Vertical Farming Market Forecasts to 2032 – Global Analysis By Crop Type (Leafy Greens, Herbs, Fruits & Vegetables, Flowers & Ornamentals and Other Crop Types), Component (Hardware, Software and Services), Structure, System, Application and By Geography
Description
According to Stratistics MRC, the Global Vertical Farming Market is accounted for $6.2 billion in 2025 and is expected to reach $24.6 billion by 2032 growing at a CAGR of 21.8% during the forecast period. Vertical farming is a method of cultivating crops in vertically stacked layers within controlled environments, often using hydroponics, aeroponics, or aquaponics. This approach optimizes space usage, reduces reliance on arable land, and enhances resource efficiency by minimizing water and pesticide consumption. It enables year-round production regardless of external climate conditions and can be integrated into urban settings for localized food supply. Vertical farming supports sustainable agriculture and is increasingly adopted in response to rising population demands and environmental constraints.
According to a 2023 study published in Frontiers in Plant Science, vertical farming can use up to 95% less water compared to traditional field farming. According to the same study, controlled environments in vertical farms also help reduce crop losses due to weather variability.
Market Dynamics:
Driver:
Rising urban populations and declining arable land
As cities expand and rural land becomes increasingly scarce, vertical farming offers a viable solution by enabling crop cultivation in compact, controlled environments. This method not only optimizes space but also supports year-round production, making it ideal for densely populated regions. Moreover, with climate change further threatening conventional farming, vertical farming is emerging as a resilient alternative boosting the market growth.
Restraint:
Significant upfront investment and energy-intensive operations
Establishing a vertical farm requires substantial capital outlay for infrastructure, automation systems, and climate control technologies. Additionally, the reliance on artificial lighting and HVAC systems contributes to high energy consumption, raising sustainability concerns. These factors can deter small-scale growers and startups from entering the market. Without cost-effective solutions or government subsidies, scalability remains a challenge for many operators.
Opportunity:
Government support for resilient food systems
Governments worldwide are increasingly recognizing the role of vertical farming in enhancing food security and reducing environmental impact. Policy frameworks, subsidies, and research grants are being introduced to encourage investment in controlled-environment agriculture. Urban farming initiatives are gaining traction, especially in regions with limited arable land. Furthermore, vertical farming aligns with national goals around sustainability, resource efficiency, and climate resilience.
Threat:
Lack of standardized policies for indoor farming
Varying standards across regions can lead to compliance challenges, especially for companies operating in multiple geographies. Issues such as food safety, labeling, and environmental impact assessments are often handled differently, creating ambiguity. This regulatory fragmentation may hinder cross-border investments and slow down technology adoption. Establishing global benchmarks for indoor farming could mitigate these risks and streamline operations.
Covid-19 Impact:
The COVID-19 pandemic served as both a disruptor and a catalyst for the vertical farming industry. On one hand, supply chain interruptions and labor shortages affected production timelines and distribution networks. On the other, the crisis underscored the importance of localized, resilient food systems. As consumers sought safer, pesticide-free produce with minimal handling, vertical farms gained attention for their ability to deliver fresh crops directly to urban centers.
The fruits & vegetables segment is expected to be the largest during the forecast period
The fruits & vegetables segment is expected to account for the largest market share during the forecast period due to the high consumer demand for leafy greens, herbs, and nutrient-rich produce that can be grown efficiently in stacked layers. These crops have shorter growth cycles and are well-suited to hydroponic and aeroponic systems, making them economically viable for vertical farms. Their consistent yield and minimal space requirements contribute to their popularity among commercial growers.
The building-based vertical farms segment is expected to have the highest CAGR during the forecast period
Over the forecast period, the building-based vertical farms segment is predicted to witness the highest growth rate as these structures offer scalability, better climate control, and integration with urban infrastructure, making them ideal for metropolitan areas. Unlike container-based setups, building-based farms can support larger crop volumes and advanced automation systems. As cities prioritize sustainable development, building-based vertical farms are poised to become central to urban food ecosystems.
