Horticultural Lighting Market Ready to Grow

Published On
Jul 29, 2022

Innovation has transformed lighting technology across many sectors and industries. For example, horticulture lighting is expanding globally.

Two studies project rapid growth in the industry over the next several years. The Horticulture Lighting Market Research Report, published in March 2021, by Market Research Future, and the more recent Horticultural Lighting Market, published in March 2022, by Markets and Markets, identify a number of factors contributing to worldwide growth in using lighting to propagate plants in an indoor environment.

Referred to as Controlled Environment Agriculture (CEA), the industry is poised for expansion as population growth continues and as arable land and water become scarce. City and indoor farming are replacing traditional practices as more viable alternatives. The need to cut costs and increase convenience, combined with greater disposable income, are also encouraging greater use of horticultural lighting. Finally, the rapid growth of cannabis farming is increasing the demand for new technology.

The horticultural lighting market can be categorized in different ways. Applications, type of cultivation, lighting types and technology make up some of the different industry segments, which can be further differentiated.

Applications include greenhouses, vertical farming, indoor farming and others. In the cultivation category, lighting varies for fruits, vegetables and floriculture (growing flowers). Lighting type can be differentiated into top-lighting and inter-lighting. Finally, technology includes fluorescents, high-intensity discharge light, LEDs and more.

The reports look at all these segments and sub-segments in their analyses. Both project “healthy growth” in the industry, although their exact figures vary. Market Research Future projects a combined annual growth rate (CAGR) of 16.41%, from $2.9 billion to $16.4 billion over the seven-year period of 2019 to 2026. The Markets and Markets study projects more robust growth in the industry, at a CAGR of 24.5% from $3.1 billion in 2022 to $9.4 billion by 2027.

About the Author

Rick Laezman

Freelance Writer

Rick Laezman is a Los Angeles-based freelance writer who has been covering renewable power for more than 10 years. He may be reached at richardlaezman@msn.com.

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