How to make a fortune from Agrotech in 2023

There is a significant connection between agriculture and technology in the modern world. Whatever its form, modern agriculture has greatly benefited from the application of technology.


Although agro-tech is still quite new, it is beginning to take off. With so many new start-ups appearing on the landscape, it is starting to make itself known.
The way agriculture is practiced in the modern world is now impacted by technology. Technology has reshaped and recreated the globe. What we currently refer to as agro-tech, which means the employment of technology in farming and other agricultural operations, is a result of how technology has affected agriculture.

The need for food has increased due to the country’s and the world’s expanding populations, and technology is now being employed to mass-produce food items.
The Food and Agriculture Organization of the United Nations (FAO) states in its most recent publication that “by 2050, there will be 9.1 billion people on the planet, and to feed them, food production would need to increase globally by 70%. In order to prevent further widespread famine, farm production must increase faster than the global average in Africa, where the population is expected to be around 2 billion by then.

According to PlugAndPlay’s analysis on “Agtech Trends in 2020,” “In the last 10 years, agriculture technology has seen a huge growth in investment, with $6.7 billion invested in the last 5 years and $1.9 billion in the last year alone.”
Professor Temitope Aduloju, an expert who told this publication that moving forward, there is no way we can do without agrotech because it has become a revolution in the agricultural business, attests to the fact that agro-tech has become a significant component of modern farming.
But these companies use a wide range of agricultural technologies, such as indoor vertical farming, precision agriculture, drone technology, livestock technology, contemporary greenhouse techniques, artificial intelligence, and block-chain. It goes without saying that there are requirements to join it.

Crowd-farming
Crowdfunding is one of the most popular types of agro-tech in Nigeria. Small firms create investment alternatives and packages using fintech apps so that regular people can invest a portion of their money at particular interest rates and specified tenures. These businesses then employ the invested capital and economies of scale to carry out their agricultural procedures before sharing the profits with the investors. Many of these businesses are not at all sophisticated.
“I have seen simple text messaging services being successfully used to raise yields and target inputs in Africa,” stated Clive Blacker, director of Precision Decisions, in a recent interview. It is not necessary for the technology or sensors to be the most advanced.

With the rest of the production process remaining fully automated, Agrotech in this case might very well end at the financial apps used by the companies to raise funding. Considering the new SEC regulations, which were released in March and state, among other things, that “total fees payable to parties to a crowd-funding issue shall not exceed 2% of the total funds raised,”
Remember that there are no restrictions on the amount of financing that investors can provide to these platforms. There are several instances of businesses that one can invest in using this platform. This applies to E-Farms Nigeria, PorkMoney, Farmkart, and Farmcrowdy.
BusinessAccording to Hallmark’s research, contemporary agriculture is increasingly investing more in farm automation and precision farming.

Even with the application of about 2 million tonnes of pesticide, the FAO estimates that between 20 and 40 percent of the world’s crop yields are lost annually to pests and diseases. Professor Aduloju reports that the good news for farmers is that they may thwart crop enemies earlier with the help of smart devices, allowing more accurate chemical application.
In particular, this is what is intended by technologies like agricultural automation and precision farming. It entails increasing farming productivity (also known as smart farming), which includes using autonomous tractors, robotic harvesters, autonomous harvesters, robotic harvesters, automatic watering, and even planting robots.
Aduloju told this publication that precise technology helps smallholder farmers produce more by utilizing contemporary technologies, such as soil testing.

Nigeria has profited from the most recent developments in the use of technology in agriculture. Companies using this technology in Nigeria include Thrive Agric, Verdant, and BabanGona. Due to their size, Professor Aduloju stated that “these companies are typically funded by institutional investors or financial institutions.”He added that they also greatly depend on outside money.
One can even start their own agrotech company at any point along the value chain, from funding to tech-based production to even logistics technology. However, given that COVID-19 produces uncertainty in the stock market and the economy as a whole, there are some agritech investments to take into account.

Agritech firms may have changed from being riskier options for investors due to the uncertainty we are currently facing as a result of the epidemic and the constraints. There are several agritech firms in the nation that have increased farming’s profitability by reducing risk exposure and providing ROI to investors who do not have to purchase property, pay employees, or even spend money on pest control and maintenance.
The manner that agriculture is practiced and the farm company is managed has altered, as we indicated previously, according to Aduloju.
More people are examining their investing possibilities and becoming digital farmers in the nation, particularly blue-collar workers. It’s said that several of these agritech businesses provide high yield investment prospects via internet/mobile app-farming.

Group-farma
This agrictech firm was a project of Timesellers Limited and was founded by Niyi Oguntade. Groupfarma focuses on rice, poultry, small ruminating, vegetables, and tuber farms. With farming cycles of six months or longer, Groupfarma’s investment options feature a range of returns on investment that range from 20% to 28%.
The farm is protected by Leadway Assurance, and the required investment capital is estimated to be N50,000 per unit.

Farmsponsor, a company co-founded by Bill Kenneths and Akpa Chike, is believed to use technology to close the gap between farmers and potential investors. It primarily focuses on raising chicken and guarantees investors 15% returns over 12-week cycles.
Farmsponsor accepts new investors who are prepared to put up to N1 million in investments. The investing company also gives investors the option to use VestWallet to preserve money for upcoming cycles. Leadway Assurance and the Nigerian Agricultural Insurance Corporation both provide additional insurance for Farmsponsor.

Requid
Felix Imafidon developed Requid, which took first place in the inaugural Nigerian Stock Exchange X-Kathon competition. If an investor can’t wait till the conclusion of their cycles, they have the option to liquidate (sell) their agricultural investment at any time. The cycles typically last three to twelve months.
The company has the lowest capital investment among the chosen agric-tech startups, which is a plus. Rice, goat, pig, cowper, cashew nut, fish, yam, and poultry farms are among the investment opportunities compiled by Requid in which interested investors can invest as little as N5000. Unexpectedly, Requid promises an annual cumulative return on investment of up to 60%.

Agric Thrive
Ayodeji Arikawe and Uka Eje founded the agritech in 2016. In Oyo and Kano, Thrive Agric operates farms. Depending on their desired crop, investors may invest as little as N10,000 or as much as N85,000. Depending on the amount invested, returns on investment range between 12% and 20%.
Leadway Assurance provides insurance for the rice and poultry farms that are managed by Thrive Agric.

Farm-crowdy
In the world of agribusiness investments, Farmcrowdy is a well-known brand. Four years ago, Onyeka Akumah, Akindele Phillips, Tope Omotolani, Christopher Abiodun, and Ifeanyi Anazodo co-founded it with the goal of empowering farmers and assisting investors in making money without ever having to lift a shovel.
Farm-crowdy provides investors with a range of investment opportunities, including maize farms, rice farms, potato farms, fish farms, cassava farms, chicken farms, cattle farms, and more. The majority of these farms are situated in the states of Kaduna, Oyo, Ogun, Niger State, and Lagos. Leadway Assurance provides insurance for these farms.

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