Region with largest share:
During the forecast period, the Asia Pacific region is expected to hold the largest market share driven by rapid urbanization, limited arable land, and strong government support. Countries like Japan, Singapore, and South Korea are leading the charge with smart-city initiatives and investments in agri-tech. The region’s dense population and growing demand for fresh produce make vertical farming a strategic necessity. Additionally, favorable policies and public-private partnerships are fostering innovation and infrastructure development, solidifying Asia Pacific’s leadership position.
Region with highest CAGR:
Over the forecast period, the North America region is anticipated to exhibit the highest CAGR owing to the region benefits from a robust technological ecosystem, strong venture capital presence, and increasing consumer awareness around sustainable food. Urban centers such as New York, Chicago, and Toronto are embracing vertical farming to reduce food miles and enhance local supply chains. Moreover, the integration of AI, IoT, and robotics into farming operations is driving efficiency and scalability.
Key players in the market
Some of the key players in Vertical Farming Market include UrbanKisaan, Urban Crop Solutions, Triton FoodWorks, Plenty, Mowreq Specialized Agriculture Co, Local Bounti, Kalera, Jones Food Company, Infarm, GoodLeaf Farms (TruLeaf), Emirates Bustanica, Eden Green Technology, Crop One Holdings, Bowery Farming, Badia Farms, AgriCool, AeroFarms, and 80 Acres Farms.
Key Developments:
In June 2025, AeroFarms, an indoor vertical farming company and the leading supplier of microgreens to the U.S. retail market, celebrates eight years of partnership with Whole Foods Market (WFM), working closely together to pioneer a new microgreens segment within the leafy microgreens category.
In May 2025, Plenty Unlimited Inc. an innovative agricultural technology company with a unique indoor vertical farming platform announced that it has successfully emerged from chapter 11, after the United States Bankruptcy Court for the Southern District of Texas confirmed its plan of reorganization.
Crop Types Covered:
• Leafy Greens
• Herbs
• Fruits & Vegetables
• Flowers & Ornamentals
• Other Crop Types
Components Covered:
• Hardware
• Software
• Services
Structures Covered:
• Building-Based Vertical Farms
• Shipping Container-Based Vertical Farms
Systems Covered:
• Hydroponics
• Aeroponics
• Aquaponics
• Terraponics
• Hybrid Systems
Applications Covered:
• Commercial
• Residential
• Research & Development
• Institutional
• Retail
• Other Applications
Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa
What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2024, 2025, 2026, 2028, and 2032
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliance
According to a 2023 study published in Frontiers in Plant Science, vertical farming can use up to 95% less water compared to traditional field farming. According to the same study, controlled environments in vertical farms also help reduce crop losses due to weather variability.
Market Dynamics:
Driver:
Rising urban populations and declining arable land
As cities expand and rural land becomes increasingly scarce, vertical farming offers a viable solution by enabling crop cultivation in compact, controlled environments. This method not only optimizes space but also supports year-round production, making it ideal for densely populated regions. Moreover, with climate change further threatening conventional farming, vertical farming is emerging as a resilient alternative boosting the market growth.
Restraint:
Significant upfront investment and energy-intensive operations
Establishing a vertical farm requires substantial capital outlay for infrastructure, automation systems, and climate control technologies. Additionally, the reliance on artificial lighting and HVAC systems contributes to high energy consumption, raising sustainability concerns. These factors can deter small-scale growers and startups from entering the market. Without cost-effective solutions or government subsidies, scalability remains a challenge for many operators.
Opportunity:
Government support for resilient food systems
Governments worldwide are increasingly recognizing the role of vertical farming in enhancing food security and reducing environmental impact. Policy frameworks, subsidies, and research grants are being introduced to encourage investment in controlled-environment agriculture. Urban farming initiatives are gaining traction, especially in regions with limited arable land. Furthermore, vertical farming aligns with national goals around sustainability, resource efficiency, and climate resilience.
Threat:
Lack of standardized policies for indoor farming
Varying standards across regions can lead to compliance challenges, especially for companies operating in multiple geographies. Issues such as food safety, labeling, and environmental impact assessments are often handled differently, creating ambiguity. This regulatory fragmentation may hinder cross-border investments and slow down technology adoption. Establishing global benchmarks for indoor farming could mitigate these risks and streamline operations.
