Agri-tech start-up FarMart has raised $32 million (₹244 crore) in Series B round led by General Catalyst. Existing investors Matrix Partners India and Omidyar Network India also participated in the round. The start-up will use these funds to invest in R&D, automation and technology.
Founded in 2015, the SaaS-led food supply platform enables food businesses to source quality produce in large quantities directly from the farmgate. It also helps retailers procure commodities from farmers. At the same time, the agri-retailers network provides farmers with information and market linkages.
FarMart said it has scaled up its output linkage offering, distributed via its app users, to over 600 districts in India with 75,000 metric tonnes of high-quality produce sourced till now across over 15 commodities.
“We have built a retailer-centric solution at the intersection of data, hyperlocal serviceability and underutilised assets.,” said Alekh Sanghera, CEO and Cofounder, FarMart
“Farmers have to travel 25-30 km to access a formal marketplace. Leveraging the proximity, social capital and infrastructure of these agri-retailers, we are able to source directly from farmers in a capital efficient and non-linear manner. Removing excessive intermediaries helps in providing better prices to farmers, reduces direct cost and reduces spillages/wastage up to 10-15 per cent,” added Mehtab Singh Hans, Cofounder, FarMart
“The fast-growing B2B platform activates critical connections between farmers and agri-retailers, enabling millions of farmers to supply fresh produce to consumers all over India, creating powerful, positive change for these stakeholders. We are honored and excited to be a partner in the FarMart journey,” said Deep Nishar, Managing Director, General Catalyst.
The platform had raised Series A round of about $10 million in October 2021, taking the total capital raised to $48 million (₹366 crore).
“Their ability to scale rapidly using technology while being capital efficient is unique and we are excited to see the key role they play in building a transparent and financially rewarding value chain for farmers and the Next Half Billion.” says Siddharth Nautiyal, Partner, Omidyar Network India.