Agri-Food Startups: Indian Agri-Food Startups Receive Record Investment of $4.6B in FY22
Farmtech startups have raised $1.5 billion from 140 deals, up 185 percent from last year, according to a report from venture capital firms. AgFunder and omnivore.
Restaurant marketplaces and internet product startups provided about $3 billion, about 66 percent of the total investment.
Deal activity also increased to 234 in FY 2022, up from 189 in FY 2021. Downstream startups raised $3.8 billion, up 115 percent from $1.77 billion in fiscal 2021.
This significant growth is due to Swiggywhich raised $1.2 billion, representing 38 percent of total investment in Indian agri-food start-ups.
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eGrocery startups raised $934M in 42 deals, up 4x from $244M in 25 deals in FY 2021.
“The fact that the level of investment surpasses all other countries in the Asia-Pacific region and competes on the global stage is indicative of the impressive range and depth of innovation coming from the country and the potential to influence the agri-food industry as a whole,” said Michael Dean. , founding partner of AgFunder.
The report says that investment in online restaurants and meal kits has grown significantly to $301M in FY2022, nearly 4 times more than $64M in FY2021.
Exploration and production investment jumped 300 percent to $1.2 billion from $312 million. This increase was fueled by the participation of generalist venture capitalists, larger deal sizes, and more deals.
“This has caught the attention of venture capitalists from around the world who understand that agri-food technology is the key to transformation. Indiahuge agricultural sector and rural economy,” said Mark Kahn, Managing Partner at Omnivore.