Europe Hydroponics Market Insights Forecasts to 2033

• The Europe Hydroponics Market Size was valued at USD 5.36 Billion in 2023
• The Market Size is Growing at a CAGR of 4.29% from 2023 to 2033.
• The Europe Hydroponics Market Size Expected to Reach USD 8.16 Billion by 2033.

The Europe Hydroponics Market Size expected to reach USD 8.16 Billion by 2033, at a CAGR of 4.29% during the forecast period 2023 to 2033.  

Market Overview

Hydroponics is the process of growing plants without soil using mineral nutrient solutions in sand, gravel, or liquid. In other words, an agricultural technique is used to grow plants in a soil-free environment, such as a mineral nutrient and water solution. Hydroponics is a subset of hydroculture, one of the fastest-growing soil-less farming approaches on a region scale, that utilizes mineral nutrient solutions in water without soil. Furthermore, hydroponic plants grow faster than soil plants when grown under the same conditions. In a hydroponic system, nutrients are treated with water before being transferred to the roots. Furthermore, hydroponic gardening requires less water than soil gardening because it frequently employs nutrient solutions. Hydroponics requires only nutrients, water, and sunlight to allow plants to grow much more effectively with their roots submerged in water. The hydroponics market represents the commercial side of this innovative farming method. It includes the sale of hydroponic systems, equipment, and nutrients necessary for the process. This market includes businesses that grow and sell hydroponically grown produce. The hydroponics market is expanding rapidly in Europe, due to rising urbanization, scarcity of arable land, and a growing demand for food security. The market's growth is also fueled by rising consumer demand for organic food and sustainable farming practices.

Report Coverage

This research report categorizes the market for Europe hydroponics market based on various segments and regions forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Europe hydroponics 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 Europe hydroponics market. 

Driving Factors

The growing demand for fresh produce throughout the year is expected to drive the growth of the hydroponics market in Europe, while technological advancements in farming techniques are expected to cause an increase in demand for hydroponics in Europe. Furthermore, in Europe, an increase in investments in research and development (R&D) is projected to boost demand for hydroponics. The growing consumer demand for organic food products in Europe is expected to accelerate the adoption of hydroponic farming methods. Furthermore, hydroponics' environmental benefits, such as reduced water usage and the absence of soil erosion, are consistent with Europe's commitment to sustainability, which encourages its adoption. As a consequence, the growing demand for organic foods in Europe is projected to significantly boost the region's hydroponics market. Furthermore, R&D is enabling the development of more resilient plant varieties suitable for hydroponic cultivation, which increases the appeal of this method. As such, increased investment in R&D is expected to boost demand for hydroponics in the European market.

Restraining Factors

The high initial investment in hydroponics is expected to put a strain on its demand in Europe. The increasing risk of waterborne diseases in Europe is expected to have a significant negative impact on the demand for hydroponics in the region. Furthermore, financing options for such innovative technologies are frequently restricted which reduces demand. As such, the prospect of heavy investment from the start is expected to turn off potential adopters, lowering overall demand for hydroponics in Europe.

Market Segment

• In 2023, the aggregate hydroponic system segment accounted for the largest revenue share over the forecast period.

Based on type, the Europe hydroponics market is segmented into aggregate hydroponic systems and liquid hydroponic systems. Among these, the Aggregate hydroponic system segment has the largest revenue share over the forecast period. Aggregate hydroponic systems are an important choice for modern agriculture because they provide numerous benefits. Closed systems, with their controlled environment and efficient nutrient recirculation, reduce resource waste, water consumption, and the risk of pests and diseases. Open systems, on the other hand, offer greater flexibility, simplicity, and cost-effectiveness, making hydroponic farming more accessible to a wider range of growers. The dynamic duality of aggregate hydroponic systems meets a wide range of agricultural requirements, from large-scale commercial farms to small-scale urban growers. This diversity encourages more farmers to use hydroponics, especially in areas with scarcity or harsh climates. As sustainability and food security become primary concerns, the adaptability and efficiency offered by these systems continue to drive market growth.