Covid-19 Impact:
The COVID-19 pandemic served as both a disruptor and a catalyst for the vertical farming industry. On one hand, supply chain interruptions and labor shortages affected production timelines and distribution networks. On the other, the crisis underscored the importance of localized, resilient food systems. As consumers sought safer, pesticide-free produce with minimal handling, vertical farms gained attention for their ability to deliver fresh crops directly to urban centers.
The fruits & vegetables segment is expected to be the largest during the forecast period
The fruits & vegetables segment is expected to account for the largest market share during the forecast period due to the high consumer demand for leafy greens, herbs, and nutrient-rich produce that can be grown efficiently in stacked layers. These crops have shorter growth cycles and are well-suited to hydroponic and aeroponic systems, making them economically viable for vertical farms. Their consistent yield and minimal space requirements contribute to their popularity among commercial growers.
The building-based vertical farms segment is expected to have the highest CAGR during the forecast period
Over the forecast period, the building-based vertical farms segment is predicted to witness the highest growth rate as these structures offer scalability, better climate control, and integration with urban infrastructure, making them ideal for metropolitan areas. Unlike container-based setups, building-based farms can support larger crop volumes and advanced automation systems. As cities prioritize sustainable development, building-based vertical farms are poised to become central to urban food ecosystems.
Region with largest share:
During the forecast period, the Asia Pacific region is expected to hold the largest market share driven by rapid urbanization, limited arable land, and strong government support. Countries like Japan, Singapore, and South Korea are leading the charge with smart-city initiatives and investments in agri-tech. The region’s dense population and growing demand for fresh produce make vertical farming a strategic necessity. Additionally, favorable policies and public-private partnerships are fostering innovation and infrastructure development, solidifying Asia Pacific’s leadership position.
Region with highest CAGR:
Over the forecast period, the North America region is anticipated to exhibit the highest CAGR owing to the region benefits from a robust technological ecosystem, strong venture capital presence, and increasing consumer awareness around sustainable food. Urban centers such as New York, Chicago, and Toronto are embracing vertical farming to reduce food miles and enhance local supply chains. Moreover, the integration of AI, IoT, and robotics into farming operations is driving efficiency and scalability.
Key players in the market
Some of the key players in Vertical Farming Market include UrbanKisaan, Urban Crop Solutions, Triton FoodWorks, Plenty, Mowreq Specialized Agriculture Co, Local Bounti, Kalera, Jones Food Company, Infarm, GoodLeaf Farms (TruLeaf), Emirates Bustanica, Eden Green Technology, Crop One Holdings, Bowery Farming, Badia Farms, AgriCool, AeroFarms, and 80 Acres Farms.
Key Developments:
In June 2025, AeroFarms, an indoor vertical farming company and the leading supplier of microgreens to the U.S. retail market, celebrates eight years of partnership with Whole Foods Market (WFM), working closely together to pioneer a new microgreens segment within the leafy microgreens category.
In May 2025, Plenty Unlimited Inc. an innovative agricultural technology company with a unique indoor vertical farming platform announced that it has successfully emerged from chapter 11, after the United States Bankruptcy Court for the Southern District of Texas confirmed its plan of reorganization.
