The farmer-led company, Sahyadri Farms Post Harvest Care has raised Rs 310 crore growth capital from a group of European impact-focused investors. Incofin, Korys, FMO and Proparco have participated in this round of funding for Sahyadri Farms.
This is the first of its kind international equity investment in a farmer-led organisation in India. Sahyadri would be using this capital to expand its fruit and vegetable processing capacity and set up a packhouse and biomass plant to generate electricity from Agri and food waste. Alpen Capital acted as the exclusive strategic advisor to Sahyadri Farms for this transaction.
Vilas Shinde, founding farmer and managing director of Sahyadri Farms said they want to make farmers think like entrepreneurs and build a sustainable, scalable and profitable organisation. Sahyadri wants to make a farming profitable and viable activity for each small and marginal farmer, Shinde said.
The company had more than doubled its revenues in the last five years to Rs 786 crore and reported a net profit of Rs 15.50 crore during FY22. It exports 60% of its products to 42 countries.
Rahul Rai, partner of Incofin India, which is leading the investor consortium, said Sahyadri Farms will be a global model for a partnership-based approach to farming that results in sustainable financial impact, climate change adaptation and inclusive growth. Michael Jongeneel, CEO of FMO, said Sahyadri Farms was able to identify and support smallholder farmers and deliver the help farmers need to make their business flourish.
Sahyadri Farms is a 100% farmer-owned and operated company and Sahyadri Farms Post Harvest comprises all the fruit and vegetable processing business.