A recently released market study reports that the global horticultural lighting market is projected to grow from $2.3 billion in 2020 to $6 billion by 2025 at a CAGR of +21.4%. Published by MarketsandMarkets, the report “Horticultural Lighting Market with COVID-19 Impact Analysis by Technology (Fluorescent, HID and LED), Application (Greenhouses, Vertical Farms and Indoor Farms), Cultivation, Lighting Type, Offering, Installation and Region – Global Forecast to 2025” reveals key factors fueling the growth of this market, including: the rising number of government initiatives to promote the adoption of controlled-environment agriculture (CEA) practices and solid-state lighting (SSL) technology; growing demand for food owing to the continuously increasing population; increasing funding to develop vertical farms and greenhouses; and ongoing legalization of cannabis cultivation.
The hardware segment of the horticulture lighting market is estimated to hold larger market share in 2025. The key factors for the growth are the increasing number of new lighting installations in greenhouses and vertical farms and the growing support of governments of different countries promoting the adoption of CEA facilities.
The cannabis segment of the horticulture lighting market, by cultivation, is projected to register the highest CAGR during the forecast period. The legalization of cannabis production is gaining momentum in different parts of the world as lawmakers globally are working toward this process. This is certainly going to benefit all categories of cannabis growers, and, at the same time, manufacturers of LED grow lights are expected to benefit the most from this. Cannabis is also considered as a high value crop by growers and hence the cultivation of cannabis is growing at a faster pace.
For more information on this market study or to download a brochure, visit the MarketsandMarkets website.