GreenLabs, an ag-tech startup in South Korea, plans to start its Series C round after successfully grabbing a huge $140 million fund.
Based in Hong Kong, BRV Capital Management led the fundraising venture with SK Square of SK Group from a South Korean conglomerate and SkyLake Incuvest as an investing participant from Seoul.
How Does GreenLabs work?
Ever since GreenLabs was founded in 2017 in Seoul, it has been aiming to introduce tech advances to distribution and production, two vast domains in agricultural operations.
- Farm Morning, a mobile app platform for farmers and growers to use technology for farm management, is how GreenLabs is working on the production side in ag-tech.
- This software enables the farmers to monitor various factors in real-time, like temperature and humidity, through active sensors.
- The application also allows the farmers to keep an eye on the weather conditions in their region and prices in the markets for fresh produce. It even provides agronomic advice to farmers, which are all very handy for the growers.
- The data from sensors and application, in return, allow the AI of the app to automatically perform various important tasks like when to open or close the doors, roofs, and ventilating outlets in greenhouses or adjust their temperatures in relevancy to the climate of that region.
- On the distribution side, GreenLabs owns an online marketplace called “Sinsus Market”. This farmer-to-business online marketplace creates a connection between the farmers and enterprise buyers. The marketplace even allows the farmers to connect with online grocery stores and reach the end consumers with high efficiency to boost their sales.
The Broader View:
South Korea’s reputation as a technological genius country does not harmonize with its image of advancement in agricultural technology.
According to an interview given by Charlie Sanghoon Shin, the CEO, and co-founder of GreenLabs, to The Chosun Ilbo, only 1% of the agricultural industry in South Korea is using technologies for smart farming. In comparison, Canada and Netherlands use 35% and 99% of these technologies and are making great economic development.
What Do The Statistics Say?
- According to GreenLabs, 25% (500,000) farmers in South Korea are using its platform for their growing and selling ventures.
- Its marketplace is being used by around 10,000 clients.
- When the Covid-19 pandemic was at its peak in 2020, $21 million or ￦25 billion worth of sales were reported with an annual growth of 170%.
Using the Series C capital, GreenLabs is planning for a global extension while it has already set foot in Vietnam and China. As a result, growers of strawberries and Ginseng are making considerable use of its technologies in these countries, whereas, in other markets, GreenLabs will start ventures with local partners to firm its initial grip in the markets.
Where Does GreenLabs See Itself In The Future?
According to the CEO of GreenLabs, the startup has swiftly made an impact via its online platforms of SinSus and Farm Morning in South Korea. He believes the startup will become one of the best in the market within the next five years while partnering with other key players hoping to work to better the global food supply.