Nigerian agritech Releaf gets more capital as it launches new tech for food processing

News Summary

  • The oil palm is the first, and for now, the only crop Releaf works on; the oil palm market is a $3 billion market that consists of over 4 million smallholder farmers.
  • With this funding, the agritech, whose valuation has tripled since its seed round, will be looking to expand the regions where it processes palm and extend the crop types it works with.“Our insights have shown that downstream is capped by supply, which is upstream,” the CTO mentioned.
  • Releaf focuses on value chains where smaller factories are set up near smallholder farmers, allowing them to get better processing yields and less expensive logistics costs.
  • SITE developed by ReleafThe startup has used its supply chain technology to process more than 10 million kilograms of palm nuts since the launch of Kraken in 2021.
  • Offering farmers better prices and providing working capital are two ways Releaf uses to gain market share in this segment, Ayogu noted.
  • These farmers drive about 80% of the crop’s production using rocks or inefficient hardware, responsible for producing low-quality vegetable oil.
Releaf, a Nigerian agritech startup that supplies ingredients (starting with the oil palm) to consumer goods manufacturers and their food factories, has received $3.3 million in an oversubscribed pre [+5117 chars]