AL

THE VERTIC
FARMING
BUYERS’
S
GUIDE SERIE

How to meet your vertical

farm’s market demand
A guide to deciding the
right size and location

Succeed with vertical farming

intelligentgrowthsolutions.com 1
The aim of this buyer’s guide is to present the latest, verifiable facts about
our vertical farming system, so that you can make an educated decision
about whether vertical farming could form a profitable part of your business.
At IGS, we use Total Controlled Environment Agriculture (TCEA), which enables
precise, predictable and consistent cultivation in any suitable location.

We’ve split this guide into the different areas you need to consider before setting up,
expanding or diversifying your own vertical farming operation. The Buyers’ Guide series
comes in three parts. Below are the other two which we recommend you read upon
completing this part. Click to access the downloads.

Optimise plant growth with Commercial viability

vertical farming for vertical farms

In this guide: In this guide:

Power: the number one cost CAPEX costs: setting up and

when running a vertical farm building your vertical farm

Machinery and equipment needed Software and training to support

to run your vertical farm the success of your vertical farm

OPEX: the month-to-month costs

Labour costs and automation
of running your vertical farm
in your vertical farm

Payback: producing a commercially

Optimising the growth
viable vertical farming business
of your crops

Download Download

intelligentgrowthsolutions.com 2
Who wrote
this guide?
We are IGS. Based in Scotland, we’re a We’ve won both technology and farming
technology company that has combined awards, including being named in the
farming and engineering expertise to Red Herring Top 100 North America
create a vertical farming system that and winning silver at the 2020 British
delivers business benefits while also Farming Awards in the Agri-Tech Innovator
addressing pressing challenges such of the Year category. In June 2021 we
as food security and sustainability. were proud to win the Made In Scotland
2021 award.
We’re technical innovators and engineers,
with experience in plant science, and our We also hold 17 patents in six families.
proven technology is now being deployed Learn more about our patents here
all over the world. and about our awards here.

Our TCEA vertical farming system allows

our customers to grow crops in a clean
environment with zero pesticides,
fungicides and herbicides, while
facilitating reductions in power and
labour requirements.
17 Patents
Click to view

intelligentgrowthsolutions.com 3
Before you get into the bulk of this buyer’s guide,
consider these basic questions:

Do you know what produce you want to grow and which

offtakers (customers) you want to serve?

Are you able to fulfil their requirements using your

existing farming methods?

What is your business goal for vertical farming?

(Profitability, better food security, environmental reasons, etc.)

Our job here is not to sell you on vertical farming as an idea. We are
technologists, innovators and engineers–and we aim to present you
with the facts and allow you to make your own decisions.

The following sections will help you understand all the considerations
you need to make before you can be confident in going ahead with
your own vertical farming operation.

Keep in mind that vertical farms are not intended as a wholesale

replacement for traditional farming methods. They are just one
of many components in the ecosystem of modern agriculture.

Please contact us if you’d like to discuss anything in this guide

as it pertains to your business circumstances. When you talk
to us, we’ll make our best effort to determine whether vertical
farming could be a commercially viable part of your business.
There’s more about this in the Payback section at the end
of the guide. This buyer’s guide assumes a basic
understanding of the concept
of vertical farming. If you missed
our introductory guide, please see
Vertical farming: sustainable food
security for a changing world

intelligentgrowthsolutions.com 4
Deciding the right size
and location for your
vertical farm

Think about
How could a vertical farm help you
meet your offtaker requirements?
Do you want to cultivate seedlings,
grow crops or produce other materials?

Understand what and how much

you want to produce in the space
you have available. The taller you
go, the more you can produce.

intelligentgrowthsolutions.com 5
Deciding the right size and location
for your vertical farm

Unlike traditional farms whose locations The towers are up to 12 m tall, and you
are often limited by the climate, soil and may add as many towers as you can
other environmental and geographic accommodate on your site.
factors, vertical farms can be created in
many more places. Vertical farms don’t
Therefore, the key questions to start with
require expensive arable land. They can be
are where best to place such vertical farms
built on cheaper plots, such as industrial
and how large those farms ought to be.
land and brownfield sites. This greater
range of options means that vertical
farms can also be built closer to the You must decide on what usable land
point of consumption. you have available, and how that land
could best be used to serve your
offtakers (customers).
The complete design of a vertical farm
means that it’s possible to grow identical
crops in different parts of the world, As land availability continues to decrease
regardless of external conditions. across the world, it makes sense to use
Furthermore, the modular and scalable what land you have to build vertically.
design of vertical farms means that there’s This increases the value you can obtain
no upper limit to a farm’s footprint. from each square metre.

Did you know? A vertical farm does not necessarily require an unused plot of land.
Such a farm can work within the confines of an existing building
so long as a suitable insulated structure can be fitted.

