Food & Agriculture: Risk & Transformational Opportunity

Food & Agriculture sits at a very vulnerable intersection of climate change where it is both the emitter of greenhouse gases and is severely threatened by the effects of these very emissions. India, with a population of 1.4 billion people to be fed, nearly ~40% the workforce being agrarian - the risk is existential. The sector contributes to around 12-14% of the national emissions and about 60-80% of it’s farmland faces one or more climate risks.

Why India?

Economic Opportunity

Agriculture & allied sectors contributes ~18% of India's GDP approximately $747 Bn, with a 18% of total GVA which is ~$512 Bn.

Climate Vulnerability & Risk

More than 85% farmers are at high climate risk, ~60% farms are rainfed in water scarce regions.

Policy Tailwinds

  • Pradhan Mantri Fasal Bima Yojana, National Mission for Sustainable Agriculture
  • India-UK Free Trade Agreement: $100B agri-export target by 2030, requiring traceability, quality, and sustainability compliance.

Stakeholder Ecosystem

Customers

  • Smallholder Farmers (~85% of farms are 2Ha or Less)
  • Farmer Producer Organisations (FPO), Food Cooperatives
  • Food Processors & FMCG
  • Exporter-oriented layers
  • Agri Fintech & Insurance

Policy Makers & Regulators

  • Ministry of Agriculture & Farmers Welfare
  • Food Safety & Standards Authority of India
  • Food & Agriculture Organization, India
  • National Dairy Development Board

Key Challenges

  • Erratic Weather & Monsoon Volatility: Untimely rains or change in optimal temperatures can disrupt crop cycles at times even ruining the entire yield.
  • Fragmented smallholder farms (<2Ha): less than 1% have access to innovation/tech.
  • Finance Gap & Subsidy Distortions: Limited access to formal credit & financing to adapt.

Path Ahead

RBI has identified climate events as the dominant cause driving up food price, describing food inflation as becoming "endemic." India's updated NDC targets agriculture as a priority sector for adaptation investment, with focus to push climate-smart agriculture with Govt.

Initiatives

NMSA, NICRA. 109 new climate-resilient crop varieties have been released, with a mandate to cover 310 vulnerable districts. India's Digital Agriculture Mission targets full digital connectivity of all farmers by 2030 across 400 districts.

Find out opportunities with Food & Agriculture sector

Opportunities Arrow Right

Food & Agriculture: Solution Landscape

Commercially Scaling

Opportunities with solutions reaching commercial parity, need capital to scale.

  • Full Stack Agriculture Supply Chain
  • Bio-inputs & Resilient Native Seeds
  • Cold Storage Solutions
  • Agroforestry, Organic Farming
  • Electrification of Farm Equipments

Applied Innovation

Opportunities with solutions available but need engineering, business model or financial innovation

  • Climate Smart Agriculture
  • Precision Farming
  • Hyperlocal Climate MRV systems
  • Farm Level Data Infrastructure
  • Farming-as-a-service
  • Parametric Insurance
  • Regenerative Agriculture

Fundamental R&D

Opportunities where solutions only exist in labs/pilots, or are yet to be invented

  • Gene editing for resilient crop varieties
  • Feed Additives & Vaccines
  • Nitrogen Fixation
  • Soil Microbial Studies of varied compositions
  • Weather & Pest resilient strains

Innovation Spotlight 

Startup: DeHaat
Stage:Series E
Funding Raised: $222 Mn
Status: Revenue Generating & Scaling
Innovation: Full-stack connecting farmers to inputs, advisory and markets.

Startup:Fasal
Stage: Series A
Funding Raised: $19.4 Mn
Status: Revenue Generating & Scaling
Innovation: IoT hardware & agriculture automation solutions & precision farming.

Research Lab: ICAR - IARI (Dr. Gopala Krishnan)
Crop Improvement & Bio fortification: Rice Genetics, Molecular Breeding, Genomics, Grain Quality

Opportunities under Food & Agriculture Sector

Need Low Methane Rice Cultivation
Food & Agriculture

Need Low Methane Rice Cultivation

Need for Low Methane Rice Cultivation to replace Traditional Water & Emission Intense Practices

Economic Potential, India 2030 720 Mn USD
Mitigation Impact, India 2030 72 Mn Mt CO2e
Cattle: Low Productivity & High Emission
Food & Agriculture

Cattle: Low Productivity & High Emission

Low productivity and high enteric methane emissions for India’s Dairy Animals

Economic Potential, India 2030 700 Mn USD
Mitigation Impact, India 2030 75 Mn Mt CO2e
Efficient Nitrogen Fertilizer Use
Food & Agriculture

Efficient Nitrogen Fertilizer Use

Improving Nitrogen Use Efficiency in Indian Agriculture to reduce fertilizer costs & nitrogen runoff

Economic Potential, India 2030 6,200 Mn USD
Mitigation Impact, India 2030 ~83 Mn Mt CO2e