Connect with:
Monday / March 10. 2025

logo
mobile-logo
HomePosts Tagged "and Medium Enterprises (MSMEs)"
Agribusiness, AgroPolicy, India

Agribusiness leaders advocate for reduced compliance burden and clearer regulations.

The sustainable food and agriculture alliance Soluble Fertilizer Industry Association (SFIA) and the Vidarbha Industries Association (VIA) successfully organised a high-level conference in Nagpur, bringing together over 70 agribusiness leaders, policymakers, and sustainability experts. The event addressed key challenges faced by Micro, Small, and Medium Enterprises (MSMEs) under India’s Biodiversity Act, with a strong demand for policy reforms, including an exemption of MSMEs from Access and Benefit Sharing (ABS) obligations and greater clarity in regulatory definitions.

Industry leaders highlighted that MSMEs—integral to India’s agrarian economy—lack the resources to navigate the complex compliance requirements imposed by ABS contributions under Section 7 of the Biodiversity Act. Participants argued that applying ABS obligations to small-scale enterprises would significantly increase their operational costs and administrative burden, potentially stifling growth and innovation. Drawing from global examples, industry representatives pointed to countries like Brazil and South Africa, where MSMEs are exempt from similar obligations, urging India to adopt a more supportive policy framework.

Dr Suhas Buddhe, Advisor, Soluble Fertilizer Industry Association (SFIA), stated, “MSMEs are already struggling with rising input costs and market uncertainties. Imposing additional compliance requirements under the ABS framework could push many businesses towards financial distress. We urge the government to align policies with global best practices to protect and promote these enterprises.”

Stakeholders also underscored the urgent need to refine key definitions within the Biodiversity Act, particularly terms such as “bio-utilisation,” “commercial use,” and “value addition.” The lack of precise terminology has led to inconsistent interpretations, legal uncertainties, and reluctance among businesses to invest in biodiversity-related ventures. A collective call was made for a structured dialogue between the industry and the National Biodiversity Authority to streamline definitions and foster trust. One of the participants noted, “Effective regulation is built on clarity. Without well-defined terms, compliance becomes a challenge, leading to hesitation in adopting biodiversity-friendly business models. A consultative approach between industry and regulators is essential for a balanced and transparent framework.”

The conference concluded with a strong consensus on the need for immediate policy intervention. Attendees resolved to submit a formal proposal to the Ministry of Environment, Forest and Climate Change (MoEFCC), advocating for the exemption of MSMEs from ABS contributions to reduce regulatory pressure and support small businesses. They also recommended the formation of a dedicated committee to review and clarify ambiguous definitions in the Biodiversity Act, alongside regular consultation mechanisms between agribusiness stakeholders and regulatory bodies to ensure policies remain practical and aligned with industry realities.

SFIA and VIA, as leading industry bodies committed to sustainable agriculture and policy advocacy, will spearhead efforts to engage with policymakers and ensure the concerns of MSMEs are addressed. The conference reinforced the need for a balanced approach that safeguards biodiversity while enabling economic growth and ease of doing business.

Agribusiness leaders advocate for reduced compliance burden

Agribusiness, Company News, Finance, India, Start ups, Supply Chain

The report highlights that 85 per cent of farmers accessed financial services through Arya.ag’s platform, and 87 per cent of MSMEs accessed working capital.

Arya.ag, India’s largest and only profitable grain commerce platform, has released its latest Impact Performance Report, showcasing its transformative impact on farmers and Micro, Small, and Medium Enterprises (MSMEs) within the agricultural sector. Conducted in collaboration with 60 Decibels and sponsored by Quona Capital, the report emphasises Arya.ag’s pivotal role in expanding access to financial services and reducing wastage in the agricultural landscape.

The report highlights that 85 per cent of farmers accessed financial services through Arya.ag’s platform, and 87 per cent of MSMEs accessed working capital, underlining Arya. ag’s commitment to fostering financial inclusion. The platform’s unique offerings were deemed irreplaceable by 60 per cent of farmers, who found it difficult to identify a suitable alternative to Arya.ag. Notably, 79 per cent of farmers reported an increase in their earnings due to Arya.ag’s services.

