What's Happening?
A guest article by Sarah Nolet and Connie Bowen calls for agtech venture capitalists to collaborate rather than compete over limited resources. Despite agriculture being a $3 trillion global industry, only $16 billion was invested in agrifoodtech in 2024,
with most going to foodtech. The authors argue that the sector is at an inflection point, with exits and real returns yet to materialize. They emphasize the need for a united front to sell agtech's investability and to adopt an abundance mindset, focusing on complementary strategies to fund the full value chain.
Why It's Important?
The call for collaboration among agtech VCs is crucial for addressing the existential pressures facing the agricultural industry, such as climate volatility and labor shortages. By working together, VCs can build a stronger foundation for agrifoodtech as an investable category, attracting more capital and driving innovation. This approach can lead to more effective solutions for farmers and the agricultural sector, ultimately improving food security and sustainability. The article highlights the importance of moving beyond vanity metrics and focusing on substantive differentiation to achieve meaningful impact.
