Europe Vertical Farming Market Trends 2025



08 June 2020

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Europe Vertical Farming Market was worth USD 0.85 billion in 2020 and is expected to be growing at a CAGR of 22%, to touch USD 2.31 billion by 2025.

Vertical Farming is the latest development in farming, wherein the control is exercised over the environmental influences which affect plants or crops. In the Vertical Farming process, foods and medicines are produced in vertically stacked layers, inclined surfaces and/or in structures like warehouses, shipping containers, skyscrapers, etc.

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With the introduction of Controlled-Environment-Agriculture(CEA) and indoor farming techniques, Vertical Farming techniques control factors like the amount of light, environmental factors like temperature, humidity, gases, etc., and fertigation factors which include the application of fertilizers and other soil products. In some Vertical Farms, natural light is used in conjunction with artificial lighting and metal reflectors, similar to greenhouses.

The major driving force of the Europe market is the increasing consumer demand for organic foods, foods free from pesticides and genetically modified organisms (GMOs) is the major driving force of the market. The utility of artificial lighting to enhance the yield, health and growth rate of plants coupled with lower dependency on the weather for production is driving the market from the producer side. The above factors accompanied by the growth in the use of technology such as the Internet of Things in Vertical Farming and increase in the annual production of crops are predicted to exponentially boost the market growth. High costs of lighting equipment and continuous maintenance requirement are the constraints faced by the Vertical Farming market.

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Market Segmentation:

The Europe Vertical Farming market is segmented by

Growth Mechanism
Crop Type
The Europe market has been geographically segmented into Germany, U.K, France, Spain, and Italy. In 2020Europe had the second-highest share of the global Vertical Farming market share due to consumer demand and technological advances & availability in the Vertical Farming market in Europe. Further, France is in the lead, followed by Germany, Spain, Italy, and the United Kingdom. Currently, in Europe, land farmers are moving from providing land-based to Vertical Farming methods because of the benefits they offer. This is being majorly promoted by the increasing technological feasibility of vertical farming methods.

Key Players:

The key players involved in the growth of the Europe vertical farming market are Illumitex Inc. (U.S.), Aerofarms (U.S.), Koninklijke Philips N.V. (The Netherlands), and Sky Greens (Singapore) among others.



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