There are many opportunities for Indian entrepreneurs in agribusiness. This presentation relates opportunities to stage of innovation from Patent to Diffusion.

1. Scope of Innovation in Agri
Business
A.S.Rao
President
Indian Innovators Association
indiainvents@gmail.com

2. Innovation typology
• Innovations at diffusion phase
• Innovations at adoption phase
• Technology transfer from institutes
• Development without patents
• Development with patents
• Global scouting of innovations
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3. Business opportunities- Agrifood
• Restaurant Marketplaces
• Midstream Technologies
• Premium Branded Foods & Restaurants
• Online Restaurants & Meal Kits
• eGrocery
• Fintech
• Agribusiness Marketplaces
• In-Store Retail & Restaurant Tech
• Ag Biotechnology
• Farm Robotics, Mechanization & Equipment
• Farm Management SW, Sensing & IoT
• Novel Farming Systems
• Bioenergy & Biomaterials
• Home & Cooking Tech
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4. 4

5. Diffusion of Innovation Theory
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6. Adopter categories
• Innovators - These are people who want to be the first to try the innovation. They are
venturesome and interested in new ideas. These people are very willing to take risks, and are
often the first to develop new ideas. Very little, if anything, needs to be done to appeal to this
population.
• Early Adopters - These are people who represent opinion leaders. They enjoy leadership roles,
and embrace change opportunities. They are already aware of the need to change and so are very
comfortable adopting new ideas. Strategies to appeal to this population include how-to manuals
and information sheets on implementation. They do not need information to convince them to
change.
• Early Majority - These people are rarely leaders, but they do adopt new ideas before the average
person. That said, they typically need to see evidence that the innovation works before they are
willing to adopt it. Strategies to appeal to this population include success stories and evidence of
the innovation's effectiveness.
• Late Majority - These people are skeptical of change, and will only adopt an innovation after it has
been tried by the majority. Strategies to appeal to this population include information on how
many other people have tried the innovation and have adopted it successfully.
• Laggards - These people are bound by tradition and very conservative. They are very skeptical of
change and are the hardest group to bring on board. Strategies to appeal to this population
include statistics, fear appeals, and pressure from people in the other adopter groups.
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7. Agriculture innovation diffusion is a slow process
• Because farming populations are not homogeneous, rewards for
innovations change over time, extension messages are distorted over
time, and for numerous other reasons, innovations often fail to
spread to all segments of the farming population.
• Farmers adopting an innovation through external factors are
sometimes referred to as (real) innovators, while farmers adopting
through internal factors are referred to as imitators.
• External factors may create interest in and awareness of innovations,
but the actual decision to adopt a new technique is usually not taken
by the majority of farmers until information and practical experience
from peer-farmers is received.
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8. Case: zero-tillage in the rice-wheat system in
northern India-1
The first on-farm demonstrations of zero-tillage in wheat in Haryana
were conducted in 1996 by Haryana Agricultural University. Incentives,
in the form of free use of zero-till machinery and free herbicides, were
provided to farmers joining zero-tillage demonstrations. At the time
farmers were having difficulty controlling the weed Phalaris minor,
(Littleseed canary grass) which developed resistance against the widely
applied herbicide isoproturon (IPU).This contributed to the farmers’
willingness to experiment with zero-tillage.
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9. Zero-tillage in the rice-wheat system in
northern India-2
In 1998, alternative herbicides for the control of P. minor were
launched on the Indian herbicide market, and since then the control of
isoproturon-resistant P. minor has greatly improved. Consequently, the
introduction of new herbicides decreased the relative advantage of
zero-till over conventional tillage by reducing P. minor pressure.
However, by 1998 it had been realised that adoption of zero-tillage
gave a considerable reduction in soil cultivation and labour costs. This
economic advantage soon became the main driving variable behind the
adoption of zero-tillage, and from 1998 onwards, diffusion of zero-
tillage through interpersonal communication began to take off.
