Report Overview
Global Horticulture Market size was USD 27,627.00 Million in 2023 and the market is projected to touch USD 57,500.00 million by 2031, at a CAGR of 9.60% during the forecast period. The global horticulture market is experiencing a robust expansion driven by increasing demand for diverse horticultural products and advancements in cultivation techniques. The market segmentation highlights the variety and applications of horticulture, reflecting its integral role in multiple industries. The horticulture market is segmented into flowers, fruits, vegetables, ornamental plants, herbs, and others. Fruits and vegetables constitute a significant share due to rising health consciousness and dietary preferences globally. Ornamental plants and flowers are also seeing increased demand, primarily driven by the landscaping and decorative applications in both commercial and residential sectors. Herbs are gaining popularity for their culinary and medicinal properties, reflecting a growing trend towards natural and organic products.
Horticulture practices are categorized into organic and conventional techniques. Organic horticulture is experiencing a surge in demand as consumers increasingly prefer sustainably sourced and chemical-free produce. This trend is further propelled by stringent regulations and certifications ensuring organic integrity. Conventional horticulture, while still dominant, is gradually integrating sustainable practices to meet evolving consumer expectations and environmental standards. Europe leads the global horticulture market in 2024, driven by a well-established infrastructure, technological advancements, and a strong consumer base that values quality horticultural products. However, the Asia-Pacific region is poised to exhibit the highest growth rate in the upcoming years. This growth is attributed to increasing investments in agricultural innovations, a burgeoning middle-class population, and rising health awareness among consumers.
In conclusion, the global horticulture market is set for significant growth, underpinned by diverse product offerings, evolving cultivation techniques, and expanding applications across various industries. The market dynamics highlight the importance of regional developments, consumer preferences, and technological advancements in shaping the future landscape of horticulture. Diverse product offerings cater to a broad spectrum of consumer needs, from nutritious fruits and vegetables to aesthetically pleasing ornamental plants and flowers, as well as versatile herbs for culinary and medicinal purposes. Evolving cultivation techniques, particularly the shift towards organic horticulture, reflect a growing commitment to sustainability and environmental stewardship, meeting the increasing consumer demand for organic and chemical-free produce.
Global Horticulture Market report scope and segmentation.
Report Attribute |
Details |
Base Year |
2023 |
Forecast Years |
2024 – 2031 |
Estimated Market Value (2023) |
USD 27,627.00 Million |
Projected Market Value (2032) |
USD 57,500.00 million |
Segments Covered |
By Product Type, Cultivation Technique, Application, End User and Region. |
Forecast Units |
Value (USD Million or Billion) |
Regions Covered |
North America, Europe, Asia Pacific, Rest of the World |
Countries Covered |
U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, UK, China, India, Japan, South Korea, India, Latin America, Middle East, Africa among others. |
Global Horticulture Market dynamics
The global horticulture market stands as a critical pillar in the agricultural industry, driving economic growth and contributing significantly to food security, environmental sustainability, and human well-being. Encompassing a diverse array of products including fruits, vegetables, nuts, seeds, herbs, and ornamental plants, this market is characterized by its dynamic nature and rapid innovation. As urbanization intensifies and consumer preferences shift towards healthier, organic, and locally sourced produce, the horticulture sector is poised for substantial expansion. In recent years, technological advancements have revolutionized horticulture practices. Precision agriculture, vertical farming, hydroponics, and integrated pest management systems are transforming traditional methods, enhancing productivity, and reducing environmental impact. The adoption of these cutting-edge technologies is pivotal in meeting the rising demand for high-quality horticultural products amidst challenges such as climate change, resource scarcity, and fluctuating market conditions.
The global market is also influenced by robust international trade. Key players from regions such as North America, Europe, Asia-Pacific, and Latin America are capitalizing on export opportunities, driven by favorable trade agreements and growing consumer markets in emerging economies. This globalization of trade has led to increased competition but also fosters innovation and efficiency across the supply chain. Moreover, sustainability is becoming a cornerstone of the horticulture industry. Consumers and regulators are increasingly advocating for sustainable practices, pushing companies to adopt eco-friendly methods, reduce carbon footprints, and ensure fair labor practices. The integration of sustainability into business models is not only a response to regulatory pressures but also a strategic move to appeal to environmentally conscious consumers. In conclusion, the global horticulture market is a vibrant and essential sector with significant growth potential. Its evolution is being shaped by technological advancements, sustainability initiatives, and global trade dynamics. Companies operating within this market must navigate these trends and challenges adeptly to capitalize on emerging opportunities and maintain a competitive edge in this ever-evolving landscape.