• In 2023, the tomato segment is witnessing the largest growth over the forecast period.

Based on crop type, the Europe hydroponics market is segmented into tomato, lettuce and leafy vegetables, pepper, cucumber, microgreens, and others. Among these, the tomato segment is witnessing the largest growth over the forecast period. When examining the hydroponics market, tomato cultivation emerges as a significant driver of growth. Tomatoes are a widely consumed and versatile crop, and hydroponic systems have proven to be particularly effective for growing them. Hydroponic tomato farming provides numerous benefits, including precise control over nutrient levels, water consumption, and environmental conditions. This level of control leads to increased yields, faster growth, and consistent quality, making hydroponic tomatoes appealing to both growers and consumers. Furthermore, hydroponics enables year-round tomato production, eliminating the constraints imposed by seasonal changes in traditional soil-based agriculture. This consistent supply meets the needs of consumers and commercial users such as restaurants and supermarkets, thereby contributing to the market's growth.

• In 2023, the HVAC segment accounted for a significant revenue share over the forecast period.

Based on equipment, the Europe hydroponics market is segmented into HVAC, LED grow lights, irrigation systems, material handling, control systems, and others. Among these, the HVAC segment has a significant revenue share over the forecast period. HVAC systems are essential in controlled indoor hydroponic environments because they provide precise climate control, which is required for optimal plant growth. To ensure healthy plant development and prevent mold or pathogen growth, hydroponic farms must maintain specific temperature and humidity levels, as well as adequate ventilation. Furthermore, HVAC systems provide optimal growing conditions while also contributing to energy efficiency, lowering hydroponic growers' operational costs. These systems help to keep temperatures stable year-round, regardless of external weather conditions, allowing for consistent crop production and lowering the risk of crop loss due to extreme weather events.

• The United Kingdom is projected to have the largest share of the Europe hydroponics market over the forecast period.

Based on region, the United Kingdom is projected to have the largest share of the Europe hydroponics market over the forecast period. With an increasing number of commercial growers and hobbyists adopting hydroponic systems for sustainable and highly efficient farming practices, the UK has seen remarkable growth in this sector, outperforming major European players such as Germany, France, Italy, Spain, and Russia. Several factors contribute to this surge. Government initiatives to promote agricultural innovation have contributed significantly to the growth of hydroponics. The United Kingdom government has recognized the potential of this farming method to address issues such as limited land availability and water scarcity and has offered farmers assistance and incentives to adopt hydroponic systems. Furthermore, consumers are increasingly demanding locally grown, sustainable produce, and hydroponics provides a solution to meet these needs. As hydroponics continues to transform the farming industry, the United Kingdom's leadership position reinforces its reputation as a pioneer in sustainable and forward-thinking agricultural practices.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Europe hydroponics 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

• Argus Control Systems Ltd.
• General Hydroponics Inc.
• Greentech Agro LLC
• Logiqs B.V.
• Heliospectra AB
• Thanet Earth Ltd.
• Lumigrow Inc
• Signify N.V.
• Jones Food Company
• Koninklijke Philips NV
• Others

Key Target Audience

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

This study forecasts revenue at regional, and country levels from 2022 to 2033. Spherical Insights has segmented the Europe hydroponics market based on the below-mentioned segments:

Europe Hydroponics Market, By Type

• Aggregate Hydroponic System
• Liquid Hydroponic System

Europe Hydroponics Market, By Crop Type

• Tomato
• Lettuce and Leafy Vegetables
• Pepper
• Cucumber
• Microgreens
• Others

Europe Hydroponics Market, By Equipment

• HVAC
• LED Grow Light
• Irrigation Systems
• Material Handling
• Control Systems
• Others

Europe Hydroponics Market, By Region 

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