Spain Commercial Greenhouse Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Type (Plastic, Glass), By Component (High Tech Commercial Greenhouse, Medium Tech Commercial Greenhouse, Low Tech Commercial Greenhouse) And By Application (Fruits And Vegetables, Flowers And Ornamentals, Nursery Crops) - Forecasts From 2022 To 2027

  • Published : Dec 2022
  • Report Code : KSI061612634
  • Pages : 84

The Spain commercial greenhouse market is projected to witness a compounded annual growth rate of 2.93% to grow to US$2,869.696 million by 2027, from US$2,343.835 million in 2020. A commercial greenhouse raises plants intended for sale to businesses. They are frequently cutting-edge facilities designed expressly to raise the targeted crops. Rapid urbanization and a lack of agricultural land are driving the growth of Spain's commercial greenhouse market. The adoption of commercial greenhouses in traditional agriculture has also been pushed by climatic changes, and this trend will spur the market's expansion even further. Additionally, one of the main factors influencing the growth of commercial greenhouses is their ability to produce high yields in comparison to conventional farming methods. In 2019, Spain had over 75,000 hectares of protected agricultural facilities, growing fruits, and vegetables, according to the National Institute of Statistics. The top two crops cultivated in greenhouses were tomatoes (18,010 ha) and peppers (14,486 ha), which were followed by squash, watermelon, strawberries, and cucumbers.

Commercial greenhouses are increasingly being viewed as a more environmentally friendly alternative to importing huge quantities of perishable fresh fruit. Operations depend on smart, dependable power systems to ensure optimal conditions at all times so that customers can purchase locally farmed, fresh, healthy product that is also reasonably priced. Major companies are aiming to preserve environmental sustainability, minimize water and energy use, and for this purpose, they are entering into strategic partnerships. For instance, in March 2022, to achieve a 20% increase in production while using 20% less water and energy, the Spanish Grupo Hortofrutcola Paloma extended its greenhouses with Novagric. In 2021, Novagric completed a brand-new project that involved the creation, production, and installation of technologically advanced greenhouses for the cultivation of tomatoes in southeast Spain. The goal of this project is to create a more digital farm that is dedicated to the environment and uses effective procedures. a project that has already produced profitable results and shows promise. The project was created in a hydrographic basin that has issues with water scarcity. Aware of this circumstance, the greenhouse has been completely outfitted with technologies to optimize resources to improve climate control.

Based on application, the Spain commercial greenhouse market is segmented into fruits and vegetables, flowers and ornamentals, and nursery crops. Fruits and vegetables are expected to hold a significant market share of XX% by 2027. The fruits and vegetables segment is a major contributor to the market, owing to the growing demand for healthy and nutritious food products. Spain has been one of the largest fruit and vegetable producers in Europe. According to a report by the Agencia EFE, vegetable production in Spain reached about 16.39 million tons in 2021, an increase of about 1.21 million tons, as compared to 2020.  Spain is known for the wide variety of horticultural products that are grown there, whether outside or in greenhouses, with irrigation or rainwater. The report also states that in 2021, there were about 401,711 hectares devoted to vegetable farming, with 134,939 hectares concentrated in Andalusia, 65,177 hectares of which were included in greenhouses and open-air plots in Almera.

Climate change is a significant issue for the agriculture sector. Significant changes in climate have been noticed worldwide, which results in a lack of production. According to the Ministerie van landbouw, natuur en voedselkwaliteit (ministry of agriculture, nature and food quality), more than 550 million Euros, or 6% of the value of Spanish agriculture's output, is wasted each year. This results in the failure of crop production and the requirement for more resources to maintain crop production. However, greenhouse agriculture can significantly help in crop production by stabilizing to ensure market supply. With the robust market presence of the country’s fruit production, Spain requires extensive production procedures to support its exports. The increase in fresh food export and sales in the Spanish region is expected to drive the commercial greenhouse market.

Growing demand for greenhouse crops and technical innovation coupled with climatic change is driving the market growth. The Spain commercial greenhouse market would benefit from expanding floriculture and ornamental horticulture applications as well as growing demand for fruits and vegetables in the country. Spain's greenhouses, according to CO2 GRO, are divided into three categories: elemental (30,217 ha), simple (41,115 ha), and high-tech (3,292 ha), with the area near Almeria having the world's highest concentration of greenhouses. According to figures from the Department of Customs and Excise, Spain as a whole exported 5.7 million tonnes of vegetables last year, 1.6 percent more than the year before, resulting in 6,576 million euros (+9 percent) in earnings for farmers.

