Hydroponics Market to Reach USD 58.9 Billion by 2035 - Growth Surges Across APAC, Europe and USA Fueled by Urban Farming & Technological Innovation

The global hydroponics market is poised for significant expansion, projected to grow from USD 16.3 billion in 2025 to USD 58.9 billion by 2035, registering a CAGR of 13.7%. The market is expected to add an absolute opportunity of USD 42.6 billion over the forecast period, reflecting a 3.61-times growth.

This surge is fueled by the increasing adoption of soilless farming techniques, rising demand for consistent year-round produce, and a growing focus on resource-efficient agriculture in both mature and emerging economies.

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By 2030, the hydroponics market is anticipated to reach USD 31.0 billion, marking an incremental growth of USD 14.7 billion over the first half of the decade. Technology adoption in climate control, automated irrigation, and LED lighting is becoming central to modern hydroponics operations, enhancing yield efficiency and reducing resource consumption.

Leading companies such as ScottsMiracle-Gro, AeroFarms, and BrightFarms are consolidating their positions by:

• Investing in large-scale hydroponic facilities and R&D for high-yield crops.
• Forming strategic partnerships with retail and foodservice chains.
• Promoting sustainability certifications and energy-efficient production systems.

These strategies allow players to attract environmentally conscious consumers and institutional buyers while ensuring operational scalability and supply chain optimization.

Hydroponics Market Growth Drivers

The hydroponics market is experiencing robust growth due to its ability to:

• Deliver high yields independent of soil quality or climate conditions.
• Facilitate year-round crop cultivation with efficient water usage.
• Reduce pesticide reliance while producing nutrient-rich, fresh produce.

Growing consumer demand for locally grown, sustainable, and pesticide-free produce, combined with government incentives for modern farming technologies, is accelerating market adoption.

Market Segmentation and Trends

Aggregate systems dominate the hydroponics market, capturing 53% of the global share in 2025. These systems, using inert growing media like rockwool, perlite, or coconut coir, provide:

• Enhanced root stability and aeration.
• Efficient nutrient absorption and water retention.
• Flexibility for diverse crops, from tomatoes and peppers to leafy greens and herbs.

In the equipment segment, HVAC systems are critical, accounting for 25% of market revenue. Precise control of temperature, humidity, and airflow ensures consistent year-round yields and supports high-value crops. Integration with IoT and automation enhances energy efficiency and operational effectiveness.

Regional Market Insights

Asia-Pacific (APAC): China and Japan are leading regional adoption, driven by urban farming initiatives, government-backed modernization, and technological innovation in controlled-environment agriculture.

• China: 11.2% CAGR, supported by cost-effective local hydroponic systems and large-scale smart farming projects.
• Japan: 10.9% CAGR, led by high-tech plant factories, urban rooftop farms, and premium produce demand.

Europe: Germany and neighboring countries are witnessing steady growth (10.1% CAGR), bolstered by sustainability policies, EU-funded agri-tech initiatives, and strong demand for organic, chemical-free produce.

USA: The hydroponics market is projected to expand at a 13.6% CAGR, powered by advanced agri-tech, strong greenhouse infrastructure, and retail distribution networks.

Saudi Arabia & Middle East: The market is gaining traction through investments in vertical farming, water-efficient systems, and smart agriculture solutions tailored to arid climates, driving sustainable urban farming adoption.

Challenges and Opportunities

While high initial capital investment and reliance on electricity and skilled labor pose challenges, the integration of AI, IoT, and automation opens significant opportunities. Vertical farming, climate-controlled greenhouses, and modular hydroponic solutions are transforming urban agriculture and improving food security. Environmental responsibility and organic certification are increasingly critical for market acceptance.

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Competitive Landscape

The hydroponics market is moderately consolidated, led by ScottsMiracle-Gro with a 50% market share. Key players like AeroFarms, AmHydro, VitaLink, and BrightFarms focus on:

• Aggregate and liquid system setups.
• Smart irrigation and LED lighting solutions.
• Supply chain optimization and technical expertise.

The market growth is further fueled by the need for year-round crop production, urban population expansion, and growing awareness of water-efficient farming practices.

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This release was published on openPR.