New Delhi: Anicut Capital, a leading venture capital firm, has announced an investment of Rs 7 Crore in Uzhavarbumi, a D2C agri-tech startup that promotes direct commerce between farmers and consumers.
Uzhavarbumi home delivers farm-fresh milk to urban areas of Chennai, procuring milk from rural and marginal farmers at a better market price and forming a bridge between the primary producers (farmers) and consumers. This also empowers farmers with a stable income as Uzhavarbumi procures milk from them throughout the year.
Uzhavarbumi will utilize the funds raised from Anicut Angel Fund towards enhancing their technological prowess, improving plant and machinery equipment and amplifying marketing strategies. The startup also aims to reform the packaging of products and increase their employee strength while expanding their operations across Bengaluru in 2023 and Hyderabad in 2024.
“We are proud to associate with Uzhavarbumi in their mission to promote direct commerce between farmers and consumers. Their innovative approach towards supply chain management and focus on eco-friendly packaging aligns with our vision of promoting sustainable development. They rest immense potential in transforming the agricultural sector of India and we are excited to support their growth plans and expansion into new markets”, said IAS Balamurugan, Managing Partner of Anicut Capital.
“We are thrilled to have Anicut Capital as our investor and partner in the mission to create a more sustainable and equitable agri-food system. With Anicut’s support, we aim to expand our operations and bring farm-fresh milk to more customers across India”, said, Vetrivel Palani, Founder and CEO, Uzhavarbumi.
Uzhavarbumi procures from 2200+ farmers and operates 42 hubs across Chennai, delivering dairy products to over 15,000 customers. The startup also recently launched their android app on the Google Playstore and App Store which has witnessed over 25,000 downloads. Currently, Uzhavarbumi are doing around 15 Lakh + home deliveries per year and have been continuously operating for the past 2105+ days without any break catering to the growing demand for farm-fresh milk among urban health-conscious consumers, households with new-borns or children, and the elderly. The company’s eco-friendly approach of using glass bottles for delivery, has been well-received by customers, and leads to reduction of 7 ton of plastic usage every year.