- Ruraltech startup, FAARMS has raised $10 Mn in the recent funding round.
- FAARMS plans to use this funding to expand its geographical footprint in India, increase supply and distribution channels and hire talent.
- It competes with rural tech startups like Hesa, Frontier Markets and 1Bridge.
Ruraltech startup, FAARMS has raised $10 Mn in the recent funding round. As per the report, the funding round was led by Dr Cornelius Boersch from Conny & Co. and Koh Boon Hwee. The round saw participation from Apoorva Ranjan Sharma from Venture Catalyst and Ramit Mittal from Bharti Family.
The Bengaluru-based startup was founded by Taranbir Singh and Alok Duggal. It provides end-to-end solutions for rural households, right from door-step delivery of farming inputs to insurance to banking services, and others.
FAARMS plans to use this funding to expand its geographical footprint in India, increase supply and distribution channels and hire talent. It even plans to invest in developing technological infrastructure.
Talking about the fundraising, The cofounders of FAARMS, Taranbir Singh and Alok Duggal, said, “Most of these funds will be used to expand our presence to 12 states across India. Currently, we operate in more than 50,000 villages and plan to expand to 100,000 villages by the end of this year. Even these funds will be used to yield our expansion to newer regions and deepening across existing markets”.
In addition, FAARMS has partnered with Bharat BillPay to help Indian farmers make recurring payments, such as water, gas, and electricity bills, loan repayments, and insurance premiums.
FAARMS provides farmers with seeds, cattle feeds, and farming equipment through the new association. By utilizing its logistics network, it delivers these products directly to customers’ doorsteps.
Further, Singh and Duggal said, “The ultimate goal of our digital platform is to enhance the incomes and living standards of rural households by enabling seamless, profitable and effective functioning of their households.”
The mobile-based app FAARMS’ is available in regional languages. This app enables farmers to learn the best farming techniques and the latest technologies in the agriculture sector. Furthermore, it provides them with financial protection for their families and livestock.
Earlier in 2021, it secured $2 Mn in a seed funding round from Koh Boon Hwee and Dr Cornelius Boersch from Conny & Co.
It competes with rural tech startups like Hesa, Frontier Markets and 1Bridge.
Compared to urban cities, India’s rural demographic invariably have fewer facilities. Consequently, rural populations have quickly adopted digitalization due to its ease of use. As per a report by Mckinsey, The rural population of India will account for 63% of the country’s market share by 2025.
It is also reported by Accenture that rural customers have become more aspirational, have embraced brands, and are seeking to stay connected. A handful of startups are taking advantage of the rural ecosystem of the country, such as 1Bridge, backed by C4D Partners, and Hesa, backed by Venture Catalysts.
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