Data Analytics and IoT Devices

Krishi Trade: Agri Trading with an innovative model

December 27, 2020

Krishi Trade is one of the foremost pan India private APMC (Agricultural Produce Marketing Company) united with a supply chain and Agricultural produce marketplace. Krishi Trade is one of the brands owned by LTL, a technology company in B2B for enterprise buyers delivering post-harvest Agri trade supply chain finance. Krishi Trade aids farmers, local village agents, traders, wholesalers, and customers buy and sell post-harvest agricultural harvest, as well as helps with the buying and selling of agricultural gear and consumables.

Challenge

There is no effective price discovery, market linkages, commodity futures & options market in India. Incompetent logistics and supply chain network adds to farmers woes. This along with non-availability of formal Agri trade credit to buyers results into multiple mediators and leads to trade misrepresentations. Though, there are large companies in pre-harvest but no systematized entity operates in post-harvest helping farmers sell better & directly without middlemen to end buyers. The reason for this gap can be that the problem appears overwhelming and thus perhaps remains unattended.

Solution

Primarily, Krishi Trade is an enterprise sourcing platform, which can come white label, can be configured only for enterprise’s authorized suppliers or can be configured as an open platform where curated, verified, suppliers on Krishi Trade can also submit bids.

Krishi Trade offers a convenient billing cycle to enterprise, single invoice facility enabling bid supervision, door pick up & gathering thereby offering sourcing efficiency & savings for enterprise and at same time better prices for farmer sellers by reducing mediators.

Fin-Tech platform is created for Pre-shipment trade business and insurance management. The company offers ‘Buy later, Sell later’ based shipment / harvest foretelling leveraging Aadhaar & GSTIN system. Agricultural buyers who may be importers, exporters, food processing businesses, retailers, traders can generate ‘Buy now’ or ‘Buy later’ queries. Buyer can authorize order and pay 100% of order value in platform escrow with their own funds or avail trade money. Krishi Trade takes accountability for quality & conveyance and thus acts as collateral administration agent to NBFC.

Sellers can create ‘Sell now’ or ‘Sell later’ (right after sowing) investigations. Buyers form ‘Bids’. Seller confirms and can avail invoice discounting. Service providers can help farmers in gathering, bidding or creating enquiries and also offers cataloguing, scaling, packaging, transport, warehousing, cold storage, farm contributions, tools on lease.

 Value Proposition/ Key Benefits:

· Krishi Trade has web and mobile apps.

· Agricultural buyers can generate “buy” enquiry on the platform in less than a minute.

· Sellers can stage price bids and up to 3 curated bids get promoted to buyer.

· Seller accounts to Krishi Trade and Krishi Trade accounts to buyers (on behalf of seller).

· The company does not share buyers and sellers’ particulars and buy or sell enquiries are issued on the platform.

·  Buyer can select one bid and he needs to deposit the order value in the escrow account to confirm the order for which there are credit / discounting facilities available.

·  Krishi Trade group company, Truck Dial, which is Uber for intercity goods conveyance, takes care of for Agri logistics.

·  Krishi Trade goes to the field to the particular seller, acquires, does cataloguing, scaling, packaging, offers packaging materials, does quality reviews (from Tata Group company), transports and ships to buyers.

·  Krishi Trade applies only 5% fees to both buyer and seller and offers under a single umbrella, numerous value-added amenities.

Looking Ahead

The company is working its way to become a world-class technology empowered financing business for trade in agriculture. It aims to offer world-wide 3rd party quality reviews, packaging, conveyance, shipping, etc. to bring in cost competence and consistency in shipment schedules. Read more on https://www.krishitrade.com/

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Read our exclusive interview with Ms. Garima Jain https://focusagritech.com/interview-with-garima-jain-ceo-agrocorp-india/