Urban Farming Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The urban farming market size has grown strongly in recent years. It will grow from $159.92 billion in 2024 to $174.23 billion in 2025 at a compound annual growth rate (CAGR) of 8.9%. The growth in the historic period can be attributed to increasing population and urbanization, climate change and environmental concerns, local food movement, government support and policies, rising awareness of health and nutrition.

The urban farming market size is expected to see strong growth in the next few years. It will grow to $233.61 billion in 2029 at a compound annual growth rate (CAGR) of 7.6%. The growth in the forecast period can be attributed to post-industrialization and abandoned spaces, community gardens movement, green revolution and industrial agriculture critique, rooftop farming in ancient cultures, city beautiful movement and urban planning. Major trends in the forecast period include tech integration and automation, circular economy practices, hybrid farming models, corporate and institutional partnerships, aquaponics and integrated farming systems.

The decreasing availability of farmland is anticipated to drive growth in the urban farming market in the coming years. Farmland refers to land used or suitable for farming, including cultivable land prepared through plowing, planting, and harvesting crops, as well as pastures or countryside areas for grazing cattle. Urban farming addresses the challenge of shrinking farmland in urban centers by optimizing land use, supporting sustainability, and offering residents access to fresh produce, helping to offset the effects of urbanization on traditional agriculture. For example, according to GOV.UK, a UK government department, the total utilized agricultural area in the UK declined by 2.3% in 2023, totaling just over 17 million hectares. Consequently, this reduction in farmland availability is fueling the urban farming market.

Leading companies in the urban farming market are focusing on developing advanced solutions like smart vertical farms, collaborating with AgriTech firms to boost food security and meet key industry needs. A smart vertical farm with an AgriTech partner enhances food security by maximizing crop yields in urban areas, optimizing resources, leveraging IoT for real-time monitoring, and providing fresh, local produce year-round. For instance, in February 2024, UAE-based renewable energy company Masdar City launched a smart vertical farm in partnership with AgriTech firm Madar Farms as part of a broader initiative to strengthen food security in the UAE. This collaboration aims to promote self-sufficiency by employing innovative farming methods suited to the UAE's arid climate. Designed to grow leafy greens and other produce using significantly less water than traditional farming, the farm addresses both food and water security challenges. This project supports the UAE's National Food Security Strategy, which emphasizes sustainable practices and local production to reduce dependency on imports, aligning with Masdar's commitment to sustainable urban innovation.

In September 2022, Gotham Greens, a U.S.-based company specializing in eco-friendly indoor farming, acquired FresH2O Growers Inc. for an undisclosed amount. Gotham Greens announced plans to use the funding from the acquisition to enter new markets, create new products, build new greenhouses, and expand existing facilities. FresH2O Growers, Inc., a U.S.-based company, focuses on growing leafy greens and herbs in a controlled indoor environment.

Major companies operating in the urban farming market report are Infarm, Richel Group, UrbanFarmers AG, Plenty Unlimited Inc., Bowery Farming, Dalsem, Certhon, Aerofarms, Pasona, Plantagon International AB, Agrilution GmbH, BrightFarms Inc., Square Roots Urban Growers Inc., Brooklyn Grange Farm, Green Spirit Farm, Urban Crop Solutions, American Hydroponics, Sky Greens, GrowUP Urban Farms, Edenworks Inc., Garden Fresh Farms Inc., Metropolitan Farms, General Hydroponics, Green Sense Farms LLC, Eden Green Technology, Gotham Greens, Mirai Co. Ltd., SproutsIO Inc., Spread Co. Ltd., Harnois Greenhouses.

North America was the largest region in the urban farming market in 2024. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the urban farming market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the urban farming market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The urban farming market consists of the revenues earned by entities by providing services such as food production, urban redevelopment, job creation, environmental sustainability, and urban farming subscription services. The market value includes the value of related goods sold by the service provider or included within the service offering. The urban farming market also includes sales of robotic vertical farm systems, microcontrollers, nondispersive infrared CO2 detectors, and light-emitting diodes. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

Urban farming refers to the practice of cultivating agricultural produce, raising animals, or generating food within an urban setting, which includes residential and commercial structures. This can take various forms, including indoor controlled environment farming, community gardens, and rooftop gardens. Urban farming is aimed at promoting sustainable agriculture, reducing food miles (the distance food travels from the point of production to consumption), and enhancing local food security by growing crops within city borders. It often involves utilizing unoccupied or underutilized spaces to cultivate fresh vegetables and contribute to a more sustainable and locally sourced food supply.

The primary types of urban farming include aquaponics, hydroponics, aeroponics, and others. Aquaponics is a sustainable food production system within urban farming that integrates aquaculture (fish farming) and hydroponics (soil-less plant culture). In aquaponics, fish waste provides nutrients for plants, and the plants, in turn, filter and purify the water for the fish. Urban farming structures are categorized as indoor or outdoor, and the crops grown can include both non-food crops and food crops. Urban farming finds applications in various sectors, including commercial and agricultural purposes, contributing to the cultivation of fresh produce in urban environments.

The urban farming research report is one of a series of new reports that provides urban farming market statistics, including the urban farming industry's global market size, regional shares, competitors with a urban farming market share, detailed urban farming market segments, market trends and opportunities, and any further data you may need to thrive in the urban farming industry. This urban farming market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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