Within the framework of the Aapresid Congress, the winners of the Glocal Agri Food Tech 2020 Acceleration Program were chosen. The first prize went to Agrapp, a Colombian startup that created a web-based financing Bitcoin Millionaire platform for small and medium-scale producers, with the aim of equalizing opportunities in the rural sector. This was reported by Colombia’s Fintech on September 6.
According to them, the venture emerged two years ago. David Duarte, mechanical engineer and current CEO, together with a partner, took into account the reality that farmers in Colombia live and tried to provide answers with technological solutions. They noticed that there was no interest and discovered that there were problems of access to financing.
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David Duarte explained: „A farmer in Colombia has very few options for accessing credit. More than 85% of small and medium producers have never approached a bank branch to ask for a loan because there are many barriers to exclusion that have not been overcome.
„We entered the world of crowdfunding without being a net or natural crowdfunding because we eventually focused more on developing financial products that fit the needs and capacities of the rural sector,“ he added.
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What does the platform do?
The platform connects a community that is interested in investing (from approximately $300) in small and medium-sized farmers, and accessing certain returns.
Duarte specified: „We are very oriented to be a financial solution for small and medium farmers. The largest producer we have supported has five hectares, but on average they have one hectare. They grow exotic fruits for export: passion fruit, gulupa, granadilla and the uchuva or fisalis. We are also structuring financial products for cocoa and avocado.
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It should be noted that Agrapp accompanies them in both the financial and technical structure. They provide professional assistance led by an agricultural engineer and are also responsible for marketing, through a contract.
„Thanks to this model, to date we have managed to bring more than 200 thousand dollars in investment to agricultural projects. We are now present in more than six of Colombia’s 32 departments, connecting more than 100 investors with around 25 productive projects. We are getting people, through our platform, to invest an average of more than 1,200 dollars,“ said the CEO.