Agritech startup Grow Indigo has raised $10 million in funding from British International Investments (BII), the UK’s development finance institution. The new investment will help Grow Indigo expand its sustainability programs and support small farmers in adopting carbon farming practices. The company already covers 2.5 million acres of farmland across seven Indian states and aims to accelerate its carbon credit initiatives.
With this latest funding, Grow Indigo plans to enroll more farmers into regenerative agriculture, a method that improves soil health while reducing environmental impact. Executive Director Usha Barwale Zehr emphasized that regenerative farming is the future, benefiting both the environment and the livelihoods of millions of small farmers. The company will use this investment to promote sustainable farming methods and help farmers earn from carbon credits.
Carbon Farming and Climate Benefits
Grow Indigo is known for promoting eco-friendly farming techniques such as no-tillage farming, direct-seeded rice, and biological fertilizers. These methods help reduce soil degradation, conserve water, and enhance biodiversity. Additionally, the company generates carbon credits by reducing greenhouse gas emissions and capturing carbon in the soil.
These carbon credits are sold to corporations looking to offset their carbon footprints. As companies in food, fashion, and consumer goods industries seek to meet their climate goals, carbon farming is becoming an essential part of sustainable agriculture. Grow Indigo’s initiatives help businesses decarbonize their supply chains while improving farm productivity.
Rising Demand for Carbon Credits
As the carbon credit market grows, the demand for scientifically verified and transparent carbon credits is increasing. Grow Indigo has built a strong measurement, reporting, and verification (MRV) system to ensure credibility in carbon credit trading. Over the next two years, the company plans to scale its operations and impact millions of smallholder farmers across India.
BII’s Managing Director and Head of Asia, Srini Nagarajan, highlighted the importance of supporting agritech ventures like Grow Indigo. He noted that staple crops like rice, wheat, and maize are crucial for Indian farmers, but these farmers are highly vulnerable to climate change. By helping small farmers participate in carbon markets, Grow Indigo is enabling them to reduce emissions while increasing their incomes and resilience to climate challenges.
Expanding Sustainable Agriculture Across India
Founded in 2018, Grow Indigo works at the intersection of agriculture, climate science, and finance. The company collaborates with scientists, agronomists, and farmers to implement sustainable farming practices. With over 2,000 distribution partners and 600 agronomy experts, Grow Indigo has grown its presence across 16 states.
Before this funding, Grow Indigo had raised $8 million from Indigo Ag and Mahyco. With this new investment, the company is set to further its mission of making Indian agriculture more sustainable and profitable for small farmers.
