The global livestock grow lights market size was valued at USD 6.7 billion in 2018. It is expected to witness a CAGR of 6.8% from 2019 to 2025. An increase in the consumption of animal-based products is anticipated to spur market growth over the forecast period. Moreover, rising focus on increase in domestic animals to increase livestock production is expected to drive the growth of the market for livestock grow lights. The adoption of smart livestock farming practices in developed countries such as U.K., Germany, and Uruguay, is also estimated to drive demand for grow lights in livestock barns.
The growing population of livestock in advanced economies such as the U.S., U.K., China, Germany, are expected to increase the demand of grow lights for livestock farming over the forecast period. The lighting manufacturers are focusing on strategic alliances to expand their share in the market for livestock grow lights. This is expected to emerge as a significant trend in the market. Prominent manufacturers of LED lighting in these countries include Signify Holding and OSRAM GmbH.
The technological innovations such as the development of low energy LED lights in the livestock industry aim at improving productivity in the livestock business and make the farmer’s life easier. Grow light technology helps in expanding the hours of the natural daylight, which improves the health of the animals. Artificial lighting, such as LED lighting, fluorescent lights, can extend the productivity of animals. However, lack of information towards the adoption of technology for smart livestock farming, especially in developing countries, is hampering the overall growth of the market for livestock grow lights.
U.K. held a significant share in the European market in 2018 owing to the adoption of U.S. style intensive factory farming for poultry, cattle, and swine. Countries such as U.K. and Germany are expected to generate considerable revenue in the coming years owing to presence of several lighting manufacturers for farm animals. In the Asia Pacific region, China and India are expected to portray a significant growth rate over the forecast period. The adoption of smart technologies for farms in order to reduce input cost is driving the market for livestock grow lights in the Asia Pacific region.
Based on type, the market has been further segregated into fluorescent, incandescent, light-emitting diode (LED), and high-intensity discharge (HID). The fluorescent light segment dominated the market for livestock grow lights in 2018 and accounted for more than 35% of the total market share. Fluorescent lights are the primary light source in dairy production. They are highly energy-efficient compared to the incandescent light bulbs, which have long life cycles, and provide good quality light for animals. Furthermore, better performance of fluorescent lights as compared to high-intensity discharge lamps and the incandescent light bulb is expected to continue dominating the market over the forecast period.
The LED light segment is projected to exhibit the highest CAGR over the forecast period. Increasing usage of LED lights in barns owing to higher energy efficiency, extended durability, and fully dimmable features is expected to drive segment growth. Besides, LEDs require minimal maintenance and have a longer lifespan. LED lights provide a wide array of the spectrum that could be tailored to the required spectrum as per the spectral sensitivity of the animals. By optimizing radiation and various spectrum levels, farmers are expected to build a lighting environment for animal wellbeing.
The cattle segment dominated the market for livestock grow lights in 2018 and held the largest share exceeding 60% owing to the increasing number of cattle and production of cattle across the world. Grow lights help to improve the output of milk production from dairy cattle in dairy farms, whereas in beef cattle, grow light helps in stimulating the muscle growth of beef to increase meat production. The cattle industry had more than USD 50.2 billion of production in 2018 in the U.S. The growing demand for dairy products such as cheese, milk, butter, and yogurt in developed and developing economies is expected to drive the demand for grow lights in cattle farms.
The poultry segment is expected to register a considerable CAGR over the forecast period. The aggressiveness of turkey and chicken is reduced when kept in low lighting conditions, which makes them less active, and they may put on weight owing to the presence of grow lights in the barns. Layers and broilers are domesticated in order to produce meat and eggs to serve increasing consumption. Furthermore, the chick’s feathers are extremely reflective in grow lights, which helps the hen to calculate the health of its chicks and allows it to take more care for a healthier chick with more feathers by observing the reflection. The growth of the segment can be attributed to the rising consumption of chicken across the world.
The retrofit installation segment dominated the livestock grow lights market in 2018. The segment is estimated to register a CAGR of 5.6% over the forecast period. Retrofit can be done rapidly and cheaply, as it is a temporary solution before a considerable renovation of the barns. Moreover, a retrofit can be successful with multiple bedding sources, including sand, sawdust, and Syracuse fiber, which provides flexibility for producers to source different bedding in the future.
