This will help to alleviate the long-standing financial issues in commodities purchasing. On the Arya.ag website, buyers can presently get a credit of up to Rs 25 lakhs for 14 days with no interest. This sum will soon be increased to 2 crores. Buyers must provide their basic KYC and financial information to qualify for the BNPL. They can get credit quickly once they’ve been onboarded. Arya. ag is a platform that connects several providers who provide BNPL services, with intentions to expand these financial solutions to include warehouse rent, loan repayment, and more.
“There is always a demand for simple and innovative financial solutions in every area,” Prasanna Rao, CEO Arya.ag remarked on the introduction of BNPL. People involved in the B2B trade of agricultural goods will soon be able to use BNPL, which is now only available in the retail space. Arya.ag will deliver additional ease and trust to commerce and market linkage transactions through the BNPL service.
It would reduce payment risk for suppliers and provide buyer assurances, benefiting farmers, farmer producer organizations, and small agribusinesses who sell on the platform.” This is a one-of-a-kind service in the $370 billion non-perishable agriculture sector. In agribusiness, trade financing is already done on a secured basis; however, this is the first time unsecured financing has been used.
With BNPL, the seller gets paid upfront, the lender gets cash discounts for early payment, and the buyer gets to pay later without incurring interest, making the transaction a win-win for all parties involved.
The commodity market is driven by demand for financial solutions, and BNPL is likely to be a big volume driver in the next 6-12 months. All sellers and customers registered on the Arya.ag platform around the country can use this service.
What does Arya Offer?
Arya is a renowned agritech start-up in India that specializes in comprehensive post-harvest services. Arya’s agritech and fintech platform, which uses technology to bridge the last mile, is driven by a human-centered approach. Arya helps farmers, aggregators, farmer producer organizations, food processors, and end-user corporates prevent post-harvest losses through its business model, which includes over five million tonnes of storage capacity over 5,500 warehouses in 21 Indian states.
It effectively connects the supply and demand sides of the Agri ecosystem. Arya helps agro commodity sellers avoid having to sell their produce at a loss by offering post-harvest financing. It has disbursed loans of around Rs 4,400 crores. Its integrated and user-friendly platform also assists users in selecting auxiliary services such as warehouse management, financing, quality testing, and storage protection services, as well as connecting produce to buyers via a powerful technology-enabled back-end ecosystem.
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