Farmer inclusive business models next big investing theme in food, agriculture by Pankaj Raina
Pankaj Raina, Managing Director, Zephyr Peacock India writes in Livemint on the investment themes to watch out for in food and agriculture sectors in India.
Click here to read the article full article on ‘Livemint’
Below are excerpts from the post which first appeared on Livemint on 26 May 2018:
The agriculture sector accounts for around 17% of India’s gross domestic product and employs close to half of India’s labour force. While many segments of the economy are experiencing improvement in productivity through modern management practices and use of technology, besides capital investment, the agriculture sector remains set in old ways.
Increasing urbanisation, growth in the middle class and the accompanying change in nutrition needs will increase demands on agriculture. The segment will do well to infuse the entrepreneurial energy, which has transformed sectors such as IT, pharma and financial services, to drive growth.
The inefficient agriculture supply chain, which is plagued by the presence of inefficient intermediaries capturing a large share of profits, poor infrastructure and outdated farming techniques, also provides significant opportunities for entrepreneurial innovation. Entrepreneurs could also develop low-cost tools, smart farming techniques and warehousing facilities, besides improving the quality of inputs and extending the reach of irrigation, to transform agriculture in India.
