EIC podcast episode on vertical farming asks whether factory-grown food can become the new normal

Brussels, November 8th 2022
Summary
  • The European Innovation Council released episode 3 of its podcast series The game changers focusing on vertical farming.
  • The episode frames vertical farming as a fast growing but young sector that intersects climate adaptation, food security and urban resilience.
  • The EIC positions the podcast as guidance for university projects and deep tech start-ups seeking support to scale.
  • Vertical farming promises water savings and year-round production but faces steep energy, cost and scaling challenges that need rigorous life cycle evidence.

EIC podcast episode examines vertical farming and its promise

On 8 November 2022 the European Innovation Council published the third instalment of its podcast series The game changers. Episode 3 focuses on vertical farming and asks whether factory grown food could become the new normal. The series is presented by EIC Programme Managers and is pitched at university based technology projects and deep tech companies that want to move out of the lab and into the market.

What the episode covers

The episode sets out the central idea of vertical farming by describing large indoor factories quietly producing salads and herbs under LED light and with controlled irrigation. The EIC frames the topic as an ambitious endeavour that touches on climate change adaptation, food security, water management and the optimal use of solar energy resources. Listeners are invited to follow the discussion on mainstream audio platforms including Spotify and Apple Podcasts.

The podcast series in context:The game changers: from radical idea to innovative business is a series where an EIC Programme Manager provides a deep dive into scaling European deep tech. Programme Managers act as in-house experts who shape portfolios, connect projects to investors and ecosystem partners, and help translate breakthrough research into market ready innovations.
Episode focus:Episode 3 explores the promises and tensions of vertical farming, from production consistency to the infrastructural and energy demands of factory style cultivation.

Defining vertical farming and related terms

Vertical farming:A form of controlled environment agriculture that stacks crop production vertically in indoor facilities. It uses artificial lighting, nutrient solutions and precise climate control to grow crops independent of outdoor conditions. Systems range from simple multi shelf units to large scale warehouses using hydroponics, aeroponics or aquaponics.
Controlled environment agriculture:An umbrella term for production systems that tightly control temperature, humidity, light and nutrients in order to optimise plant growth. It is the technical foundation for most vertical farms and enables year round, predictable yields.

Why policymakers, funders and entrepreneurs are paying attention

Vertical farming is attractive to policy makers because it promises local food production that is resilient to extreme weather events and seasonal volatility. For funders and entrepreneurs it represents a space where advances in LED efficiency, automation, sensors and AI can combine into commercial products and services. Within the EU innovation ecosystem, programmes such as the EIC are interested because the technology is deep tech in the sense that it requires interdisciplinary engineering, plant science and systems integration to scale.

EU policy relevance:Vertical farming sits at the intersection of several EU priorities including climate adaptation, urban sustainability and strategic resilience of food supply. It also raises questions about energy policy, grid capacity and public procurement rules if public bodies are to favour locally produced food.

Promises that need evidence

Proponents often list water savings, pesticide free production, shorter supply chains and year round quality as advantages. These outcomes can be real but they depend on context. Water use can be much lower per kilogram of some crops when recirculation is well managed. Reduced food miles are only meaningful when the local electricity grid and transport logistics do not erase those gains. Producers also claim higher yields per square metre but those figures must be balanced against energy inputs and capital costs.

Energy use concerns:LED lighting and HVAC systems are the single largest operating cost for many vertical farms. Energy efficiency advances are helping but high electricity demand remains a barrier where grids are carbon intensive and electricity prices are high. Integrating on site or nearby renewables can reduce emissions but it does not always reduce total system costs.
Life cycle assessments matter:To validate environmental claims a robust life cycle assessment that accounts for energy mix, construction emissions, nutrient sourcing and downstream logistics is essential. The sector needs more independently verified LCA data to support public policy and investor decisions.

Technical, economic and scaling challenges

Vertical farming combines demanding engineering with biology and logistics. The main obstacles are high capital expenditure for building and equipment, operating expenditure dominated by energy, and the need to automate labour intensive tasks. Crop choice matters because leafy greens and herbs suit early business models while staple crops present much tougher biological and economic challenges. Supply chain integration, access to cheap and clean electricity, and regulatory clarity are prerequisites for wider adoption.

Opportunity or claimPractical advantageKey challenge or evidence needed
Water savingsRecirculating systems can reduce water per kilogramRequire disciplined maintenance and independent LCA to confirm net savings
Local, year round productionReduces dependence on seasonal imports for high value cropsEnergy and cost trade offs need assessment against conventional supply chains
Predictable quality and food safetyControlled environments allow pesticide free crops and traceabilityBiosecurity, nutrient management and packaging impacts need scrutiny
Tech driven efficiency gainsAI, sensors and robotics can lower labour and improve yieldsHigh upfront R and D costs and integration complexity slow adoption

Where the European Innovation Council fits in

The EIC has framed the podcast as part of a broader effort to help deep tech projects scale. The series is explicitly aimed at university based projects and game changing tech companies that are looking for support from the EIC. Programme Managers are the EIC actors who shepherd portfolios, convene stakeholders and help match selected teams with investors and business acceleration services. For vertical farming that could mean support for breakthroughs in LED efficiency, sensor driven crop optimisation, or new approaches to closed loop nutrient systems.

EIC instruments to consider:The EIC runs funding tracks for early stage research, technology transition and scaling. Depending on maturity a team might apply for research grants for novel lighting or sensors, transition grants to move prototypes towards pilot farms, or accelerator support for commercial scale up and investment readiness.

Practical advice for entrepreneurs and investors

Startups should prioritise crops that capture clear economic value today, build rigorous energy and LCA metrics into every pilot, and test business models that combine vertical farms with adjacent services such as fresh processing, cold chain logistics or local retail partnerships. Investors should demand transparent operational data and independent environmental assessments rather than marketing claims. Public funders should avoid one size fits all subsidies and instead support projects that demonstrate measurable reductions in emissions or supply chain risk.

Policy implications and ecosystem needs

If vertical farming is to scale in Europe there are system level issues to address. Grid capacity and electricity pricing matter. Urban planning will need to accommodate industrial agricultural facilities near consumers. Training programmes are necessary to build an interdisciplinary workforce. Regulations and standards for sustainability claims and for novel cultivation inputs will help ensure consumer trust. Finally, public procurement rules could create demand for verified local supply in hospitals and schools.

How to listen and what to take away

Episode 3 of The game changers is available now on the EIC site and on common streaming platforms including Spotify and Apple Podcasts. The conversation is a useful entry point for innovators and policy makers but listeners should treat industry claims with healthy scepticism and look for independently verified operational and environmental data before drawing conclusions about the sector's wider sustainability or economic potential.

For teams working on vertical farming technologies and seeking funding or mentoring, the EIC encourages engagement through its Programme Managers and funding calls. The podcast is one part of that outreach and is intended to spur deeper inquiry and investment into the technological, regulatory and business challenges that will determine whether factory grown food becomes a mainstream option.