please enter a valid email id!

Please enter a valid message!