Horticulture Lighting Market Trends Point to Customizable Light Solutions

The global horticulture lighting market was valued at USD 6.26 billion in 2024. Projections indicate substantial growth, with the market anticipated to reach USD 29.12 billion by 2033, demonstrating a Compound Annual Growth Rate (CAGR) of 18.9% from 2025 to 2033. This expansion is primarily propelled by the increasing adoption of controlled environment agriculture (CEA), encompassing greenhouses, indoor farms, and vertical farms.

A significant industry trend is the rapid integration of LED-based smart lighting systems. These systems are enhanced with Internet of Things (IoT) capabilities, spectral optimization, and precision farming platforms. Such advanced technologies empower growers with precise control over light intensity, wavelength, and photoperiod in real time, customizing these parameters for specific crop types, growth stages, and environmental conditions. The dynamic adjustment of light spectra, particularly in the red and blue ranges crucial for photosynthesis, leads to improved plant growth, enhanced crop yield and quality, and reduced energy consumption. Furthermore, IoT connectivity facilitates remote monitoring and automation, synchronizing lighting with other agricultural inputs for optimized resource utilization and labor efficiency. This convergence of LED efficiency, intelligent control, and data-driven farming is a key driver of robust global market growth, fostering more sustainable and productive horticultural practices.

Key Market Insights:

• North America's Dominance: In 2024, North America accounted for a substantial 36.7% revenue share of the global horticulture lighting market.
• U.S. Growth Drivers: Within the U.S., significant market growth is fueled by the expansion of vertical farming, cannabis cultivation, and greenhouse operations.
• Hardware Segment Leads: The hardware segment held the largest revenue share in 2024, representing 67.6% of the market offerings.
• New Installations Drive Market: The new installations segment commanded the largest revenue share by installation type in 2024.
• LED Technology Prevails: The Light Emitting Diode (LED) segment held the largest revenue share by technology, accounting for 57.5% in 2024.

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Market Size & Forecast

• 2024 Market Size: USD 6.26 Billion
• 2033 Projected Market Size: USD 29.12 Billion
• CAGR (2025-2033): 18.9%
• North America: Largest market in 2024
• Asia Pacific: Fastest growing market

Key Companies & Market Share Insights

Leading players in the horticulture lighting market are actively pursuing a range of strategic initiatives to enhance their market position and expand the reach of their offerings. These efforts predominantly involve strategic expansions, such as entering new geographic markets or broadening product portfolios, and partnerships, which include collaborations, joint ventures, and even mergers and acquisitions. These strategies are crucial for driving market growth by enabling companies to innovate, increase their distribution networks, and better cater to the evolving demands of controlled environment agriculture.

Key Players

• Signify Holding B.V.
• Heliospectra AB
• Gavita International B.V. (Hawthorne Gardening Company)
• Hortilux Schreder B.V.
• Valoya Oy
• Illumitex, Inc.
• OSRAM GmbH
• Current Lighting Solutions, LLC
• California LightWorks, Inc.
• LumiGrow, Inc.
• Kroptek Ltd.
• SANANBIO Co., Ltd.
• Agnetix, Inc.
• Crecer Lighting, Inc.
• EVERLIGHT Electronics Co., Ltd.

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Conclusion

The global horticulture lighting market is witnessing rapid transformation, driven by the widespread adoption of controlled environment agriculture and the integration of advanced LED and IoT-enabled lighting systems. These innovations are enabling greater efficiency, improved crop quality, and sustainable farming practices. North America continues to lead the market, while Asia Pacific is emerging as the fastest-growing region. Companies are leveraging strategic expansions and collaborations to strengthen their market presence and technological capabilities. As precision agriculture gains momentum, horticulture lighting will remain a cornerstone of modern farming solutions.