Hydroponic is an advanced technology that involves growing of plants without soil. Hydroponic gardens offer all the nutrients to the plant without involving soil, sunlight, and extra labor. It involves the growth of plants in water. All the essential nutrients are dissolved in the water and supplied to the plant on a regular basis for proper development. Hydroponically grown vegetables are high quality and require very little washing.
Global hydroponic vegetables market was valued at US$ 10200 Million in 2021 in terms of revenue, exhibiting a CAGR of 5.8 % during the forecast period (2022 to 2030).
Drivers
Growing demand for locally or regionally produced vegetables is primarily fueling the market growth of hydroponic vegetables. Rising demand for fresh and organic food products due to increasing awareness regarding the health benefits of organic food products. Moreover, growing demand for the clean label with natural ingredients is also expected to foster the market growth of the hydroponic vegetables over the forecast period.
Rising prevalence of soil-borne disease caused due to microorganisms present in the soil is expected to foster the market growth of hydroponic vegetable. These microorganisms cause damages to the root of the plant and lead to the death of the plant. Moreover, the consumption of contaminated or diseased plants may lead to various health issues and in these cases, hydroponic plants are suitable alternative in order to prevent soil-borne disease. Thus, growing soil-borne disease is expected to augment the market growth of the hydroponic plant.
The covid-19 crisis seems to have catalyzed the interest in hydroponics. Syed Nadeem, proprietor of Chennai-based Shaaz Agriculture Solutions, confirms this. “There has been a sudden increase in enquiries about hydroponics after the pandemic hit," says Nadeem, adding that many people now want to grow their own vegetables organically. “Anyone passionate about farming or gardening can do it," he says.
Figure 1. Global Hydroponic Vegetables Market Value Share (%), By Region, 2021
Europe region dominated the global hydroponic vegetables market, accounting for 53.8% share in terms of value, followed by North America and Asia Pacific, respectively.
Market Restraints
High energy consumption as compared to traditional farming is expected to restraint the market growth of the hydroponic vegetable. Traditional farming completely depends on direct sunlight and involves a simple irrigation system whereas hydroponic cultivation requires artificial temperature and lightening controls, this is increasing overall energy costs thus hindering the market growth.
| Report Coverage | Details | ||
|---|---|---|---|
| Base Year: | 2021 | Market Size in 2021: | US$ 10200 Mn |
| Historical Data for: | 2017-2020 | Estimated Year: | 2022 |
| Forecast Period 2022 to 2030 CAGR: | 5.8 % | Forecast Period: | 2022-2030 |
| Geographies covered: |
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| Companies covered: |
AMCO Produce Inc., Eden Farms, Hollandia Produce, L.P., Bright Farms Inc, Soave Enterprises LLC., Village Farms International, Inc., Platinum Produce Company, Millennium Pacific Greenhouses Ltd., Emirates Hydroponics Farms, and Thanet Earth Ltd. |
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Market Trends
Growing demand for iceberg lettuce especially from service outlets is a major trend and this trend is projected to propel the market growth of hydroponic vegetables. According to the Coherent Market Insights analysis, McDonald's uses a substantial amount of hydroponically-grown iceberg lettuce in burgers. In Puerto Rico alone, McDonald's consumes over 45,000 pounds of iceberg lettuce every month.
Figure 2. Global Hydroponic Vegetables Market Value Share (%), By Distribution Channel 2021
On the basis of distribution channel, the hypermarket & supermarket segment has accounted the largest market share of 43.30% in terms of value, followed by grocery stores and whole foods & specialty stores segment respectively.
Recent Developments
Competitive Section
Major players operating in the global hydroponic vegetables market include AMCO Produce Inc., Eden Farms, Hollandia Produce, L.P., Bright Farms Inc, Soave Enterprises LLC., Village, Farms International, Inc., Platinum Produce Company, Millennium Pacific Greenhouses Ltd., Emirates Hydroponics Farms, Thanet Earth Ltd.
The hydroponics market consists of sales of hydroponics solutions by entities (organizations, sole traders, and partnerships) that refer to the method of growing plants in a water-based, nutrient-rich solution. This approach allows roots to absorb nutrients from the water and meet their growth needs. Furthermore, this method can grow plants in liquid, sand, or gravel by adding nutrients. Farmers and growers widely use hydroponics to grow vegetables, herbs, fruits, and flowers hydroponically.
Market Dynamics
Rising prevalence of soil-borne disease caused due to microorganisms present in the soil is expected to foster the market growth of hydroponic vegetable. These microorganisms cause damages to the root of the plant and lead to the death of the plant. Moreover, the consumption of contaminated or diseased plants may lead to various health issues and in these cases, hydroponic plants are suitable alternative in order to prevent soil-borne disease.
Increasing spending on the cultivation of hydroponic vegetables by the government to meet the rising demand around the globe is projected to augment market growth. Growth of urban population and increasing disposable income of the population is boosting demand for fruits, salad, and other convenience food products. All these factors are projected to augment the market growth of the hydroponic vegetables over the forecast timeframe.
Lack of government policy and tax breaks across emerging countries is expected to curb the market growth of the hydroponic vegetable over the forecast period.
Key features of the study:
Detailed Segmentation
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