Global Horticulture Market drivers
- Growing focus on product safety
The global horticulture market is witnessing a significant surge in e-commerce activities, emerging as a pivotal driver propelling its growth trajectory. This trend is underscored by the rising preference for online platforms among consumers for purchasing horticulture products. According to the Food and Agriculture Organization (FAO), this shift towards e-commerce is reshaping the market dynamics, with projections indicating a compound annual growth rate (CAGR) of 8.5% between 2020 and 2027 in the global market for organic horticulture products. E-commerce platforms offer consumers a convenient and accessible means to procure horticulture products, ranging from fresh produce to gardening supplies, fostering greater market penetration and accessibility. The ease of browsing through diverse product offerings, coupled with seamless transactions and doorstep delivery services, has significantly augmented consumer adoption of online channels for horticulture purchases. Consequently, this surge in e-commerce activities is amplifying market reach, enabling horticulture producers and retailers to tap into geographically dispersed consumer segments with enhanced efficiency and effectiveness.
Moreover, the proliferation of e-commerce platforms has democratized market access for small and medium-sized horticulture enterprises, empowering them to showcase their products on a global scale without the constraints imposed by traditional distribution channels. This democratization of market access fosters greater competition and innovation within the horticulture sector, as players strive to differentiate their offerings and enhance their online presence to capture market share amidst intensifying competition. Furthermore, the burgeoning demand for organic horticulture products is a key catalyst fueling the expansion of e-commerce activities in the global market. Consumers are increasingly prioritizing health and sustainability considerations in their purchasing decisions, driving the uptake of organic produce characterized by reduced chemical inputs and environmentally friendly farming practices. The International Federation of Organic Agriculture Movements (IFOAM) highlights the exponential growth in the global area under organic horticulture cultivation, underscoring the growing emphasis on safe and sustainable farming methods.
- Expansion of retail and manufacturing sectors
The expansion of the retail and manufacturing sectors stands as a pivotal driver propelling the growth trajectory of the global horticulture market. This driver manifests through various interconnected facets, including the rise of e-commerce platforms, burgeoning consumer demand, and the evolving landscape of food processing and manufacturing industries. One significant catalyst fueling this expansion is the advent of e-commerce and online retail platforms. The proliferation of digital marketplaces has revolutionized the horticulture industry, offering unparalleled accessibility and convenience to consumers worldwide. The COVID-19 pandemic, in particular, served as a catalyst, accelerating the shift towards online purchasing behaviors. As exemplified by Bloomscape's remarkable 400% surge in sales during the pandemic, the online retail space has emerged as a dynamic arena for horticultural products, attracting a burgeoning clientele seeking gardening essentials and greenery from the comfort of their homes.
Moreover, the global horticulture market is buoyed by the escalating consumer interest in gardening and plant cultivation. Beyond being a leisure activity, gardening has transcended into a lifestyle trend, with individuals increasingly embracing it as a means of enhancing their living spaces and reconnecting with nature. This burgeoning consumer enthusiasm translates into heightened demand for horticultural products, driving sales across retail channels and spurring market growth. Furthermore, the expansion of the retail and manufacturing sectors intersects with the dynamics of food processing and manufacturing industries, exerting a profound impact on the horticulture market. As these industries undergo rapid evolution and diversification, the demand for fresh produce, including fruits, vegetables, and ornamental plants, escalates significantly. This demand surge emanates from various quarters, including food manufacturers seeking premium-quality ingredients for their products and consumers gravitating towards healthier, plant-centric diets.
- Restraints:
Stringent Environmental Regulations
Stringent environmental regulations pose a significant restraint to the global horticulture market, impacting various facets of production, distribution, and consumption. According to a report by the International Association of Horticultural Producers (IAHP), the tightening of regulations regarding pesticide usage has resulted in a notable 15% reduction in crop yields across major horticulture regions over the past three years. This reduction directly impedes the growth trajectory of the global horticulture market, affecting both the quantity and quality of produce available for consumption. One prominent regulatory initiative impacting the industry is the European Union's Farm to Fork Strategy, introduced in 2020. This ambitious strategy aims to slash the use of chemical pesticides by half by the year 2030. Such a target necessitates substantial adjustments in horticultural practices, compelling growers to adopt more sustainable and organic methods of cultivation. While these practices align with broader environmental goals and consumer preferences for healthier, eco-friendly produce, they often entail transitional challenges and operational adjustments for growers.
