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Urban Farming Market Poised for Rapid Growth in Hydroponics & Aeroponics

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The Global Urban Farming Market reached US$ 172.62 billion in 2024 and is expected to reach US$ 311.24 billion by 2032, growing with a CAGR of 7.6% during the forecast period 2025–2032. This growth is driven by increasing urbanization, food security concerns, and the demand for sustainable, locally grown produce in metropolitan areas.

Urban farming, also known as urban agriculture, refers to the cultivation of crops and rearing of animals within and around cities. It plays a vital role in enhancing food accessibility, reducing carbon footprints through shorter supply chains, and promoting green infrastructure in densely populated areas.

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 Key Market Drivers

  • Rising Food Demand in Cities: Rapid population growth in urban centers is intensifying the demand for fresh, locally sourced produce.

  • Sustainability and Environmental Awareness: Urban farming reduces transportation emissions and promotes efficient resource use through techniques like vertical farming, hydroponics, and aquaponics.

  • Technological Advancements: Innovations in IoT, automation, and smart irrigation systems are making urban agriculture more viable and scalable.

  • Government Initiatives and Support: Many governments and municipalities are encouraging rooftop farming, community gardens, and vertical farms through grants and land-use policies.


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Segmentation

  • By Farm Type: Corporate, Home Garden, Community, Others.

  • By Structure: Indoor, Outdoor.

  • By Growing Medium: Aquaponics, Aeroponics, Hydroponics.

  • By Crop Type: Non-Food Crops, Food Crops.

  • By Application: Commercial, Agriculture.

Leading Companies

  • Urban Crop Solutions

  • AeroFarms

  • Sky Greens

  • Koninklijke Philips NV.

  • Oishii

  • GrowUp Farms Ltd.

  • Green Sense Farms Holdings, Inc.

  • Gotham Greens

  • Freight Farms, Inc.

 Regional Insights

  • North America: The U.S. and Canada are leading due to early adoption of vertical farms, smart greenhouses, and community-supported agriculture (CSA).

  • Europe: Cities like Amsterdam, London, and Berlin are investing heavily in urban food systems and sustainable agri-tech solutions.

  • Asia-Pacific: Countries such as Japan, Singapore, and India are promoting urban farming to ensure food resilience in high-density cities.

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 Future Outlook

As consumers prioritize fresh, organic, and local produce, urban farming will play an increasingly important role in global food security. Its integration with smart city initiatives and sustainable infrastructure will make it a cornerstone of future urban planning.

 

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