There’s another greenhouse that’s increasing, and it’s the good kind. Market data suggests a strong demand for greenhouses that help users grow plants all year round.
The Growth of Greenhouses
Greenhouses remain a niche commodity, but based on market reports, it might not be long before they become mainstream. The Orbis Research analysis revealed that the global market could have a compound annual growth rate (CAGR) of 5.95% from 2017 to 2028. During this period, its value could reach over $34 billion from $18 billion.
Research and Market, meanwhile, also has a positive outlook for commercial greenhouses. The CAGR could reach over 7%, while the market value could go up from less than $20 billion in 2017 to more than $30 billion by 2023.
Factors that Prompt Growth
Many factors work in favour of greenhouses. These include the following:
Demand for Organic Produce
One of these is the change in lifestyle. More people are looking for a sustainable, healthy, and ethical way of eating. It then boosts the demand for organic or natural produce the entire year.
How big is it? In New Zealand, for example, the organic sector is already a half-a-billion industry. Globally, it can have a CAGR of nearly 15% from 2017 to 2024. By the end of the forecast period, its revenue could be $323 billion. It would then be a far cry from less than $125 billion in 2017.
Another reason is the availability of greenhouse spare parts. The likes of air vents and hanging and anchor clips make it easier for users to customise the look and function of their structures. They can also help improve the management system.
Population growth can have a profound effect on the need and agricultural landscape in countries such as New Zealand. Here, the number of residents already reached 4.85 million due to natural births and migration. In 2017, the annual population change was 2.1%, beating that of the United States and Australia.
The increase in the number of people can also mean the conversion of agricultural land. It might not bode well for the country that doesn’t have large tracts with good-quality soil.
On the other hand, greenhouses can help reduce the effects. For example, they can encourage vertical farming, which has a much lower demand for physical space. Second, it can allow urban areas to produce their food. Greenhouse kits these days are much easier to customise when it comes to size.
Not all people have a green thumb. Automation, though, makes planting and growing more tolerable. In fact, this segment could have a CAGR of 12.6% until 2023. During this period, its market value could reach almost $3 billion.
With automation, people can control the temperature, humidity, and moisture within the greenhouse. It then makes it simpler to mimic the ideal growing conditions of the plants. They are also easier to integrate into existing systems and may allow controls through mobile devices.
While carbon emissions can increase the greenhouse effect and make climate change worse, the other greenhouse helps build a better, healthier world. As long as people shift their mindset to sustainability, the demand for the structure will only continue to increase.