Sahyadri Farms Raises Rs 390 Crore To Expand Climate-Resilient Produce And Processing Capacity

Horticulture platform Sahyadri Farms announced on Friday that it has raised Rs 390 crore in a funding round led by ResponsAbility and GEF Capital. Existing investors FMO, Proparco, Incofin, and Korys also participated.

The funds will be used to expand the company's climate-resilient, patented varieties of table grapes and citrus, as well as to enhance its packhouse and processing capabilities for fruits, vegetables, and value-added products such as aseptic, IQF, freeze-dried items, juice concentrates, and dry fruits.

Sahyadri Farms operates a comprehensive supply chain, supporting farmers and farmer producer organizations to grow high-quality produce, which is then processed and marketed to both international and domestic customers. Founded in 2011, the company works with a network of 25,000 farmers, many of whom are shareholders. Its customer base includes major brands like Tesco, Edeka, Hindustan Unilever Ltd., and Coca-Cola.

It has been actively contributing to climate change adaptation and mitigation through sustainable farming practices like soil regenerative practices, promoting women's participation across its value chain, and reducing its carbon footprint.

The company first raised a funding of Rs 310 crore from external investors in September 2022 from FMO, Proparco, Incoin and Korys.

In the last two years, it has nearly doubled its revenue to Rs 1,482 crore in FY24 with healthy profitability. With this additional funding, the business is projected to further grow at around 40% every year over the next five years, the statement said.

It plans to go public in the coming years, creating a one-of-its-kind farmers-owned listed company on the Indian stock exchanges.

"Sahyadri Farm's mission has been to change people's outlook towards Indian agriculture by professionalising farming and making Indian farmers successful entrepreneurs. In doing so, Sahyadri Farms has scaled to become India's largest profitable and sustainable horticulture platform," its chairman and managing director Vilas Shinde said.

(With PTI Inputs)