Europe Indoor Farming Market Size, Share & Trends Analysis Report By Facility (Greenhouses, Vertical Farms), By Component, By Growing Mechanism, By Crop Category, By Country, And Segment Forecasts, 2025 - 2030

Europe Indoor Farming Market Size, Share & Trends Analysis Report By Facility (Greenhouses, Vertical Farms), By Component, By Growing Mechanism, By Crop Category, By Country, And Segment Forecasts, 2025 - 2030

Europe Indoor Farming Market Growth & Trends

The Europe indoor farming market size is expected to reach USD 27.04 billion by 2030, registering a CAGR of 12.9% from 2025 to 2030, according to a new report by Grand View Research, Inc. The increase in demand for healthy food in Europe is driving the market growth. Additionally, the rising number of people growing healthy food in their own houses is also a major factor contributing to the growth.

The growing adoption of hydroponic systems in indoor farming is creating new opportunities for market growth in Europe. Hydroponics is the practice of growing plants without soil. It offers various advantages such as fostering strong yields, rapid growth, and 90% less water usage than traditional methods.

Nowadays, various agri-tech companies in Europe are increasingly investing in aquaponics farms as they eliminate soil-borne plant and fish diseases. For instance, in April 2021, Les Nouvelles Fermes, an urban agriculture company, raised USD 2.36 million to construct urban aquaponics farms in Europe.

The outbreak of the COVID-19 pandemic has negatively impacted market growth. Many countries initiated border closures to curb the spread of the virus, thereby causing interruptions in the supply chain of indoor farming. Moreover, the suspension of production facilities led to delays in the supply of agriculture chemicals such as herbicides and pesticides. However, increase in demand for organic food across the Europe due to pandemic is anticipated to drive the growth of the market post COVID-19 outbreak.

Europe Indoor Farming Market Report Highlights

• Based on facility, the greenhouses segment has dominated the European vertical farming market with a revenue share of 71.6% in 2024.
• The hardware segment dominated the market in 2024 with the largest revenue share. Growing adoption of vertical farming in the region, the emergence of concepts such as smart farming, government support for indoor agriculture, the requirement of a controlled environment for indoor farming, and the role of efficient hardware components are growth drivers for this segment.
• Based on crop category, fruits, vegetables, and herbs dominated the European indoor farming market in 2024. Fruits such as strawberries and apples, vegetables such as spinach, lettuce, tomatoes, kale, cabbage, cucumbers, turnips, parsnips, and others, herbs, and mushrooms are commonly grown through indoor farming in Europe.
• The UK indoor farming market dominated the European industry with a revenue share of 25.0% in 2024.

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