CEO Talks recently held a discussion about the agriculture industry in Indonesia, which still faces many challenges and obstacles. At the same time, there are opportunities to grow the investment by involving technology and crowdfunding.
In late January, Chairman & Co-Founder Tani Fund Pamitra Wineka, CEO Vestifarm Dharma, and Chairman of Himpunan Kerukunan Tani Indonesia (HKTI) Moeldoko led a CEO Talks session to break down the potential investment in the agriculture sector by developing better business through technology.
Held at Fairmont Hotel Jakarta, the discussion pointed to the challenges of the agriculture sector, such as land issue where farmers have too many small and problematic lands to be tilled. Additionally, capital is still needed in the process of farming, while the existence of loan sharks as well as managerial and post harvest issues add to the problems. Commonly, farmers have not quite yet adapted to the current technology used in farming, both in farming techniques and as activator.
The farm as determined as one dimension of our lives, especially Indonesia, brings an established market has important role in the industry. On the other hand, investment in the old school business is still a challenge for human capital and investors.
The business of agriculture has already been swept up by the digital era, evident in the emergence of startups that dabble in the sector. The use of digital technology certainly helps the farmers and cuts the long supply chain, resulting in better products and more benefits for the farmers.
The CEO Talks raised important issues that might be of concern for the future of the agricultural industry, especially in terms of investment. Crowdfunding is a solution made up of three variables: change, innovation, and social entrepreneurship.
Using technology as an enabler, crowdfunding provides a solution for the capital issue faced by the farmers, using the excess supply of small investments from individuals.
Built from the spirit of social entrepreneurship, crowdfunding can create change for the better by providing an innovative platform bridging farmers with capital providers.