Kora has traded almost 11 million kilograms of corn and achieved revenue of US$2 million in the last ten months.
Heaptalk, Jakarta — Agritech startup Kora has secured the fund at US$400,000 in the pre-seed round from venture capital Antler and e-Fishery’s CEO as an angel investor. With this fresh injection, the team will expand its operation coverage and provide more advanced technological support for Indonesian farmers, particularly in Lampung.
Kora’s Co-founder and CEO, Dian Prayogi Susanto, revealed the corn industry in Indonesia is a strategic sector, with 5.5 million hectares of land with an industrial value of US$ 150 billion. Corn production is predicted to reach 44 million tons, with a corn demand of 16.98 million tons. With this output, the Lampung area has contributed 9% of total national production from this figure.
However, Dian perceives that more than 90% of micro-scale farmers need access to post-harvest corn processing. They also encounter a complicated connection process directly to corporate buyers because of several layers of intermediaries. For this reason, Kora wants to bridge the gap by shortening the corn supply chain.
“When looking at the Kora business model, Kora can significantly impact small farmers. With this funding, we hope the company can build operational models and relevant technology to make Indonesia’s corn farming sector more modern and efficient,” The CEO of e-Fishery, Gibran Huzaifah, said.
In its operations, Kora has traded almost 11 million kilograms of corn and achieved revenue of US$2 million in the last ten months. This achievement has contributed to a five-fold increase in company revenue in the first quarter of 2023. Beginning its journey by partnering with only 30 farmers, Kora has increased its cooperation with Indonesia’s farmers to 130 people. As a result, this scheme has delivered an increase in farmer’s average income of around 25% – 28%.
In its further plan, this agritech startup firmly intends to focus on enhancing farmers’ partners up to four-fold to guide them in creating a more efficient agricultural ecosystem in the archipelago. On the other hand, the team also aims to double its corn production target from 100 tonnes per day to triple by the end of 2023 and fivefold by 2024.
“Kora investment is a manifestation of our approach called Day Zero, where we want to accompany the founder’s journey from the start. Kora’s approach, which focuses on the use of technology, can provide solutions in sectors with a high complexity to penetrate.” The Partner of Antler, Agung Bezharie Hadinegoro, said.
Targeting the B2B sector as its business model
Established in 2022, Kora aims to elevate the quality and productivity of post-harvest corn crops. Corn production is considered one of the commodities with a strong demand and a significant impact on the supply chain and animal feed costs in the archipelago.
Regarding the business model, Kora simplifies the corn supply chain by embracing all parties, from intermediaries to farmers, and connecting directly to the B2B industry. As a result, this holistic approach increases harvest productivity and strengthens connections between industry players.
“The system they offer can improve the welfare of Indonesian farmers and contribute to reducing the negative impact on the environment caused by traditional farming techniques. Antler strongly supports this vision in encouraging sustainable agricultural practices in Indonesia,” concluded Agung.
