Middle East Vertical Farming Market Trends

Statistics for the 2023 & 2024 Middle East Vertical Farming market trends, created by Mordor Intelligence™ Industry Reports. Middle East Vertical Farming trend report includes a market forecast to 2029 and historical overview. Get a sample of this industry trends analysis as a free report PDF download.

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Market Trends of Middle East Vertical Farming Industry

Hydroponics Is The Preferred Technique For Vertical Farming

Hydroponics is ideal for crop production in arid countries, such as the United Arab Emirates, Qatar, and the Kingdom of Saudi Arabia, where there is low availability of arable land. It significantly reduces water consumption within a less agricultural area. Subsequently, vertical farms that adopt hydroponics technology are on the rise across the countries in the region, clearly showcasing the growth potential of the segment in the market. Moreover, the region beholds the production of rare and expensive crops in the hydroponics system. With light-assisted hydroponics systems, farmers not just effortlessly grow mass-consumed food crops but also rare and exotic plants and foods of high value, which drives the adoption of the technology. For instance, Sharjah-based agricultural technology company Veggitech cultivated and harvested the world’s most expensive spice, saffron, also known as red gold. After a few years of experiments with smaller quantities of saffron bulbs, the teams at Veggitech cultivated roughly 150,000 crocus Sativa bulbs by growing them in vertical farms in Al Zubair in 2022.

Middle East Vertical Farming Market: Arable Land, in thousand Hectares, EGYPT, 2020- 2021

Vertical Farming Is Widely Adopted In The United Arab Emirates

The UAE economy is diverse, with consumers having a high standard of living. Despite the environmental challenges in producing agricultural commodities, the country has made tremendous efforts over the last decade by adopting sustainable and smart agriculture techniques, such as hydroponics, smart irrigation, and aquaponics. Thus, the optimum utilization of arable land and the quality of local fresh produce improved.​ 

Vertical hydroponics is gaining popularity among farmers in the United Arab Emirates, especially for growing local fruits and vegetables with minimal water resources. Due to low domestic production, the country heavily depends on imports to cater to its local demand for fresh fruits and vegetables. The arid climate and scarcity of water force growers to rely on other water resources, such as seawater desalination, for agricultural production, which favors market growth.

Companies are shifting their activities in the United Arab Emirates due to cheaper electricity prices, which is essential for their operations and eager investors. The lower electricity prices are being provided as part of the initiative by the United Arab Emirates to strengthen local production capabilities, with Abu Dhabi introducing its own Abu Dhabi Industrial Strategy to encourage domestic manufacturing in line with the country's goals.

Middle East Vertical Farming Market: Distribution of volume of used water, by final user (in %), the United Arab Emirates, 2022

Middle East Vertical Farming Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)