Crop Types Covered:
• Leafy Greens
• Herbs
• Fruits & Vegetables
• Flowers & Ornamentals
• Other Crop Types
Components Covered:
• Hardware
• Software
• Services
Structures Covered:
• Building-Based Vertical Farms
• Shipping Container-Based Vertical Farms
Systems Covered:
• Hydroponics
• Aeroponics
• Aquaponics
• Terraponics
• Hybrid Systems
Applications Covered:
• Commercial
• Residential
• Research & Development
• Institutional
• Retail
• Other Applications
Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa
What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2024, 2025, 2026, 2028, and 2032
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliance
Table of Contents
200 Pages
- 1 Executive Summary
- 2 Preface
- 2.1 Abstract
- 2.2 Stake Holders
- 2.3 Research Scope
- 2.4 Research Methodology
- 2.4.1 Data Mining
- 2.4.2 Data Analysis
- 2.4.3 Data Validation
- 2.4.4 Research Approach
- 2.5 Research Sources
- 2.5.1 Primary Research Sources
- 2.5.2 Secondary Research Sources
- 2.5.3 Assumptions
- 3 Market Trend Analysis
- 3.1 Introduction
- 3.2 Drivers
- 3.3 Restraints
- 3.4 Opportunities
- 3.5 Threats
- 3.6 Technology Analysis
- 3.7 End User Analysis
- 3.8 Emerging Markets
- 3.9 Impact of Covid-19
- 4 Porters Five Force Analysis
- 4.1 Bargaining power of suppliers
- 4.2 Bargaining power of buyers
- 4.3 Threat of substitutes
- 4.4 Threat of new entrants
- 4.5 Competitive rivalry
- 5 Asia Pacific Electric Two-Wheeler Market, By Vehicle Type
- 5.1 Introduction
- 5.2 Electric Scooters
- 5.3 Electric Motorcycles
- 5.4 Electric Mopeds
- 5.5 E-Bikes
- 6 Asia Pacific Electric Two-Wheeler Market, By Propulsion Type
- 6.1 Introduction
- 6.2 Battery Electric Vehicles (BEVs)
- 6.3 Hybrid Electric Vehicles (HEVs)
- 7 Asia Pacific Electric Two-Wheeler Market, By Battery Type
- 7.1 Introduction
- 7.2 Lithium-Ion Batteries
- 7.3 Lead-Acid Batteries
- 7.4 Nickel-Metal Hydride Batteries
- 7.5 Other Battery Types
- 8 Asia Pacific Electric Two-Wheeler Market, By Voltage Capacity
- 8.1 Introduction
- 8.2 Below 48V
- 8.3 48V to 72V
- 8.4 Above 72V
- 9 Asia Pacific Electric Two-Wheeler Market, By Battery Capacity
- 9.1 Introduction
- 9.2 < 25 Ah
- 9.3 25–50 Ah
- 9.4 > 50 Ah
- 10 Asia Pacific Electric Two-Wheeler Market, By Technology
- 10.1 Introduction
- 10.2 Plug-In
- 10.3 Battery Swap
- 11 Asia Pacific Electric Two-Wheeler Market, By End User
- 11.1 Introduction
- 11.2 Personal Use
- 11.3 Commercial Use
- 11.4 Government & Public Sector
- 11.5 Other End Users
- 12 Asia Pacific Electric Two-Wheeler Market, By Geography
- 12.1 Introduction
- 12.2 North America
- 12.2.1 US
- 12.2.2 Canada
- 12.2.3 Mexico
- 12.3 Europe
- 12.3.1 Germany
- 12.3.2 UK
- 12.3.3 Italy
- 12.3.4 France
- 12.3.5 Spain
- 12.3.6 Rest of Europe
- 12.4 Asia Pacific
- 12.4.1 Japan
- 12.4.2 China
- 12.4.3 India
- 12.4.4 Australia
- 12.4.5 New Zealand
- 12.4.6 South Korea
- 12.4.7 Rest of Asia Pacific
- 12.5 South America
- 12.5.1 Argentina
- 12.5.2 Brazil
- 12.5.3 Chile
- 12.5.4 Rest of South America
- 12.6 Middle East & Africa
- 12.6.1 Saudi Arabia
- 12.6.2 UAE
- 12.6.3 Qatar
- 12.6.4 South Africa
- 12.6.5 Rest of Middle East & Africa
- 13 Key Developments
- 13.1 Agreements, Partnerships, Collaborations and Joint Ventures
- 13.2 Acquisitions & Mergers
- 13.3 New Product Launch
- 13.4 Expansions
- 13.5 Other Key Strategies
- 14 Company Profiling
- 14.1 Yadea Group Holdings Ltd.
- 14.2 Hero Electric
- 14.3 Ultraviolette Automotive
- 14.4 Ather Energy
- 14.5 Emflux Motors
- 14.6 Okinawa Autotech
- 14.7 Super Soco
- 14.8 TVS Motor Company
- 14.9 Revolt Motors
- 14.10 NIU Technologies
- 14.11 Ampere Vehicles
- 14.12 Bajaj Auto
- 14.13 Terra Motors
- 14.14 Gogoro Inc.
