Can Insects Feed the World? GreenGrahi's ₹32 Crore Bet Says Yes!

In a major boost to India’s agri-biotech and sustainable protein sector, Avaana Capital has led a ₹32 crore seed funding round in GreenGrahi, a startup using insect biotechnology to create alternatives to traditional animal feed and chemical farm inputs.

This is the largest-ever funding round in India’s insect-based protein and agri-biotech space, marking a key milestone for the sector.

Other investors in the round include Huddle Ventures, Campus Fund, Blume Founders Fund, and prominent angel investors such as Nitin Sharma (Nexus Ventures), Anchit Gupta (Samara Capital), David Chen (Equilibrium Capital), and Sameer Brij Verma (Northpoint Capital).

GreenGrahi’s Focus: Insect-Based Protein and Bio Inputs

Founded by Shivali Sugand and Siddharth Sharma, GreenGrahi is building a biotech platform powered by the Black Soldier Fly (BSF) and its microbiome. The company produces insect-based proteins, oils, and hydrolysates designed for use in aquaculture, poultry, and pet food. These products aim to offer better nutrition, digestibility, and price stability compared to conventional options like fishmeal and soya.

In addition to animal feed, GreenGrahi also manufactures biological agri-inputs—such as biofertilizers, biopesticides, and biostimulants—that improve soil health and crop resilience, while helping farmers reduce the use of synthetic chemicals.

The startup has developed a proprietary biomanufacturing platform that allows for high-quality and cost-efficient production at scale. This technology helps bring insect-based solutions to the mainstream market, moving them beyond niche usage.

Backing from Climate and Impact-Focused Investors

Speaking on the investment, Shruti Srivastava, Investment Director at Avaana Capital, said, “GreenGrahi is creating important innovation in the food and agri-tech sector. Their technology enables the production of affordable and scalable ingredients, which are key to building resilient food systems.”

Huddle Ventures, an early investor, also participated in this round.

“India needed a full-stack operator to build in this space. GreenGrahi has taken that step with its BSF bio-factory. We’re excited to support their journey,” said Ishaan Khosla, Partner at Huddle Ventures.

GreenGrahi is already supplying its products to shrimp, poultry, and pet food manufacturers. Results from early use cases include:

• 7% improvement in shrimp growth and survival

• 10% higher weight gain and 28% more egg production in poultry

• Improved gut health and immunity in pet food

• 25–30% higher crop yields in agriculture, along with better soil nutrient retention and fewer pest attacks

These results show the potential of insect-based inputs in improving performance while reducing environmental damage caused by traditional methods.

Scaling Up: India’s Largest BSF Bio-Factory

The funds raised will be used to build India’s largest Black Soldier Fly bio-factory, capable of processing 150 tons of feedstock daily. The company will also expand its research and scientific team and prepare to enter international markets, including the US, UK, and EU.

With an estimated annual demand of ₹510 crore for its products, GreenGrahi aims to meet growing needs both within India and globally.

Addressing Key Food and Farming Challenges

The startup’s work comes at a time when global protein demand is rising and traditional resources like fishmeal are under pressure. Insect-based solutions offer an alternative that is not only sustainable but also scalable and economically viable.

Co-founder Siddharth Sharma said, “We want to make high-quality feed and agri-inputs accessible, affordable, and science-backed. Our goal is to support food security while reducing the pressure on natural resources.”

GreenGrahi’s approach combines science, sustainability, and scalability to address long-term challenges in food production and agriculture. As the Indian startup ecosystem continues to grow across sectors, deep-tech ventures like GreenGrahi are showing how innovation can also come from the lab and the farm, not just the boardroom.

This investment marks an important moment for insect biotechnology in India, and GreenGrahi’s next steps will be closely watched as it scales operations and expands globally.