An investment in Sahyadri Farms is part of the Swiss impact investor’s second Sustainable Food Asia fund, which aims to improve the livelihoods of smallholder farmers, promote sustainable food production, and boost agricultural value chains.
Swiss impact investment manager responsAbility has made an investment in Sahyadri Farms Post Harvest Care, the largest fully integrated and technology-enabled platform for premium fruits and vegetables in India. No financial details were disclosed.
India is the world’s biggest producer of milk, pulses and jute, and ranks as the second-largest producer of rice, wheat, sugarcane, groundnut, vegetables, fruit and cotton, according to the Food and Agriculture Organisation of the United Nations.
Sahyadri Farms works with more than 25,000 smallholder farmers, who are all stakeholders in the organisation. This ownership structure allows its farmers to take advantage of its technology, sustainable farming practices and international partnerships.
“Sahyadri Farms is an impressive example of how sustainable innovation and entrepreneurial commitment can transform the agricultural sector,” said Rik Vyverman, head of sustainable food private equity at responsAbility.
“We are delighted to support a company that improves the livelihoods of thousands of smallholder farmers and brings climate-resilient, high-quality products to markets globally.”
Sustainable strategy
Indian smallholder farmers, which make up around 70% of the agricultural sector in the world’s most populous nation, have in recent years increasingly struggled to deal with the effects of climate change.
The investment is part of responsAbility’s second Sustainable Food Asia fund, which, as previously reported by Impact Investor, announced a $173m (€166m) first close in 2023.
The fund, which focuses on improving the livelihoods of smallholder farmers, promoting sustainable food production, and boosting agricultural value chains, said at the time it was targeting a final close of $300-400m.
The Swiss impact investor said its investment in Sahyadri Farms directly supports UN SDG 2: Zero Hunger, SDG 12: Responsible Consumption and Production and SDG 9: Industry, Innovation, and Infrastructure.
Based in Nashik, Maharashtra, which is one of India’s most prominent agricultural regions, Sahyadri Farms supplies produce including table grapes, citrus fruits, frozen goods and dried fruits to both the Indian domestic market as well as to 40 other countries. Customers include British supermarket giant Tesco, consumer goods producer Hindustan Unilever and US drinks company Coca-Cola.
“Our mission is to transform Indian agriculture and empower farmers to become successful entrepreneurs,” said Vilas Shinde, chairman and managing director of Sahyadri Farms. “With the partnership of responsAbility and other investors, we aim to further advance our vision of meeting international quality standards and building a sustainable and profitable ecosystem that fundamentally improves the lives of farmers.”
