Grow Indigo Secures $10 Million From British International Investment to Boost Farmer Income and Climate Resilience in India

Muskaan Kapoor

25 Mar 2025 — 4 min read

Grow Indigo Secures USD 10 Million From British International Investment

Mumbai, March 25, 2025: Grow Indigo, India's pioneering agri-tech company, has successfully raised $10 million from British International Investment (BII), the UK's development finance institution and impact investor. Established in 2018, the Company is leading the carbon farming revolution with over 2.5 million acres of smallholder farmland already enrolled across 7 states. This strategic funding will accelerate the expansion of Grow Indigo's transformative sustainability programs across India.

Tackling Climate Change Through Resilient Farming Practices

Agriculture contributes 14 percent of India's total greenhouse gas emissions—over 400 million tonnes of CO₂ annually. Grow Indigo is addressing this challenge head-on through carbon farming, a set of sustainable agricultural practices that captures carbon in the soil while reducing emissions.

The company promotes sustainable techniques such as direct-seeded rice and no-tillage farming that deliver multiple benefits:

Enhanced soil health and reduced erosion
Preserved biodiversity
Improved water efficiency
Reduced manual labor, particularly benefiting women farmers

These interventions, which are also known as regenerative agricultural practices, are crucial for decarbonizing rice, wheat and maize production across India.

Creating New Income Streams for Smallholder Farmers

By encouraging farmers to adopt regenerative agricultural practices, Grow Indigo is creating a revolutionary income stream through soil carbon credits and sustainable produce for Scope 3 reductions. These credits, generated from carbon removals as well as greenhouse gas emissions reductions, are sold to corporations who seek to support resilient agri-food supply chains while meeting their sustainability goals. The majority of carbon credit revenue goes directly to participating farmers, improving their livelihoods.

With robust measurement, reporting, and verification (MRV) systems, Grow Indigo's carbon programs offer corporations a transparent, high-impact option to meet sustainability goals while supporting smallholders and creating healthier rural livelihoods. The company also partners with food and fashion companies to facilitate sustainable sourcing and reduce supply chain emissions.

Ambitious Growth and Impact Goals

Grow Indigo believes carbon farming has the potential to become one of India's largest agricultural export commodities by 2030, generating billions in additional income for smallholder farmers while boosting soil health, conserving water and reducing the country's agri emissions.

With four carbon farming projects at different stages of development and the first carbon credits expected to be issued soon, Grow Indigo is positioned for rapid growth. The company aims to enroll millions of farmers and acres within the next two years.

"Regenerative agriculture is the future of farming, not only for improving soil health and conserving water but also for creating improved livelihoods for millions of smallholder farmers," said Dr. Usha Barwale Zehr, Executive Director of Grow Indigo. "With this funding, we will accelerate farmer enrollment and scale carbon farming initiatives. Maintaining integrity of the sustainability outcomes, by way of carbon credits and Scope 3 emission reductions, is of utmost importance to us and will bring maximum value to farmers with our science-backed MRV offerings. We are thrilled to be partnering with BII to pursue these critical objectives for India’s sustainability objectives."

Srini Nagarajan, Managing Director and Head of Asia at BII, said: “Rice, wheat, and maize are staple foods in India, cultivated by numerous smallholder farmers who are vulnerable to the impacts of climate change. Through our innovative pools of capital, we are proud to support pioneering businesses like Grow Indigo that address adoption barriers by harnessing the potential of carbon markets. This initiative not only reduces carbon emissions but also enhances farmers' climate resilience and increases their incomes. This is aligned with the Government’s policies to support regenerative agri practices.”

Jennifer Kaul, Deputy Director, Investments, South Asia at the British Deputy High Commission in Mumbai, said: “India’s strong resolve in the adoption of regenerative agricultural practices is noteworthy. The agricultural sector plays a key role both for food security and as a valuable export commodity. The UK government is committed to investments that support our climate and sustainability goals, not least in the agricultural sector. British International Investment’s support to Grow Indigo is a welcome step in this direction and reflects the deep partnership between our nations, which is underpinned by growth and sustainability."

About Grow Indigo

Grow Indigo, company established by Mahyco Private Ltd and Indigo Ag, is engaged, in the business of research and development, production, processing and marketing of biologicals and linking farmers to voluntary carbon markets by farmer enrolment, advisory, monitoring, reporting and verification of regenerative agricultural practices adopted by the farmers for carbon removal units and sustainable produce. Grow Indigo is the leading Agri-solutions provider for sustainable and regenerative agriculture, having a presence across 16 states with 2000+ distribution partners and 600+ feet on the ground team offering products from seed treatment to harvest.

About British International Investment

British International Investment is the UK's development finance institution and impact investor. As a trusted investment partner to businesses in Africa, Asia and the Caribbean, BII invests to create productive, sustainable and inclusive economies in our markets. Between 2022 and 2026, at least 30 percent of BII's total new commitments by value will be in climate finance. BII is also a founding member of the 2X Challenge which has raised over $33.6 billion to empower women's economic development. The company has investments in over 1,580 businesses across 65 countries and total net assets of £8.5 billion.