Global agricultural LED lights market analysis and forecast from 2022 to 2029

Global agricultural LED lights Market was valued at US$ 3.85 Bn in 2022 and up to  US$ 14.03 Bn in 2029. The Global Agricultural LED Market size is estimated to grow at a CAGR of 20.3 % from 2022 to 2029.

Agricultural LED lights are used for the lighting applications indoors in order to act as artificial light for the crops instead of natural daylight. Agricultural LED lights supports and improves plant growth by providing artificial illumination. It is used for various types of farming, such as Indoor Farming, Vertical farming, and Greenhouses. In the agricultural industry, the use of Agricultural LED light is the modern technology for farming as it has low-cost installation and low-cost solutions for customers. Currently, the use of agricultural LED lights has increased in terms of the applications such as  Supplemental lightening, urban farming, and cultivation without the use of daylight. These lights provide the proper light required by the crop with the required safety.

The researchers, organizations, and the government are also taking measures to introduce more agricultural led lights to agriculture around the world. Also,the rapid growth in population and the limited land resources, and the rising good yearly dividends are influencing the market growth. The booming growth of floriculture is leading to rising in the use of Agricultural lightening for the cultivation of fruits, vegetables, and floriculture, further impacting the market positively. The high setup and installation cost of the LED Glow lights are impacting the growth of the agriculture LED market.As a result, the led lights segment is expected to cover the largest market size of agricultural lighting market from 2023 to 2029.

Retrofit installations segment is expected to register a higher CAGR by installation type.The retrofitting of LED lighting fixtures in commercial greenhouses,vertical farms,livestock facilities result in lower engery consumption and reduction in maintenances cost based on their high efficiency, lightweightness and long life.

However, there are still unfavorale factors that hinder the market growth of agricultural led lights,for example,high setup and installation cost of the LED Glow lights,the lack of proper standard testing practices for evaluating the product quality of the agricultural led lights, the the biggest restraint is the high cost of electricity of the LED grow light technology and the practicality of growing a small section of crop species under the agricultural light conditions. 

As for market category, the Agriculture LED light Market is segmented into Hardware, Software, and Services. The Hardware segment is dominating the market with the maximum market share accounting for50% in 2022. The hardware segment is considered the primary need for the deployment of agricultural LED lights.

Based on Application, the Agriculture LED Light Market is classified into Greenhouses, Vertical Farming, Indoor Farming, and outdoors. The Indoor Farming segment is dominating the market with maximum market shares in the Agriculture LED Market. 

By Geography,the market is classified into north America,Europe,Asia Pacific,middle east and Africa,south America.


the European region held the largest market share accounting for 58% in 2022. As there are increasing agricultural market demands, the demand for indoor farming and vertical farming is further causing the market growth of the Agriculture LED light Market.

The Asia Pacific region is expected to witness significant growth at a CAGR of 20.3% . Increasing Modernization and urbanization are leading to technological developments in agriculture sectors. The increase results from the consumption of food by the growing population. 

The market is highly competitive with a few internationally established players as well as several regional players competing for a higher market share in the emerging market for LED lights in agriculture. Mergers and acquisitions, innovation, diversification of product coverate, and investments are some of the most adopted strategies of these players for penetrating the evolving market.

Agricultural LED Market Key Players are:

Philips
Osram
General Electric
Easy Agricultural
Illumitex
Fionia Lighting
Lumigrow
Kind LED Grow Lights
California LightWorks
Spectrum King Grow Lights
Valoya
Weshine
Apollo Horticulture
Kessil
Cidly
Heliospectra AB
LEDHYDROPONICS
Ohmax Optoelectronic
Zhicheng
Noribachi
Greengage Lighting Ltd
Beba-Lighting UK Limited