Urban farming Market size was estimated at $213 Billion in 2020, projected to grow at a CAGR of 2.8% during the forecast period 2021-2026. Urban farming industry has witnessed huge demand in its application such as agriculture, commercial and others. Urban farming is the growth of indoor and outdoor plants for the purpose of preparing and providing food to local residents in and around cities in the form of home garden by means of Aquaponics, Aerophonics, and Hydroponics. As the world's population grows, so does the need for urban gardening in the form of home garden. Growing urbanisation has driven farms to the outskirts of towns. However, a new generation of farmers is revolutionizing agriculture by assisting in harvesting superfoods in kitchens without the need of chemicals or pesticides in this form of organic farming. The lack of available space is a hindrance to farming in a city. However, thanks to technology's miracles, farming is now feasible in compact places thanks to urban vertical farming and hydroponics. In hydroponics or soil-less farming, the plant is grown in a nutrient-rich water solution rather than soil. Many people are cultivating and enjoying organic farming by growing fresh microgreens and other plants in their home garden. According to urban farming research the escalating population growth and global food security issues, growing food for human consumption in cities might be one way to increase global food supply. Urban vertical farming is a way of growing plants vertically, one above the other, in a compact space, using hydroponic or other technologies. As there is no soil, the weight on the wall or roof is greatly decreased, and the building is not damaged structurally. In addition, urban farming gives farmers more control over how their food is produced. Owing to the reduced transportation costs and the availability of fresh, healthy goods at competitive rates, urban farming is gaining popularity. Urban agriculture generates 20% of the world's food, keeping everyone in the globe involved in urban farming. The primary aspects driving the popularity of urban agriculture are health and nutrition, food security and transparency, education, urban sustainability, and the rising desire for local food. Owing to the urban farming trend the urban farms are becoming increasingly common across the United States as the process gets more efficient and economically viable. Growers may raise better-quality crops with larger yields and in less time by managing critical environmental parameters indoors. Urban gardening is a hot topic these days.
Urban farming Market Report Coverage
The report: “Urban farming Market Forecast (2021-2026)”, by Industry ARC, covers an in-depth analysis of the following segments of the Urban farming Market.
By Farm Type: Corporate, Home Garden, Community and Other
By Structure: Indoor, Outdoor
By Growing Medium: Aquaponics, Aerophonics, Hydroponics
By Crop Type: Non-Food Crops (Medicinal Herbs, Ornamental Plants, Aromatic Herbs, Others), Food Crops (Fruits, Vegetables, Grains & Cereals, Others)
By Application: Commercial (Closed Environment, Field, Other), Agriculture, Others
By Geography: North America (U.S., Canada, Mexico), Europe (Germany, U.K., France, Italy, Spain, Russia and Rest of Europe), Asia Pacific (China, Japan, India, South Korea, Australia & New Zealand, and Rest of Asia Pacific), South America (Brazil, Argentina and Rest of South America), and Rest of the World (Middle East and Africa)
Key Takeaways
- Environment and climate controllers are essential components of a vertical farm because they assist in adjusting the growth environment of a crop to the required parameters.
- The technology is be utilized at any time of year, removing commercial concerns for farmers and increasing community access to local food.
- According to FAO, the role of urban farmers is becoming increasingly crucial as the world's cities increase. The percentage of urban households involved in agriculture ranges from 10% in some big North American towns to up to 80% in certain smaller Siberian and Asian communities and positively impacting urban farming statistics.
- Growing urbanization, rising demand for high-quality food, and autonomous agriculture techniques are some of the key reasons driving the Urban farming industry. The demand for food has grown as a result of these reasons. With an increasing population, food demand is likely to increase significantly.
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Based on Growing Medium, Urban farming market is segmented into Aquaponics, Aerophonics, Hydroponics. Aerophonics segment is accounted for the largest revenue market share in 2020 owing to the increasing number of plants in small places, particularly indoors, the aeroponics industry is expected to increase rapidly. Aeroponics feeding is also straightforward since grown-up plants in aeroponics use fewer nutrients and water. Growing plants by using aeroponics system is simple, and the benefits far outweigh any disadvantages. Hydroponics Segment is predicted to grow with the fastest CAGR of 3.4% in the forecast period 2021-2026 as there are several benefits to hydroponics medium of urban farming attributed to the facts that land need is relatively low, water usage is 80% lower, water is recycled and stored, pesticides are not used, and high-tech farms are not reliant on the weather. Hydroponics and other soil-less agricultural systems have the potential to help advance conventional agricultural methods and agricultural industries. The road to hydroponic farming is paved with good intentions: sustainable agriculture and a desire to consume fresh, organic and carbon-free food. According to urban farming research, small-scale urban agriculture produces high yields but necessitates intelligent input management to attain sustainability.
