South America Vertical Farming Market: Industry Analysis and Forecast (2023-2029) by Technology, Application, Type, and Region
South America Vertical Farming Market size was valued at US$ 0.92 Bn. in 2022 and expected to grow at a CAGR of 21.1% during the forecast period.
Format : PDF | Report ID : SMR_195
South America Vertical Farming Market Definition:
Vertical farming is done in a closed environment where crops are grown on racks to minimize the space required for growth. Vertical farming is the process of growing crops in a vertical layer using artificial light and heat. Compared to traditional farming methods, vertical farming requires less physical space, consumes less water, lowers labor costs and is more productive. Crops such as summer squash, bell peppers, eggplants, cantaloupe, English cucumbers, herbs, tomatoes, mushrooms are considered in vertical farming. South America vertical farming market report's segment analysis provided on the basis of structure type and country.
South America Vertical Farming Market Dynamics:
Population growth and the deterioration of agricultural areas will force this controlled agriculture to shift to vertical farming, which has been the solution to feeding many Latin American cities such as Lima and Bogota. Better yield in a much smaller area, shorter growing time, less water usage, a gassy product has widely grown to the point of consumption, superior meal taste is the main driving factor to promote the growth of the South America vertical farming market.
In Latin America, there are several of the world’s largest cities, water is scarce and the land is less and less available to grow crops, so for these cities to have the capacity to produce more food and export will depend on environmentally controlled agricultural technology, is hampering the growth of the vertical farming market. Theoretically, the number of plants is limited only by the height of the building. The space requirements for HVAC equipment and air circulation around the plant are often overlooked, resulting in the two most commonly identified difficulties when monitoring the environment is considered as a major factor for hampering the growth of the South America vertical farming market.
There are early signs of a revival of Latin American vertical farming in Chile, where Agro Urbana just closed a $1 million funding round, bringing the total raised to $1.5 million. The start-up has created South America's first vertical farm, according to the Vertical Farming Association. Private equity fund CLIN, managed by Chile Global Ventures, the joint venture arm of Foundation Chile, is a public-private initiative for innovation and sustainability in the country, which leads with 33% cash. Funding also comes from CORFO, Chile's economic development agency, and private investors such as business builder and VC Factory Engie, which is the country's largest telecommunications company, and sustainable development investor Zoma Capital are focusing to develop new inventions for the vertical farming market. This major factor gives immense growth for the South America vertical farming market.
Key Initiative for the development of Vertical Farming Market in South American region:
The demonstrative of the Organisation of Inter-American Cooperation on Agriculture (IICA), pointed out that for new methods of food production and marketing to have an impact on people, they must be accompanied by innovation, knowledge, and understanding. Public policy knowledge and mechanisms will initiate the vertical farming market in this region. The activity that international experts will gather drive explore the future of food production under the roof, as well as focus on establishing sustainable and profitable agribusinesses in Latin America. The region has more than 600 million inhabitants which essentially affect the South America vertical farming market.
South America Vertical Farming Market Segment Analysis:
By Type, the market is segmented into Hardware, Software, Service and Others. Software Segment dominated the South America vertical farming market with a 42.2% share in 2020. Vertical farming is an energy-intensive crop production system that involves the integration of multiple technologies such as big data analysis, robotics, the Internet of Things, and artificial intelligence enabling successful crop growth without agricultural constraints. With the help of this technology, the software segment of Latin America is constantly growing.
However, The Hardware segment is expected to grow at a CAGR of 20.4% through the forecast period. Vertical farming allows producing more crops from the same square footage of the growing area. Less Use of Water in Cultivation Vertical farming allows producing crops with 70% to 95% less water than required for normal cultivation. With the help of such cultivation, the hardware segment is expected to rise in the Latin American region.
South America Vertical Farming Market Regional Insights:
Latin America market region includes countries like Brazil and Argentina and the remaining countries of South America. The market is expected to expand in Latin America as the consumer demand for organic foods is being complemented by rising disposable incomes and the growing populace. Further feasibility of the application of technological advancements in vertical farming, will bring down the costs and be considered as a major factor contributing to the South America vertical farming market growth in the foreseeable future. Brazil is one of the largest markets in this region followed by Argentina and Columbia.
The objective of the report is to present a comprehensive analysis of the South America Vertical Farming market to the stakeholders in the industry. The report provides trends that are most dominant in the South America Vertical Farming market and how these trends will influence new business investments and market development throughout the forecast period. The report also aids in the comprehension of the South America Vertical Farming Market dynamics and competitive structure of the market by analyzing market leaders, market followers, and regional players.
