45 percent drop in investment in Indian agri-tech based startups

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New Delhi: Between the financial years 2021-22 and 2022-23, investment in Indian agri-tech based start-ups has decreased by 45 percent. The main reason for this is believed to be investors becoming more cautious amid rising global interest rates and rising uncertainty.

According to a report by consulting company FSG, global agri-technology investment has declined by 10 percent between 2022 and 2023. According to the report, investment in this sector is expected to decline in FY 2024 as well. However, it is likely to increase in FY 2025.

It is expected that startups will continue to focus on increasing profits to face the next financial year.

According to the report, investors are likely to be cautious and deploy their limited funds in established business models. Investment dynamics are likely to change on the back of global economic trends.

Startups should use this slow investment period to refine their business model and move towards profitability, it added.


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