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10. Zero-tillage in the rice-wheat system in
northern India-3
Farmers could now purchase their own zero-till drill through a local
manufacturing company and no further incentives were provided to
farmers to adopt zero-tillage. At this stage, a high degree a trialability
(farmers could easily try out the innovation by cultivating a small area
of their land with a hired zero-till drill) and a high degree of
observability of the innovation in the field favoured rapid diffusion.
Diffusion through interpersonal communication soon became a more
important means of spreading the innovation than the activities of
relatively small team of university extension workers
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11. Agrifood business and innovation stage-
Diffusion
• eGrocery- Online stores and marketplaces for sale & delivery of
processed & unprocessed ag products to consumer.
• Novel Farming Systems- Indoor farms, aquaculture, insect & algae
production.
• Agribusiness Marketplaces- Commodities trading platforms, online
input procurement, equipment leasing.
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12. Produce e-Commerce companies
• WayCool based in Chennai is an e-distributor of farm products. The
company procures fruits, dairy, and vegetables directly from farmers,
aggregators, and cooperatives to supply in hotels, restaurants, retailers,
wholesalers, and retail outlets.
• Ninjacart (Bangalore) is an app-based B2B platform offering vegetables and
fruits. The company claims that retailers and restaurants can place their
orders through their app after which the products will be delivered to them
by their own logistic teams. It also claims to deliver within twelve hours.
• Crofarm (Gurgaon) provides a digital supply chain of fruits and vegetables
from farm to business. It manages the logistics, storage, supply to clients in
retail chains like Big Bazaar, Reliance Retail, and online stores like BigBasket
and Grofers. The company claims to use AI-enabled proprietary digital tools
for supply chain management and logistics optimization.
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13. Farm Inputs E-Commerce companies
• Agrostar (Pune) is an online platform offering agri-inputs, content, and
advice. The company claims to offer products like seeds, fertilizers, tractors,
pumps, pesticides, etc. It also claims to offer expert advice, agricultural
data, agronomy knowledge, weather forecast, etc. to farmers through its
platform.
• Gramophone (Indore) is an app-based platform providing farm input
products and information to the farmers. It enables farmers to purchase
crop protection, crop nutrition, seeds, implements, and agricultural
hardware products. It also provides agronomic information such as
weather information, latest market prices, expense calculator and advice,
and best cropping practices.
• BigHaat (Bangalore) is an online marketplace offering farm inputs. Their
product catalog includes seeds, pesticides, fertilizers, pumps, tractors,
growth promoters, etc.
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14. Indoor farming
• Barton Breeze: Gurgaon based Barton Breeze is a commercial
hydroponic farm specialist, using controlled sustainable technology
and modern farming techniques.
• Acqua Farms: Chennai based Acqua Farms grows everything from
Italian basil to carom (ajwain), mint, spinach, lettuce and a host of
leafy greens and herbs. Moreover, he grows these vegetables using
planters made of PVC pipes.
• BitMantis Innovations: Based out of Bengaluru, this IoT and data
analytics start-up have developed its IoT solution GreenSAGE, which
allows individuals and commercial growers to grow fresh herbs
throughout the year.
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15. algae cultivation Companies in India
• Indian student startup Zaara Biotech has received US$10 million in
investment from UAE-based TCN International Commerce for its
alternative foods project. Titled “Algae – Seaweed Technology,” the
project involves Zaara using micro-algae to design photobioreactors,
or bioreactors that use a light source to cultivate phototrophic
microorganisms that photosynthesize to generate biomass.
• Super foods- Spirulina, referred to as blue-green algae have multiple
health benefits. Increasing demand for Spirulina dried using the sun-
dried method. Prolgae Spirulina , Algene Biotech and E.I.D Parry
(India) Ltd. are some of the firms producing Spirulina.
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16. Innovations in diffusion stage
• Both technical and business innovations are known and can be
accessed thru consultants, equipment suppliers, raw material
providers, mentors etc.
