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Croft Beverages raises pre-seed funding round

Entrackr · 12d

Croft Beverages, a farmer-centric sustainable tea startup, has raised $125K in a pre-seed funding round through a combination of equity and debt. The investment round was led by notable angel investors from the tea, sustainability, IT, and biotech industries. The fresh funds will be used for its farmer-owned FPC model, starting with its first mini-factory in Billicombai near Kotagiri, Croft stated in a press release. Founded by Harish Kannan, Croft Beverages aims to create a sustainable model to improve the livelihoods of small tea growers. The platform aspires to produce ethically sourced tea that is traceable to its roots, transparent in trade, and transformative for farmers. By 2030, it plans to establish a network of over 100 farmer-owned mini factories and empower more than 3,000 small farmers in the Nilgiris region. According to the Tamil Nadu-based company, through strategic initiatives like 100% “farm-to-cup” traceability and best-in-class agronomy, Croft has formed key partnerships with some of the country’s leading brands under its “direct from origin” model. The first batch of tea produced by the farmers' factory has been completely sold out, and Croft is now working on setting up three additional farmer-owned factories in 2025. Croft claims that each mini-factory directly turns 25 small farmers into entrepreneurs, increasing their income by 3x.