1. Broan Inc.
2. GP Solutions, Inc.
3. Signify Holding
4. OSRAM GmbH.
5. Crop One Holdings
Due to the water shortage and adverse climate conditions, the Middle East and Africa region is witnessing need for innovative and alternative agricultural processes in various developing economies. The increased need for large production of food crops due to meager land arability and geographic factors is driving the market for vertical farming in the Middle East and Africa. Also, many companies are looking to capitalize on this factor by providing higher investments to their R & D departments. The emergence of new companies and expanding collaborations with international and domestic enterprises have significantly boosted the demand for innovative approaches to alternative farming practices. For instance, the Ministry of Environment, Water and Agriculture in Saudi Arabia has allocated USD 27 million to develop and localize vertical-farming technologies across the country.
On the other hand, taking the UAE alone, the population is projected to reach 11.5 million by 2025. This presents enormous challenges to the economy and food security. However, the vertical farming industry is projected to be a booming sector across the region, which can overcome these challenges. Also, vertical farming initiatives across the region have been supported by local governments as they can allow various economies to target their sustainable approach to the environment.
According to the report titled "Middle East & Africa Vertical Farming Market Outlook, 2027", published by Actual Research, the vertical farming market is expected to expand at a CAGR of 21.26% from 2022 to 2027. Vertical farms offer the prospect of growing more produce locally and better using the region’s limited water resources. These factors are projected to lead to the overall market growth during the forecast period. Middle east and Africa play an important role in the growth of the global vertical farming market. The Middle East & Africa vertical farming market is segmented into three major countries: the UAE, Saudi Arabia, and South Africa. Among these countries, South Africa is projected to lead the market by 2027 with more than 20% market share. As agricultural land is limited in South Africa, vertical farming is gaining more traction. Vertical farming can supply fresh food for those who cannot farm or whose soil conditions are not suitable for agriculture. Also, with the limited water resources in South Africa, they can grow more crops through vertical farming (as it consumes up to 95% less water than traditional farming). Furthermore, in South Africa, Pick n Pay On Nicol in Sandton and Pick n Pay Constantia in Cape Town are the first stores to launch vertical farms.
According to the report, the Middle East and Africa vertical farming market is segmented into three growth mechanisms: hydroponics, aquaponics, and aeroponics. Among these types, the hydroponics segment is projected to acquire a larger market share during the forecast period. The convenience provided by this growth mechanism and higher efficiency has directed significant market players to adopt this segment. In the UAE alone, there are more than 1,000 hydroponics farms. The country has grown from 50 to 1000 from 2009 to 2021.
Further, the market is segmented into two structure types: building-based vertical farming and shipping container-based vertical farming. Among these types, the building-based vertical farming market is expected to lead the market by more than 55% by 2027. The growing adoption of vertical farming in residential and commercial sectors has propelled the market growth for this segment.
Factors rising the growth of the vertical farming market in the middle east and Africa are the growing adoption of national agricultural policy programs in emerging economies, increasing levels of food consumption in the Middle East and Africa along with a growing population, an addition in trade activities such as grain and oilseed export, and the introduction of new technology are some of the significant and impactful aspects that will likely boost the growth of the vertical farming market.
Increasing demand for genetically modified seeds and rising consumer preferences for organic and specialty products will contribute to the expansion of the vertical farming market over the forecasted timeframe. Furthermore, the market is being driven by increased agreements between corporate companies and farmers for the supply and production of agricultural products. Additionally, organic products are safer than conventional products because they are not grown with chemically laden pesticides and are more suitable for the environment.
The impact of COVID-19 on significant economies in the Middle East and Africa region was severe. Due to growing infections, the government imposed a lockdown across various regions, and the Middle East & Africa was one of them. Social distancing norms and work-from-home scenarios have resulted in a lower labor force and a drop in the revenue generation for significant production plants. The supply chain was also heavily affected across the whole region. However, by the first quarter of 2021, market players regained their manufacturing at a higher pace to remain in the competition. Also, a change in consumer preference and increased demand for organic food has fuelled market growth in the Middle East and Africa.
Major Companies present in the market:
AeroFarms, Agrilution, American Hydroponics, Sky Greens, Freight Farms, GP Solutions, Inc., Farm.One, Inc., Pentair Aquatic Eco-systems Inc., NutraPonics Canada Corporation, 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
Considered in this report
• Geography: Middle East & Africa
• Historic Year: 2016
• Base year: 2021
• Estimated year: 2022
• Forecast year: 2027
Aspects covered in this report
• Middle East & Africa Vertical Farming Market with its value and forecast along with its segments
• Country wise vertical farming market analysis
• Application wise vertical farming distribution
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation
Countries covered in the report
• Saudi Arabia
• South Africa
Based on Growth Mechanism of vertical farming in the report:
Based on structure type of vertical farming in the report:
• Building based-vertical farming
• Shipping based-vertical farming
Based on hydroponics components of vertical farming in the report:
• Climate Control (HVAC)
• Other Hydroponic Components (Irrigation & fertigation system)
Based on application type in the report:
• Indoor-vertical farming
• Outdoor-vertical farming
Based on crop type in the report:
• Bell & Chili peppers
• Leafy Greens (excluding lettuce)
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, analysing 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.
