Hydroponics Global Market Report 2024

The hydroponics market size has grown rapidly in recent years. It will grow from $14.12 billion in 2023 to $15.69 billion in 2024 at a compound annual growth rate (CAGR) of 11.1%. The increase observed in the historical period can be ascribed to resource efficiency, water conservation, land scarcity, urban agriculture, reduced dependency on soil quality, and year-round production.

The hydroponics market size is expected to see rapid growth in the next few years. It will grow to $25.07 billion in 2028 at a compound annual growth rate (CAGR) of 12.4%. The expansion anticipated in the forecast period can be linked to integration with sustainable practices, consumer demand for fresh produce, concerns about food security, government support and incentives, and educational and research initiatives. Major trends projected for the forecast period encompass smart farming technologies, vertical farming systems, nutrient film technique (NFT) systems, sustainable and organic hydroponic practices, and the adoption of aeroponics technology.

The hydroponics market is expected to thrive owing to the growing demand for exotic vegetables. Increased urbanization and the establishment of gourmet restaurants globally have led to a surge in the consumption of exotic vegetables. Commercial farmers are investing in advanced plantation equipment, such as hydroponic systems, to reduce operational expenses and increase profits. Estimates for the Indian exotic vegetable market project a significant increase from 332 million metric tons in 2020 to 432 million metric tons by 2026, indicating a positive trajectory for the hydroponics market.

The hydroponics market is anticipated to grow due to the rising demand for organic produce. Organic produce refers to agricultural products grown and processed without synthetic chemicals, pesticides, or genetically modified organisms, following strict standards for natural and sustainable practices. Organic hydroponics employs soilless cultivation methods with organic-certified inputs and natural practices to meet organic standards. In May 2023, Australian Organic Limited reported that Australia has over 53 million hectares of certified organic farmland, constituting approximately 70% of the world's total organic land. The country also boasts 3,035 certified organic businesses actively operating, with 53% engaged in production, 45% in processing, and 2% involved in both aspects of the organic industry. Therefore, the rising demand for organic produce is propelling the growth of the hydroponics market.

Technological advancement is a key trend in the hydroponics market, with major companies incorporating next-generation solutions and technologies. Companies are deploying advanced techniques such as nutrient film technique, Ebb and Flow System, wick system, communication technology, sensors, irrigation systems, automation, robotics, artificial intelligence system, machine learning, and computer vision to meet the demands of end customers. An example is Iron Ox, a US-based robotics and AI-based farming company that introduced Grover, an autonomous mobile robot, in November 2021. Grover autonomously monitors, waters, and harvests crops through automation and computer vision, addressing the specific needs of plants related to sunlight, nutrition, and water.

Major players in the hydroponics market are focusing on developing advanced products such as cutting-edge hydroponic systems to meet evolving agricultural demands and sustainability objectives. Advanced hydroponic systems leverage state-of-the-art technologies and methodologies to optimize plant growth in a controlled environment without soil. For example, in November 2023, Israel-based environmental technology company Oceansix Future Paths Ltd. launched HydroQuick, an innovative system poised to enhance the efficiency and sustainability of hydroponic farming. Engineered for easy setup and maintenance, HydroQuick's intuitive design streamlines the installation process for farmers, promoting cost-effectiveness and environmental sustainability.

In August 2021, Cargill, a US-based food and beverage manufacturing company, partnered with AeroFarms to improve cocoa bean yields through climate-resilient farming practices. This collaboration involves testing various indoor growing technologies, including aeroponics and hydroponics, to identify optimal growth environments for cocoa trees. AeroFarms is a US-based farming company specializing in agriculture, aeroponics, hydroponics, and sustainable vertical farming.

Major companies operating in the hydroponics market report are The Scotts Miracle-Gro Company, Hydrofarm Holdings Group Inc., Village Farms International Inc., Freight Farms Inc., AeroFarms LLC, Crop One Holdings Inc., Bright Farms Inc., BioHarvest Sciences Inc., Urban Crop Solutions, Agrilution Systems GmbH, 3Dponics Inc., American Hydroponics, Illumitex Inc., Azuvia Inc., Back to the Roots, CityCrop Inc., Fresh Box Farms, General Hydroponics Inc., Green Spirit Horticulture, Grow Pura, IBIÒ Inc., Indoor Harvest Corporation, Modular Farms Inc., Pegasus Agritech Inc., Thanet Earth Limited, Evergreen Farm Oy, Green Sense Farms LLC, GreenTech Agro LLC, Heliospectra AB, LettUs Grow Ltd., Aessense Corporation, Agrivolution LLC , CropKing Inc., Valoya Inc.

Western Europe was the largest region in the hydroponics market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the hydroponics market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the hydroponics market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The primary hydroponics systems consist of aggregate systems and liquid systems. Aggregate systems use a solid, inert medium to support plant growth, with both open and closed systems being employed based on the recovery or reuse of surplus solutions. These systems are utilized for indoor and outdoor farming of vegetables, fruits, and flowers.

The hydroponics market research report is one of a series of new reports that provides hydroponics market statistics, including hydroponics industry global market size, regional shares, competitors with a hydroponics market share, detailed hydroponics market segments, market trends and opportunities, and any further data you may need to thrive in the hydroponics industry. This hydroponics market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The hydroponics market includes revenues earned by entities by wick systems, water culture systems, drip systems, and aeroponic systems. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.