Key Trends Reshaping the Indoor Farming Technology Market: Strategic Partnerships Drive Innovation In Indoor Farming Technology Industry Transformation

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Indoor Farming Technology Market Size Growth Forecast: What to Expect by 2025?
There has been a quick expansion in the market size of indoor farming technology in the past few years. The market is set to escalate from $37.22 billion in 2024 to $42.08 billion in 2025, exemplifying a compound annual growth rate (CAGR) of 13.1%. The remarkable growth in the historic period is credited to the rising demand for sustainable farming, urbanization, the local food movement, and an increasing population.

How Will the Indoor Farming Technology Market Size Evolve and Grow by 2029?
The market size for indoor farming technology is predicted to surge significantly in the coming years, escalating to $68.28 billion by 2029, with a compound annual growth rate (CAGR) of 12.9%. Factors contributing to this growth in the predicted period include environmental changes, limited water resources, consumer tastes, governmental assistance and incentives, repercussions of the global pandemic, and concerns about food security. Noteworthy trends for this period are increased funding, advancements in technology, vertical farming, controlled environment agriculture (CEA), improvements in led lighting, automation and robotics, use of artificial intelligence and data analytics, new crop varieties, as well as collaborations and partnerships.

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What Drivers Are Propelling the Growth of Indoor Farming Technology Market Forward?
The increase in the usage of vertical farming within the agricultural sector is projected to bolster the expansion of the indoor farming technology market. Key benefits of this farming method include improved crop growth, lowered water consumption, less reliance on external climatic conditions, reduced labor expenses, and enhanced energy saving. According to a forum that serves as a platform for the exchange of farming experiences, Europe is witnessing a significant growth in vertical farming. There is stiff competition among various countries for market dominance leading to the establishment of numerous new farms. For instance, Jones Food Company, based in the UK, annually cultivates approximately 400 tons of vegetables like kale, coriander, and radish via vertical farming. The company has approximately 5,000 square meters dedicated to vertical farms across Europe. As such, the embrace of vertical farming is propelling the indoor farming technology market's growth.

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Which Emerging Trends Are Transforming the Indoor Farming Technology Market in 2025?
The indoor farming technology market is being molded by strategic affiliations. Companies engaged in unified endpoint management are entering into collaborations. To illustrate, Seasony, a robotics firm based in Denmark, made an alliance with iFarm LLC in May 2023. As a result of this collaboration, iFarm's customers can amalgamate the Watney mobile robot platform into their agricultural setups, automating transportation and monitoring operations. This joint venture provides farmers an efficient and eco-friendly alternative for indoor farming, paving the way for significant changes in the agricultural field. iFarm LLC, originating from Finland, offers technology for indoor farming.

What Are the Key Segments in the Indoor Farming Technology Market?
The indoor farming technology market covered in this report is segmented -

1) By Crop Type: Fruits And Vegetables, Flowers And Ornamentals, Herbs And Microgreens
2) By Component: Hardware, Software And Services, Integrated Systems
3) By Facility Type: Glass Or Poly Greenhouses, Indoor Vertical Farms, Container Farms, Indoor Deep Water Culture Systems
4) By Growing System: Aeroponics, Aquaponics, Hybrid

Subsegments:
1) By Fruits And Vegetables: Tomatoes, Lettuce, Peppers, Cucumbers, Strawberries
2) By Flowers And Ornamentals: Cut Flowers, Potted Plants, Foliage Plants
3) By Herbs And Microgreens: Basil, Cilantro, Chives, Radish Microgreens, Other Herbs And Microgreens

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Who Are the Key Players Shaping the Indoor Farming Technology Market's Competitive Landscape?
Major companies operating in the indoor farming technology market include Advanced Nutrients Holdings Inc., Agrilution GmbH, American Hydroponics LLC, BrightFarms Inc., General Hydroponics Inc., Hydrodynamics International Inc., Logiqs B. V., Netafim USA, Richel Group SA, Vertical Farm Systems Pty Ltd, AeroFarms LLC, Bowery Farming Inc., Emerald Harvest Inc., Freight Farms Inc., FreshBox Farms LLC, Grobo Inc., Metropolis Farms Inc., The Scotts Miracle-Gro Company, VitaLink Limited, Plenty Unlimited Inc., Crop One Holdings Inc., 80 Acres Farms LLC, Oasis Biotech Limited, AppHarvest Inc., Gotham Greens Holdings LLC, Green Sense Farms Holdings Inc., Lufa Farms Inc., Farm. One Inc., Infarm AG, Square Roots Inc., iFarm Project Ltd., Urban Crop Solutions NV, Local Roots Farms LLC, Kalera Inc., Valoya Oy, Heliospectra AB, Fluence by OSRAM GmbH, AEssenseGrows Inc., Nordic Harvest A/S

What Geographic Markets Are Powering Growth in the Indoor Farming Technology Market?
North America was the largest region in the indoor farming technology market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the indoor farming technology market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

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