ORIGHT Nets Funding To Boost Dairy Supply Chain Via Its Tracking Solution 

Dairy tech startup ORIGHT has raised $1 Mn (around INR 8.3 Cr) in a seed funding round led by Aeravti Ventures, along with participation from other micro VCs. 

The startup plans to use the fresh capital to scale up its innovation platform, expand product offerings and bolster its marketing and sales efforts, along with advancing its research and development.

“This investment marks a significant step forward in ORIGHT’S mission to revolutionize the dairy industry by digitising its supply chain and enhancing financial inclusion in rural communities through its platform,” the startup said in a statement. 

Founded in 2019 by Utkarsh Kapoor and Rame Kachroo, provides an IoT device solution for milk traceability. Its IoT devices claim to track various factors like the quality of the milk from temperature, humidity, water, FAT, SNF, and adulterants. The data collected in the IoT devices is sent directly to dairies and dairy farmers, helping optimise the supply of milk.

ORIGHT is also diversifying its offerings, enabling an Aadhaar Enabled Payment System (AEPS) service wherein the dairy farmer can withdraw money from the milk collection centres of respective diaries. 

Going ahead, the startup is also looking to tie up with payment aggregators to enable dairies to pay directly to the farmer’s account.  

The startup claims to offer its traceability solutions to major dairy clients like Sabar Dairy, Ananda Milk, Arvin, Aanchal, and Kamdhenu among others. 

Kapoor said, “With this new capital, we will accelerate efforts to expand our reach and deliver greater value to the entire dairy ecosystem, particularly in rural communities. Our focus is to drive financial empowerment for small-scale farmers, allowing them to access better resources and improve productivity. This will also promote long-term sustainability within the dairy supply chain.”

Aeravti Ventures’s managing partner Rishabh Singh said, “We are excited to partner with ORIGHT on their journey to drive meaningful change in the dairy industry. Their innovative approach of integrating technology and financial services across the supply chain aligns perfectly with our mission of promoting inclusive and sustainable growth.”

Kapoor told Inc42 that the startup raised a pre-seed round of over half a million dollars in 2022 from Loyal VC. He also noted that the startup concluded the latest financial year with revenues surpassing $1 Mn and further expects revenues to exceed last year’s figures in FY25. Currently, the startup is in a cash-burn phase and has yet to achieve profitability.

The development comes at the heart of several dairy startups receiving funding from investors to enhance their operations and expand their market reach. 

Dairy brand Sid’s Farm in June secured $10 Mn in a Series A funding round co-led by Omnivore and Narotam Sekhsaria’s family office.

This interest from the investors is evident as India is the number one milk-producing nation in the world. The country produces 24% of the world’s milk and has witnessed a 51% increase in milk production between 2014 and 2022.

All in all, the Indian dairy sector opportunity appears promising. Giving heft to this are projections that the Indian dairy industry would become an INR 49.95 Lakh Cr opportunity by 2032, growing at a CAGR of 13% from 2023.

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.