Leading Driver in the Plant Factory Market 2025: Rising Food Demand And Climate Challenges Leads Industry Growth

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LONDON, GREATER LONDON, UNITED KINGDOM, January 31, 2025 /EINPresswire.com/ -- The plant factory market has experienced significant growth in recent years and is expected to increase from $130.6 billion in 2024 to $140.43 billion in 2025, with a compound annual growth rate (CAGR) of 7.5%. This growth in the past period can be attributed to factors such as the rising demand for locally grown and fresh produce, the limited availability of arable land and urbanization, growing concerns about food security and supply chain resilience, advancements in controlled environment agriculture (CEA) technologies, the need for year-round crop production with reduced seasonal variability, and the emphasis on sustainable and resource-efficient farming practices.

How Big Is the Global Plant Factory Market Expected to Grow, and What Is Its Annual Growth Rate?
The plant factory market is projected to experience significant growth in the coming years, reaching $188.23 billion by 2029, with a compound annual growth rate (CAGR) of 7.6%. The growth during the forecast period can be attributed to factors such as the adoption of hydroponic and aeroponic growing methods, the expansion of urban farming and rooftop greenhouse projects, advancements in plant factory automation and robotics, the need for pesticide-free and non-GMO crop production, and a focus on high-yield and high-density crop cultivation.

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What Is Driving the Growth of the Plant Factory Market?
The growing demand for food, driven by an increasing population and the challenges posed by climate change, is a key factor fueling the growth of the plant factory market. As the global population and food demand rise, yield losses caused by soil infertility, demographic shifts, climate change, and pest outbreaks are encouraging the adoption of new plant factory methods for crop cultivation.

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Which Leading Companies Are Driving The Growth Of The Plant Factory Market Share?
Major companies operating in the plant factory market include AeroFarms LLC, BrightFarms Inc., Gotham Greens Holdings LLC, Bowery Farming Inc., AppHarvest Inc., Lufa Farms, Beijing IEDA Protected Horticulture Co. Ltd.
What Are The Key Trends Driving The Growth Of The Plant Factory Market Size?
Leading companies in the plant factory market are establishing new indoor farms, like Plenty's indoor farm, to meet the rising demand for a steady, year-round supply of fresh produce. Plenty's state-of-the-art indoor vertical farm uses 3D vertical architecture to produce up to 4.5 million pounds of leafy greens each year.

How Is the Global Plant Factory Market Segmented?
The plant factory market covered in this report is segmented –
1) By Facility Type: Greenhouse, Indoor Farms, Other Facility Types
2) By Light Type: Sunlight, Full Artificial Light
3) By Growing System: Non-Soil-Based, Soil-Based, Hybrid
4) By Crop type: Fruits, Vegetables, Flower And Ornamental, Other Crop Types
Subsegments:
1) By Greenhouse: Hydroponic Greenhouses, Aeroponic Greenhouses, Soil-Based Greenhouses
2) By Indoor Farms: Vertical Farms, Container Farms, controlled environment agriculture (CEA) Systems
3) By Other Facility Types: Rooftop Farms, Ship-Integrated Farms, Community Gardens

The Leading Region in the Plant Factory Market is:
In 2024, Western Europe was the leading region in the plant factory market. The market report covers regions including Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa.

What Is the Plant Factory Market?
A plant factory is an agricultural production system that transforms crop cultivation into a new model through the use of bioinformatics and industrial automation. This system maximizes yield, harvesting density, and financial efficiency by artificially controlling the plant growth environment. Plant factories use controlled light, moisture, temperature, and carbon dioxide levels to grow plants and vegetables.

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