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.

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.  

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

Detailed Segmentation:

Type Insights

Based on type, the market is segmented into aggregate systems and liquid systems. The aggregate systems segment accounted for the largest revenue share of 52.5% in 2023, This preference is attributed to the user-friendly nature of aggregate systems, where inert and solid media like peat, rock wool, vermiculite, sand, sawdust, perlite, or coconut coir support plant growth. The utilization of key technologies such as drip systems, ebb and flow systems, and wick systems further underscores the segment's prominence.

Crop Type Insights

Based on crops type, the market is segmented into tomatoes, lettuce, peppers, cucumbers, herbs, and others. The tomatoes segment accounted for the largest revenue share of 44.2% in 2023. Tomatoes hold the position as the most extensively cultivated hydroponic crop worldwide, primarily due to their rapid cultivation rate and significantly lower water requirements compared to conventionally farmed tomatoes. Indoor farmers typically employ growing materials such as rock wool, perlite, or coconut coir for hydroponic tomato cultivation. Projections indicate that by 2030, the hydroponic method is expected to witness substantial tomato cultivation in the Europe and Asia Pacific regions.

Crop Area Insights

The above 50,000 sq. ft. crop area segment is anticipated to contribute significantly to the global market's revenue. Larger crop areas offer farmers greater flexibility for cultivating multiple high-quality products. Moreover, the ability to install multiple hydroponic systems under one roof enhances productivity, while the deployment of advanced machinery and equipment increases operational efficiency and overall profitability. Additionally, the adoption of hydroponic systems in large farms contributes to water conservation, as these systems minimize water wastage compared to traditional soil-based farming practices. This scalability and efficiency make hydroponics an attractive choice for enhancing agricultural practices in sizable farming operations.

Regional Insights

Asia Pacific dominated the hydroponics market and accounted for the largest revenue share of 35.6% in 2023, owing to the substantial adoption of hydroponics in China, Australia, South Korea, and other such countries. The market in China and India is expected to escalate significantly over the forecast period due to emerging urban hydroponic farms.

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Key Hydroponics Market Company Insights

Some prominent players in the market include AeroFarms, AmHydro, Argus Control Systems Limited, BrightFarms., Heliospectra and UrbanKisaan, among others.

• 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.
• Freight Farms is a hydroponic solution provider. The company, through its innovative Leafy Green Machine, offers customers hydroponics solutions. The Leafy Green Machine is a shipping container converted into a hydroponic farm, allowing for year-round cultivation.
• Urban Crop Solutions company offers end-to-end hydroponic Indoor vertical farming solutions. The company offers solutions for indoor farming, including hydroponics and vertical farming systems, with a focus on smart and automated technologies.

Key Hydroponics Companies:

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

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
o EBB & Flow Systems
o Drip Systems
o Wick Systems
• Liquid Systems
o Deep Water Culture
o Nutrient Film Technique (NFT)
o Aeroponics

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
o U.S.
o Canada
o Mexico
• Europe
o Germany
o U.K.
o France
• Asia Pacific
o China
o Japan
o India
• South America
o Brazil
• Middle East and Africa (MEA)

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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.