Vertical Farming Market Size To Reach $39.20 Billion By 2033

Vertical Farming Market Growth & Trends 

The global vertical farming market size is expected to reach USD 39.20 billion by 2033, registering a CAGR of 19.3% from 2026 to 2033, according to a new report by Grand View Research, Inc. Increased use of Internet of Things (IoT) sensors for producing crops is likely to spur market demand over the forecast period. Information obtained from the sensors is stored on the cloud and analyzed to perform the required actions. The growing automation in agriculture and increasing use of big data and predictive analytics for maximizing yields are also likely to drive the market.

Vertical farming is effective in ensuring stability in crop production and maintaining reliability even in adverse climatic conditions. It provides multiple benefits over the traditional farming technique, such as less use of water, the lesser need for agrochemicals, and low dependence on agricultural labor. Vertical farming makes use of metal reflectors and artificial lighting to maximize natural sunlight.

Genetically modified organisms and the environmental and health effects of pesticides and other non-natural substances that are used for increasing agricultural production have encouraged consumers to adopt organic foods. According to the Organic Trade Association, the U.S. organic industry sales increased by around 5% in 2019 owing to the increased investment in infrastructure and education. As per the Organic Foods Production Act of 1990, the handlers and growers of organic products need to comply with the regulations.

Artificial lighting helps in extending the hours of natural daylight, which further increases the health, growth rate, and yield of the plants. Artificial lighting such as high-pressure sodium lighting and LED lighting can extend the availability of crops (throughout a season). LED lighting systems produce a dual-band color spectrum and generate low heat. They are anticipated to witness significant growth over the forecast period.

A hydroponic system is a method of growing plants without soil. A hydroponic system eliminates the need for pesticides and artificial ripening agents and helps in producing nutritionally-rich vegetables. However, factors such as high initial investment and fewer crop varieties are likely to restrain the market growth.

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Vertical Farming Market Report Highlights

• The hardware segment accounted for the largest market share of over 61.0% in 2025 in the vertical farming market. Hardware plays a significant role in maintaining an environment in vertical farming.

• The hydroponics segment accounted for the largest market share in 2025 in the vertical farming market. Hydroponics is a popular growth mechanism due to low installation costs and ease of operation.

• The fruits, vegetables, & herbs segment accounted for the largest market share in 2025 in the vertical farming industry. Increasing cultivation of commonly grown fruits and vegetables in vertical farming is driving segment growth.

• The shipping container segment dominated the market in 2025. This growth is attributed to the ability of structure to help grow crops irrespective of geographic location. One of the primary benefits of container-based farming is that container farms are easy to transport, and one doesn't require a large piece of land or dedicated building to start cultivating.

•  North America held the major share of over 33.0% of the vertical farming industry in 2025. Advancements in hydroponic and aeroponic farming techniques are also contributing to the growth of the vertical farming market in North America.

Vertical Farming Market Segmentation

Grand View Research has segmented the global vertical farming market on the basis of component, growing mechanism, crop category, structure, and region:

Vertical Farming Component Outlook (Revenue, USD Million, 2021 - 2033)

• Hardware

  • Lighting

  • Hydroponic Components

  • Climate Control

  • Sensors

• Software

• Services

  • System Integration & Consulting

  • Managed Services

  • Assisted Professional Services

Vertical Farming Growing Mechanism Outlook (Revenue, USD Million, 2021 - 2033)

• Aeroponics

• Hydroponics

• Aquaponics

Vertical Farming Crop Category Outlook (Revenue, USD Million, 2021 - 2033)

• Fruits Vegetables, & Herbs

  • Tomato

  • Lettuce

  • Bell & Chili Peppers

  • Strawberry

  • Cucumber

  • Leafy Greens

  • Herbs

  • Others

• Flowers & Ornamentals

  • Perennials

  • Annuals

  • Ornamentals

• Others

Vertical Farming Structure Outlook (Revenue, USD Million, 2021 - 2033)

• Shipping Container

• Building Based

Vertical Farming Regional Outlook (Revenue, USD Million, 2021 - 2033)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • France

  • Spain

  • Italy

• Asia Pacific

  • China

  • India

  • Japan

  • South Korea

  • Singapore

• Latin America

  • Brazil

• Middle East & Africa

  • UAE

  • Saudi Arabia

  • South Africa

List of Key Players in the Vertical Farming Market

• AGEYE Technologies

• American Hydroponics

• Argus Control Systems Limited

• CubicFarm Systems Corp.

• EVERLIGHT ELECTRONICS CO., LTD.

• FOSHAN REINFA AGTECH CO., LTD.

• iFarm

• Intelligent Growth Solutions Limited

• LOGIQS B.V.

• OnePointOne

• Signify Holding

• Vertical Farm Systems