The integrated farming productivity platform Elevarm, situated in Indonesia, has successfully obtained a $1 million investment from Rabobank, a Dutch financial services firm, Scala, a Japanese information technology firm, and Amartha, an Indonesian fintech company.
In a statement released on Wednesday, Elevarm announced that it has formally partnered with Rabobank, Scala, and Amartha. The partners have collectively committed to contributing over $1 million toward the development of Elevarm’s financing solution for farmers.
The project, according to the statement, will improve smallholder farmers’ overall financial literacy, streamline cultivation practices to increase productivity, and allow them to purchase agricultural input on a secure credit basis.
With roughly $150,000 distributed over the course of six months, it is reported that more than 200 farmers have already benefited from the financing program.
By the end of 2024, the global partnerships are anticipated to increase this figure to about $1,000 farmers and $1.5 million.
Elevarm is planning to release more agri-input products this year, with an emphasis on bio-stimulants and bio-pesticides, while also getting ready for its pre-Series A funding round in response to this initiative.
It is also mentioned that a large number of Indonesia’s smallholder farmers still struggle to obtain safe and dependable financing and are ignorant of best practices for agriculture, as 96% of them have only completed their basic education.
This gap is directly filled by Elevarm’s financing product, which combines tech-driven farming with remote monitoring and a dependable lending ecosystem that is adaptable to the needs of smallholder farmers.
Elevarm offers high-quality agri-inputs that are prepared for cultivation, in contrast to traditional financiers who primarily provide funding in the form of cash.
The company will also spearhead initiatives to use applied technology, such as remote farm monitoring services and scientific soil testing, to improve farmers’ financial standing and increase land productivity.
When data is used effectively, financial and occupational risks are decreased and returns are maximized.
Additionally, Elevarm promises to offtake all harvests, even yields that are below grade, for farmers who participate in their financing program.
This guarantees smallholder farmers will always have a reliable and safe source of income for the coming growing season.
Additionally, Elevarm’s insurance provider partners will insure their harvests to mitigate risk.
