The vision

Enabling societies through sustainable

technology

The customerDirect customer:

1. Farmers; agricultural products buyers; farm input sellers (seed, fertilizer, pesticide etc.); banks; insurance companies; health companies

Indirect customer:

2. Big Data Analytics Relevant government department or institution; Agricultural products and service company; Other FMCGs/organizations that want to target the farmers

The target market All farmers and farm produce buyers who either 1.own a mobile phone or 2. have access to internet.

Jilin Province:

GDP:500 billionPopulation:28.3 million

Shandong Province:

GDP:2,951.2 billionPopulationL94.3 million

Mainland China: 1.22 Bil Mobile Phone users

Pilot phase target

The market trends*

1. 1.22 Billion mobile phone users

2. 591 Million internet users and 464 Million Mobile internet users

3. E-commerce applications witnessing fast development in the field of mobile phone terminal, online payment took a lead, up by 3.9% over the end of 2012, and the size of mobile online

4. payment users increased by 43.0%. In addition, the utilization ratios of mobile shopping, mobile

5. group-buying and mobile online banking grew by 3.3%, 2.1% and 2.7% respectively compared

*2013 - 32nd Statistical Report on Internet Development

The market size1. Total China

• Annual agricultural products trade business: $ 625Bn

• Famer population: 0.7Bn, 53% of total population

• 80% of all farmers (and family) have a mobile phone

2. Select Provinces:• Jilin province: The top agricultural province in China NE

• Famer population: 1,755M, 65% of total population

• Shandong province: The top agricultural province in China• Famer population: 5,700M, 59% of total population

Poor farmers (below the international poverty line) are also willing to pay for the service*

20% fall below Int’l poverty line

$0.55/mo.

mKisan Tigo Kilimo0%

5%

10%

15%

20%

25%

30%

35%

40%

Above Poverty Lines

20.2%

10%

36.6%

13%

$0.06/use

*GSMA report - India

Case Example: mKisan, Handygo India

Content Categories

Pull ChannelsPush – SMS

IVRHelpli

ne

Crop Advisories X X Optional

Livestock Advisories

X X Optional

Market Prices X X X

Weather X X X

1. Subscription based service (~$0.55/mo.) offering a range of agricultural information via multiple mobile channels

2. Farmers receive daily SMS tips and can access specific content via IVR menus navigation or calling a dedicated agriculture helpline

3. Operating on a revenue share with MNOs, they are projected to reach break even within the mFarmer grant period

Indian States Language

Uttar Pradesh Hindi

Bihar Bhojpuri & Hindi

Madhya Pradesh Hindi

Maharashtra Marathi & Hindi

Andhra Pradesh Telugu

Karnataka Kandada

How does Farmdream make money?

1.Commission on transaction of goods

2.Subscription fee for member companies

3.Advertising revenue

4.Big data analytics service fee

Farmer’s Challenges = Farmdream Opportunities

Productivity LossesPoor knowledge of agri-inputs & nutrition, new

technologiesNon-availability of prices for crops across

marketsLack of accurate weather information

Supply Chain InefficienciesGap in supply-demand match

Intermediaries act in silosPoor logistics – causing wastage

Financial ExclusionNon availability of loans, payment

facilities, savings Non availability of insurance for

protection against crop failure

Key Challenges mAgri Applications & services

Information & Advisory serviceAgriculture, livestock & nutrition

servicesMarket prices

Weather forecast service

Supply Chain servicesRaw materials sourcing and

enhancementReal time visibility of supplier

networksTrack & trace facility of products in

supply chain

Mobile Financial services for farmers

Payments enabled by m-payment facility

Availability of savings, credit products

Micro insurance for crops

* Source: The Mobile Economy 2013, GSMA

The problem

1. Pricing Information Asymmetry leading to inefficiencies in the value chain.

2. Lack of centralized market mechanism leading to inconvenience and dead weight loss for the farmer and the buyer

3. Lack of transaction based market place leading to resource wastage

4. Lack of ranking mechanism making it difficult to rate good/bad/ugly buyers and sellers

5. Lack of technology agnostic market platform leading to exclusion of buyers and sellers

6. Lack of a centralized one stop solution leading to reduced diffusion of financial, insurance and other modern products

The solution

A virtual marketplace which

1. is easily accessible through any kind of mobile phone,

2. allows buyers and sellers to bid for products,

3. rank buyers and sellers based on the quality of the transaction,

4. allows the buyer and the seller to complete the financial transaction virtually

5. gives access to financial, insurance, farm input and health products

6. gives a forum to buyers and sellers to exchange ideas, share best practices and impart education

Product Overview

Agriculture Information Service

• Pricing information for produce by market• Weather information

Agriculture Produce transaction service• Buyer can procure directly from farmer• Transaction to be done over Farmdream portal using mobile money

Seed/ Fertilizer transaction service• Farmers can buy directly from the company• Existing distribution channel can be used with Farmdream to organize ordering and

mobile money for payment

Agriculture insurance• Cover loss during transportation• Loss in crop

Microfinance loans

• Loans for the farmer to buy seeds/ fertilizers• All exchange to take place through Farmdream using mobile money

The survey will mainly focus on the products and services listed below;

1

2

3

4

5

System Architecture Overview

TRADING PLATFORM

OPEN API ARCHITECTURE

CUSTOMER INTERFACE

Trading Platform1. The Trading platform is proprietary database driven

application designed on SQL and VB.Net

2. The Trading platform processes complex logics of linkages of commodities with quality and manages bidding processes and Transactions.

Open API Architecture1. The open API interfaces are to integrate the

platform with various 3rd party systems and associated integrations. Some of the Core API will be as 1. Web based communication API

2. Billing & charging API

3. Operator integration API

Customer Interface

The customer interface will be with the following key components

Customer

Interface

Mobile Applicati

on

Web Based

Interface

Legacy Telecom Interfaces (SMS,

MMS and

USSD)

Social Integrati

on

The team

1.More than 100 years of collective experience in the field of mobile telephony, mobile agriculture, mobile insurance, mobile banking and mobile health products

2.Detailed knowledge of market conditions in China

3.Access to MIT resources

Strategies for Realizing the mAgri Opportunity

1. Strong investments are needed in key areas:

2. User and content research

1. Uncover key consumer insights

2. Informs content development and service design

3. Engaging & localized content

1. Make people want to adopt what the content is advocating

2. Leads to demand generation

4. Service design

1. Prototype and user testing

2. Business intelligence

5. Marketing and distribution

1. Reach at the village level (ATL and BTL)

6. Partnerships