Hydroponics Industry Overview

The global hydroponics market size was valued at USD 5.00 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 12.4% from 2024 to 2030.

The rapid growth in this sector is linked to the expanding utilization of hydroponic systems in the indoor cultivation of vegetables. Additionally, the increasing acceptance of alternative farming approaches for growing cannabis is experiencing a swift surge. This trend is propelled by the legalization of marijuana in various countries, including Canada, the Czech Republic, South Africa, and others. A growing awareness among consumers about the adverse effects of pesticides and artificial ripening agents on health is anticipated to fuel the demand for hydroponics. This is because hydroponic cultivation eliminates the necessity for such products, resulting in the production of nutritionally superior vegetables. Moreover, the low installation costs and operational simplicity of these systems are poised to further stimulate their adoption throughout the forecast period.

Gather more insights about the market drivers, restrains and growth of the Hydroponics Market

Hydroponic agriculture is a technique for cultivating plants without traditional soil, replacing it with a mineral solution strategically placed around the plant roots. In this method, plant roots are immersed in a chemical solution regularly monitored to uphold the correct chemical composition for optimal growth. Consequently, the hydroponic approach mitigates the risk of diseases caused by soil organisms. Furthermore, plants cultivated hydroponically yield greater outputs compared to their soil-grown counterparts due to precise control over nutrient levels.

The escalating global population is generating a heightened demand for food. As per the Food and Agriculture Organization (FAO) of the United Nations (UN), the world's population is projected to reach 9.1 billion by 2050, necessitating a corresponding increase in food production ranging from 25% to 70%. This surge is expected to propel the need for alternative farming technologies capable of delivering high yields within shorter timeframes. Particularly in regions like the Asia Pacific and Europe, where arable land and water resources are becoming increasingly scarce, there is a noticeable uptick in the adoption of alternative high-yield farming technologies, contributing to anticipated market growth.

Progress in climate control, nutrient farming techniques, sensing technologies, and related areas is anticipated to impact market expansion positively throughout the forecast period. Providers of hydroponics farming solutions present consumers with diverse tools for monitoring and overseeing their crops, including an array of sensors, web platforms, software, and mobile applications. One notable example is SmartBee Technology, Inc., which offers farmers real-time control through offerings such as irrigation controls, water and nutrient sensors, environmental sensors, and dedicated software.

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• The global climate adaptation market size was estimated at USD 25.45 billion in 2023 and is projected to grow at a CAGR of 10.5% from 2024 to 2030.
• The global AI in aerospace and defense market size was valued at USD 22.45 billion in 2023 and is projected to grow at a CAGR of 9.8% from 2024 to 2030. 

Hydroponics Market Segmentation

Grand View Research has segmented global hydroponics market report based on type, crop type, crop area, and region

Hydroponics Type Outlook (Revenue, USD Billion, 2017 - 2030)

• Aggregate Systems
• Liquid Systems

Hydroponics Crop Type Outlook (Revenue, USD Billion, 2017 - 2030)

• Tomatoes
• Lettuce
• Peppers
• Cucumbers
• Herbs
• Others

Hydroponics Crop Area Outlook (Revenue, USD Billion, 2017 - 2030)

• Upto 1000 sq.ft.
• 1000-50000 sq.ft.
• Above 50000 sq.ft

Hydroponics Regional Outlook (Revenue, USD Billion, 2017 - 2030)

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
• Asia Pacific
  • China
  • Japan
  • India
• South America
  • Brazil
• Middle East and Africa (MEA)

Key Companies profiled:

• AeroFarms
• AmHydro
• Argus Control Systems Limited
• Emirates Hydroponics Farms
• Freight Farms, Inc.
• BrightFarms
• Heliospectra
• Signify Holding
• Nutrifresh India
• UrbanKisaan

Key Hydroponics Market Company Insights

• AeroFarms is a company  that is engaged in providing sustainable indoor agriculture solutions. AeroFarms' hydroponic systems use a patented cloth medium as a substitute for soil, providing optimal support for plant roots while enabling precise nutrient delivery. The company leverages advanced technologies, including data analytics and machine learning, to monitor and control the growing conditions. This ensures that plants receive the exact nutrients they need, resulting in efficient resource use and high-quality crop yields.
• AmHydro is a company specializing in hydroponic systems for agricultural cultivation. The company offers complete hydroponic growing systems, including nutrient delivery systems, growing channels, and other essential components. AmHydro's systems are designed to optimize plant growth by providing precise control over environmental factors such as nutrient levels, pH, and oxygenation. This allows for efficient resource use and can result in higher yields compared to traditional soil-based farming.
• Freight Farms and Urban Crop Solutions are some of the emerging market participants in the target market.

Recent Developments

• In January 2022, Hydrobuilder Holdings LLC, a global omni-channel retailer of specialty agriculture and hydroponics equipment and supplies announced the acquisition of New England Hydroponics. The acquisition is expected to help the company strengthen its position in the global market.
• In December 2020, GrowGeneration Corp., a global provider of specialty hydroponic solutions announced the acquisition of Grassroots Hydroponics, a three-store chain of hydroponic garden centers. The acquisition is expected to help the company increase its presence in Southern California and strengthen its position in the U.S. market.
• In May 2023, AeroFarms established a strategic partnership with Amazon Fresh, extending its reach to both online platforms and all physical Amazon retail stores. This collaboration is expected to significantly promote AeroFarms' product, leveraging the extensive customer base and distribution network of Amazon Fresh.

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