The following are the reasons why a few Hydroponic Commercial Farms are unsuccessful in India:
1. Poor Crop Selection
The most popular crops grown in commercial hydroponic farms are leafy vegetables, herbs, salad greens, microgreens, vine crops, and tubers. It’s crucial to select crops that are suitable for the local climate and ensure there is a market for them.
2. Incorrect Type of Hydroponic Farm/System
Commercially, one can either grow indoors or outdoors. Indoor vertical farming typically happens in a closed space like an empty room or warehouse, using LED grow lights. Indoors, we can mainly grow leafy veggies and microgreens. However, the running cost of indoor farming is much higher due to electricity expenses for lighting and ventilation systems.
Outdoor hydroponic farming usually takes place in greenhouses, which offer the flexibility to grow a wider variety of crops. There are several types of greenhouses, such as naturally ventilated, fan-pad, or simple shade net houses. Here, the electricity cost is significantly lower.
There are also multiple types of hydroponic systems—NFT, aeroponics, DWC, etc.
The choice of system and greenhouse depends on the crop, climate, and budget.
3. Unsuitable Location of the Farm
Even in protected greenhouses, climate control has its limits. It’s important to assess whether the temperature and humidity inside the greenhouse are suitable for the chosen crop. Poor location planning is a common reason hydroponic farms in India underperform.
4. Lack of Market Research
A key reason few of the hydroponic business in India fail is poor market understanding. Growing a crop is just one side of the story. It’s equally important to ensure there’s a market for it—and that potential customers are willing to pay the desired price.
5. Poor Supply Chain Management
Since most hydroponic crops are perishable and have a short shelf life, delivering them to customers quickly is essential to maintain freshness and reduce wastage.
A longer distance from farm to customer also means higher logistics costs.
6. Inconsistent Water and Electricity Supply
Unreliable electricity supply can lead to problems in irrigation, ventilation, and climate control—causing plant stress and reduced crop quality.
7. Lack of Knowledge
Once the feasibility study is done, proper execution and agronomic expertise are crucial for growing a healthy crop with good yields.
Example:
Growing basil in an indoor vertical farm in a rural part of India may not be commercially viable. Demand for basil in rural areas is likely low, so the farmer would have to incur high logistics costs to transport the produce to urban markets—risking a loss of freshness. Also, basil can be grown effectively in outdoor greenhouses, reducing costs. Indoor farms consume a lot of electricity, which might not be consistently available in rural areas.
These are the reasons why a few of the Hydroponic Farms in India fail
At GrowPro, we provide a comprehensive study of all these parameters along with technical assistance to execute your hydroponic project—ensuring the success of your commercial farm.