Here are some benefits to using an existing building instead

of an unused plot of land:
• your service area/facility probably already exists;
• your utilities will already be in place;
• your costs of wall panelling should be reduced;
• your budget won’t need to include foundations/groundworks;
• your project lead time will reduce

An ideal scenario is for there to be an existing service area

but with new space for a vertical farming superstructure.

intelligentgrowthsolutions.com 6
Deciding the right size and location
for your vertical farm

The complete IGS TCEA vertical farming system comprises the following components:

What are Growth Trays with Lights (GTL)

Growth Trays with Lights (GTLs) are our innovative trays in which plants are grown. There are
lights mounted on the underside of the tray to light the tray below. There is a 250 mm–300
mm spacing between each GTL.

Here are sample specifications for our vertical farming towers with Growth Trays with Lights
(GTLs):

Tower Height Growth Tower Spacing (vertical) GTLs per Tower Growth Area
6 m tower 300 mm spacing 30 GTLs 209 m2 growth area
6 m tower 250 mm spacing 36 GTLs 253 m2 growth area
9 m tower 300 mm spacing 52 GTLs 320 m2 growth area
9 m tower 250 mm spacing 62 GTLs 382 m2 growth area
12 m tower 300 mm spacing 72 GTLs 431 m2 growth area
12 m tower 250 mm spacing 85 GTLs 511 m2 growth area

intelligentgrowthsolutions.com 7
Deciding the right size and location
for your vertical farm

Vertical farms can go anywhere in the world. You only need usable land
or space, not necessarily arable land. External conditions in general
do not affect vertical farm interiors which are automatically
maintained for optimal growing conditions.

intelligentgrowthsolutions.com 8
Deciding the right size and location
for your vertical farm

Most
Popular

6m 9m 12 m
The 6 m option offers the The 9 m option is most The 12 m option offers the
lowest output per metre common and works well greatest output per metre
square. We recommend in existing spaces and on square of space used for
this only if your project unused land. the tower, though local
is constrained by height planning restrictions or
restrictions. For example, climatic conditions mean
we use this option when that it isn’t always possible
building within an existing to build to this height.
structure such as a barn or
warehouse.

As vertical farming installations are modular and scalable,

you can choose a setup that suits you. For maximum efficiency
and to achieve the best payback possible, we recommend
carefully considering the optimal size installation for your
business requirements.

Take into account your relationship with your offtakers, the quality of your distribution
network plus any plans to expand your business.

Your access to power, water and the internet are also essential. Of these, the access
to low-cost power is the single most important factor in building a commercial case
for a vertical farming operation.

intelligentgrowthsolutions.com 9
Vertical farming
myths VS facts
Myth: Vertical farming operations are small container farms.
Fact: IGS offers modular and scalable farms that can built to
industrial-scale. Our solution is based on scientific optimisation of
growing conditions that results in consistent and predictable outputs.

Myth: Glasshouses use less energy than vertical farms because they
use sunlight.
Fact: While sunlight is free, managing it comes at a cost. Glasshouses
need supplementary lighting when sunlight is inadequate, especially
in autumn and winter. Too much sunlight requires significant energy
to manage light shades and fans for cooling. They also need heating
and far greater volumes of CO2 compared to an IGS vertical farm.
Heating is not needed in an IGS Growth Tower as this is maintained
by the heat from the LEDs, which would normally be wasted in other
vertical farms and greenhouses. Machinery required in glasshouse
environments to produce and apply pesticides, fungicides and
herbicides also require energy.

Myth: Vertical farms will replace open fields and glasshouses

Fact: Fields will continue cultivating a wide variety of crops, such as
barley, wheat and potatoes. However, IGS’ solution can have a role to
play in developing new varieties and breeding stock for these crops
in significantly less time than traditional methods. The same applies
to crops such as peppers, strawberries and tomatoes in greenhouses.
However, vertical farming can be the only commercially viable option
in countries with unpredictable or extreme weather. In addition,
waste from traditional strawberry starter plant production is around
30% due to pests, damage or disease. By using an IGS Growth Tower
to grow starter plants in a clean and safe environment, this can be
dramatically reduced. Vertically farmed starter plants grown close
to fields and greenhouses minimise transportation time, waste and
extend shelf-life, creating a hybrid growing model.

intelligentgrowthsolutions.com 10
Vertical farming
myths VS facts
Myth: Vertical farms can only grow premium, high end or niche
products
Fact: Unlike most glasshouse production, vertical farms can co-
locate next to the point of consumption or production. This means
that vertically farmed salads, leafy greens and herbs have a far
longer-shelf life. In the USA, traditionally farmed lettuce lasts one
week, the vertically farmed equivalent lasts up to three. Despite
premium pricing in many regions, consumers in the USA for
example, are gradually switching as they recognise the value of
vertically farmed produce. Food waste is a significant contributor
to emissions—if it were a country, it would be the third-largest
in the world.i

The hybrid model of vertical and traditional farming working

together has many advantages. Such as reliable supply of clean and
high-quality starter plants and a reduction in emissions from more
efficient production and logistics. The current method of growing
tree seedlings in greenhouses is very energy and labour intensive.

i.
unep.org/regions/north-america/regional-initiatives/promoting-sustainable-lifestyles

intelligentgrowthsolutions.com 11
Growing the right
crops for your
offtakers
Think about
Do you want to create consistently high-quality
vegetables, all year round, from your crops?
Vertical farming allows precision in what you can
deliver and when, and is flexible enough to allow
quick changes to respond to current market demands.

