Image: © Global Compact
Aryadhan is a financial institution which started operations in 2017. It provides post‑harvest warehouse financing to farmers, traders, and processors across 17 states in India, helping agribusinesses that face limited access to traditional bank credit. Their approach is based on a deep understanding of how the agricultural market works. They combine safe handling of stored crops, strong local networks for buying and selling, and short‑term loans that help businesses cover their day‑to‑day needs. DGGF’s senior secured loan will help diversify Aryadhan’s funding base and demonstrate that structured post‑harvest finance can scale sustainably in underserved agricultural markets.
This partnership aligns strongly with DGGF’s objectives, as Aryadhan serves SMEs operating in rural and climate‑vulnerable regions, many of whom have limited financing options. The company has supported thousands of smallholders and traders, with 28% of its farmer members being women. This approach actively contributes to gender inclusion and strengthens local value chains.
Through this cooperation, we aim to learn how financing using stored goods as security can drive climate‑resilient agricultural growth. A key focus will be assessing whether integrating financing with quality control and local service providers can reduce post‑harvest losses and improve market access. We also aim to understand how post‑harvest financing models can scale in India’s diverse agricultural regions and what operational factors support sustainable expansion.
Investment
DGGF commits a EUR 5 million senior secured loan.
Sector
Agriculture, Inventory finance