The agritech startup offers integrated services, including smart warehousing, small-ticket loans, collateral management and custodian services, market linkage and farming advisory
StarAgri claims to be profitable and has raised INR 350 Cr+ to scale operations and diversify its product portfolio
The startup wants to expand its global footprint and focus on the Middle East and African regions
Farming has been one of the oldest and most labour-intensive sectors since ancient hunter-gatherers embraced it as a convenient way of growing and gathering food. Cut to the action today, agritech has emerged as a sunrise sector and modern-day tech has transformed how crops are sown, harvested, stored and sold. “Building the infrastructure was our biggest hurdle. We needed to create affordable and relevant physical and digital infrastructure for Indian farmers. This meant constructing scientific storage facilities alongside developing digital platforms for transactions,” said Agarwal.“StarAgri was profitable from the outset, but we needed capital to scale operations across states and diversify our product portfolio,” said Agarwal.“Also, our online model reduces intermediation costs from the typical 3.25% to a paltry 0.5%. This directly leads to higher profits for farmers,” said Agarwal. The basic intermediation fee covers the cost of running the portal and providing other services. “As one of the few profitable companies in the agritech space, an IPO is a natural next step for us,” said Agarwal. “We also aim to partner with more farmers in India and abroad.”
Agritech in India has witnessed phenomenal growth in recent years, with nearly 2.8K agritech startups recognised by the government’s flagship initiative, Startup India, and hundreds more operating in the country. An analysis by Inc42 further reveals that the sector has attracted $2.4 Bn from prominent global and Indian investors since 2014.