Ghana-based agritech startup, AgroCenta has closed US$790,000 in pre-Series A funding round with participation from Shell Foundation, FCDO, AV Ventures, and Rabo Foundation.
AgroCenta is a mobile merchanting platform that provides market information, storage and delivery solutions, and financial services to smallholder farmers in Ghana.
Founded in 2015 by Francis Obirikorang and Michael Ocansey, the startup aims to address some of the main market inefficiencies and challenges to growth for smallholder farmers within the agriculture value chain in Ghana and West Africa.
Since its launch, registered farmers on CropChain, an app developed by AgroCenta, have rapidly increased from 3,000 to over 46,000, focusing on crops such as white and yellow maize, rice, soybean, cowpeas, and sorghum.
The agritech platform plans to deploy the funding in developing its smallholder farmer inclusion program as well as purchase crops at transparent and fair market prices to service offtake contracts.
Back in 2018, AgroCenta emerged winner of the Seedstars World competition and received seed funding in that same year. With this latest addition, the startup has raised a total amount of USD 1.9 million in disclosed funding.
Commenting on the significance of the investment, AgroCenta’s CEO, Francis Obirikorang, and co-founder Michael Ocansey said,
“This is a significant milestone for AgroCenta, having the support of leading institutions, particularly with the COVID-19 backdrop, underlining the strength of AgroCenta and the importance of its mission,” they said.
“The demand for agricultural raw materials from off-takers in the brewery, manufacturing, and consumer sector is increasing exponentially because of the easing of the COVID-19 restrictions that were put in place by the government of Ghana, hence this capital injection will help to secure purchases at fair and transparent prices from smallholders — a much-needed lifeline for many who are at the proverbial bottom of the pyramid.”
Don’t miss important articles during the week. Subscribe to techbuild weekly digest for updates.