• Imitation cannot be avoided and there will be no entry barriers.
• In a growing market like India there is an opportunity for every
entrepreneur. Winner takes all is not applicable in agribusiness.
• Observability is advantage in diffusion stage.
• Execution is the key success factor.
• Everyone selling on Amazon, Flip Kart etc gets noticed by investors.
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17. Opportunities at Adoption stage
• In-Store Retail & Restaurant Tech- Shelf-stacking robots, 3D food
printers, POS systems, food waste monitoring IoT.
• Restaurant Marketplaces- Online tech platforms delivering food from
a wide range of vendors.
• Online Restaurants & Meal Kits- Startups offering culinary meals and
sending preportioned ingredients to cook at home.
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18. Successful adopters- food delivery
• Wow! Momo- This is a food chain who are growing ever so fast in
India. You will find branches in Delhi, Chennai, Kochi, and many other
spots. Wow! Sell burgers, Tibetan food and just about anything you
can imagine.
• FreshToHome- This is a delivery service that focuses on meat and fish.
The company was founded in March 2016, and has grown so much
that its aim to expand to 20 cities throughout 2017.
• FreshMenu- Fresh Menu is another delivery service. Food will be
cooked and delivered to you within minutes. The company was
founded in 2014.
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19. POS adopters
• Perpule has built an innovative cloud-based POS offering that enables
offline stores in India to better manage their inventory, checkout
process and overall customer experience. Acquired by Amazon.
• DotPe is another startup that helps brick and mortar stores sell to
customers online and collect payments digitally. Google invested
here.
• e-paisa developed a device-agnostic application that allowed SMEs to
process card payments with just a few taps on a smartphone or
tablet.
• Digit Secure developed contactless payment platform.
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20. Food wastage reduction with technology
• Q-scan. This handheld device identifies a fruit and then detects if it is
edible. It also predicts, using algorithmic data, how much longer a
given fruit will stay fresh.
• AgNext’s AI platform Qualix offers instant and on-field chemical,
physical and ambient assessments for food safety, security and quality
from farm to store. As an example, he points to the frequent problem
farmers need to resolve — that of moisture in grains.
• Intello Track app offers mobility and remote access from a single
source of operation, and provides relevant quality statistics (such as
colour, size and visual appearance) to growers in real time, to reduce
the chances of wastage.
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21. Key drivers in adopting an innovation
• Here too, technical and business innovations are known. Yet, both
require customization, which often comes from iterations. Trialability
is the key word.
• Team strength is critical as competence is needed within the founders
team to manage adoption.
• Once entrepreneurs get seed capital and demonstrate Minimum
Viable Product (MVP), pitching is done for larger VC investment.
• Different type of Mentors needed at seed stage and at growth stage.
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22. Technology transfer from research institutes
• Ag Biotechnology- On-farm inputs for crop & animal ag including
genetics, microbiome, breeding, animal health.
• Bioenergy & Biomaterials- Non-food extraction & processing,
feedstock, technology, cannabis pharmaceuticals.
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23. Biotechnology startups
• Pune-based agbiotech startup Bioprime Agrisolutions aims to solve
this situation by making crops more climate-resilient by using next-
generation biologicals. Smart Nanomolecules Induced Response
Modulation (SNIPR) - is a proprietary rapid, high throughput discovery
platform that identifies the main problem and helps the startup
develop agri formulations with defined components.
• Telluris Biotech is a company engaged in the manufacturing and
supply of crop protection solutions for farmers and growers. Its
product portfolio includes 4 different products against plant-parasitic
pathogens such as root-knot nematode Meloidogyne incognita.
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24. BIRAC
• The DBT alongwith BIRAC is playing a crucial role in the
implementation and delivery of the flagship programs of the
Government of India, such as ‘Makein- India’ and ‘Startup India’.
• 35 Bioincubators have been setup across India with world class
facilities. AcE Fund and SEED fund have been launched to provide
capital assistance to start-ups and act as a bridge between promoters’
investment and venture/angel investors. BIRAC Regional Centers-3
regional centres and 2 Bio connect offices have been established.
