Agriculture, the backbone of the Indian economy, contributes around 19% to the GDP. However, the sector faces significant hurdles due to limited access to technology and finance. To transform India into a global farming powerhouse, the integration of agricultural technology, or agritech, is essential.
The adoption of advanced farming technologies, such as precision farming or smart farming, is revolutionizing agriculture. These technologies enable farmers to manage their fields more efficiently, optimize resources, and enhance crop yields. Startups like Intello Labs are at the forefront of this revolution. By employing precision farming techniques, Intello Labs assesses the quality of fruits and vegetables using artificial intelligence (AI) and data analytics. Their platform evaluates parameters like size, color, and defects, facilitating precise grading and sorting. This ensures a consistent supply of high-quality produce to the market, aiding both farmers and buyers in making informed decisions.
Smart technology also addresses resource constraints and environmental pressures, promoting sustainable farming practices. Fasal, a full-stack platform, supports growers with solutions powered by the Internet of Things (IoT) and data analytics. It provides real-time insights into crop health, weather conditions, and soil moisture levels, optimizing resources and improving yields. Additionally, Fasal uses machine learning (ML) models to forecast pest outbreaks, wildlife attacks, and crop yields, further enhancing agricultural efficiency.
Generative AI (GenAI) is also making waves in the agricultural sector. Its disruptive potential can streamline high volumes of unstructured data, reduce reliance on labor, simplify complex supply chain logistics, and facilitate shorter R&D cycles. GenAI-enabled digital agronomy advisers analyze datasets such as weather, soil conditions, and pest and disease pressure, assisting farmers in making well-informed decisions to boost yields. Cropin, an agritech startup, launched Aksara, a GenAI-based digital agronomist that empowers smallholder farmers to adopt climate-smart agriculture and regenerative agricultural practices.
With the increasing penetration of the Internet across rural India and higher technology adoption, entrepreneurs are building India-first tech businesses in agriculture. Indian innovations in precision agriculture are gaining global recognition. In 2023, Fyllo, India’s first precision agriculture startup, collaborated with Terraview, a global climate software-as-a-service firm, to enhance farming practices using IoT. This global approach requires financial backing and security, where investors play a crucial role. Venture Capital (VC) firms such as Accel and Sequoia Capital have invested in agritech startups—Samunnati, Ninjacart, DeHaat, and Bijak—in India. Increased investments indicate startup maturity in agriculture. Access to credit and finance has also improved, with banks and Non-banking Financial Companies (NBFCs) leveraging technology to offer targeted products to farmers. For instance, the State Bank of India’s YONO Krishi app helps farmers secure loans and easy access to credit.
The government is also pushing agritech in India. The Union Budget 2024 has outlined several initiatives on sustainable practices and digital infrastructure for agriculture. AgriStack, the government’s digital portal for farmers, is set to be a gamechanger as it will aid with essential crop productivity inputs and market access. In the future, newer kinds of agri-services are said to be introduced, which will be integrated with AgriStack’s digital ecosystem comprising databases, registries, data standards, Application Programming Interfaces (APIs), policies, and a regulator. With supportive policies, advanced technologies, tech talent, and cross-border sharing of best practices, Indian agriculture is poised for unprecedented growth both at home and globally.
