Global Aquaponic and Hydroponic Systems and Equipment Market Worth USD 5.35 Billion With a CAGR of 14.60%

Introduction

Aquaponic and hydroponic systems set the standard for alternative agriculture on a global scale because they offer growers a vast array of essential benefits for plant cultivation while minimizing potentially hazardous environmental effects. Hydroponics is the cultivation of plants without the use of soil. In the hydroponic growing system, the nutrient-rich aquatic solution is flushed through the plant's roots to provide the plant with the resources necessary for optimal growth. Aquaponics is another innovative method of soilless plant cultivation. Nevertheless, it differs slightly from hydroponics. Aquaponics combines hydroponic and aquaculture techniques. The aquatic solution delivers the essential nutrients for plant growth directly to the roots, where they can be efficiently absorbed, as opposed to the soil.

Market Dynamics

Higher Yield Compared to Conventional Farming Drives the Global Market

The higher yield of the technology is one of the main factors driving the expansion of the market. Aquaponic and hydroponic food production systems increase the productivity and efficiency of a field. Aquaponic systems require 10% less land and 5% less water for vegetable and fruit production and fish farming than conventional methods. These systems include controls for temperature, heat, and water. Consequently, food and crop production occur in a greenhouse or climate-controlled enclosure. Hydroponic systems offer a 25% higher yield than conventional farming methods, which produce more than five times as much as hydroponic systems. Growers recognize the higher yield of aquaponic and hydroponic systems as their awareness of their benefits increases.

Increasing Cultivation of Medicinal Plants Creates Tremendous Opportunities

Medicinal plants are valuable natural resources. Unplanned development and overexploitation of medicinal plants derived from unmanaged natural resources have resulted in a worldwide demand for a greater variety of spices and the extinction of many species. It is required to domesticate and cultivate these plants or to take other ex-situ and in-situ conservation measures for their long-term use to meet the rising demand for them. Due to emergencies, these plants prefer to be grown outside their native climate zones. The hydroponic and aquaponic techniques are indispensable for the cultivation of medicinal plants because crops are grown in a well-managed cultivation system regardless of the season or temperature. In addition, the system is impervious to external environmental factors, such as diseases and pests, because it is completely sealed and climate-controlled. Thus, cultivating medicinal plants can provide an excellent opportunity for market expansion.

Regional Analysis

Europe is the most significant global aquaponic and hydroponic systems and equipment market shareholder and is estimated to exhibit a CAGR of 13.40% during the forecast period. The European market for aquaponic and hydroponic systems and equipment generates substantial revenue. Aquaponic and hydroponic techniques contribute to the agriculture industry because they are integral components of indoor and vertical farming, gaining tremendous popularity in the region. In addition, the growing concern for food safety and security among the populace is one of the key factors propelling the growth of the aquaponics market in the region. This increases the demand for alternative agricultural practices in the region. This drives the development of the region's aquaponic and hydroponic systems and equipment market.

North America is anticipated to exhibit a CAGR of 16.10% over the forecast period. The high growth of North America's aquaponic and hydroponic industry can be attributed to the increased emphasis on alternative farming techniques and technological advancement. Aquaponics and hydroponics are an ideal solution to the region's food demand due to their capacity to produce high-quality, nutrient-dense crops close to urban centers, which can then be quickly transported to the market. In addition, numerous leading companies, such as Nelson & Pade Aquaponics, Backyard Aquaponics, and Aquaponics USA, are headquartered in the North American region, which is anticipated to experience significant growth. Significantly contributing to the market development in the North American region is the presence of research institutes working on developing alternative farming techniques.

Key Highlights

• The global aquaponic and hydroponic systems and equipment market was valued at USD 1.57 billion in 2022. It is estimated to reach USD 5.35 billion by 2031, growing at a CAGR of 14.60% during the forecast period (2023–2031).
• Based on application, the global aquaponic and hydroponic systems and equipment market is bifurcated into vegetables, fruits, herbs, fish, and others. The vegetable segment dominates the global market and is projected to exhibit a CAGR of 15.09% over the forecast period.
• Based on equipment, the global aquaponic and hydroponic systems and equipment market is bifurcated into LED grow lights, heating, ventilation, and air conditioning (HVAC), irrigation system, water heaters, aeration system, and others. The heating, ventilation, and air conditioning (HVAC) segment owns the highest market share and is predicted to grow at a CAGR of 12.97% over the forecast period.
• Based on technique, the global aquaponic and hydroponic systems and equipment market is divided into nutrient-film technique, deep-water culture, ebb and flow system, media-filled grow bed systems, and others. The nutrient-film technique segment is the most significant contributor to the market and is anticipated to exhibit a CAGR of 15.95% over the forecast period.
• Europe is the most significant global aquaponic and hydroponic systems and equipment market shareholder and is estimated to exhibit a CAGR of 13.40% during the forecast period.

Competitive Players

Competitive Players

The key global aquaponic and hydroponic systems and equipment market players are AmHydro, Aquaponic Lynx LLC, Argus Control Systems Limited, Colorado Aquaponics, ECF Farmsystems, BetterGrow Hydro, Endless Food Systems, general Hydroponics, Hydrodynamics International, GreenTech Agro LLC, Hydrofarm LLC, LivinGreen, Nelson & Pade Aquaponics, Pentair AES, Perth Aquaponics, Pegasus Agriculture, and UrbanFarmers AG.

Recent Developments

Market News

• In June 2022, GrowGeneration Corp., the nation's largest chain of specialty hydroponic and organic garden centers, announced the opening of a new hydroponic garden center to serve the growing Mississippi market.

• In February 2023, Springworks Farm, an aquaponic greenhouse company based in Lisbon, Maine, received USD 22 million in new funding to fuel its regional expansion. According to a press release, the funds will be used to construct Springworks' fourth and largest greenhouse, adding 120,000 square feet of production space

Segmentation

Global Aquaponic and Hydroponic Systems and Equipment Market: Segmentation

By Applications

• Vegetables
• Fruits
• Herbs
• Fish
• Others

By Equipment

• Heating, Ventilation, and Air Conditioning (HVAC)
• Irrigation System
• LED Grow Light
• Aeration System
• Others

By Technique

• Nutrient-Film Technique
• Media-Filled Grow Bed
• Deep-Water Culture Technique
• Ebb and Flow System
• Others

By Regions

• North America
• Europe
• The U.K.
• China
• Asia-Pacific
• The Middle East and Africa
• Rest-of-the-World