Blockchain Firm Collaborates with Indian Government to Boost Earnings for Farmers
Agtech startup Agri10x is preparing to better connect small-scale farmers to global buyers by utilizing blockchain to skip out the agent.
As mentioned in local news source Business Standard, the company declared on Tuesday that it had entered into collaboration with the Indian government to support remote farmers trade their produce on the market in a proposal to generate fairer value.
“Indian farmers have been the unsung heroes of the Indian economy and we wanted to ensure that they get easy access to a global marketplace to sell their produce directly, without any middlemen” CEO of Agri10x Pankajj Ghode said in a statement.
The partnership offers Agri10x access to the government’s national common service centres (CSCs), which would allow rural and remote farming communities to register on the company’s blockchain platform by what the projects call village-level entrepreneurs (VLEs).
Following the existing model, farmers join with intermediaries to sell their produce, who then discover a suitable buyer for the farmer in a particular market. Agri10x believes its business model will support smaller farmers relate to more buyers without the need to compress profit margins from engaging in the middleman process.
Another potential advantage is that farmers would obtain timely payment in full by the use of smart contracts, as third parties making delays in the process would be eliminated. Blockchain technology can also aid in accumulating real-time data to manage harvests efficiently, the company said in a previous blog post.
Agri10x CTO Sundeep Bose said in a statement that the platform would help farmers fully understand the fair value of their crops and get a fair price of their produce immediately from both local and global buyers.
The idea of bringing a blockchain boost to small-scale agriculture, such as coffee production, has been almost for quite some time. Majors firms have also been producing tools to support producers while making the industry more sustainable, and U.S. lawmakers have been considering the usage of blockchain in agriculture for monitoring inventory and local conditions.