Vertical farming is flexible enough

to allow quick changes to respond
to current market demands. Make your
marketing of this clear to your potential
offtakers and they will perceive you
as a valuable supplier.

intelligentgrowthsolutions.com 12
Growing the right crops
for your offtakers

One of the key benefits of vertical farming by using natural means such as changing
is the ability to grow exactly what your the lighting controls. This is not about
offtaker wants, when they want it. If your modifying genetics. The result gives
offtaker wants 50 kg of basil at 2pm on you control over the quality, consistency
Wednesday, you can be sure of producing and yield of your produce detectable
it for them. through, for example, the taste, nutritional
content and shelf life.
This assumes you are in steady operation,
ready to take orders, and are responsive As the grower, you’re not limited to
to your offtakers’ requests. seasonal production. And if the market
changes for any reason, you can quickly
switch to a different crop. You could
Not only that but you can also use our
even rent out your towers or use them
growth recipes to customise the
to work on research and development.
characteristics of your chosen crop.
This flexibility protects your business
If your offtakers want to maximise
because your vertical farming setup
flavour, for example, they might prefer
is always ready to be put to good use
you to supply short stalk basil with big
regardless of the current season or
leaves. Precision growing with vertical
market conditions.
farming allows you to enhance and
change plant characteristics quickly

Data per kg lettuce Water use (L/kg) Crop Yield (kg/m2/y) Food Miles
Open Field 250 3.9 2,000
Glasshouse 20 41 500 – 1,000
Vertical Farm 1 80 – 120 50

According to IGS market research

Did you know? IGS Growth Towers can achieve

between 2X and 3X greater yields
than a greenhouse environment.

intelligentgrowthsolutions.com 13
Growing the right crops
for your offtakers

Within our Growth Towers, you’re able to grow more than a single crop at any one
time. For example, it’s possible to grow micro-greens in one tray, basil in another
and dill in yet another. Other scenarios are possible. Ask us about them.

As our systems are designed for businesses that operate on an industrial scale, you’ll get
the best economy from dedicating whole towers–not individual trays–to a particular type
of crop. Our product is most beneficial to farmers who want to grow a mix of crops versus
mono-crops.

Your towers and trays need not be limited to growing crops for human consumption.
The system can support the production of materials for the pharmaceutical and fragrance
industries, as well as to support floriculture, colourants and even the creation of livestock
feed though this is a specific use case for a vertical farm.

By controlling and enhancing the environment in which the crops grow, you can define
the properties and characteristics of what you produce. If your offtakers want products
that are not genetically modified, your vertical farming setup can deliver that. Equally, if your
offtakers do want genetically modified produce, they can have that as well. In fact, it is an
ideal system for that market. With CRISPR coming, this could be a game changer.

IGS trays are 4.1 m by 1.7 m in size with a growing area of 6.1 m2

intelligentgrowthsolutions.com 14
Growing the right crops
for your offtakers

Financial, supply chain and

environmental security all
Growing seedlings where they’re needed
delivered via Growth Towers is far better than importing them from
another country. This lowers the costs of
transport, reduces waste and shrinks your
carbon footprint. These healthier seedlings
offer better resistance in the field and
produce less waste during the growth
cycle, too. It’s more sustainable, better
for the planet and gives you self-reliance.
This is especially important given the
increasing challenge of food security.
Put another way, having better supply
chain control means there’s a better chance
of protecting your profits while giving your
offtakers and buyers the reassurance that
their supplier–you–is helping their operation
to be as environmentally friendly as
possible. It’s the win-win scenario of

“
vertical farming.

The Growth Towers will allow Vertegrow

to grow crops efficiently, consistently
and predictably. We are delighted to be
working with IGS to deploy four towers
on the first of what we hope will grow to
several sites in the future.

Graeme Warren, Director

“
Vertegrow, Scotland

intelligentgrowthsolutions.com 15
Ready to grow?
With all of these considerations taken into account, we hope
you feel better informed about what is required to run an
effective and profitable vertical farming operation.

You will no doubt have more questions that relate to your specific
circumstances. We’re happy to give you an honest assessment
of what’s right for you. Please get in touch and let’s talk.

Remember: we’ve based everything in this buyer’s guide around

the facts that we can substantiate as of the time of writing (mid 2021).

Consideration checklist
for your vertical farm
Deciding the right size and location Growing the right crops
for your vertical farm for your offtakers

Power: the number one cost Labour costs and automation

when running a vertical farm in your vertical farm

Machinery and equipment needed Optimising the growth

to run your vertical farm of your crops

CAPEX costs: setting up and OPEX: the month-to-month costs

building your vertical farm of running your vertical farm

Software and training to support Payback: producing a commercially

the success of your vertical farm viable vertical farming business

intelligentgrowthsolutions.com 16
Intelligent Growth Solutions
Landmark, Exchange Place 2
Edinburgh EH3 8BL
Scotland

+44 (0) 131 202 1050

IntelligentGrowthSolutions.com

© 2021. IGS Limited.

All rights reserved. Version 1.0.