Europe Vertical Farming Market Size to Reach $13.3 Billion by 2035

Europe vertical farming market size reached $2.2 billion in 2025 and is projected to expand to $13.3 billion by 2035, growing at a CAGR of 19.9% during the forecast period (2026–2035). Market growth is supported by rising urban food demand, controlled-environment agriculture adoption, and increasing investment in sustainable farming technologies.

Browse the full report description of “European Vertical Farming Market Size, Share & Trends Analysis Report by Structure Type (Building-based Vertical Farming and Shipping Container-based Vertical Farming), by Growth Mechanism (Aeroponics, Hydroponics, and Aquaponics), and by Component (Sensors, Lighting, Climatic Controls, Irrigation Component, Building Material, and Other Components), Forecast Period (2026-2035)” at https://www.omrglobal.com/industry-reports/europe-vertical-farming-market

Key Market Drivers

• Rising urban population increasing demand for locally grown produce.
  • Adoption of controlled-environment agriculture for year-round cultivation.
  • Government support for sustainable and resource-efficient farming systems.
  • Technological advancements in LED lighting and climate control systems.
  • Expansion of retail and foodservice demand for pesticide-free crops.

Regional Analysis

Europe represents a significant regional market for vertical farming due to supportive sustainability policies and increasing food security initiatives. In the UK, controlled-environment agriculture projects have expanded alongside national food strategy discussions focused on reducing import dependence and strengthening domestic production. Germany has also witnessed increased adoption of hydroponic and aeroponic systems, supported by research funding and urban agriculture initiatives in cities such as Berlin and Hamburg. Across Europe, regulatory frameworks emphasizing reduced pesticide use and water conservation are influencing investment in building-based and container-based vertical farming systems. The region’s focus on climate resilience and low-carbon food production continues to support the integration of advanced sensors, lighting systems, and irrigation technologies in vertical farming facilities.

Competitive Landscape

Key companies operating in the Europe vertical farming market include Infarm, Signify N.V., ams-OSRAM AG, Valoya Oy, Agrilution GmbH, and Jones Food Company. These Europe-based companies are engaged in indoor farming operations, horticulture LED lighting, controlled-environment systems, and modular vertical farming technologies supporting commercial urban agriculture across the region.

Recent Market Developments

• In April 2025, Planet Farms and Swiss Life Asset Managers entered an industrial joint venture to develop controlled environment agriculture infrastructure across Europe. The agreement involves up to €125 million in capital and includes a 20,000 m² automated vertical farming facility in Lombardy etc which will serve as a model for future indoor farms.

• In May 2025, Planet Farms announced a £25 million investment in a new UK vertical farming facility that will replicate its Italian operations and supply retailers including Waitrose with locally grown produce. The facility is planned to begin production in 2027 and will be one of the largest controlled agriculture installations in the region.

Market Coverage

• The market number available for – 2025-2035
• Base year- 2025
• Forecast period- 2026-2035
• Segment Covered-
  • By structure type
  • By  growth mechanism
  • By component
• Region Covered-
  • Europe

Competitive Landscape- Infarm, Signify N.V., ams-OSRAM AG, Valoya Oy, Agrilution GmbH, and Jones Food Company.  

Key questions addressed by the report.

• What is the market growth rate?
• Which segment and region dominate the market in the base year?
• Which segment and region will project the fastest growth in the market?
• Who is the leader in the market?
• How are players addressing challenges to sustain growth?
• Where is the investment opportunity?

Europe Vertical Farming Market Report Segment

By structure type

• Building-based Vertical Farming
• Shipping Container-based Vertical Farming

By growth mechanism

• Aeroponics
• Hydroponics
• Aquaponics

By component

• Sensors
• Lighting
• Climatic Controls
• Irrigation Component
• Building Material
• Other Components

Europe Vertical Farming Market Report Segment by Region

• UK
• Germany
• Italy
• Spain
• France
• Russia
• Rest of Europe

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