As RBI has assigned priority sector lending (PLA) status to India's startup sector, it has opened up the way for more funds for lending to startups which was hitherto mostly dependent on expensive venture debt.
Speaking on it, Ranjith Mukundan, CEO and Co-founder of Stellapps has said, "Debt is a cheaper instrument than equity for any startup confident of its growth. The startup loans have the potential to pave the way for the banks to disburse capital to startups that have otherwise been averse to lending to startups. AgTech companies have the potential to transform the Indian agriculture sector by employing tech & data to solve complex problems that have been weighing down this sector. The influx of migrants back to the villages also reinforces the urgency of developing the Indian agriculture sector. The 18 per cent target for agriculture is expected to encourage more innovation in the AgTech space and we hope it helps startups like ours to extend our solutions to more farmers rapidly. "
Stellapps is an internationally acclaimed farm to consumer dairy digitization service provider, improving productivity, quality and ensuring end-to-end traceability across the dairy supply chain.
It leverages advanced analytics and artificial intelligence through its full-stack IoT platform to enable dairy ecosystem partnerships with financial & insurance institutions, veterinary services, and cattle nutrition providers etc. to drive significant value for each stakeholder including smallholder farmers. Through its customer-base which includes all major private & co-operative dairies, Stellapps currently digitizes over 9 million litres of milk worth USD 3.4 million each day and directly impacts 2 million dairy farmers in over 28,000 Indian villages.