The qualitative and quantitative data provided in the South America Vertical Farming market report is to help understand which market segments, regions are expected to grow at higher rates, factors affecting the market, and key opportunity areas, which will drive the industry and market growth through the forecast period. The report also includes the competitive landscape of key players in the industry along with their recent developments in the South America Vertical Farming market. The report studies factors such as company size, market share, market growth, revenue, production volume, and profits of the key players in the South America market.
The report provides Porter's Five Force Model, which helps in designing the business strategies in the market. The report helps in identifying how many rivals are existing, who they are, and how their product quality is in the South America Vertical Farming market. The report also analyses if the South America Vertical Farming market is easy for a new player to gain a foothold in the market, do they enter or exit the market regularly if the market is dominated by a few Players, etc.
The report also includes a PESTEL Analysis, which aids in the development of company strategies. Political variables help in figuring out how much a government can influence the South America Vertical Farming market. Economic variables aid in the analysis of economic performance drivers that have an impact on the South America Vertical Farming market. Understanding the impact of the surrounding environment and the influence of environmental concerns on the South America market is aided by legal factors.
South America Vertical Farming Market Scope:
South America Vertical Farming Market Scope
Market Size in 2022
USD 0.92 Bn.
Market Size in 2029
USD 3.52 Bn.
By Structure Type
North America- United States, Canada, and Mexico
Europe – UK, France, Germany, Italy, Spain, Sweden, Austria, and Rest of Europe
Asia Pacific – China, India, Japan, South Korea, Australia, ASEAN, Rest of APAC
Middle East and Africa - South Africa, GCC, Egypt, Nigeria, Rest of the Middle East and Africa
South America – Brazil, Argentina, Rest of South America
Vertical Farming Market Key Players:
- Freight Farms
- Sky Greens
- Philips N.V
Frequently Asked Questions
The segments covered in the South America Vertical farming Market report are based on Type.
Brazil is expected to hold the highest share in the South America Vertical farming Market.
The market size of the South America Vertical farming Market is expected to be 3.52 Bn by 2029.
The forecast period for the South America Vertical farming Market is 2022-2029.
The market size of the South America Vertical farming Market in 2022 was US$ 0.92 Bn.
Chapter 1 Scope of the Report
Chapter 2 Research Methodology
2.1. Research Process
2.2. South America Vertical Farming Market: Target Audience
2.3. South America Vertical Farming Market: Primary Research (As per Client Requirement)
2.4. South America Vertical Farming Market: Secondary Research
Chapter 3 Executive Summary
Chapter 4 Competitive Landscape
4.1. Market Share Analysis, By Value, 2022-2029
4.1.1. South America Market Share Analysis, By Structure Type, By Value, 2022-2029 (In %)
18.104.22.168. Brazil Market Share Analysis, By Structure Type, By Value, 2022-2029 (In %)
22.214.171.124. Argentina Market Share Analysis, By Structure Type, By Value, 2022-2029 (In %)
126.96.36.199. Rest of South America Market Share Analysis, By Structure Type, By Value, 2022-2029 (In %)
4.2. Stellar Competition matrix
4.2.1.South America Stellar Competition Matrix
4.3. Key Players Benchmarking
4.3.1. Key Players Benchmarking By Structure Type, Pricing, Market Share, Investments, Expansion Plans, Physical Presence and Presence in the Market.
4.4. Mergers and Acquisitions in Industry
4.4.1. M&A by Region, Value and Strategic Intent
4.5. Market Dynamics
4.5.1. Market Drivers
4.5.2. Market Restraints
4.5.3. Market Opportunities
4.5.4. Market Challenges
4.5.5. PESTLE Analysis
4.5.6. PORTERS Five Force Analysis
4.5.7. Value Chain Analysis
Chapter 5 South America Vertical Farming Market Segmentation: By Structure Type
5.1. South America Vertical Farming Market, By Structure Type, Overview/Analysis, 2022-2029
5.2. South America Vertical Farming Market, By Structure Type, By Value, Market Share (%), 2022-2029 (USD Million)
5.3. South America Vertical Farming Market, By Structure Type, By Value, -
5.3.3. Line Interactive
Chapter 6 South America Vertical Farming Market Size By Country, By Value, 2022-2029 (USD Million)
6.1.3. Rest of South America
Chapter 7 Company Profiles
7.1. Key Players
188.8.131.52. Company Overview
184.108.40.206. Source Portfolio
220.127.116.11. Financial Overview
18.104.22.168. Business Strategy
22.214.171.124. Key Developments
7.1.3. Freight Farms
7.1.5. Sky Greens
7.1.10 Philips N.V
7.2. Key Findings