Eratani has bolstered more than 20,000 farmers and plans to allocate the fund to expand its network into five provinces in Indonesia.
Heaptalk, Jakarta — An agritech startup based in Indonesia, Eratani, announced its additional seed funding round worth US$2 million, or approximately Rp30 billion. SBI Ven Capital led this round of funding through a joint fund with Kyobo Securities and NTUitive. On the other hand, several well-known investors, including Genting Ventures, Orvel Ventures, and Ascend Angel, also supported this round.
This fresh injection augmented its previous fund collected worth US$3.8 million, or equal to Rp57 billion, from TNB Aura, AgFunder, B.I.G. Ventures, and Trihill Capital last December 2022. This new achievement increased this agritech startup’s investment value to US$5.8 million (around Rp90 billion). With the new additional capital, Eratani plans to broaden its network into five of Indonesia’s provinces, expecting to enhance efficiency in the agricultural industry.
Responding to this new funding, the CEO of Eratani, Andrew Soeherman, stated that this seed funding indicated investors’ optimism about Indonesia’s agritech industry. Andrew also claims that the investors notice the Eratani’s ability to realize the potential of this sector which is expected to create a social impact for farmers throughout the archipelago.
“This investment validates our business model and echoes our belief in the potential of agribusiness in Indonesia. We will continue our work in empowering farmers while increasing efficiency and driving business sustainability in this sector,” added Andrew.
Moreover, as cited in the Central Bureau of Statistics (BPS), Indonesia’s agricultural production increased by 2.59% in the fourth quarter of 2021. Besides, Ken Research also revealed that the agritech market in the archipelago had evolved its Compounded Annual Growth (CAGR) of 39,7% based on revenue generated in 2016 -2021. With numerous initiatives of the government, one of which is increasing the adoption of digital services, Andrew believes that the technological innovations that Eratani offers will significantly create a social impact.
As it is known, Eratani SupperApp is designed to accommodate Indonesia’s farmers through farming digitalization, spanning business capital access, land management education, agricultural production facilities, and harvest processing. This startup has bolstered more than 20,000 farmers in West Java, East Java, Central Java, Banten, and South Sulawesi with these services.
Leading Eratani’s seed round, Chief Executive Officer of SBI Ven Capital, Ryosuke Hayashi, admitted, “A holistic and innovative Eratani approach can boost the efficiency of agricultural processes. For this reason, we have full confidence in this startup’s ability to drive the agricultural sector’s transformation.”