Commercial Greenhouse Market Size, Share, Opportunities, And Trends By Type (Free Standing, Gutter Connected), By Component (High-Tech, Medium-Tech, Low-Tech), By Application (Fruits And Vegetables, Flowers And Ornamentals, Nursery Crops), And By Geography - Forecasts From 2024 To 2029

  • Published : May 2024
  • Report Code : KSI061611012
  • Pages : 129

The commercial greenhouse market is projected to witness a CAGR of 6.37% during the forecast period to reach a total market size of US$39,721.464 million by 2029, up from US$25,784.812 million in 2022. 

A commercial greenhouse is a greenhouse, where crops are grown and are later sold for commercial consumption. Generally, all commercial greenhouses are equipped with high-tech facilities specifically designed to grow the intended crops. Commercial greenhouses grow vegetables, flowers, trees, ornamentals, cannabis, and shrubs. Several greenhouses have transparent rooftops which allow sunlight to grow the plants. Other greenhouses could be in buildings and use special lights to act as the sunlight. This enables the reliable growth of greenhouse plants despite the local climate, soil, or topography challenges.

Commercial greenhouses could vary from large farms to neighbourhood nurseries greenhouses. These are utilized to accommodate a variety of features providing controlled conditions according to the need or requirement which is optimum for the growth of plants. Increasing demand for food due to the growing population, rapid urbanization, and less availability of arable land as well as climate change which is affecting the crop yield are the driving factors for the expansion of the commercial greenhouse industry.

In addition, the changing climatic conditions during traditional farming have led to the adoption of commercial greenhouses, which is further fueling market growth. The growing trend of rooftop farming is also major along with several advantages of commercial greenhouses like optimizing heat, even distribution of sunlight in the greenhouse facility, microclimate control, rain and disease protection, excellent ventilation, and good crop yield.

Market Drivers:

  • The high amount of yield is expected to boost the demand for commercial greenhouses globally.

The utilization and implementation of greenhouse farming give far more control over the environment where crops are grown. The crop producers can maintain the temperature, irrigation process, air humidity, and light efficiently which produces a good yield for them. By exercising control over the growth of crops, farmers keep them healthier and can predict the amount they are going to harvest.   The advantage of controlling the environmental factors enables farmers to grow crops and produce throughout the year.

Growing crops in the safe environment of a greenhouse helps in improving the genetics of the plant, which leads to the growth of a healthy variety of crops. With the multiple benefits of commercial greenhouses, the amount of yield produced using these greenhouses is much more than the ones produced traditionally. This benefits the farmers as the yield is large in quantity and the quality is also better than the former. As per Our World in Data on crop yields in the year 2022, the Wheat yield was 2.71 Tonnes in Africa, 3.51 Tonnes in Asia, 4.51 tonnes in Europe, and 3.31 tonnes in North America.

  • Rising demand for horticulture crops is anticipated to propel the commercial greenhouse market growth.

The yearly demand for fruits and vegetables is rising across the world which holds a significant share of this market. Owing to the advantage of growing plants regardless of climatic conditions the greenhouse system is a major factor of the market. Also, advancement in technology is also contributing to the rise in commercial greenhouses.

In addition, cultivation in greenhouses requires less labour and is aiding in the inclination toward the increasing adoption of greenhouses across the world. For instance, in September 2023, Pure Harvest partnered with Richel Group for a three-year strategic partnership in the Middle East and Asia, aimed to deploy over $150 million worth of smart growing systems. Richel, a global greenhouse solution provider, supports the design and construction of smart farms in these regions and enhances its efficiency in designing, manufacturing, and building high-tech greenhouses in challenging climates and distant regions.

Market Restraint:

  • Initial high costs and requirements for precision technology could hinder market growth.

The monitoring and accuracy of the natural resources and nutrient levels for constant management as well as adjustment to suitable levels as per different crop requirements are the keys benefits to producing greenhouse crops. The initial cost of setting up a commercial greenhouse is very high as there is a requirement for the proper design of the watering systems and supplemental lighting. Thus, setting up these systems involves huge costs, which are difficult for a traditional framer to afford. This could cause a major hindrance to the growth of the commercial greenhouse market, especially in developing regions.

Europe region is predicted to dominate the commercial greenhouse marketplace.

Europe regional markets are projected to grow on account of the rising number of low-tech and medium-tech greenhouses in these regions supported by the adoption of modern farming practices. Cultivation with the use of a commercial greenhouse is the most preferred form of cultivating crops due to harsh climatic conditions. The demand for commercial greenhouses is expected to witness a rise owing to the growing focus on improvements in the agricultural sector by governments and multiple institutions.

