Company Acquisitions and Strategic Partnerships by Market Players such as Netafim and Others to Foster the Growth of the Global Greenhouse Horticulture Market

The agriculture arena is evolving with many technological innovations that give rise to novel practices of farming. The growing world population demands huge quantities of food. Hence, there is a strong need to adopt environment-friendly techniques to help feed the world with an aging farmer population, diminishing farmland, and a changing climate.

Greenhouse horticulture is one of the most demanding agricultural techniques these days, as it offers advantages on the environmental parameter, greater effectiveness in resource usage (fertilizers, water, etc.), and the usage of progressive technologies (automation, hydroponics, etc.) for greater output, earliness, stability, and quality of crop production. Greenhouse horticulture technique involves the development of crops inside or under a sheltered set-up to facilitate improved growing environments and/or protection from infections, pests, and adverse climate.

Why is the Implementation of Greenhouse Horticulture Technique Imperative?

There is no doubt that the greenhouse horticulture market is enduring to progress an accelerated pace. As the worldwide demand for food is anticipated to boost in future, it seems as if it will become ever more vital to control farmers to make full and proper usage of the assets accessible to them. Many nations, for instance: India, are constructing new greenhouses with the support of government to offer adequate food to the growing population.

Also, the changing weather circumstances, such as global warming, might impact crop production as crops grow hastily during their growth stage, thus giving out a smaller amount grain in the process. Rising consciousness about weather changes and the significance of greenhouse technology in improving crop produce are the key factors propelling the demand for the greenhouse horticulture market.

Recent Trends and Developments in the Greenhouse Horticulture Industry

As per a report by Research Dive, the global greenhouse horticulture market is projected to garner a revenue of $64,973.8 million by 2030. The growing demand for locally grown & healthy crops and the various benefits associated with greenhouse, including less irrigation requirement, reduced cropping duration, and increased productivity as greenhouse provides suitable environment and protects the crops from pests are the significant factors and greenhouse horticulture market trends estimated to bolster the growth of the global market in the coming future.

Some of the leading players active in the greenhouse horticulture market are Richel Group, Certhon, Rough Brothers, Inc., Poly-Tex, Inc., Luiten Greenhouses, Europrogress, Sotrafa, Dalsem, Netafim, and Van der Hoeven Horticultural Projects BV. Market players are focused on developing strategies such as partnerships, product development, mergers and acquisitions, and collaborations to achieve a foremost position in the global market. For instance,

• In July 2020, Lieutenant Governor R.K. Mathur, the first Lieutenant Governor of Ladakh, launched Ladakh Greenhouse Project with an aim to enhance availability of vegetables in Ladakh through deep winter greenhouse agriculture.
   
• In March 2021, Netafim, a leading precision irrigation solutions & agricultural projects company, entered into a definitive agreement and completed the acquisition of Gakon Horticultural Projects, a Dutch turnkey greenhouse projects provider. The acquisition is synergetic, combining Gakon’s advanced greenhouse technology and Netafim’s expertise and global presence in precision agriculture.
   
• In July 2021, Wageningen University, a university and research centre in the Netherlands, launched third, 100% autonomous greenhouse challenge, with lettuce.
   
• In September 2021, Bayer, a company involved in research in the areas of crop protection, biology, biotechnology, and data science, announced about its expansion of vegetable seed offerings under the new “Vegetables by Bayer” umbrella to include organically grown seeds. This new launch will emphasize on certified organic production in 3 major crops for the greenhouse industry: sweet pepper, tomato, and cucumber.

Impact of the COVID-19 Pandemic on the Global Greenhouse Horticulture Market

The sudden outburst of the coronavirus pandemic has negatively impacted the global greenhouse horticulture market. The implementation of stringent lockdown rules to avert the spread of the virus had caused disruptions in the supply chain of the agriculture industry. The dearth in the availability of experienced labors has halted the production activities and hindered crop harvesting. In addition, the execution of restrictions on transportation has disrupted the supply of agriculture produce to marketplaces and customers across the globe. However, the growing initiatives by government bodies for addressing food crisis and ensuring food safety are likely to propel the growth of the global greenhouse horticulture industry in the near future.

Forecast Analysis of the Market

The growing shift of farmers towards advanced and innovative farming technologies to boost crop production is expected to unlock rewarding opportunities for the global greenhouse horticulture market in the coming years. Conversely, the high operating expenses and the lack of awareness among farmers are expected to hamper the market growth in the projected timeframe.

Geographically, the North America greenhouse horticulture market is estimated to observe fastest growth by 2030, owing to the rising demand for pesticide-free, local products and the high demand for controlled environment agriculture (CEA) crops. Besides, unfavorable weather conditions in countries such as Canada and some parts of the U.S., such as extreme cold temperatures is estimated to accelerate the demand for greenhouse horticulture.