March 1, 2024
Commercial Greenhouse Market

Commercial Greenhouse Market Propelled by Rising Demand for Year-Round Crop Production

Commercial greenhouses are enclosed structures made up of transparent material like glass or plastic sheets that allow natural sunlight to pass through for plant growth. They enable farmers to manipulate various environmental conditions like light, temperature, and humidity levels to produce crops throughout the year. Commercial greenhouses offer benefits like higher yields than conventional outdoor farming, protection from pests and diseases, and controlled growing conditions ideal for certain crops. With increasing global population and rising demand for fruits and vegetables across seasons, commercial greenhouses have become an important agricultural infrastructure.

The global Commercial Greenhouse Market is estimated to be valued at US$ 44.99 Bn  in 2023 and is expected to exhibit a CAGR of 11% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
The growing demand for year-round supplies of fresh produce has been a major driver for commercial greenhouse cultivation in recent years. By manipulating environmental factors inside the greenhouse, farmers can grow crops irrespective of the season outdoors. This allows commercial greenhouse operations to offer a stable supply of fruits and vegetables to supermarkets and retailers even during winter months. The ability to grow crops throughout the year has led to rising adoption of greenhouse technology globally as countries aim for food security and self-sufficiency. Technological advancements in greenhouse design, construction material and automation solutions are further propelling the commercial greenhouse market growth over the forecast period.

SWOT Analysis
Strength: The commercial greenhouse market offers controlled environmental conditions for plant growth. This enables year-round production of crops and higher yields compared to open field farming.
Weakness: Initial capital investment required for establishing commercial greenhouses is high. Installation and operational costs impact the profit margins of producers.
Opportunity: Rising global population and increasing demand for fresh produce offer robust growth opportunities. Adoption of vertical farming and urban agriculture is opening new avenues.
Threats: Threat of climate change making natural agricultural production unstable. High dependence on energy and resources can impact profitability if input costs surge.

Key Takeaways
Global Commercial Greenhouse Market Size is expected to witness high growth over the forecast period of 2023 to 2030 supported by increasing food demand worldwide. According to projections, the market size is estimated to reach US$ 44.99 billion by 2023, exhibiting a CAGR of around 11%.

Regional analysis indicates Europe dominates currently due to extensive vegetable and flower production in greenhouses in countries such as Spain, Italy and the Netherlands. Asia Pacific is emerging as the fastest growing regional market led by China, India, and Japan. Surging population, growing middle class and rising incomes are driving demand for quality fresh produce in the region.

Key players operating in the commercial greenhouse market are BASF SE, Phenospex, WIWAM, Lemnatec Corporation, Plant-DiTech, Hiphen, Delta-T Devices Ltd., Phenomix, Keygene, Qubit Systems, WPS B.V., Photon Systems Instruments, Vienna Biocenter, Heinz Walz Gmbh, CropDesign, and Rothamsted Research. Major players are focusing on new technological innovations to optimize crop yield through precision farming solutions, achieving resource efficiency and delivering higher quality outputs. Collaboration with research institutes is enabling product and service advancements.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it