Agriculture Lighting Market Revenue to Cross USD 5.4 Billion by 2031 | Exclusive Study by Transparency Market Research


A growing number of technologies and solutions for growing indoor plants are driving demand for agriculture lighting market.

Wilmington, Delaware, United States, Oct. 27, 2023 (GLOBE NEWSWIRE) — Transparency Market Research Inc. – The agriculture lighting market was worth US$ 1.3 billion in 2022. In 2031, the market is expected to reach US$ 5.4 billion. Over the period 2023 to 2031, the market is expected to register a CAGR of 16.8%. Agricultural lighting systems are integrating IoT (Internet of Things) and sensor technologies driving demand for the agriculture lighting market.

Artificial lighting in agriculture provides a source of light similar to sunlight. With the advancement of technology, LED lights have become the most popular light source for horticulture, especially for those whose spectra are customized. LED lights are environmentally friendly and efficient compared to traditional light sources (HPS, fluorescents).


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An artificial lighting study published in January 2018 by Valoya was carried out in collaboration with the University of Almeria and Buresinnova. Researchers studied how different wavelengths of light and spectral amplitudes are used to measure how each affects plants in different growing conditions and for different purposes.

Key Findings of Market Report

  • Agricultural lighting market trends indicate that LEDs will hold the majority share between 2023 and 2031. This segment accounted for a 32.4% share of the market in 2022.
  • Among agriculture lighting applications, horticulture held a 35.8% market share in 2022. Forecasts indicate a CAGR of 17.2% for the next few years.
  • The Asia Pacific region is expected to dominate the agriculture lighting market from 2023 to 2031. In 2022, the region accounted for 31.7% of the market.
  • In 2022, Europe held a share of 28.4% in the global agriculture lighting market.

Agriculture Lighting Market Drivers

  • The adoption of indoor agriculture and greenhouse cultivation has increased significantly over the past few decades. Light from agriculture plays an important role in supporting year-round crop production, enhancing crop quality, and improving yields.
  • Lighting solutions that use less energy are becoming increasingly popular in agriculture in order to lower costs and protect the environment. Since LEDs (Light Emitting Diodes) are energy-efficient and last a long time, they have become popular.
  • Lighting in agriculture plays an important role in manipulating the growth and development of crops. Photosynthesis, flowering, and fruiting can be optimized with light spectrums, which results in higher yields and better crop quality. In areas with poor weather or off-seasons, supplemental lighting extends the growing season.
  • As urbanization continues, local produce has become increasingly popular. Food security and sustainability are enhanced by agricultural lighting, which supports urban farmers in growing crops in confined spaces. Advanced lighting technologies have been developed to enhance crop management and optimization through continuous research in agriculture lighting.
  • Agricultural energy-efficient lighting is encouraged by regulations and incentives in some regions. Modern lighting solutions are encouraged by these policies. In addition to light intensity and spectrum, plant growth is increasingly affected by light quality, which can be measured by light duration, spectrum, and intensity. As a result, customized lighting solutions have become increasingly popular for specific crops at different stages of growth.

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Global Market for Agriculture Lighting Regional Outlook

  • In North America, agricultural lighting demand has been steadily increasing. Energy-efficient LED (Light Emitting Diode) lighting is gaining popularity in the agricultural sector due to its capability to optimize plant growth under a variety of conditions. Agriculture practices, such as indoor farming and greenhouse farming, utilize this lighting technology.
  • Vertical farming, indoor farming, and greenhouse farming are all growing in popularity in North America. Lighting solutions that are precise and adjustable are essential to supporting year-round crop production using these controlled environment agriculture methods. Lighting solutions tailored to specific crops and environments are continuously researched and developed by agricultural lighting experts.

Global Agriculture Lighting: Key Players

The majority of companies invest heavily in research and development to expand their product portfolio. A surge in demand for agriculture lighting is being driven by research and development efforts.

Crop quality, yield, and profitability are continually improved by integrating smart controls, optimizing light spectra, and optimizing energy efficiency. To grow their market share, they are also developing a worldwide distribution network and collaborating with key players, acquiring companies, and launching products. Key market players in the agriculture lighting market include:

  • AKVA Group
  • ams OSRAM AG
  • California LightWorks
  • CBM Lighting
  • Current Lighting Solutions, LLC
  • DeLaval
  • Gavita International B.V
  • HATO Agricultural Lighting
  • Heliospectra AB
  • Hubbell Incorporated
  • Lely
  • Luminus, Inc.
  • Samsung
  • Signify Holding
  • Sunbird
  • Other Key Players

Key Developments in the Global Agriculture Lighting

  • In February 2023, researchers at Purdue University developed two simple LED lighting strategies that could reduce energy costs in vertical farming and increase yields
  • In October 2023, Horteca, a JEM Farms branch, will open a two-acre research facility that displays the most innovative green technologies, including robotics and integrated pest management (IPM). University of Windsor also provides various research opportunities as part of the partnership. Sollum Technologies’ LED lighting solution will be displayed and used to illuminate their research crops.

Global Agriculture Lighting Market: Segmentation


  • Lamps
  • Luminaries
  • Lighting Controls
  • Sensing Devices
  • Others (Timer, Accessories, etc.)

Light Source

  • Incandescent Lamps
  • Fluorescent Lamps
  • High Intensity Discharge Lamps
  • LEDs
  • Others (Halogen, Metal-halide, etc.)

Wattage Type

  • Up to 100W
  • 100W – 300W
  • 300W – 500W
  • Above 500W


  • Horticulture
  • Livestock
  • Aquaculture
  • Vertical Farming
    • Hydroponics
    • Aeroponics
    • Aquaponics


  • North America
  • South America
  • Europe
  • Asia Pacific
  • Middle East & Africa

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