Agrista – an online technology platform that minimises the risk of funding agricultural projects
Agrista aims to reduce the risk of funding agricultural projects and thereby make more funds available to farmers, especially in emerging markets. This is a vital component in increasing the agricultural production needed to match a growing global demand for agricultural commodities. To support this objective, Agrista provides an online technology platform that enables the provision of financing into these markets.
Farmers are given access to an online application where they can store registers of their farming assets and prepare business plans required for credit analysis by financiers. A farmer’s production history is also stored online, providing a reliable record of performance. Farmers can exchange data with their advisors, investors, suppliers, and customers to create a collaborative business network.
Agrista also provides an online application agribusinesses can use to manage the origination of agricultural production loans and credit facilities. Companies involved in the agrifinancing process – insurers, commodity brokers, and financiers – also have access to the application.
Agrista seamlessly integrates geodata into an online application that, for the first time, gives users in the agricultural financial services industry easy access to location-based services in the context of their business.Farm boundaries and fixed improvements are located spatially on the Agrista platform using high-resolution satellite imagery to assist financiers in assessing the value of farmers’ assets. Agrista also remotely monitors crops using satellite-based sensors. In combination with crop sampling guided by satellite navigation, these sensors are able to develop yield expectations ahead of the harvest in near real-time, which is vital information for financiers and insurers.TARGET MARKET
At the G8 Summit in Italy in 2009, political leaders recognised that the old model of development aid is no longer sufficient to address the growing global food crisis. To feed a growing world population – expected to surpass 9 billion in 2050 – the FAO estimates that agricultural output will have to increase by 70 per cent between now and then. They estimate that an additional €29.6 billion must be invested annually in agricultural production in emerging economies over this period. Agrista aims to enable these required funds to be delivered to these markets, specifically Africa, eastern Europe and South America.
Agrista’s solution gives financiers increased insight into decisions concerning agricultural credit. They also ensure that all funds delivered to agricultural projects are controlled and that administrative errors are reduced.
Insurance companies and commodity brokers can also access the platform to offer integrated services that further reduce the credit risk financiers face. As a result, farmers can access financing that previously was not available in emerging markets.