Europe Commercial Greenhouse Market

Europe Commercial Greenhouse Market Size

The commercial greenhouse market size in Europe was valued at USD 205.7 Million in 2023. The European market is anticipated to grow at a CAGR of 4.89% from 2024 to 2032 and be worth USD 329.3 Million by 2030 from reach USD and USD 273.93 in 2024.

Growing crops such as vegetables, flowers, trees, cannabis, and shrubs in greenhouses for commercial consumption is the latest trend to yield a high crop production rate. The commercial greenhouse is equipped with high-tech facilities to grow crops by steadily controlling the environment. The plants are grown in specific controlled temperatures irrespective of the outdoor climatic conditions. These conditions help provide the optimal production rate of the crops, which is a huge positive factor in adopting these facilities in the agriculture industry. 

MARKET DRIVERS

High investments in the agriculture industry by government authorities to provide sustainable food products with the rising concern towards food insecurity is a major factor propelling the growth rate of the Europe commercial greenhouse market. The benefits of commercial greenhouse farming positively impact sustainable food production. The prominence of precision farming activities is surging day by day, and the incorporation of precision farming with the greenhouse is positively impacting the market share. In addition, the rising demand to utilize water sources carefully due to increasing scarcity is a positive sign that the market will grow enormously. The commercial greenhouse technique needs very little space and water to grow the plants, which is grabbing the attention of the higher authorities to promote these farming procedures. Rapidly increasing population and decreasing space for arable land, especially in urban cities, is likely to surge the growth rate of the Europe commercial greenhouse market. The commercial greenhouse is gaining a lot of attention in developed countries due to increasing awareness of the need to promote advanced technological developments in the agricultural sector and adopt these technologies to increase crop production rates. 

MARKET RESTRAINTS

The high cost of installation and maintenance of the greenhouse farming technique is merely to degrade the growth rate of the European commercial greenhouse market. The investment needed to install advanced equipment for cultivating crops using greenhouse technology is very high. Small-scale farmers could invest huge amounts, which impeding the market size. Also, the lack of skilled people to use this technique in a more effective way is hindering the growth rate of the European market. 

MARKET OPPORTUNITIES

Increasing research and development activities in favor of the end users with the latest technological developments are likely to create huge growth opportunities for the market. The need for commercial greenhouses is eventually increasing with the growing prominence to supply the food chain. The intention to sustain the growing food insecurity concern in Europe using these technologies is likely to fuel the growth rate of the market. Food and Agriculture organizations of the United Nations, Europe is overcoming the challenges of food insecurity and is likely to achieve its goal of reaching zero hunger by adopting new technological developments in agriculture, such as commercial greenhouses. 

MARKET CHALLENGES

The consumption of energy due to the continuous presence of LED lights to maintain a controlled environment around the clock is negatively impacting the growth rate of the market. The challenge to lower the energy consumption in commercial greenhouse techniques is eventually to increase the demand to adopt the traditional way of agricultural process. The number of external factors like diseases that reduce crop production is ascribed to impede the market size. 

REPORT COVERAGE

SEGMENTAL ANALYSIS

By Equipment Insights

The cooling systems segment had the major share of the European market in 2023 owing to the rising need to provide a sustainable cooling atmosphere for the plants amid rising moisture levels. In arid regions, the demand for cooling systems is highly required to provide the appropriate range for the plants for quality growth. The heating systems segment is next in leading the prominent share of the market. 

By Type Insights

The glass greenhouse segment is gearing up with the largest share of the market from the past few years. Growing environmental concerns about using biodegradable materials to reduce pollution in Europe are surging the demand to adopt glass greenhouse type. The plastic greenhouse segment is steadily growing due to its affordable cost compared to the glass greenhouse type. The launch of recyclable plastic materials that can be easily manufactured with the already existing plastic materials without causing any harm to the environment is likely attracting the companies to adopt plastic greenhouse type. 

By Crop Type Insights

The fruits and vegetables segment is anticipated to account for the leading share of the European commercial greenhouse market over the forecast period. The trend towards adopting healthy lifestyle activities, such as fresh fruits and vegetables, to maintain proper health and reduce the risk of chronic diseases is primarily leveraging the growth rate of the fruits and vegetables commercial greenhouse market. 

REGIONAL ANALYSIS

The UK commercial greenhouse market share is the highest in the European region, with the increasing support of government authorities through investments. The U.K. government has numerous plans to reduce food insecurity and to readily manage the provision of food products for the constantly increasing population. Stringent actions by the government to meet the goals implemented to reduce hunger bells with the growing economic crisis in remote areas are substantial to promote the growth rate of the market. High investments and increasing awareness of the benefits of providing a high crop production rate are major factors accelerating the market share in the U.K. 

Germany's commercial greenhouse market is likely to hit the highest CAGR by the end of 2029. Penetration of highly advanced technologies in the agriculture sector is greatly influencing the growth rate of the market positively. Farmers are showing huge interest in sustainable farming techniques that reduce the risk of production failure due to external climatic conditions like extreme heatwaves, heavy rainfall, droughts, and floods. Their change in interest in the adoption of these techniques is enhancing the growth rate of the market. 

KEY MARKET PLAYERS

Richel Group SA (France), Certhon (U.S.), Argus Control Systems Ltd. (U.S.), Logiqs (The Netherlands), Lumigrow (U.S.), Keder Greenhouse (U.K.), Agra Tech, Inc (U.S.), Hort Americas, LLC (U.S.), Rough Brothers Inc. (U.S.), and Heliospectra AB (Sweden) are the top players in the commercial greenhouse market. 

RECENT DEVELOPMENTS IN THE EUROPE MARKET

• In 2023, Certhon was acquired by DENSO for the expansion of the agricultural production business across the globe. To overcome all the challenges in the agriculture sector due to low production rates with a shortage of labor and climatic changes, these companies are focusing on the development of horticultural activities by promoting the commercial greenhouse technique that overcomes the faced with the shortage of labor. 

MARKET SEGMENTATION

This research report on the Europe commercial greenhouse market is segmented and sub-segmented into the following categories.

By Equipment

• Heating Systems
• Cooling Systems  
• Others

By Type

• Glass Greenhouse
• Plastic Greenhouse
• Others

By Crop Type

• Fruits and Vegetables
• Flowers and Ornamentals
• Nursery Crops

• Others Crops

By Country

• UK
• France
• Spain
• Germany
• Italy
• Russia
• Sweden
• Denmark
• Switzerland
• Netherlands
• Turkey
• Czech Republic