A key outcome of Arya.ag’s intervention is the significant reduction in farm produce wastage. 67 per cent of farmers reported a decrease in wastage, with 73 per cent of individual farmers noting a reduction compared to 58 per cent of farmers associated with Farmer Producer Organizations (FPOs). The reduction in wastage was more pronounced in South India, where 64 per cent of farmers reported a substantial decrease in farm produce wastage, compared to 35 per cent in the rest of India.

For MSMEs, Arya.ag’s impact was equally in-depth. 86 per cent of MSMEs reported an improved ability to plan and manage working capital, while 89 per cent experienced enhanced access to raw materials at the right time, demonstrating Arya.ag’s role in strengthening the agricultural supply chain.

Speaking about the report, Prasanna Rao, CEO and Co-founder of Arya.ag, stated, “These results validate our mission of creating equitable value chains in agriculture. By bridging critical gaps in finance and market access, we’re not just improving businesses; we’re transforming lives and fostering inclusive growth across India’s agricultural landscape.”

Looking forward, Arya.ag is committed to refining its offerings based on these insights, with an ambitious goal to impact over 10 million farmers in the next 3-4 years. The company plans to facilitate over $3 billion in agri-loans and create commerce linkages of over $4 billion, while expanding its storage footprint by more than fourfold by 2028.

As Arya.ag continues to grow, the company remains dedicated to fostering financial inclusion and business growth within India’s agricultural sector, helping stakeholders across the value chain thrive in a more equitable and efficient market.

The report highlights that 85 per cent

Company News, Finance, India, Start ups

Ayekart’s dedication to fostering partnerships is evidenced by over 16,000 MSME partners registered on the platform.

Ayekart, a leading FinTech and integrated digital technology platform specialising in the food and agri value chain, announced significant milestones in the fiscal year 2022-2023 at its Annual General Meeting (AGM). The event highlighted the company’s achievements in facilitating financial transactions, empowering Micro, Small, and Medium Enterprises (MSMEs), and building strong customer connections.

Ayekart reported a Gross Trade Value (GTV) of Rs 657 crores for the fiscal year 2022-2023, astounding growth of nearly 5X compared to the previous year. The momentum continues in the current fiscal year, with the company already surpassing its previous GTV record.

Debarshi Dutta, Co-Founder & CEO of Ayekart, expressed his commitment to advancing technology, nurturing partnerships, and driving financial empowerment. He stated, “Our growth has been marked by remarkable progress, and our unwavering commitment to empowering traditional businesses and enriching communities is evident. Our core focus on impacting the lives of marginal farmers, Farmer Producer Organizations (FPOs), and SMEs across India has been the bedrock of our success. The AGM solidifies Ayekart Fintech’s position as an industry frontrunner, poised to shape the future of financial technology.”

Since its inception in December 2020, Ayekart Fintech has processed over 70,000 transactions, exemplifying its essential role in empowering businesses of all sizes. With a thriving ecosystem and advanced technology, the platform has facilitated a robust financial landscape for entrepreneurs and farmers.

Ayekart’s dedication to fostering partnerships is evidenced by over 16,000 MSME partners registered on the platform. This accomplishment reflects the company’s mission to drive financial inclusivity and prosperity.

Dutta further added, “Ayekart’s strength lies in nurturing connections with customers. By understanding their unique needs, we are committed to enhancing businesses through technology and finance, solidifying our role as a trusted partner for sustainable growth. Since inception, our strategic vision has ensured consistent profitability, contributing to our ability to innovate and deliver value to stakeholders.”

Starting with a team of 30 employees in 2022, Ayekart now boasts over 130 professionals. The expansion to six locations, including four new offices in Pune, Araku, Lucknow, and Gangavaram, has broadened the company’s reach and impact.In July, Ayekart moved to a new head office in Mumbai, aligning with the company’s commitment to delivering unparalleled services and fostering a productive and collaborative work environment.

Ayekart's dedication to fostering partnerships is evidenced