responsAbility, one of the leading impact investment funds has subscribed to NCDs (Non-convertible debentures) issued by Noida-based Arya Collateral Warehousing Services, one of India’s leading post-harvest agricultural services companies. Arya will use the funds to bolster its Non-Banking Financial Company (NBFC) arm, Aryadhan, and provide lending support for farmers and FPOs. The recent investment by responsAbility in Arya boosts investors’ confidence in the agricultural sector during these troubled times.
Tech-enabled warehousing support
Arya provides warehousing services to enterprises and farmers by offering tech-enabled warehousing support to store their commodities. It’s NBFC arm, Aryadhan, operates a post-harvest fintech platform to extend warehouse receipt loans to farmers, FPOs and small aggregators. Arya addresses the gaps in the agricultural value chain in primary and secondary agri-markets by providing tech-enabled post-harvest linkages with integrated services including aggregation, warehousing, quality assessments, finance, and market linkages. It also works as a platform to connect the supply side of the value chain to its demand-side.
Suhasini Singh, head of Agriculture Debt for responsAbility added, “Sustainable food and agriculture are key target sectors for responsAbility Investments. Arya contributes directly to improving efficiencies in the agricultural value chain by providing post-harvest warehousing services and affordable financing for small-holder farmers and FPOs. It generates suitable incomes, promotes sustainable operations and allows for healthy growth. Our financing to Arya, especially during Covid-19, is intended to support them now and to ensure that their positive impact in the sector continues.”
Anand Chandra, director, Arya Collateral Warehousing Services, added, “We are continuously scaling our network and improving our capabilities to streamline the warehousing and financing services in these trying times when farmers and FPOs face an unprecedented disruption in markets. We are working hard to convert this pandemic into an opportunity by maximizing the conversion of the unorganized farm business into an organized one. We are happy to grow our relationship with responsAbility on this journey.”