Canada Indoor Farming Market Insights Forecasts to 2033

• The Canada Indoor Farming Market Size was valued at USD 960.5 Million in 2023
• The Market is Growing at a CAGR of 6.60% from 2023 to 2033
• The Canada Indoor Farming Market Size is Expected to reach USD 1820.5 Million by 2033

The Canada Indoor Farming Market Size is anticipated to exceed USD 1820.5 Million by 2033, Growing at a CAGR of 6.60% from 2023 to 2033.

The increasing demand for fresh foods with nutritive value, the need for higher yields using limited space & water, and the lesser impact of external weather conditions are driving the growth of the indoor farming market in Canada.     

Market Overview

Indoor farming refers to the method of growing crops indoors or in enclosed spaces such as warehouses, greenhouses, or even shipping containers under controlled environmental conditions. The primary growing systems utilized in the indoor farming industry in Canada are soil-based, hydroponic, aeroponic, aquaponic, and hybrid systems. In order to provide a distinctive and effective growth environment, hybrid growing systems integrate various growing systems. Hydroponics and aeroponics, for instance, might be combined in a hybrid system to grow plants using both air and water. Further, the use of cutting-edge technologies and creative techniques for a robust and sustainable food future is offering market opportunity. The increasing use of indoor farming is increasing accessibility of fresh local vegetables among the urban residents in the country which is accelerating the development and growth of this field.       

Report Coverage

This research report categorizes the market for the Canada indoor farming market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Canada indoor farming market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Canada indoor farming market.  

Driving Factors

The increasing demand for fresh and locally produced food leads to the adoption of eco-friendly and sustainable agriculture methods, thereby driving the indoor farming market growth. Further, the growing use of innovative methods of farming for overcoming land shortages and decreasing reliance on imports are driving the market. The use of indoor farming involves the use of 99% less land and 98% less water, producing higher crop yields than traditional farms. The lessening of the occupational hazards provided by the use of a technology called Controlled Environment Agriculture, or CEA in indoor farming is driving the market growth.

Restraining Factors

The high cost of indoor farming owing to the need for maintaining a controlled environment, including electricity for lighting and heating, ventilation, and air conditioning (HVAC) systems is challenging the Canada indoor farming market.

Market Segmentation

The Canada Indoor Farming Market share is classified into facility type, component, growing mechanism, and crop category.

• The vertical farms segment is anticipated to grow at the fastest CAGR growth during the forecast period.

The Canada indoor farming market is segmented by facility type into greenhouses, vertical farms, and others. Among these, the vertical farms segment is anticipated to grow at the fastest CAGR growth during the forecast period. Vertical farming refers to the system of cultivating crops in vertically stacked layers. Vertical structures, such as shipping barrels, skyscrapers, used warehouses, and abandoned mine shafts are used by cultivators. The adoption of new solutions for producing fresh food is driving the market demand.

• The hardware segment is expected to dominate the Canada indoor farming market during the forecast period.       

Based on the component, the Canada indoor farming market is divided into hardware, software, and services. Among these, the hardware segment is expected to dominate the Canada indoor farming market during the forecast period. The hardware segment is further divided into irrigation systems, sensors, lighting systems, and climate control systems, all of which make it possible to produce crops indoors. The integration of innovative technology in indoor farming for efficiency and sustainability is driving the market growth.

• The hydroponics segment dominated the market with the largest market share during the forecast period.

The Canada indoor farming market is segmented by growing mechanism into aeroponics, hydroponics, and aquaponics. Among these, the hydroponics segment dominated the market with the largest market share during the forecast period. In hydrophonic indoor farming, the entire environment is regulated and the plants receive only the necessary quantity of macro and micronutrients, enabling the effective utilization of nutrients, thus aiding in achieving better yield and high growth. The ability to grow multiple crops with minimal complexities by hydroponics system is driving the market.  

• The fruits, vegetables, & herbs segment dominates the market during the forecast period.

The Canada indoor farming market is segmented by crop category into fruits, vegetables, & herbs, flowers & ornamentals, and others. Among these, the fruits, vegetables, & herbs segment dominates the market during the forecast period. There is rising output of commonly produced fruits, vegetables, and herbs, including bell peppers, chili peppers, cucumbers, lettuce, tomatoes, and leafy greens from indoor farming. The less water required for indoor farming of fruits, vegetables, & herbs are driving the market demand.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Canada indoor farming market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Elevate Farms
• DeepBlue Greens
• orun.ai
• Mantra Farms
• Jardin Indoor Inc.
• Sky Greens Canada
• Metropolis Farms
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting And Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments

• In March 2023, UP Vertical Farms launched its inaugural vertical farming facility in Pitt Meadows, British Columbia (Canada).  

• In July 2022, Fieldless Farms, a modern food and Controlled Environment Agriculture company that launched in 2019, announced a Series A round raising $17.5 million in equity and debt to expand operations at its Cornwall facility by 10 times.  

Market Segment

This study forecasts revenue at Canada, regional, and country levels from 2020 to 2033. Spherical Insights has segmented the Canada Indoor Farming Market based on the below-mentioned segments:

Canada Indoor Farming Market, By Facility Type

• Greenhouses
• Vertical Farms
• Others

Canada Indoor Farming Market, By Component

• Hardware
• Software
• Services

Canada Indoor Farming Market, By Growing Mechanism

• Aeroponics
• Hydroponics
• Aquaponics

Canada Indoor Farming Market, By Crop Category

• Fruits, Vegetables, & Herbs
• Flowers & Ornamentals
• Others