United States Plant Factory Market Growth Led by Locally Sourced Produce

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United States Plant Factory Market is set to grow from 2026-2030, driven by rising demand for fresh, locally sourced produce and advancements in technology and automation.

According to the TechSci Research report, United States Plant Factory Market – By Region and Competition Forecast & Opportunities, 2030F,” the U.S. plant factory market was valued at USD 1,423.04 Million in 2023. It is expected to see steady growth during the forecast period, with a projected CAGR of 10.42% through 2030. The market is driven by several factors, including the rise in urbanization and limited availability of arable land, which have accelerated the adoption of vertical farming and indoor gardening.

Advancements in LED technology have also made indoor farming more cost-effective and feasible. Consumer awareness regarding the benefits of pesticide-free, organic produce is further driving demand for food cultivated in plant factories. In addition, government policies and incentives promoting sustainable farming practices are supporting market growth.

A significant driver of the U.S. plant factory market is the surge in research and development (R&D) activities. Ongoing R&D efforts are focused on optimizing plant growth conditions, improving crop yields, and enhancing resource efficiency in indoor farming systems. Innovations in lighting, climate control, and automation technologies are increasing the productivity and cost-efficiency of plant factories. Furthermore, advancements in artificial intelligence and data analytics are enabling more precise management of environmental factors, improving operational efficiency and sustainability.

The United States Plant Factory Market is segmented into various categories, including facility type, light, growing system, type, regional distribution, and company. Based on the growing system, the non-soil-based method, commonly known as hydroponics, has emerged as the dominant technique in the U.S. plant factory market. Hydroponics is highly efficient in water and nutrient utilization, maximizing resource efficiency and yielding high crop outputs.

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Hydroponics is versatile, allowing year-round crop cultivation, regardless of fertile soil availability. This method helps reduce dependence on traditional farming practices and minimizes risks from unpredictable weather, pests, and diseases. As a result, hydroponics contributes to more sustainable agricultural practices.

Regionally, the South has emerged as the fastest-growing region in the United States Plant Factory Market. The region’s favorable climate for year-round agricultural production, coupled with its growing focus on sustainability, has accelerated the adoption of plant factory systems. Additionally, the South's increasing urbanization and population growth have heightened demand for locally grown, fresh produce, further driving the expansion of indoor farming and vertical agriculture.

Major companies operating in the United States Plant Factory Market are:

  • Gotham Greens Farms LLC
  • Bowery Farming Inc.
  • Freight Farms
  • Plenty Unlimited Inc.
  • AeroFarms, LLC
  • BrightFarms Inc.
  • Iron Ox, Inc.
  • AppHarvest, Inc.
  • Vertical Harvest Farms
  •  Dream Harvesting Farming Company LLC

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“Nanotechnology is contributing to better water management in plant factories. Nanomaterials are being used in advanced filtration systems to optimize water use, ensuring that plants receive the ideal amount of moisture while reducing waste. Additionally, nanocoatings are being developed to improve plant disease resistance and pest control, further enhancing the productivity and sustainability of indoor farming systems,” said Mr. Karan Chechi, Research Director of TechSci Research, a research-based management consulting firm.

United States Plant Factory Market By Facility Type (Greenhouses, Indoor Farms, Others), By Light (Artificial Light and Sunlight), By Growing System (Soil-Based, Non-Soil-Based, Hybrid), By Type (Fruits & Vegetables, Ornamental Plants & Flowers, Others {Plantation Crops, Forage Crops, etc.}), By Region and Competition, Forecast & Opportunities, 2019-2029F”, has evaluated the future growth potential of United States Plant Factory Market and provides statistics & information on market size, structure and future market growth. The report intends to provide cutting-edge market intelligence and help decision-makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in United States Plant Factory Market.

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