India: Sahyadri Farms secures $40m funding from FMO, other European investorsBelgium-based investment firms Incofin and Korys, and French DFI Proparco…

Sahyadri Farms Post Harvest Care Limited has raised about $40 million (Rs 310 crore) in funding from a group of impact-focused investors, including dutch development bank FMO, Belgium-based investment firms Incofin and Korys, and French development finance institution Proparco.

With the latest investment, Sahyadri Farms plans to expand its processing capacity for fruit- and vegetable-based products, set up a biomass plant to generate electricity from process waste and enhance its infrastructure, such as packhouses, said a statement from FMO.

“The idea of Sahyadri Farms is to unite farmers and make them think like professional entrepreneurs. We are building a sustainable, scalable and profitable organisation for all our stakeholders by making farming a profitable and viable activity for each small and marginal farmer,” said Vilas Shinde, managing director of Sahyadri Farms.

Shinde started Sahyadri Farms as a Farmer Producer Company in 2010 with just 10 farmers, and produced and exported fresh grapes to Europe. The company today claims to be servicing over 18,000 farmers, covering more than 31,000 acres and nine crops. It offers a digital platform that informs farmers about high-yield crop varieties, farm inputs, real-time climate information and access to the market place.

“We expect this first international equity investment in a farmer-led organisation in India to help Sahyadri Farms reach even more farmers and set a blueprint for further growth in the industry,” said Michael Jongeneel, CEO of FMO.

Alpen Capital acted as the exclusive strategic advisor to Sahyadri Farms for this transaction.

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