Arya.ag's NBFC arm crosses Rs 2,000 crore milestone in commodity finance, a first in India

Arya.ag, a Noida-based grain commerce platform, announced that its non-banking financial company (NBFC) arm has crossed Rs 2,000 crore in commodity financing—a milestone it claims is the first of its kind in India's agriculture-focused lending sector.

Unlike traditional lending models, Arya.ag's approach is anchored in financing against actual grain stored across India's heartland, supported by its robust technology infrastructure and decentralised storage network.

In October last year, the Noida-based firm received a $19.8 million debt facility guarantee from the U.S. International Development Finance Corporation (DFC).

Leadership comments

Anand Chandra, Co-founder of Arya.ag, said, "Reaching Rs 2000 crore in commodity finance through our NBFC validates our integrated approach to post-harvest solutions. This milestone positions us as the largest NBFC in India's commodity collateral funding space, effectively doubling the scale of other players in this segment."

Chandra said the firm has created a system where farmers can receive credit in less than 30 minutes, based solely on KYC documentation.

"The virtually nil NPAs we've maintained while serving approximately 8 lakh farmers shows that when financial products align with real commodities and farmer needs, scale and sustainability naturally follow, he said.

"Beyond our NBFC's direct lending, we've facilitated an additional Rs 10,000 crore through partner banks against our warehouse receipts, bringing the total financing enabled this year to Rs 12,000 crore," Chandra added.

The firm operates across 21 states and covers 60% of Indian districts. Arya.ag says it manages over four million metric tons of commodities across 3,500+ warehouses with a total value exceeding Rs 10,000 crore.

What does Arya.ag do? 

Arya.ag said it enables freedom of choice for farmers and their organisations to decide 'when' and 'to whom' they would want to sell their produce post-harvest by offering access to farmgate-level storage, seamless finance and transparent commerce.

It eliminates the trust deficit in grain commerce through its exponentially growing layer of visibility and control, currently stretching across 60% of Indian districts, covering over 11,000 agri-warehouses.

Arya.ag aggregates and stores $3 billion of grain annually while enabling disbursement of over $1.5 billion of loans to small-holder farmers, their organisations and other stakeholders.