For instance, in October 2023, Tomtech, a leading provider of commercial greenhouse monitoring and control systems, ensured precise monitoring of factors like lighting, humidity, and temperature. Tomtech installed a new control system and upgraded ventilation motors at the University of Reading's School of Biological Sciences. The university's three greenhouses are used for science and conservation, while students conduct research.  Further, high-tech commercial greenhouses hold the dominant share of the market and are expected to be the fastest-growing segment owing to their increasing adoption in the region.

Key Developments:

  • March 2024- Heliospectra, a leading provider of intelligent lighting technology for greenhouse and controlled plant growth environments, received a new order from a top greenhouse grower in Ontario, Canada, totalling 8.3 million SEK. The order included the modular MITRA X LED light and helioCORE™ system solution, with four deliveries scheduled for 2024 and 2025.
  • August 2023- DENSO Corporation acquired a full stake in Certhon Group, a Dutch greenhouse provider, to accelerate its global agricultural production business expansion.
  • November 2022- Gibraltar Industries' agritech business unit, Prospiant, introduced pre-engineered cannabis cultivation solutions like Hybrid Vail, Indoor Grow, and Sealed Venlo to boost revenue and provide customized greenhouse growing solutions.

Company Products:

  • Multi-span greenhouses-Richel offers a range of multi-span greenhouses, ranging from 6.40m to 16m, designed for optimal climate control and outdoor conditions. These greenhouses feature streamlined arches, spacing of 2.5m to 4m, and a Gothic shape for maximum light penetration. The 6.40m - 8.00m models have 50% vents, while the 9.60m model balances volume and ventilation. The 12.80m model offers the best compromise in cold and hot regions. The 16m model is the highest volume greenhouse on the market.
  • Dual Atrium- The Dual Atrium is a greenhouse BY Prospiant. It provides a protected environment for crop conditioning and steering. It features double roof ventilation, a 42-foot wide-span truss design, and de-humidification. Made of triple-galvanized steel and aluminum, it offers stability in wind and winter conditions. It integrates overhead equipment and is ideal for year-round passive retail ranges in temperate climates.

Market Segmentation:

The commercial greenhouse market is segmented and analyzed as below:

  • By Type
    • Free Standing
    • Gutter Connected
  • By Component 
    • High-Tech
    • Medium-Tech
    • Low-Tech
  • By Application
    • Fruits and Vegetables
    • Flowers and Ornamentals
    • Nursery Crops
  • By Geography
    • North America
      • USA
      • Canada
      • Mexico
    • South America
      • Brazil
      • Argentina
      • Others
    • Europe
      • United Kingdom
      • Germany
      • France
      • Spain
      • Others
    • Middle East and Africa
      • Saudi Arabia
      • Israel
      • Others
    • Asia Pacific
      • Japan
      • China
      • India
      • Indonesia
      • Others

Frequently Asked Questions (FAQs)

The commercial greenhouse market is projected to reach a total market size of US$39,721.464 million by 2029.
Commercial Greenhouse Market was valued at US$25,784.812 million in 2022.
The global commercial greenhouse market is projected to witness a CAGR of 6.37% over the forecast period.
The high amount of yield is expected to boost the demand for commercial greenhouses globally.
Europe is anticipated to hold the largest share of the commercial greenhouse market.

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base, and Forecast Years Timeline

