Cornext Secures $2.2 Million in Seed Funding to Boost Silage Production and R&D

• ByStartupStory     |    May 8, 2024

Hyderabad-based agritech startup Cornext has raised $2.2 million (approximately INR 18.3 crore) in a seed funding round led by venture capital firm Omnivore. The investment will support Cornext’s ambitious goal to increase its annual silage production to 1 million metric tons by 2026 and to enhance its research and development efforts in baling technology.

Founded in 2015 by Madhav Kshatriya and Feroz Ahmed, Cornext is dedicated to improving dairy farming operations and logistics. The company has developed innovative feeding solutions and a patented silage baling preservation technique to address India’s critical fodder deficit issue.

Madhav Kshatriya, co-founder of Cornext, expressed his vision for the company, stating, “Cornext aims to be the go-to company for all things silage. Our institutional clientele to date includes AMUL, SUMUL, BANAS, MILMA, KMF, and many other large dairies and cooperatives. We are excited to have Omnivore’s support and make a positive impact on smallholder incomes and cattle health.”

Jinesh Shah, Managing Partner at Omnivore, highlighted the importance of Cornext’s mission in the agricultural sector: “Cornext is solving one of the most chronic problems in Indian agriculture – affordable cattle nutrition. India’s milk productivity is one of the lowest in the world, mainly due to fodder shortage. Cornext is changing this narrative…”

The funding round comes at a time when the agritech sector in India is increasingly attracting investor attention. Prominent startups such as Ninjacart, Dehaat, and Cropin are becoming key players in this field. Another startup, Poshn, recently secured $6 million in a mixed equity and debt funding round.

Despite a decline in the total funding for the sector in 2023, which saw $208 million across more than 28 deals down from $817 million across over 60 deals in the previous year, the sector’s potential continues to grow. Industry experts attribute the slowdown to a broader reduction in funding levels, yet remain optimistic about the sector’s future.

The Indian agritech sector has seen substantial growth, raising over $2.4 billion in funding through 285 deals between 2014 and February 2024, according to Inc42. This reflects a growing recognition of the importance of technology in solving agricultural challenges in India.

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