Market Size of US Vertical Farming Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 3.56 Billion |
| Market Size (2029) | USD 5.95 Billion |
| CAGR (2024 - 2029) | 10.80 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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US Vertical Farming Market Analysis
The US Vertical Farming Market size is estimated at USD 3.56 billion in 2024, and is expected to reach USD 5.95 billion by 2029, growing at a CAGR of 10.80% during the forecast period (2024-2029).
Growing concerns about food security and nutrition are anticipated 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 likely to increase in the country (which is the pioneering idea for adopting this concept).
- The onset of urban population dwellings across cities, such as New York, Chicago, and Milwaukee, propelled the environment for vertical farming with activities such as revamping derailed vacant warehouses, derelict buildings, and high rises. This led to an increase in the production of fresh-grown foods.
- Hydroponic growing systems are largely favored by the organizations in this market. Given the rising popularity of greenhouse horticulture and agriculture in the country, the United States is one of North America's largest markets for hydroponic systems. North America accounts for about 35% of the vertical farming market, and according to Agri Farming, more than 2,300 farms are growing hydroponic crops in the United States. The future of the hydroponics market in the country mainly depends upon the development of production systems that are competitive in cost with open-field agriculture.
- The increasing demand for healthy products has led to the need for maximizing crop yields. This trend is expected to drive the US vertical farming market in the future. Many commercial growers are adopting high capital expenditure technologies, such as advanced hydroponic systems and electronic traceability systems. In addition, growers are heavily investing in LEDs and other innovative lighting products to reduce their exposure to associated risks by carefully monitoring and investing in new technologies.
- The key players in terms of yield include Plenty Unlimited Inc., Bowery Farming Inc., and Aerofarms. In terms of equipment, the major players in the market include Signify Holding, Heliospectra, and Freight Farms. In 2022, to meet increased customer demand, AeroFarms Danville VA established the world's largest aeroponic smart farm with the newest indoor vertical farm capable of growing over 3 million lb of fresh leafy greens annually.
