People and wider economy
Arya helps farmers unlock up to 30 percent higher returns for their produce and improves their market access.
| Investee Company | Arya Agriculture |
| Sector | Agri-infrastructure |
| Country | India |
| Total Project Cost | USD 30m |
| PIDG Commitment |
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| Dates of PIDG involvement |
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The agricultural sector has a significant presence in India, employing c.60% of the market’s workforce and contributing c.20% of its GDP. However, the full economic impact of agriculture is currently unrealised, with over half of farming households financially excluded from formal credit sources.
Arya.ag supports the financial inclusion of farmers by offering farmgate-level storage, instant finance against commodity, and market linkages for seamless commerce. This allows farmers, FPOs and agri-enterprises to avoid distress sales immediately post-harvest when prices are at their lowest, by storing commodities until off-season when prices appreciate to generate up to 30 percent higher returns.
PIDG (through GuarantCo) provided two partial guarantees to HSBC India for an INR 2.5 billion (c. USD 30 million) loan facility extended by HSBC India to Arya.ag, India’s leading grain commerce platform.
The proceeds of the transaction will be used to provide post-harvest liquidity to farmers, farmer producing organisations (FPOs) and small agri-enterprises, to bring them under the formal banking channel, which, in turn will help the farmers to unlock greater value for their crops.
Arya helps farmers unlock up to 30 percent higher returns for their produce and improves their market access.
Arya’s end users are impacted by climate change and face production losses either due to drought, flash floods or reduced groundwater table, as well as pest and diseases. The storage facilities provided by Arya significantly increases their climate resilience.
Grain storage also results in lower water and fertiliser usage, thereby reducing the stress on the environment.