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25. Animal and livestock Biotechnology
• Translational Research Platform for Veterinary Biologicals (TRPVB):
Two technologies have been commercialized viz virus like particle
(VLP) based vaccine for Canine Parvo Virus using baculovirus
expression System (BEVS), was transferred to M/s Palamur
Biosciences, Hyderabad and technology of PCR based diagnosis of
canine haemoprotozan diseases was transferred to M/s. Illume Gene
Private Limited.
• Early detection of pregnancy in buffalo: Aptamers based diagnosis
in the form of nano-biosensors for early detection of pregnancy in
buffalo that can bind to pre-selected targets including proteins with
high affinity, specificity and selectivity.
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26. Bioenergy
• Biomass Feedstock Producers working energy crops Marjestica,
Beema Bamboo , Melia dubia, Moringa..
• Biomass Pre-Processing- feedstock from Coconut Charcoal, Briquette
from Mustard, Saw Dust, Ground Nut Shells, Castor Seed Shells.
• Technology available from Combustion Gasification & Propulsion
Laboratory (CGPL), Department of Aerospace Engineering, Indian
Institute of Science (IISc), Bangalore, and many research institutes
and consultants.
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27. Key factors in technology transfer
• Indian research institutes ICAR, CSIR, DBT, DST,BARC, IITs,IISc offer a
wide range of technologies.
• Advantage is low cost, favorable terms and support from institute.
• Scientist/ faculty that implemented project may not be available for
consultancy.
• Process may need to be reengineered in consultation with
commercial equipment suppliers.
• For absorbing advanced biotechnology founders need to have
competence and facilities.
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28. Development without patents
• Farm Management Software, Sensing & IoT- Ag data capturing
devices, decision support software, big data analytics.
• Midstream Technologies- Food safety & traceability tech, logistics &
transport, processing tech.
• Home & Cooking Tech- Smart kitchen appliances, nutrition
technologies, food testing devices.
• Fintech for farmers.
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29. AI in agristartups
• CropIn is a provider of saas-based farming solutions to agribusinesses.
Its offerings are Smartfarm; a complete farm management solution,
Smartrisk; risk mitigation and forecasting solutions, mwarehouse;
traceability and compliance solution, and Smartsales; CRM and input
channel management solutions.
• Intello Labs develops solutions based on image recognition
technology for food industries. The image recognition technology
developed by the company can recognize objects, faces, flora fauna
and tag them. The company has developed a solution for the
agricultural sector which provides insights on the crops’ health during
the growing season and its final harvested grade by analyzing the
images of the crop.
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30. Food traceability
• Sahyadri Farmers Producer Co is adopting blockchain for food traceability
from farm to fork. A farmer producer company (FPO) is a hybrid between
cooperative societies and private limited companies. Currently, the FPO
promises farmers a 25% share of the final price of goods sold by the firm.
Using blockchain to save friction costs, the company aims to increase the
farmer’s share to 50%
• IIT-Bombay incubated start-up EmerTech Innovations is developing the
blockchain platform. A few months ago, Agri10x announced it was working
with the government to deploy a blockchain-based online marketplace
connecting farmers with global traders. Another agritech, Freshstack
Technologies, which runs an online agricultural marketplace, said it was
adopting the dltledgers blockchain for digital trading.
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31. Nutrition – food for startups
• Oziva is the clean label that offers nutrition products based on
modern food and ancient Ayurveda. The startup focuses on producing
food from clean, authentic ingredients with great nutritive value. The
nutrition product cater to women, men, and children as well as
products that specifically focus on hair and skin nutrition.
• Andme is a Bengaluru based nutrition startup that provides nutritious
beverage products catered to women health issues. 23BMI offers
proprietary meal replacement products that claim to enable a
balanced intake of protein, carbohydrates, fibre, essential vitamins
and minerals.
