Arya.ag, an Indian agritech company offering storage facilities near farms and lending services to hundreds of thousands of farmers, has drawn investor interest and remained profitable even as global crop prices continue to fall in a volatile commodities market. The investor interest has taken shape in the latest all-equity Series D round from GEF Capital Partners, totaling $81 million, of which more than 70% was primary capital and the rest secondary share sales.
Globally, agricultural commodity prices are falling. Risks from extreme weather, input costs, trade disruptions, and biofuel policy shifts continue to weigh on agricultural markets, the World Bank has warned. This leaves businesses exposed to price swings and inventory losses. Nonetheless, Arya.ag says it is navigating the worst of that strain by steering clear of direct commodity bets and using a model that helps absorb shocks from downward pricing shifts.
Founded in 2013 by former ICICI Bank executives Prasanna Rao, Anand Chandra, and Chattanathan Devarajan, Arya.ag is built around a simple idea: giving farmers more control over when and to whom they sell their crops. The Noida-based startup offers storage close to farms while allowing farmers to borrow against warehoused grain to meet immediate cash needs. It also connects them with a wider pool of buyers, from agri-corporations to processors and millers, helping them avoid the pressure to sell just after harvest when prices are often weakest.
The company operates at scale, which sets it apart from traditional lenders, banks, and other agribusiness platforms. The startup aggregates and stores about $3 billion worth of grain each year, roughly 3% of national output, and facilitates around $1.5 billion in loans annually. It keeps its rate of bad loans, known as gross non-performing assets, below 0.5% despite the recent drop in prices.
Arya.ag lends only a portion of the value of stored grain and tracks prices closely, triggering margin calls when required rather than taking losses itself. Borrowers can respond by repaying part of the loan or adding more grain as collateral. The company’s co-founder notes that while no one is immune to risks, lending is completely secured against commodities with a built-in margin, allowing for control over defaults even in a falling market.
In the year ended March 2025, Arya.ag generated net revenue of approximately $50 million, with first-half revenue in the current financial year rising about 30% from a year earlier. Profit after tax stood at about $3.78 million last year and has risen a further 39% so far this year.
Arya.ag now reaches between 850,000 and 900,000 farmers across 60% of India’s districts, operating through a network of about 12,000 agricultural warehouses leased from third parties. The startup generates revenue from farmers for storage, from banks for originating loans against stored grain, and from buyers for facilitating crop sales. Storage remains the largest contributor, accounting for about 50 to 55 percent of total revenue, while finance contributes 25 to 30 percent.
The company disburses more than $1.2 billion in loans to farmers each year through its platform. Of that, between $278 million and $333 million comes from its own non-banking finance arm, with the rest originated for partner banks. Arya.ag’s loans carry interest rates of about 12.5 to 12.8 percent, well below the rates typically charged by commission agents but slightly higher than bank lending rates. The startup serves small, local markets close to farming areas where loan sizes are small and borrowers are often far from formal bank branches. It approves loans in under five minutes with nearly entirely digital disbursements.
Technology plays a central role in how Arya.ag manages risk and scale. The startup uses AI to assess grain quality for lending decisions, satellite data to track crop stress before harvest, and sensor-enabled storage bags that allow for extended grain storage even in villages without formal warehouses.
Arya.ag plans to use the fresh capital to scale its tech deployments further, including expanding smart farm centers and deploying more digital tools closer to farms. Part of the investment will also go toward strengthening its blockchain-based system that digitally tracks stored grain across lending and trade transactions, alongside continued investment in storage and credit infrastructure.
With the latest capital infusion and improving profitability, Arya.ag is aiming to be IPO-ready in the next 18 to 20 months. Beyond India, the company plans to expand selectively through a software-led model, with some of its technology already deployed in parts of Southeast Asia and Africa. The startup has a headcount of over 1,200 full-time employees. Avendus advised Arya.ag for this new financial round.