Innoterra Acquires Fasal’s Fresh Produce Business to Expand Agri-Supply Chain Reach

In a significant step towards strengthening its agri-supply chain infrastructure, Swiss-Indian agritech major Innoterra has announced the acquisition of the fresh food distribution vertical of Bengaluru-based startup Fasal, for an undisclosed amount. The strategic buyout is aimed at scaling up Innoterra’s B2B agri-commerce platform, Farmlink, while unlocking deeper access to India’s fresh produce markets and supply chain networks.

This move is expected to broaden Innoterra’s distribution footprint in key regions, including major hubs such as Bengaluru and Chandigarh, and marks the company's entry into non-perishable segments such as rice, spices, and other staples.

Founded in 2020, Innoterra has quickly emerged as a key enabler in the farm-to-retail ecosystem, focusing on enhancing the livelihoods of farmers through its food tech platform. Through Farmlink, Innoterra operates two primary divisions — DistriCo, which handles last-mile delivery of fresh agri-commodities, and MilkLane, which supplies fresh milk to large dairy processors.

By integrating Fasal’s distribution business, Innoterra will gain access to a network of over 85,000 horticulture farmers cultivating high-value crops including grapes, pomegranates, apples, bananas, and guavas, giving it a wider sourcing base and product diversification.

Fasal’s Tech-Driven Farming Impact

Established in 2018 by Shailendra Tiwari and Ananda Verma, Fasal has made a name for itself by leveraging AI and IoT-based solutions to optimize farm productivity and efficiency. Its platform supports data-driven decision-making for farmers, helping improve yield quality and sustainability. In addition to its SaaS offerings, Fasal also monetizes its operations by selling fresh produce directly to corporates such as Reliance, Mahindra, and ITC.

The startup, backed by marquee investors including British International Investment, Omnivore, and 3One4 Capital, reported impressive growth in FY24, with revenue climbing 89% YoY to INR 34.1 crore, up from INR 18 crore in FY23. However, the company’s net loss widened slightly to INR 34 crore amid its ongoing investment in scaling operations.

Consolidation Trends in Agritech

The acquisition comes at a time when India’s agritech ecosystem is witnessing accelerated consolidation, with tech-driven players focusing on integrating distribution channels to create full-stack solutions that connect farmers directly to retailers.

Industry experts say this deal will help Innoterra enhance its supply chain efficiencies, diversify its offerings, and strengthen its position in India’s expanding agri-value chain.

While financial terms were not disclosed as of March 16, 2025, analysts anticipate that the synergy from this acquisition will positively impact Innoterra’s topline, especially as it eyes deeper penetration into high-demand agri-markets.

The deal highlights how agritech players are increasingly blending technology with physical distribution to optimize procurement, improve farmer incomes, and streamline supply chains in India’s highly fragmented agriculture sector.

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