- 14.15 Vmoto Soco
- List of Tables
- Table 1 Asia Pacific Electric Two-Wheeler Market Outlook, By Country (2024-2032) ($MN)
- Table 2 Asia Pacific Electric Two-Wheeler Market Outlook, By Vehicle Type (2024-2032) ($MN)
- Table 3 Asia Pacific Electric Two-Wheeler Market Outlook, By Electric Scooters (2024-2032) ($MN)
- Table 4 Asia Pacific Electric Two-Wheeler Market Outlook, By Electric Motorcycles (2024-2032) ($MN)
- Table 5 Asia Pacific Electric Two-Wheeler Market Outlook, By Electric Mopeds (2024-2032) ($MN)
- Table 6 Asia Pacific Electric Two-Wheeler Market Outlook, By E-Bikes (2024-2032) ($MN)
- Table 7 Asia Pacific Electric Two-Wheeler Market Outlook, By Propulsion Type (2024-2032) ($MN)
- Table 8 Asia Pacific Electric Two-Wheeler Market Outlook, By Battery Electric Vehicles (BEVs) (2024-2032) ($MN)
- Table 9 Asia Pacific Electric Two-Wheeler Market Outlook, By Hybrid Electric Vehicles (HEVs) (2024-2032) ($MN)
- Table 10 Asia Pacific Electric Two-Wheeler Market Outlook, By Battery Type (2024-2032) ($MN)
- Table 11 Asia Pacific Electric Two-Wheeler Market Outlook, By Lithium-Ion Batteries (2024-2032) ($MN)
- Table 12 Asia Pacific Electric Two-Wheeler Market Outlook, By Lead-Acid Batteries (2024-2032) ($MN)
- Table 13 Asia Pacific Electric Two-Wheeler Market Outlook, By Nickel-Metal Hydride Batteries (2024-2032) ($MN)
- Table 14 Asia Pacific Electric Two-Wheeler Market Outlook, By Other Battery Types (2024-2032) ($MN)
- Table 15 Asia Pacific Electric Two-Wheeler Market Outlook, By Voltage Capacity (2024-2032) ($MN)
- Table 16 Asia Pacific Electric Two-Wheeler Market Outlook, By Below 48V (2024-2032) ($MN)
- Table 17 Asia Pacific Electric Two-Wheeler Market Outlook, By 48V to 72V (2024-2032) ($MN)
- Table 18 Asia Pacific Electric Two-Wheeler Market Outlook, By Above 72V (2024-2032) ($MN)
- Table 19 Asia Pacific Electric Two-Wheeler Market Outlook, By Battery Capacity (2024-2032) ($MN)
- Table 20 Asia Pacific Electric Two-Wheeler Market Outlook, By < 25 Ah (2024-2032) ($MN)
- Table 21 Asia Pacific Electric Two-Wheeler Market Outlook, By 25–50 Ah (2024-2032) ($MN)
- Table 22 Asia Pacific Electric Two-Wheeler Market Outlook, By > 50 Ah (2024-2032) ($MN)
- Table 23 Asia Pacific Electric Two-Wheeler Market Outlook, By Technology (2024-2032) ($MN)
- Table 24 Asia Pacific Electric Two-Wheeler Market Outlook, By Plug-In (2024-2032) ($MN)
- Table 25 Asia Pacific Electric Two-Wheeler Market Outlook, By Battery Swap (2024-2032) ($MN)
- Table 26 Asia Pacific Electric Two-Wheeler Market Outlook, By End User (2024-2032) ($MN)
- Table 27 Asia Pacific Electric Two-Wheeler Market Outlook, By Personal Use (2024-2032) ($MN)
- Table 28 Asia Pacific Electric Two-Wheeler Market Outlook, By Commercial Use (2024-2032) ($MN)
- Table 29 Asia Pacific Electric Two-Wheeler Market Outlook, By Government & Public Sector (2024-2032) ($MN)
- Table 30 Asia Pacific Electric Two-Wheeler Market Outlook, By Other End Users (2024-2032) ($MN)
- Note: Tables for North America, Europe, APAC, South America, and Middle East & Africa Regions are also represented in the same manner as above.
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