On the other hand, the new installation segment is expected to register significant growth during the forecast period. The segment is expected to exhibit a CAGR of 8.6% from 2019 to 2025. In the new installation, the overall fixture is changed including the ballasts and the lamps. The ballasts regulate the current in the lamp and provides enough voltage to start the lamp. The increasing population of the livestock and need to meet the demand for the animal-based products by the consumers leads to the expansion of the farms, which propels the demand for a new installation of the barns.
Based on light color type, the market for livestock grow lights has been segregated into red, green, white, and blue. The blue color segment dominated the market in 2018 and is estimated to continue dominating the market for livestock grow lights in the coming years. The blue color segment accounted for more than 35% of the market share. The exposure of blue light during the daytime enhances health and increases the productivity of the livestock. For instance, dairy cows produce more milk, and beef cattle grow rapidly and reach the maturity level at an early stage. In addition, blue color light relieves stress and helps in promoting the growth of the chickens.
The white color segment is expected to witness the highest CAGR in the coming years. The use of white color light in the livestock farms resembles the color temperature of natural daylight. The animals feel more relaxed in the white light. White light consists of wavelengths of the visible spectrum; however, it differs in terms of color temperature depending on the spectral characteristics. Two colors are used in the poultry houses, such as 4100K light, known as neutral-white, which is close to the color temperature of light sources, and 6,065K light, known as cold-white, which contains a higher power emission from the shorter wavelength. The 6,065K cold-white light is the natural choice of an ancestor of the modern chickens.
Europe region dominated the market for livestock grow lights in 2018 by accounting for more than 30% revenue share of the global market. The adoption of smart livestock technologies to increase farm's profit is driving the market for livestock grow lights in the region. Additionally, increasing demand for meat, beef, and high-quality dairy products is expected to drive the usage of grow lights in the livestock barns over the forecast period as grow lights helps in increasing the productivity of livestock.
Asia Pacific is anticipated to exhibit the highest CAGR over the forecast period owing to the presence of a large livestock population in the region. Rising livestock population leads to an increase in the size of the existing farms. Increasing number of new livestock farms is further expected to fuel regional growth. Additionally, factors such as rising disposable income and an increase in the purchasing power of people lead to a rise in the demand for animal-based products such as meat and eggs. Livestock plays a critical role in economic development as it improves the lives of the farmers in developing economies of the Asia Pacific region.
The prominent players in the market for livestock grow lights include Signify Holding (U.K.); OSRAM GmbH (Germany); Big Dutchman (Germany); HATO BV (Netherlands); DeLaval Inc. (Sweden); Greengage Lighting and Agri-tech (U.K.), Once Inc. (U.S.); Fienhage Poultry-Solutions GmbH (Germany). These companies accounted for a significant share of the market for livestock grow lights in 2018. The industry participants are focusing on the expansion of poultry farms and mergers and acquisitions. For instance, in May 2019, Signify Holding acquired two livestock lighting companies, namely Once Inc., and ilox GmbH. With this agreement, both the companies could improve the quality of life for livestock by providing tailor-made lighting system. In August 2019, Uni-lightled.com merged with Meltron AB. The merger is expected to profit both the companies through expansion of the sales force of LED lighting in Germany and Finland.
Base year for estimation
Actual estimates/Historical data
2014 - 2017
2019 - 2025
Revenue in USD Billion and CAGR from 2019 to 2025
North America, Europe, Asia Pacific, South America, and Middle East & Africa
U.S., Canada, Mexico, U.K., Germany, France, China, Japan, India, and Brazil
Revenue forecast, company share, competitive landscape, growth factors, and trends
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This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global livestock grow lights market report on the basis of type, livestock, installation type, light color type, and region:
Type Outlook (Revenue, USD Billion, 2014 - 2025)
Livestock Outlook (Revenue, USD Billion, 2014 - 2025)
Installation Type Outlook (Revenue, USD Billion, 2014 - 2025)
Color Type Outlook (Revenue, USD Billion, 2014 - 2025)
Regional Outlook (Revenue, USD Billion, 2014 - 2025)
Middle East & Africa
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