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Global Indoor Farming Market Research Report, 2027

Global Indoor Farming Market Research Report, 2027

Actual Market Research 28-06-2022 190 Pages Figures : 98 Tables : 42 Region : Global Category : Food & Beverages Agriculture

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1. Netafim Limited

2. Heliospectra AB

3. AeroFarms

4. Agrilution

5. American Hydroponics

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Each year, more arable land is lost to desertification and erosion from human industrial activities across the globe. In the last 40 years, 33% of the world’s arable land has been lost to erosion or population. In addition to that, 4 Billion people (two thirds of the world’s population) experience major water shortages for at least one month each year. Based on the current situation, it is expected that by 2025, half of the world’s population will be facing water scarcity. Further, by 2050, the world’s population is projected to grow to 9.7 Billion people. Feeding them is going to be a major concern for many industries. However, indoor farming can be a viable option to overcome these threats. The method of growing plants and crops on a large scale entirely indoors and with the help of various growth mechanisms and artificial lights is known as indoor farming. In comparison to traditional farming, 70 to 95% of the water used in indoor farming is recycled. Also, there is no issue of pests or any other diseases because in this method, 90% less or no soil is used. Most commonly, fruits, vegetables, and herbs are grown in indoor farms. However, other varieties of plants can also be grown by the same method. Indoor farming is popular in those regions where it is difficult to find agricultural land. According to the report titled "Global Indoor Farming Market Research Report, 2027", published by Actual Market Research, the global indoor farming market size was calculated to be more than USD 15000 Million in 2021 and is expected to expand at a CAGR of 14.61% from 2022 to 2027. Increasing consumer awareness regarding the benefits of consuming fresh and high-quality food is anticipated to boost the market growth in the forecast period. In addition to that, governments are encouraging the building of indoor farms across the globe with other initiatives. Indoor farms help grow the total crop yield per unit area by using stacked layer formation, which accelerates the market growth. The global indoor farming market is segmented into five major regions, including North America, Europe, Asia-Pacific, South America, and the Middle East & Africa. Among these regions, Europe is anticipated to lead the market with more than 30% of the market share. Owing to higher adoption of advanced technologies and increasing awareness of organic food consumption across the region, Europe is expected to dominate the market. The Asia-Pacific region, on the other hand, is expected to be the fastest-growing region for the indoor farming market. Increasing population across this region has increased the demand for indoor farming. Furthermore, based on the countries, the USA dominated the global indoor farming market in 2021. Indoor farming has become highly popular among farmers in the USA as it helps them to produce more crops and vegetables with a low requirement of resources. Also, indoor farming reduces negative environmental impacts. Similarly, with changing lifestyles, consumers prefer to grow the various essential crops on a smaller scale. These factors are supporting the growth of the indoor farming market. Based on the growth mechanism, the global indoor farming market is segmented into five growth mechanisms, including hydroponics, aeroponics, aquaponics, soil-based, and hybrid. Among these types, soil-based indoor farming dominated the overall market in base year 2021. However, consumers are increasingly using the hydroponics method of growing plants as it allows faster growth and higher yields. Based on the obtained data, it is expected that by 2027, more than USD 8000 Million in market size is going to be added to hydroponics revenue generation. According to the report, the global indoor farming market is segregated into various facility types, including vertical farms, indoor greenhouses, deep water culture (DWC), and others. Among these types, the indoor greenhouse segment is projected to acquire the highest market share during the forecast period. The onset of urban population dwellings across cities such as New York, Chicago, etc. has propelled the environment for indoor greenhouse farming activities. Also, the demand for greenhouse crops is escalating as time passes. These factors are propelling higher market growth for the segment. Based on the component types, hardware components are leading the market in 2021. However, the technological revolution across the globe drives the market for the software and services segment. In the crop product segment, leafy greens and tomatoes account for more than 40% of the market share. On the other hand, the bell and chili pepper segment is projected to be the fastest growing segment in the global indoor farming market. Covid-19 impact: The COVID-19 outbreak led to the closure or partial lockdown of many industries, warehouses, and businesses across the globe. Imposed strict lockdown measures, lower public movements, and social distancing norms have impacted the overall market growth. Also, a large number of industries have witnessed disruptions in supply chain operations and logistics. Due to these factors, the market has witnessed a major drop. However, the pandemic has compelled governments to shift their focus towards the health sector. Changes in consumer preference towards the agriculture industry have propelled the higher demand for indoor farming by the first quarter of 2021. Also, growing awareness towards organic food consumption has fuelled the faster market growth in the global indoor farming market. Major Companies present in the market: Netafim, Logiqs B.V., General Hydroponics Inc., Richel Group S.A., Vertical Farms System Limited, Everlight Electronics Co., Ltd., AeroFarms, Agrilution, American Hydroponics, Sky Greens, Freight Farms, GP Solutions, Inc., Farm.One, Inc., Pentair Aquatic Eco-systems Inc., Nelson and Pade, Inc., ECF Farmsystems GmbH, Signify Holding, Heliospectra AB, Lumigrow, Inc., OSRAM GmbH., Crop One Holdings, Plenty Unlimited Inc., Urban Crop Solutions, Brightfarms, Inc., Aponic Limited, CEL Group of Companies (Conviron) Considered in this report • Geography: Global • Historic Year: 2016 • Base year: 2021 • Estimated year: 2022 • Forecast year: 2027 Aspects covered in this report • Global Indoor Farming Market with its value and forecast along with its segments • Region & country wise Indoor Farming market analysis • Application wise Indoor Farming distribution • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation Regions covered in the report • North America (US, Canada, Mexico) • Europe (Germany, UK, France, Italy, Spain, Netherlands) • Asia-Pacific (China, Japan, Taiwan, Singapore, South Korea) • Latin America (Brazil, Argentina, Colombia) • Middle-East & Africa (UAE, Saudi Arabia, South Africa) Based on type of growth mechanism in the report: • Hydroponics • Aeroponics • Aquaponics • Soil-based • Hybrid Based on facility type of indoor farming in the report: • Vertical Farms • Indoor Greenhouses • Others Based on component type of indoor farming in the report: • Hardware (Lighting, Climate control, Sensors & Others) • Software & Services Based on Crop type in the report: • Fruits, vegetable & herbs • Flowers & ornamentals • Others Based on crop product type in the report: • Leafy greens (including lettuce) • Tomatoes • Cucumber • Strawberry • Bell & Chilli pepper • Herbs & Micro-greens • Ornamentals • Annuals • Perennials • Others The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to pharmaceutical industry, food &beverage industry, cosmetic industry, nutrition industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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