North America Commercial Greenhouse Market - Forecasts from 2023 to 2028

The North American commercial greenhouse market is anticipated to grow at a CAGR of 5.38%, from US$2,150.427 million in 2021 to US$3,102.874 million by 2028.

Greenhouses are one of many commercial technologies that are quickly adopting artificial intelligence (AI). Using smart sensors, AI systems can gather and analyze environmental data and make wise decisions. Farmers in North America used traditional methods to create a regulated climate within greenhouses. These methods included using heated greenhouses, hot water piping systems to raise the temperature inside the greenhouses, and standard lighting fixtures like metal-halide and high-pressure sodium lamps. Over the past ten years, commercial greenhouse producers in North America have begun implementing automated technologies to enable year-round plant growth. Urban areas are increasingly using commercial greenhouse technologies to help supply fresh vegetables to stores.

Further, the area's lack of available farmland is increasing the demand for greenhouse farming - the growing use of IoT, Big Data, and Analysis in commercial greenhouses throughout the forecast period. However, high LED light investment costs and a lack of qualified professionals may impede market growth.

Adoption of artificial intelligence (AI) in the North American commercial greenhouse market.

Artificial intelligence systems can precisely alter the greenhouse's conditions owing to real-time readings of humidity, temperature, pH, and other variables. Artificial intelligence (AI) can control irrigation and lighting mechanisms to produce exact output quantities rather than relying on human farmers to check and adapt continuously. Fruit and vegetable development can be optimized with quality automated systems requiring less manual labor and fewer human error. For instance, in June 2022, IUNU emerged from hiding with a machine vision and artificial intelligence platform created for tomato producers. The product is also accessible to purchase in advance in North America after more than a year of research and development in collaboration with industrial tomato producers. The company introduced four distinct modules with different benefits for each organization.

Rooftop farms are a growing trend in North American urban commercial greenhouses, such as New York's Gotham Greens. This has also led to an increase in the farm gate value of fruits and vegetables. For instance, as per the 2021 report of Statistics Canada, the value of vegetables increased from US$1,361.744 million in 2020 to US$1,416.836 million in 2021 as the farm gate value of fruits increased from US$1,197.718 million in 2020 to US$1,208.373 million in 2021.

Further, several market players are putting strategic plans into action, helping the market expand. For instance, Peloton Interactive Inc., a US-based company, started a North America commercial greenhouse program to attract more members and reach new users. Sky, SAP, Samsung, Wayfair, and the former are among the first companies to sign up for the program.

This increased demand for fresh vegetables and fruits is contributing to the North American commercial greenhouse market.

By application, the North American commercial greenhouse market is segmented into fruits and vegetables, flowers and ornaments, and nursery crops. The fruits and vegetables segment dominates the commercial greenhouse market as growing health awareness among consumers, especially among the younger generation, is focusing on helping people get healthier and feel better. According to Statistics Canada, more than 6.5 million people in Canada consumed fruits or vegetables at least five times per day in 2021. Moreover, the consumption of fresh fruit in the United States increased by almost 3% from 2018 to 2020. The segment is growing due to urbanization, rapid technological advancements, government initiatives, and high demand for fruits and vegetables.

Market Developments:

• The first greenhouse-grown melon was introduced by Pure Flavour to the North American fresh fruit market in May 2022 after years of research culminated in the new melon. As "the first individually sized, sustainably grown melons from greenhouses using the right amount of sunlight, nutrients, and water to offer the same sweet deliciously tropical flavor, regardless of season," Solara is described as "mildly cool, sweet, and juicy which has a high demand in the North American market.
• Redwire Corporation, in August 2022, announced to develop its first commercial greenhouse to support crop science on Earth and make a leap toward space exploration in the coming years. The company has scheduled the launch of its commercial greenhouse after the spring of 2023, and it will be the first-ever greenhouse to be installed in the International Space Station.

Market Segmentation:

By Type

• Free Standing
• Gutter Connected

By Equipment

• Heating System
• Cooling System
• Control System
• Others

By Application

• Fruits and Vegetables
• Flowers and Ornamentals
• Nursery Crops

By Country

• US
• Canada
• Mexico