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agricultural industry, food & beverage 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.
Keywords: Global vertical farming market size, herbal, botanical, Skyscraper farming, Agricultural techniques, Vertical Farming Market In Middle East, Vertical farming component, farming equipment, Tomato Lettuce vertical farming, Bell & Chili, food & beverage, market demand of vertical farming, hydroponics, aeroponics, aquaponics, shipping container vertical farming, top vertical farming countries, top vertical farming companies, top hydroponics farming by countries, Middle East, Africa, UAE, Saudi Arabia, South Africa.
This report would help you answer the following questions:
1. At what rate Middle East & Africa vertical farming market is anticipated to grow?
2. Which country is leading the market by 2027?
3. How many types of growth mechanisms are explained in the report?
4. Where is the biggest vertical farm?
5. Who was the founder of vertical farming?
List of Figures
Figure 1: Global Vertical Farming Market Size By Value 2016 to 2027F (In USD Million)
Figure 2: Global Vertical Farming Market Share By Growth Mechanism (2016, 2021&2027F)
Figure 3: Global Vertical Farming Market Share By Structure (2016, 2021&2027F)
Figure 4: Global Vertical Farming Market Share By Component (2016, 2021&2027F)
Figure 5: Global Vertical Farming Market Share By Application Type (2016, 2021&2027F)
Figure 6: Global Vertical Farming Market Share By Crop Type (2016, 2021&2027F)
Figure 7: Middle East & Africa Vertical Farming Market Size By Value 2016 to 2027F (In USD Million)
Figure 8: Middle East & Africa Vertical Farming Market Share By Growth Mechanism (2016, 2021&2027F)
Figure 9: Middle East & Africa Vertical Farming Market Share By Structure (2016, 2021&2027F)
Figure 10: UAE Vertical Farming Market Size By Value 2016 to 2027F (In USD Million)
Figure 11: UAE Vertical Farming Market Share By Growth Mechanism (2016, 2021&2027F)
Figure 12: UAE Vertical Farming Market Share By Structure (2016, 2021&2027F)
Figure 13: Saudi Arabia Vertical Farming Market Size By Value 2016 to 2027F (In USD Million)
Figure 14: Saudi Arabia Vertical Farming Market Share By Growth Mechanism (2016, 2021&2027F)
Figure 15: Saudi Arabia Vertical Farming Market Share By Structure (2016, 2021&2027F)
Figure 16: South Africa Vertical Farming Market Size By Value 2016 to 2027F (In USD Million)
Figure 17: South Africa Vertical Farming Market Share By Growth Mechanism (2016, 2021&2027F)
Figure 18: South Africa Vertical Farming Market Share By Structure (2016, 2021&2027F)
Figure 19: Market Attractiveness Index, 2021
Figure 20: Market Attractiveness Index, 2027F
List of Tables
Table 1: Top 10 Counties Economic Snapshot 2020
Table 2: Economic Snapshot of Other Prominent Countries 2020
Table 3: Average Exchange Rates for Converting Foreign Currencies into U.S. Dollars
Table 4: Global Vertical Farming Market Share By Region (2016, 2021&2027F)
Table 5: Global Vertical Farming Market Share By Country (2016, 2021&2027F)
Table 6: Global Vertical Farming Market Share By Company By Value (2020)
Table 7: Middle East & Africa Vertical Farming Market Share By Country (2016, 2021&2027F)
Table 8: Key Facts of GP Solutions, Inc.
Table 9: Key Facts of Signify Holding
Table 10: Key Facts of OSRAM GmbH
Table 11: Key Facts of Crop One Holdings
Table 12: Key Facts of Urban Crop Solutions
Table 13: Key Facts of Everlight Electronics co. Ltd
Table 14: Key Facts of AGM Services
Table 15: Key Facts of ZipGrow Inc.
Table 16: Key Facts of Koninklijke Philips NV
1. Broan Inc.
2. GP Solutions, Inc.
3. Signify Holding
4. OSRAM GmbH.
5. Crop One Holdings
6. Urban Crop Solutions
7. Everlight Electronics co. Ltd
8. AGM Services
9. ZipGrow Inc.