Agritech startup AgroStar has raised $27 million in a funding round led by Bertelsmann India Investments. Existing investors Accel, Chirate Ventures and Aavishkaar Bharat Fund also took part.
Pune-headquartered AgroStar offers farmers digital solutions including real-time data which can help them cut costs and improve yields.
“We feel privileged to join a journey that has the potential to have a deep positive impact at grassroot levels while building a large and valuable business,” said Pankaj Makkar, managing director at Bertelsmann India Investments, in a statement.
Majority of India’s more than 135 million farmers face challenges of low income on account of low productivity, high cost of production, lack of actionable agronomy information, and low market price of their produce.
With this capital infusion, AgroStar plans to expand its digital footprint across the country. With smartphone penetration in rural India growing rapidly and data becoming cheaper, the company intends to increase investment in its technology platform and its data science capability. It also plans to strengthen its leadership team by adding seasoned agri professionals from the industry and invest in building innovative solutions that can address deep-rooted challenges faced by the farmer.
“Our agri input-focussed commerce platform and tech enabled agronomy solutions are addressing key challenges faced by the Indian farmer and making farming more profitable and sustainable for them,” Shardul Sheth, CEO and co-founder, AgroStar said.