The shift towards sustainable and organic farming methods, prompted by regulatory pressures, introduces complexities and uncertainties for horticulture businesses. Transitioning away from conventional pesticide usage towards organic alternatives requires significant investments in research, development, and implementation of new cultivation techniques. Moreover, the efficacy of organic methods in pest and disease management may not always match that of conventional pesticides, potentially leading to yield losses and production uncertainties in the short term. Compliance with stringent environmental regulations also necessitates enhanced monitoring and reporting mechanisms, imposing additional administrative burdens on horticulture enterprises. Growers must invest resources in acquiring and maintaining certifications for organic production, ensuring adherence to regulatory standards throughout the cultivation process. Such compliance measures entail both direct costs, associated with certification and regulatory compliance, and indirect costs, stemming from potential disruptions in supply chains and market access due to non-compliance.
- Opportunities:
Rise in awareness of sustainable packaging
The global horticulture market stands at a pivotal juncture where the rise in awareness of sustainable packaging presents significant opportunities. With sustainability becoming a central focus across industries, the horticulture sector can leverage this trend to foster growth and innovation. According to a report by the International Trade Centre (ITC), the global market for sustainable packaging materials is projected to witness substantial growth, reaching $171.6 billion by 2027, representing a compound annual growth rate (CAGR) of 5.7% between 2020 and 2027. One of the key drivers behind the increasing demand for sustainable packaging is the growing environmental consciousness among consumers and businesses alike. In recent years, there has been a notable shift in consumer preferences towards eco-friendly products and packaging solutions. As a result, horticulture businesses that adopt sustainable packaging practices can gain a competitive edge by aligning with consumer values and meeting regulatory requirements.
Furthermore, stringent regulations and initiatives aimed at reducing plastic pollution are propelling the adoption of sustainable packaging solutions in the horticulture industry. For instance, the European Union (EU) introduced new rules for the marketing of plant reproductive material in 2019, mandating the use of sustainable and biodegradable packaging materials. This regulatory framework not only encourages compliance but also fosters innovation in packaging technologies, driving the development of eco-friendly alternatives. The shift towards sustainable packaging also presents opportunities for horticulture businesses to enhance brand reputation and customer loyalty. By embracing environmentally responsible practices, companies can strengthen their corporate image and appeal to environmentally conscious consumers. Sustainable packaging can serve as a powerful differentiator, allowing businesses to position themselves as leaders in sustainability within the competitive horticulture market.
- Segment Overview
The global horticulture market is a dynamic segment with significant growth potential, driven by a diverse range of product types and applications. Key segments by product type include flowers, fruits, vegetables, ornamental plants, and herbs, each with distinct consumer bases and usage patterns. The market is further segmented by cultivation techniques, with organic horticulture gaining traction due to rising consumer demand for sustainably grown produce, alongside conventional horticulture practices that continue to dominate large-scale production. Horticultural applications are widespread, spanning the food and beverage sector, where fresh produce is a staple, and the landscaping and ornamental industry, driven by the increasing emphasis on aesthetic and functional landscaping. Additionally, the pharmaceutical and cosmetics sectors are increasingly utilizing horticultural products for their natural and therapeutic properties, contributing to the market’s expansion.
End-users in the horticulture market include commercial growers, who are the largest segment due to their economies of scale, followed by nurseries and landscape contractors catering to specialized requirements in urban and residential landscaping. Home gardeners also represent a growing segment, fueled by rising interest in sustainable living and personal food production. With the horticulture market's wide application base, this sector is well-positioned to leverage changing consumer preferences, technological advancements, and sustainable practices to drive sustained growth.
Impact of COVID-19 Pandemic
The outbreak of the Covid-19 pandemic has significantly impacted various sectors of the global economy, and the horticulture industry is no exception. Horticulture, encompassing the cultivation of fruits, vegetables, flowers, and ornamental plants, faced several challenges due to disruptions in supply chains, labor shortages, and shifting consumer behavior patterns. One of the most profound impacts of the pandemic on the horticulture market was the disruption of supply chains. Restrictions on transportation and logistics, implemented to contain the spread of the virus, led to delays in the shipment of horticultural products worldwide. This disrupted the timely delivery of fresh produce to markets and consumers, causing significant losses for producers and distributors.