The weather in Spain has also led to a demand for controlled cultivation and a rise in attention to commercial greenhouses due to climate change. In the Provincia de Almeria in Southern Spain, there are greenhouses covering 31,000 hectares of land. One of the biggest producers of fruits and vegetables in Europe, these facilities generate 3.5 million tonnes of food annually. Only 213 mm of rainfall occurs annually in this semi-arid region, therefore farmers use drip irrigation technology to deal with water shortages. Due to this, farmers now produce agricultural products in greenhouses under cover, where they use intelligent Internet of Things (IoT) applications to boost production yield and optimize crop growth. For instance, a group of researchers from the Universidad de Almera (UAL) developed greenhouse models as a service in July 2020 to assist scientists and farmers in maximizing greenhouse productivity and profitability (GMaaS). The GMaaS system is a component of the EU-funded Internet of Food & Farm project, which intends to use the Internet of Things (IoT) technology to boost yields of higher-quality produce. To simulate greenhouse operations and automate the temperature control, irrigation quantity, irrigation schedules, and other critical factors, UAL developed models in MATLAB® and deployed them in the cloud with MATLAB Production ServerTM.

COVID-19 Impact on the Spain Commercial Greenhouse Market

The robust outbreak of the virus and its exponential spread resulted in the implementation of a nationwide lockdown. Trade constraints resulted in supply chain constraints hence, constraining market growth. Furthermore, the severe impact of the virus in the country led to a cutting down of working hours and labor force, which hampered construction and put potential contracts on standby mode.

Hence, the COVID-19 pandemic impacted the market, reaching a market size of US$2,343.835 million in COVID-19 impacted 2020. In a non-COVID-19 scenario, the market was projected to reach US$2,352.832 million. Nevertheless, the market is projected to revive in the long run, reaching US$2,869.696 million by COVID-19 impacted 2027, compared with its non-COVID-19 potential of US$2,866.760 million.

The outbreak of the virus resulted in a negligible impact on the short-run CAGR, which is calculated at 2.15% compared to the short-run, non-COVID-19 CAGR of 2.21%. Nevertheless, the market is projected to revive in the long run.

Spain Commercial Greenhouse Market Scope:


Report Metric Details
 Market Size Value in 2020  US$2,343.835 million
 Market Size Value in 2027  US$2,869.696 million
 Growth Rate  CAGR of 2.93% from 2020 to 2027
 Base Year  2020
 Forecast Period  2022–2027
 Forecast Unit (Value)  USD Million
 Segments Covered  Type, Component, And Application
 Companies Covered  ININSA, NETAFIM, Palram Industries Ltd., Philips
 Customization Scope  Free report customization with purchase



  • By Type
    • Plastic
    • Glass
  • By Component
    • High Tech Commercial Greenhouse
    • Medium Tech Commercial Greenhouse
    • Low Tech Commercial Greenhouse
  • By Application
    • Fruits and Vegetables
    • Flowers and Ornamentals
    • Nursery Crops


1.1. Market Overview

1.2. Covid-19 Scenario

1.3. Market Definition

1.4. Market Segmentation



2.1. Research Data

2.2. Assumptions



3.1. Research Highlights



4.1. Market Driver

4.2. Market Restraints

4.3. Porters Five Forces Analysis

4.3.1. Bargaining Power of End-Users

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



5.1. Introduction

5.2. Plastic

5.3. Glass



6.1. Introduction

6.2. High-Tech Commercial Greenhouse

6.2.1. Heating System Heaters Valves Vents Others

6.2.2. Cooling System Fans Cooling Pad System

6.2.3. Lighting

6.2.4. Sensors

6.3. Medium-Tech Commercial Greenhouse

6.3.1. Heaters

6.3.2. Cooling Pads

6.3.3. Thermostats

6.3.4. Exhaust Fans

6.3.5. Others

6.4. Low-Tech Commercial Greenhouse



7.1. Introduction

7.2. Fruits and Vegetables

7.3. Flowers and Ornamentals

7.4. Nursery Crops



8.1. Major Players and Strategy Analysis

8.2. Emerging Players and Market Lucrativeness

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.4. Vendor Competitiveness Matrix





9.3. Palram Industries Ltd.

9.4. Philips



Palram Industries Ltd.