Agritech firm Fyllo experienced significant revenue growth last fiscal year, tripling their earnings compared to the previous year. This growth can be attributed to farmers using data and analytics more extensively to reduce costs and increase their crop yields, according to media reports.
Fyllo plans to expand their offerings by introducing crop insurance and developing data-driven solutions for the agricultural industry. Their IoT devices collect real-time data on various critical farming aspects such as soil moisture levels, weather conditions, and crop health. With over 5,000 farmers as clients, Fyllo has deployed more than 4,000 IoT devices across India, covering over 34,000 acres of farmland and 15 different types of crops.
According to Fyllo, farmers have benefited from a 25-50 per cent increase in income and a 25 per cent reduction in input costs. The company generates revenue through the sale of their devices and subsequent annual subscription charges. Fyllo has already secured USD 2.2 million in funding through a pre-Series-A round, with the participation of investors such as 100X.VC, Lead Angels, IAN, Titan Capital, Singularity Funds and Venture Catalyst.
The Indian agricultural sector is characterised by smaller farm sizes and lower yields compared to other countries. Additionally, the sector faces challenges such as fragmented and inefficient supply chains. These unique market characteristics have led agritech companies in India to develop “India-first” business models, focusing on output market linkage. The market also presents opportunities for technology innovations in precision agriculture, quality assessment and digital traceability, potentially leading to significant global opportunities.
In India, agriculture plays a significant role, employing around 58 per cent of the population and contributing to 14 per cent of the GDP. While most technology-driven players in the Indian agricultural sector operate in the business-to-business (B2B) space, some operate in the business-to-consumer (B2C) market as well, covering the entire value chain from farm to fork. These companies, including Absolute Foods, Arya.Ag, Dehaat, Farmart, Captain Fresh, Vegrow, Bighaat, Agnext, Bijak, Country Delight and Licious, focus on specific niches within the agritech sector, creating value in their respective subsectors, according to Avendus.
Categories: Other News