How does Pandemic draw attention of farmers and investors towards AgriTech startups?
The Pandemic of 2020 bought a bad time in the world, with lockdowns and restrictions torturing the farming industry and disrupting supply networks and logistics all around the world. Farmers that are unable to sell all of their food directly watch the majority of it getting spoiled, resulting in lower income and fewer investment. After the lockdown, the problems became even worse. When the agribusiness was on the verge of collapse, agri-tech start-ups came to the rescue of farmers by assisting them in selling their entire produce online while maintaining cash flow.
BookMyCrop, Agri10X, AgriBazaar and other agricultural technology startups assist farmers to not only sell their product online but also attract investors. These agri-tech firms interact with farmers and learn about their needs. They assist hundreds of such farmers in registering on their portals or applications, uploading current crop information with media and connecting with clients looking for these products in bulk. When large investors such as corporates and banks see farmers being able to sell their entire produce and grow exponentially, they perceive it as a viable investment opportunity. Farmers benefit greatly from this investment and funding in terms of raw materials and agricultural activity.
This brings a “habit-shift” in farmers thus, returning to the fields, using "agri-techs" and utilising value-added services such as consultations, crop sales, seed and farm equipment purchases and various other offers as a result of such actions.
So, while the pandemic may have caused significant losses to this industry, it has also aided farmers in bringing fresh farm food to the public through an online mode with online payments, thereby making the entire cycle clean and clear.