Greenhouse produce, such as vegetables, fruits and edible flowers, are cultivated and grown in protected facilities that adhere to strict environmental and climate control standards. Greenhouse cultivation techniques optimize light, temperature, humidity, soil conditions, and other growing factors to produce crops during off seasons and in regions that typically are not suitable for conventional open field agriculture. This minimizes disruption to supply and ensures availability of high-quality produce to consumers around the year. Greenhouse techniques also tend to utilize land and resources more efficiently through vertical growing methods and controlled environmental practices. The need to ensure food security and adapt to changing climate patterns are key factors driving higher adoption of greenhouse agriculture globally.
The global Greenhouse Produce Market is estimated to be valued at US$ 28 Billion in 2024 and is expected to exhibit a CAGR of 4.7% over the forecast period 2024-2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Advancements in greenhouse technology focusing on energy efficiency and automation are expected to be a major trend. Next-generation greenhouses are being equipped with renewable energy systems, LED lighting, hydroponics, aquaponics and sensor-based precision farming solutions to optimize various growing factors. This allows year-round production of crops with significantly lower energy footprint. Development of innovative hybrid greenhouse models that combine natural light with artificial lighting solutions is another emerging trend, offering location flexibility while maintaining high yields. Sustainable packaging and supply chain integration is also gaining more attention as producers focus on minimizing transportation emissions and maximizing freshness for consumers. These technology-driven trends are helping expand greenhouse agriculture worldwide and making it more environmentally-friendly.
Porter’s Analysis
Threat of new entrants: Moderate. The greenhouse produce market requires high initial investments including land and greenhouse infrastructure thus posing a barrier for new players.
Bargaining power of buyers: High. The market has several buyers including wholesalers, retailers and food processing companies. Buyers can negotiate on price and quality standards.
Bargaining power of suppliers: Moderate. The market has large number of suppliers for raw materials, equipment and other inputs required for greenhouse farming.
Threat of new substitutes: Low. There are limited substitutes for greenhouse produced fruits and vegetables in terms of quality and freshness.
Competitive rivalry: Intense. The market has presence of both large and small players who compete on factors like cost, product range and quality.
Key Takeaways
The Global Greenhouse Produce Market Size is expected to witness high growth.
Regional analysis: European region currently dominates the market owing to favorable agro-climatic conditions and government support in countries like Netherlands, Spain and Italy. The Asia Pacific region is expected to be the fastest growing market due to increasing demand from densely populated countries like China and India coupled with expansion of greenhouse farming.
Key players operating in the greenhouse produce market are Fabory, Fastenal Company, Würth Industrie Service GmbH & Co. KG, REYHER, KELLER & KALMBACH GmbH, AB STEEL, Brunner Manufacturing Co., Inc. KD FASTENERS, INC., ckford Fastener, Inc., AMARDEEP STEEL, Viha Steel & Forging. Major players are focusing on acquisitions and partnerships with small players to expand their footprint in different regions. For instance, in 2020 Fabory acquired a leading greenhouse vegetable producer in Poland to strengthen its supply network in Eastern Europe.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it