Industry leaders at the 8th Annual Learning Event in Nairobi have underscored the pressing need for increased investment in the agritech sector, highlighting a call for over KSh 387 billion in funding. This funding is viewed as essential to foster innovation and growth, particularly for women entrepreneurs who are increasingly at the forefront of developing solutions aimed at addressing the unique challenges faced by smallholder farmers. The event, hosted by Mercy Corps AgriFin, brought together key stakeholders to discuss the future of digital agriculture and its potential to revolutionize farming practices.
The urgency for investment comes as the agritech sector has attracted approximately $1.6 billion (KSh 206.4 billion) over the past decade, according to the State of AgriTech Investment 2024 Report. However, experts argue that this amount falls short of the industry’s growing demands. To fully harness agritech’s potential, stakeholders are advocating for a significant increase in funding, projecting that more than $3 billion (KSh 387 billion) is necessary over the next decade. The report highlights that over 40% of agritech ventures remain unfunded, with a substantial portion being women-led initiatives that could scale impactful solutions for smallholder farmers, especially women.
Smallholder farmers, particularly women, often grapple with low productivity and a lack of necessary tools and support to enhance their operations. Technological innovations, such as mobile applications providing weather updates and market prices, as well as digital platforms that connect farmers with buyers, have emerged as vital resources for these communities. However, a significant challenge remains in developing business models and go-to-market strategies that cater specifically to the needs of smallholder farmers. Women entrepreneurs are leading the charge in creating accessible solutions but require greater financial support to expand their ventures and make a broader impact.
Sieka Gatabaki, Program Director for Mercy Corps AgriFin, emphasized the organization’s commitment to promoting gender inclusion within the agritech sector. The development of a gender toolkit aims to assist both public and private sector actors in understanding the specific needs of women farmers. Gatabaki articulated the broader implications of empowering women in agriculture, noting that increased earnings for women in rural communities often translate into reinvestment in families, enhancing household resilience through improved access to education and healthcare.
David Saunders, director of Strategy and Growth at Briter Bridges, highlighted the critical role of data collection in optimizing funding allocation. He stressed the necessity of improving the quality and relevance of data within the agritech ecosystem to ensure that ventures receive the appropriate support to unlock their potential and improve food systems across Africa.
The 8th Annual Learning Event serves as a vital platform for addressing both the challenges and opportunities within the agritech space. With a focus on digital innovations, the discussions aim to transform farming practices and uplift the livelihoods of women and smallholder farmers throughout the continent. As industry leaders rally for increased investment, the future of agritech appears to hinge on the empowerment of women entrepreneurs, whose contributions are essential for sustainable agricultural development.
