Global Urban Farming Market Size and Share Analysis Press Release 2025-2033
Global Urban Farming Market Set to Reach USD 38.4 Billion by 2033, Driven by Vertical Farming Expansion and Rising Food-Security Priorities
Phoenix Research Forecasts Robust ~14.9% CAGR for the Global Urban Farming Market, as Asia-Pacific Leads Global Adoption and MEA Emerges as the Fastest-Growing Region.
New Delhi, India – Phoenix Research – November 2025
Phoenix Research has unveiled its latest market outlook, “Global Urban Farming Market Size, Share & Forecast 2025–2033,” highlighting an era of rapid transformation in global food production. The report projects that the market, valued at USD 12.6 billion in 2025, will climb to USD 38.4 billion by 2033, registering a powerful CAGR of ~14.9% as cities turn toward resilient and tech-enabled food systems.
“As urban populations rise and climate volatility disrupts traditional agriculture, cities are accelerating their shift to controlled-environment farms, automation, and hydroponic technologies,” said Rachana Patni, Senior Analyst at Phoenix Research. “Urban farming is no longer a niche experiment—it is becoming a strategic pillar for food security, sustainability, and premium fresh produce supply chains.”
Key Market Highlights
Technology-Driven Yield Optimization
Advanced LEDs, precision nutrient systems, robotics, and AI-based monitoring are reducing production costs and enabling year-round output in vertical and modular farms.
Urbanization & Shorter Supply Chains
With more populations concentrated in megacities, local production is bridging the gap between demand and supply, reducing spoilage, and supporting healthier consumer preferences.
Food-Security & Climate Resilience Priorities
Governments and municipalities are investing heavily in indoor farms to ensure stable food supply amid climate stress, import dependency, and rising logistics risks.
Strong Retail & Foodservice Demand
Supermarket chains and premium restaurants are increasingly sourcing pesticide-free microgreens, herbs, and leafy vegetables from local urban farms for freshness and traceability.
Policy Support & Investment Momentum
Green-infrastructure funding, rooftop farming incentives, and venture-backed ag-tech startups are accelerating commercial farm deployments across major cities.
Regional Performance Overview
Asia-Pacific remains the largest market, driven by high-tech urban farms in Japan, Singapore, China, and South Korea, supported by strong government innovation programs.
Middle East & Africa is the fastest-growing region, propelled by water-efficient hydroponics, climate-resilient controlled environments, and multi-billion-dollar food-security initiatives in the UAE and Saudi Arabia.
North America shows strong commercialization momentum with advanced automation, while Europe leads sustainability-driven greenhouse integration.
Leading Companies in the Global Urban Farming Market
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AeroFarms
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Plenty
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Bowery Farming
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Gotham Greens
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Infarm
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BrightFarms
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Crop One Holdings
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Freight Farms
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Vertical Future
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Spread Co.
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AppHarvest
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Local Bounti
AeroFarms remains the leading company in the Global Urban Farming Market, supported by large-scale production capacity, advanced aeroponic systems, and strong retail partnerships.
Final Takeaway
The Global Urban Farming Market is entering a pivotal growth phase as cities seek resilient, local, and resource-efficient food systems. The shift from experimental pilot farms to large-scale commercial deployments is being driven by advancements in LEDs, automation, and data-driven agronomy. In the coming decade, operators that optimize energy efficiency, secure long-term retail contracts, and adopt modular, scalable farm designs will emerge as market leaders. Urban farming is rapidly becoming central to global food security, sustainability commitments, and the future of fresh produce distribution.