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32. Fintech for farmers
• Chennai-based agri-fintech startup Samunnati solves the working
capital needs of smallholder farmers and agri-SMEs. Sammunati
customers can avail working capital for one to 100 days, with the
average loan size at about Rs 70 lakh, and individual transactions
pegged at Rs 5-10 lakh.
• Like Samunnati, Jai Kisan and farMarts are looking at innovative
approaches and alternative business models such as working with
FPOs and merchants instead of farmers and partnering with market-
linkage startups.
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33. Key factors in development without patents
• Patents granted by Indian government can only be enforced in India.
There are more than million patents taken by global innovators
outside India like in USA but not sought protection in India. All such
patents are free to copy.
• Business Methods innovations built on Block chain, Artificial
Intelligence, Machine Learning, Image recognition, Software as
Service are rarely protected under Indian Patents.
• Entrepreneurs can benefit from reverse engineering the globally
popular software patents.
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34. Development with patents
• Farm Robotics, Mechanization & Equipment- On-farm machinery,
automation, drone manufacturers, grow equipment.
• Innovative Food- Cultured meat, novel ingredients, plant-based
proteins.
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35. Farming as Service model
• Oxen provides equipment for various services, including land
preparation, crop harvesting, management, and more.
• FaaS-based Gold Farm enables farmers to access any farm equipment
via a mobile app, or by contacting the firm's call centre.
• Trringo launched in 2016 by Mahindra & Mahindra Ltd, and aims to
rent farming equipment to farmers at affordable rates across the
country.
• farMart is a smaller version of Walmart for farmers.
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36. Agriculture drones
• Aerobotics specializes in providing farm monitoring and pest
management solutions. Its offerings include AI-enabled pest
detection, disease detection, drone imagery services, orchard and
yield management.
• Gamaya uses HSI (Hyperspectral Imaging) technology deployed using
small unmanned aircraft systems to remote sensing and high
resolution imagery. This imagery can be used to diagnose crop
diseases, proliferation of invasive species and environmental stresses.
• TartanSense is a UAV based technology startup and provides image
analytics based on ultra high resolution aerial and Near Infra Red
(NIR) images acquired by UAVs.
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37. Vagan startups
• Investors like billionaire Bill Gates (Impossible Foods) and private
equity giant Blackstone (Oatly) have made sizeable investments in
international vegan companies. The Indian plant-based meat sector is
also blowing up with players like ‘Good Do,’ ‘Vezlay’ and ‘Greenest’
amping up their product list with fried chicken, mutton tikka, and fish
fingers etc.
• International apps like Happy Cow, BevVeg and GoNutss are good
examples of a successful marriage between veganism and technology.
These tech-products make it easier for those embracing plant-based
diets with everything from recipes to finding restaurants that serve
vegan food.
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38. Patents provides strongest protection from
copy cats.
• Companies aspiring global expansion, aiming at buyout by larger
global chains, science based etc patenting is a must.
• Apply in India, convert to PCT application and protect later in
countries of choice like USA, Europe, China.
• Several benefits offered to startups under startup India program.
• Check for ICMR patents- https://krishi.icar.gov.in/icaripdb/patent-list
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39. Read more…
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41. How agriculture will evolve
• the key trends which are expected to disrupt the status quo of the Indian
agricultural system include precision agriculture, end-to-end automation
(from sowing to harvesting), the use of advanced mechanisation for
production, predictive analysis for production planning and the use of
biotechnology to improve yield while reducing input usage.
• Farmers will operate in a highly digitalised ecosystem, receive services and
transact via smartphones, and engage more with consumers, thus ensuring
product quality and retaining higher margins. Crop choices and production
planning will be based on a tech-enabled, market-driven approach.
• In brief, the future calls for smart farming – an automated and connected
agricultural system that requires a fundamental shift. Consequently, the
agritech sector will attract more investments and deliver more.
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42. Tap the global stock of knowledge
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43. Wishing you all success with your dreams, ventures,
ideas
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