AGRIGRAVITY TECHNOLOGIES PRIVATE LIMITED

In their own words

Indian food-grain based ethanol industry is expected to grow by 2000% between 2020-2025 owing to the Ethanol Blending Program for petrol by Indian government. This would result into an yearly demand of 150 lakh MT of maize, sorghum and peal millets by FY 2025-26. Existing supply chains of traditional middlemen would need financing and raw material availability due to such a large demand expansion. We will acquire middlemen networks across hindi-speaking belts of Rajasthan, Haryana, Gujarat and Madhya Pradesh to ensure continuous supply for food-grain ethanol manufacturers in the next 2 years. We would onboard exclusive large trading companies with warehousing infra in each state to manage these customers while we become their exclusive suppliers and financing aggregators. Similarly, we will tie-up with multiple NBFC's which could help underwrite the transactions on both buy and sell side of these exclusive trading companies. Later on, the plan is to become a licensed NBFC and raise equity+debt to expand this distribution network for spices and dry fruits. 3 areas of revenues- a) Expected commissions- 0.5% of every transaction on buy side and sell side of these trading companies b) Expected Financing income- 1) DSA spread of 2%-3% from third party NBFCs in short term 2) NBFC financing spread in long term @ 12% cost of capital - In-transit goods finance- 12%-36% - Collateralised inventory finance- 3%-6% c) Additional revenue opportunities in insurance distribution services

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