Intro
The Smart Soil Substrates market offers diverse solutions engineered to optimize plant growth within controlled environments. These include peat-based mixes, coco coir, perlite blends, and specialized organic or synthetic formulations.
Understanding Soil substrates
Peat-based substrates remain highly favored due to their rich pH properties, making them ideal for plants that thrive in acidic conditions.
Their effectiveness in promoting healthy plant growth has established them as market leaders.
On the other hand, coco coir, sourced from coconut husks, has gained traction for its sustainability, excellent water retention, and aeration properties, making it versatile for a wide array of greenhouse crops.
Benefits of using these new soil substrates
These substrates are indispensable in controlled environment agriculture, urban farming, and vertical gardening, where specific compositions cater to plants in confined spaces.
The market’s growth is propelled by advancements in soil science, a shift towards sustainable agriculture, global food security concerns, and environmental regulations that enhance soil health and fertility. As the most significant global industry, agriculture employs over one billion people and generates an impressive $1.3 trillion annually.
Moreover, approximately half of Earth’s habitable land is allocated for pasture and cropland, essential for the survival of numerous species.
Smart Soil Substrates Market: Key Insights
Coco Husk Chips:
Anticipated to grow at the highest CAGR of 7.60% over the forecast period.
Garden Soil:
Generated the highest revenue of USD 1.43 billion in 2022.
Greenhouse Segment:
Secured the largest market share of 6.61% in 2022.
Present Market Value
The global greenhouse soil market was valued at USD 6,789.1 million in 2023 and is projected to grow at a CAGR of 5.9% from 2024 to 2030.
What to Expect
By 2030, the market is expected to reach approximately USD 8,726.0 million.
Here are insights on its Segment Dominance:
A strong market share
- Garden Soil holds over 35.3% of the market share in 2023, followed by Potting Mix and Mulch.
Key Players
- Peat Moss captured more than 57.2% of the market share in 2023, followed by Aged Bark and Coco Husk Chips.
Regional Insights:
- Europe held the largest market share in 2023 and is expected to maintain its dominance during the forecast period. This is attributed to continuous technological advancements in agriculture and controlled environment techniques.
The Rise of Sustainable Farming Practices
The shift towards sustainable farming practices is a crucial driver of market growth. Manufacturers are developing innovative substrate blends as consumers increasingly favor eco-friendly and organic products.
This trend has led to significant market expansion as demand grows for substrates that support healthier plant growth in controlled environments.
High Costs of Raw Materials
However, the high costs of raw materials pose a substantial challenge. The significant capital and operational expenses associated with greenhouse activities, including pest and disease prevention measures, act as barriers to market entry. These financial burdens are particularly challenging for new entrants in developing regions, potentially slowing market expansion.
Market Segmentation Analysis
- By Component: The market includes peat moss, aged bark, coco husk chips, rock wool, and others. Peat moss dominated with a 36.72% market share in 2022-23, driven by its pH properties that cater to acidic environments.
Peat Moss: Recognized as a market leader, peat moss supports cultivating various plants in greenhouse environments. Its ability to maintain acidic conditions and promote healthy plant growth contributed to its significant share in 2022-23.
- By Type: The market is categorized into garden soil, potting mix, mulch, and topsoil. Mulch is expected to witness the highest growth, with a CAGR of 7.00%, due to its multifaceted benefits, such as enhancing soil fertility, retaining moisture, preventing weed growth, and promoting healthier root systems.
Market Segmentation by Application
The market is segmented into greenhouses, lawn and landscaping, indoor gardening, and others. The greenhouse segment achieved the highest valuation of USD 1.68 billion in 2022-23, driven by the increasing adoption of controlled-environment agriculture. Fueled by the demand for high-quality and consistent crop yields in limited spaces, this trend has significantly contributed to market growth. Greenhouses provide a controlled and protected environment where temperature, humidity, and light can be regulated, ensuring optimal conditions for plant growth.
Europe: Leading the Smartsoil Market
Europe emerged as the leading region in the Smart Soil Substrates market, with a valuation of USD 1.44 billion. This leadership is primarily attributed to continuous technological advancements in agriculture and controlled-environment techniques. European countries like the Netherlands and Spain are at the forefront of controlled-environment agriculture, investing heavily in research and innovation. These advancements and a strong emphasis on sustainable practices have driven Europe to the forefront of the Smart Soil Substrates market.
North America: Growth Fueled by Urban Farming and Sustainability
North America is expected to grow at a robust CAGR of 5.08% through the forecast period. This growth is primarily driven by expanding trends in urban farming and a shift toward sustainable agriculture. The region has seen a surge in controlled environment agriculture and vertical farming setups, especially in urban areas where space is limited. Consumers’ preference for organic produce has increased the demand for organic greenhouse soil blends, promoting healthier plant growth. Additionally, environmentally friendly practices and advanced soil compositions have further fueled North America’s growth trajectory within the Smart Soil Substrates market.
Competitive Landscape
The global Smart Soil Substrates market is highly fragmented, with key players like Agra Tech, Inc., ASB Grünland Helmut Aurenz GmbH, Florentaise, FoxFarm Soil & Fertilizer Co., Garden Health, Good Earth, Klasmann-Deilmann GmbH, Luiten Greenhouses, Michigan Peat Company, and ScottsMiracle-Gro leading the charge. These companies utilize various strategies, including acquisitions, mergers, partnerships, product launches, and collaborations, to expand their global presence and strengthen their competitive positions.
Market Segmentation:
By Component
- Peat Moss
- Aged Bark
- Coco Husk Chips
- Rockwool
- Others
By Type
- Garden Soil
- Potting Mix
- Mulch
- Topsoil
- Others
By Application
- Greenhouse
- Lawn & Landscaping
- Indoor Gardening
- Others
By Region
- North America (U.S., Canada, Mexico)
- Europe (France, UK, Spain, Germany, Italy, Russia, Rest of Europe)
- Asia Pacific (China, Japan, India, South Korea, Rest of Asia Pacific)
- Middle East & Africa (GCC, North Africa, South Africa, Rest of Middle East & Africa)
- Latin America (Brazil, Argentina, Rest of Latin America)
Referance-
https://en.wikipedia.org/wiki/Controlled-environment_agriculture
https://www.kingsresearch.com/greenhouse-soil-market-91
https://www.extrapolate.com/agritech/greenhouse-soil-market/87591
https://www.verifiedmarketresearch.com/product/greenhouse-soil-market/
Madan Mohan
Digital marketing Expert
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