1.8. Key Benefits for the Stakeholder

2. RESEARCH METHODOLOGY  

2.1. Research Design

2.2. Research Processes

3. EXECUTIVE SUMMARY

3.1. Key Findings

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

4.5. Analyst View

5. COMMERCIAL GREENHOUSE MARKET, BY TYPE

5.1. Introduction

5.2. Free Standing

5.2.1. Market Opportunities and Trends

5.2.2. Growth Prospects

5.2.3. Geographic Lucrativeness

5.3. Gutter Connected

5.3.1. Market Opportunities and Trends

5.3.2. Growth Prospects

5.3.3. Geographic Lucrativeness

6. COMMERCIAL GREENHOUSE MARKET, BY COMPONENT

6.1. Introduction

6.2. High-Tech

6.2.1. Market Opportunities and Trends

6.2.2. Growth Prospects

6.2.3. Geographic Lucrativeness

6.3. Medium-Tech

6.3.1. Market Opportunities and Trends

6.3.2. Growth Prospects

6.3.3. Geographic Lucrativeness

6.4. Low-Tech

6.4.1. Market Opportunities and Trends

6.4.2. Growth Prospects

6.4.3. Geographic Lucrativeness

7. COMMERCIAL GREENHOUSE MARKET, BY APPLICATION

7.1. Introduction

7.2. Fruits and Vegetables

7.2.1. Market Opportunities and Trends

7.2.2. Growth Prospects

7.2.3. Geographic Lucrativeness

7.3. Flowers and Ornamentals

7.3.1. Market Opportunities and Trends

7.3.2. Growth Prospects

7.3.3. Geographic Lucrativeness

7.4. Nursery Crops

7.4.1. Market Opportunities and Trends

7.4.2. Growth Prospects

7.4.3. Geographic Lucrativeness

8. COMMERCIAL GREENHOUSE MARKET, BY GEOGRAPHY

8.1. Introduction

8.2. North America

8.2.1. By Type

8.2.2. By Component

8.2.3. By Application

8.2.4. By Country

8.2.4.1. USA

8.2.4.1.1. Market Opportunities and Trends

8.2.4.1.2. Growth Prospects

8.2.4.2. Canada

8.2.4.2.1. Market Opportunities and Trends

8.2.4.2.2. Growth Prospects

8.2.4.3. Mexico

8.2.4.3.1. Market Opportunities and Trends

8.2.4.3.2. Growth Prospects

8.3. South America

8.3.1. By Type

8.3.2. By Component

8.3.3. By Application

8.3.4. By Country 

8.3.4.1. Brazil

8.3.4.1.1. Market Opportunities and Trends

8.3.4.1.2. Growth Prospects

8.3.4.2. Argentina

8.3.4.2.1. Market Opportunities and Trends

8.3.4.2.2. Growth Prospects

8.3.4.3. Others

8.3.4.3.1. Market Opportunities and Trends

8.3.4.3.2. Growth Prospects

8.4. Europe

8.4.1. By Type

8.4.2. By Component

8.4.3. By Application

8.4.4. By Country

8.4.4.1. United Kingdom

8.4.4.1.1. Market Opportunities and Trends

8.4.4.1.2. Growth Prospects

8.4.4.2. Germany

8.4.4.2.1. Market Opportunities and Trends

8.4.4.2.2. Growth Prospects

8.4.4.3. France

8.4.4.3.1. Market Opportunities and Trends

8.4.4.3.2. Growth Prospects

8.4.4.4. Spain

8.4.4.4.1. Market Opportunities and Trends

8.4.4.4.2. Growth Prospects

8.4.4.5. Others

8.4.4.5.1. Market Opportunities and Trends

8.4.4.5.2. Growth Prospects

8.5. Middle East and Africa

8.5.1. By Type

8.5.2. By Component

8.5.3. By Application

8.5.4. By Country

8.5.4.1. Saudi Arabia

8.5.4.1.1. Market Opportunities and Trends

8.5.4.1.2. Growth Prospects

8.5.4.2. Israel

8.5.4.2.1. Market Opportunities and Trends

8.5.4.2.2. Growth Prospects

8.5.4.3. Others

8.5.4.3.1. Market Opportunities and Trends

8.5.4.3.2. Growth Prospects

8.6. Asia Pacific

8.6.1. By Type

8.6.2. By Component

8.6.3. By Application

8.6.4. By Country

8.6.4.1. Japan

8.6.4.1.1. Market Opportunities and Trends

8.6.4.1.2. Growth Prospects

8.6.4.2. China 

8.6.4.2.1. Market Opportunities and Trends

8.6.4.2.2. Growth Prospects

8.6.4.3. India

8.6.4.3.1. Market Opportunities and Trends

8.6.4.3.2. Growth Prospects

8.6.4.4. Indonesia

8.6.4.4.1. Market Opportunities and Trends

8.6.4.4.2. Growth Prospects

8.6.4.5. Others

8.6.4.5.1. Market Opportunities and Trends

8.6.4.5.2. Growth Prospects

9. COMPETITIVE ENVIRONMENT AND ANALYSIS

9.1. Major Players and Strategy Analysis

9.2. Market Share Analysis

9.3. Mergers, Acquisitions, Agreements, and Collaborations

9.4. Competitive Dashboard

10. COMPANY PROFILES

10.1. Richel Group SA,

10.2. Argus Control Systems Ltd. (CEL Group)

10.3. Certhon

10.4. Lumigrow, Inc.

10.5. Agra Tech, Inc.

10.6. Prospiant (Gibraltar Industries)

10.7. Heliospectra AB

10.8. Logiqs BV

10.9. International Greenhouse Company (BFG Supply Co.)


Richel Group SA,

Argus Control Systems Ltd. (CEL Group)

Certhon

Lumigrow, Inc.

Agra Tech, Inc.

Prospiant (Gibraltar Industries)

Heliospectra AB

Logiqs BV

International Greenhouse Company (BFG Supply Co.)