The horticulture sector heavily relies on seasonal and migrant labor for planting, harvesting, and processing crops. However, travel restrictions and social distancing measures imposed during the pandemic disrupted the movement of labor, leading to shortages in the workforce. This shortage not only affected the timely cultivation and harvesting of crops but also increased labor costs for farmers who had to adopt alternative methods or invest in technology to mitigate the impact. The pandemic also brought about a shift in consumer behavior and preferences regarding horticultural products. With lockdowns and movement restrictions in place, consumers increasingly turned to online channels for purchasing goods, including fresh produce. This surge in e-commerce led to a growing demand for home delivery services and contactless shopping options. As a result, horticulture businesses had to adapt their distribution channels and marketing strategies to cater to changing consumer preferences and ensure the availability of products through online platforms.
Many countries heavily rely on the export of horticultural products to generate revenue and support their economies. However, the pandemic-induced disruptions in global trade and restrictions on international travel hampered export activities in the horticulture sector. Border closures, quarantine measures, and fluctuating demand in export markets created uncertainties for exporters, leading to reduced export volumes and revenue losses. Despite the challenges posed by the pandemic, the horticulture industry witnessed an increased focus on technology adoption and innovation to overcome disruptions and enhance resilience. Farmers and producers invested in automation, robotics, and precision farming technologies to optimize production processes, reduce dependency on manual labor, and ensure the continuity of operations amidst labor shortages and social distancing requirements.
Global Horticulture Market Overview by Region
The Global Horticulture Market shows significant regional diversity, with each area contributing uniquely based on its climate, technology adoption, and agricultural practices. North America is a leading region, driven by advancements in precision agriculture, high demand for organic products, and strong support for sustainable practices. Europe also shows growth, supported by an increased focus on local food production, high-tech greenhouses, and EU policies favoring sustainable horticulture. Asia-Pacific, a large producer of horticultural goods, is expanding rapidly, fueled by population growth, urbanization, and rising demand for fresh fruits and vegetables. Latin America and Africa contribute with strong agricultural outputs, though growth is constrained by limited infrastructure and funding in some areas. Globally, increasing interest in urban horticulture, organic products, and the use of technology is driving market expansion across regions.
Global Horticulture Market competitive landscape
The horticulture market is highly competitive, with key players including Bayer, Agra Tech Inc., Certhon Build B.V., Corteva Agriscience, BASF SE, Orbia Advance Corporation, Paine Schwartz Partners, Syngenta Group, Priva Holding B.V., and Selecta Klemm driving innovation and market share. These companies are positioned at the forefront of horticultural advancements, with strategic investments in sustainable agriculture technologies, crop protection solutions, and precision farming techniques. Bayer and Syngenta lead with comprehensive crop science portfolios that include high-yield seed varieties and advanced agrochemicals, catering to global food production demands. BASF SE and Corteva Agriscience leverage R&D and digital solutions to optimize crop protection and productivity.
Additionally, Priva Holding B.V. and Certhon Build B.V. focus on controlled-environment agriculture (CEA), offering climate control and greenhouse technology to maximize yields and reduce resource use. Agra Tech Inc. contributes with greenhouse systems, catering to growers prioritizing sustainability and energy efficiency. Orbia Advance Corporation and Paine Schwartz Partners enhance their competitive positioning through acquisitions and partnerships, focusing on innovations in irrigation and sustainable resource management. Collectively, these players intensify market competitiveness through robust R&D investments, strategic collaborations, and advanced agronomic solutions to address global challenges such as food security and climate change.
Global Horticulture Market Recent Developments
- In March 2024, Corteva, Inc. unveiled Corteva Catalyst, a pioneering investment and partnership platform aimed at sourcing and commercializing agricultural innovations.
- In September 2023, Corteva introduces Reklemel active, an advanced nematicide tailored to shield a diverse range of food and row crops from the ravages of plant-parasitic nematodes, all while upholding soil biodiversity.
- In November 2023, BASF Canada expanded the label for Cimegra insecticide to include foliar use on potatoes for controlling Colorado potato beetles. This expansion allows growers to combat both wireworms and Colorado potato beetles with one product.
- In April 23, 2024, Bayer announced an agreement with AlphaBio Control to exclusively market the first bioinsecticide for arable crops, aimed at launching in 2028. This new product was designed to help farmers control pests in oilseed rape and cereals.
- In June 2024, Selecta One and Dümmen Orange collaborated on a global licensing agreement for Intrinsa TMV-resistant Petunia varieties, enhancing accessibility to growers worldwide. Their joint efforts in breeding for disease resistance aimed to advance sustainability goals and elevate the ornamental industry's breeding standards.
Scope of Global Horticulture Market Report
Global Horticulture market segmentation
ATTRIBUTE |
DETAILS |
By Product Type |
|
By Cultivation Technique |
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By End User |
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