Agri-processing platform Agrizy announced today that it has raised Rs 82 crore in Series A funding. The round was co-led by Accion and Omnivore, with participation from Capria Ventures, Thai Wah Ventures, and existing investor Ankur Capital.
India's $400 billion agri-processing market, even though growing by 9% annually, faces a bottleneck -- only 10% of farm produce gets processed today. This pales in comparison to global leaders like China (40%) and developed nations (70%). India has more than 2 million food processing MSMEs, which operate significantly under capacity and struggle to find B2B customers, especially in export markets.
Agrizy is providing MSMEs with a fully managed B2B marketplace for agrifood supply chains and processing. The platform connects every stakeholder in the agrifood processing ecosystem to optimally discover and fulfil transactions. The startup works closely with agrifood processing MSMEs, offering them a suite of digital services to generate additional long-term revenues and improve their operating margins while streamlining their procurement and sales cycles.
With the new funding, Agrizy aims to expand into new product areas and geographies; launch CDMO and value-added advisory services; and offer financial services to MSME processors and farmer-producer organizations (FPOs).
Vicky Dodani, Co-founder and CEO at Agrizy, said, “Agrizy aims to help FPOs and MSME agri-processors access export markets and comply with global quality standards while offering these underserved stakeholders working capital from formal financial institutions. The curre ..
John Fischer, Chief Investment Officer at Accion, said: “Agrizy aims to address the lack of quality financing for small processors and the Farmer Producer Organizations that supply them, helping to increase incomes in rural communities. Through our partnership with Agrizy, we will leverage Accion’s global expertise to help the company grow, connecting many processors and smallholder farmers to responsible financial services and formal markets for the first time.”
Mark Kahn, Managing Partner at Omnivore, stated, "The company's foray into contract manufacturing is critical for streamlining intricate, export-oriented supply chains. By prioritizing innovation and sustainability, Agrizy is positioning India's food processing industry to meet evolving global market needs."
Source Name : Economic Times