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Tamil Nadu - India

Cutting out the middlemen

LEAF’s mission is to re-engineer the supply chain for farm produce in India – empowering the farmers, the retailers and the consumers.


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Agriculture & Food production
Project
Cutting out the middlemen
Location
Tamil Nadu India
Budget
20% ownership
Type
Equity & Shares
Partner
Lawrencedale Agroprocessing India Pvt (LEAF)
Period
Sep 2016 Ongoing

From farm gate to shop shelves

80% of the population in India are involved in farming but with an average plot size of just under three acres the farmers as well as the retailers rely on middlemen to buy, transport and process the farm products before they reach the shops. 

On average fresh produce in India changes hands seven times which results in loss of and damage to produce as well as a reduction in profit at every step. Ultimately that means low profits for the farmer and mediocre products at relatively high prices for the consumer, with minimum profit for the retailer.

LEAF’s business model is based on control of every step of the supply chain – from farm gate to shop shelves. 

25% increase in productivity

LEAF supplies 300 retailers (and counting) all over Southern India with high quality produce, cleaned and packed. The produce is sourced from 1,500 farmers who receive high quality inputs and training on good farming practices.

At harvest time the farmers can sell their produce to LEAF and are thereby guaranteed a profit.

From 2014 to 2015 data collected by LEAF shows a 25% increase in average productivity among the farmers. Until 2020/-21 LEAF aims to grow its network of farmers to include over 10,000 farmers. 

Tamil Nadu - India

Literaly ' the Land of Tamils' is one of the 29 states of India. Its capital and largest city is Chennai. Tamil Nadu is the 11th largest state in India by area and the sixth most populous state. It hosts the second largest state economy in India with US$76 billion in GDP.

Its official language is Tamil - one of the longest surviving classical languages in the world. It is home to many natural resources, classical art, music and literature, Hindu temples, hill stations, beach resorts, pilgrimage sites and eight UNESCO World Heritage Sites (wikipedia)