Urban farming Market Segment Analysis – By Structure:
Based on Structure, Urban farming market is segmented into Indoor, Outdoor. Indoor segment is accounted for the largest revenue market share in 2020. It comprises procedures used in warehouses, containers, research facilities, and parking lots, among other places. Due to the expanding population and limited agricultural area, this approach plays a critical role in meeting rising food demand. Compared to traditional farming, indoor vertical farming uses less water and produces more crop. Indoor farming generates more feed without causing crop harm, regardless of rapid climate fluctuations. Through the projection period, these variables gives an opportunity path for market expansion. Outdoor is anticipated to grow with the fastest CAGR of 3.6% in the forecast period 2021-2026. This is majorly attributed to the advantages of Outdoor vertical farm system for hydroponic vegetable production to maximize the use of available area for vegetable culture, for non-protected production. Vertical farms are modular and is customized to fit any piece of land. They also feed more people than traditional farming since they produce 75 times more food per square foot. To make the meal healthier and safer, no pesticides or fungicides are used therefore it is also termed as organic farming. Vertical farming is the process of growing food in a vertically stacked structure, such as an old warehouse, skyscraper, or shipping container. Organic foods are said to be healthier, more nutritious, safer, and more ecologically friendly than conventional meals.
Urban farming Market Segment Analysis – By Geography
Based on Geography, Asia-Pacific Urban farming Market accounted for the 42% revenue share in 2020. As one of the industry's early pioneers, Asia Pacific is a good place to start. In Japan, the growing development of current vertical farming projects, together with the incorporation of automation, driving industry growth. Spread Co., for example, produces approximately 20,000 lettuce heads every day. Outside of Kyoto, the firm has a 3,000-square-meter facility. The income generation boosted by urbanization and expanding population feeding requirements in nations such as India, South Korea, Taiwan, and others. Owing to the continuous proliferation of genetically modified agricultural technologies, Europe is anticipated to grow with the fastest CAGR in the forecast period 2021-2026. Furthermore, the growing use of nanotechnology and robots in agriculture is boosting regional market demand. Nanotechnology aids in the improvement of food packaging as well as disease and insect control. The European Environment Agency has undertaken a number of projects to construct vertical farms in order to address the difficulties of population increase and climate change, as well as to produce food in an ecologically responsible manner. As a consequence, there are potential for the market in the region to flourish. Urban farming trend is a hot topic these days. Urban farming is practiced by 800 million people globally, or more than one-tenth of the world's population, according to the UN Food and Agriculture Organization (UNFAO).
Urban farming Market Segment Analysis-Drivers
Lower Installation Costs and Simple Operations of Hydroponics form of Urban Farming:
Hydroponics accounts for more than half of the Urban farming sector, owing to its numerous benefits over traditional farming methods. In this technique, the growing conditions are continually monitored and adjusted to guarantee the proper chemical composition for successful growth. When compared to traditional agricultural methods, it uses less water. Because this method does not require soil, it eliminates weeds, pests, and other undesirables, lowering labor expenses. Furthermore, there are no restrictions on installing a hydroponics system on agricultural property in rural areas. As a result, its accessibility is increased, and the need for a complex distribution network is liminated, increasing the farmer's profits. The technology is utilized at any time of year, removing commercial concerns for farmers and increasing community access to local food. The development of more creative and sustainable technologies such as aeroponics and aquaponics, on the other hand, has the potential to move the focus away from hydroponics vertical farming. According to Food and Agriculture Organization (FAO), one of the key objectives of the next 25 years must be to establish urban farming systems that supply most of the food that cities demand without incurring high transportation expenses. Owing to the wastewater and organic waste are viable inputs for urban farms, such systems also help with urban trash management. Based on Urban farming statistics at least 100 million people are predicted to benefit directly from urban farming. In Kathmandu, urban agriculture accounts for 30% of vegetable consumption, 50% in Karachi, and 85% in Shanghai. Farming is practiced by around half of Asian urban families and are driving the market
Urban farming Market Segment Analysis-Challenges
Fewer Job Opportunities in the Field of Urban Farming:
Owing to Urban Farming it is expected to see fewer employment since people are no longer in need to transport crops, leaving many people unemployed and farmers out of work. Another disadvantage is the lack of pollinators in the crops, which need human pollination. Because hand pollination is required, the wages given are likewise quite expensive. The entire investment and operation expenses of urban farms in costly cities rise. Furthermore, permitting the development of vertical farms raise the cost of occupation as a result of the increased demand. Moreover, vertical farming's reliance on technology is be a significant drawback. It is expected to be a substantial loss in productivity if a vertical farm loses energy each day. This implies that urban farming requires a controlled environment with a temperature of 40 degrees Celsius and consistent humidity, and crops cultivated in these vertical farms succumb to energy shortages.
Urban farming Market Segment Landscape:
Product launches, mergers and acquisitions, joint ventures and geographical expansions are key strategies adopted by players in the Urban farming Market. Urban farming Market top 10 companies are Spread Co., Green Spirit Farm, American Hydroponics, Sky Greens, Urban Crop Solutions, Aerofarms, Plantagon International., General Hydroponics, Mirai Co. Ltd.
Acquisitions/Product Launches:
In order to improve its service offerings, in February 2020 Urban Crop Solutions has collaborated with CropKing.
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