(Mint file)
(Mint file)

IFC invests $18.75 million in Srinivasa Farms

  • The company has so far received $9.37 million of the investment
  • Srinivasa Farms, which has eight retail stores in Hyderabad, is looking to tie up with e-commerce sites to diversify its business

In a major boost to its operations, Hyderabad-based Srinivasa Farms Pvt Ltd (SFPL) will receive an investment of $18.75 million from the International Finance Corporation (IFC), a member of the World Bank, as part of its strategic investment to support India's agri-business sector. The company has so far received $9.37 million of the investment.

"We will be utilising the investment for capacity expansion mostly, and we are looking at more breeder farms and hatcheries in north India and Tamil Nadu," said Suresh Rayudu Chitturi, vice-chairman and managing director, SFPL, at a press conference on Thursday in Hyderabad. He added that as of now his company has one (poultry) processing plant in Hyderabad and another is soon going to start in Andhra Pradesh.

SFPL, which has eight retail stores in Hyderabad, is now looking to tie up with e-commerce platforms to diversify its business, stated Mr. Chitturi. He added that that step is currently being discussed, with regard to reaching the final customer. "In a day, about 20,000 birds are processed. Over the next 2 to 3 years we will double our capacities. The plan is to pursue a collaborative growth model to expand allied businesses such as retail, processed foods and agri-businesses, besides value added products. Our project expansion will create many more jobs with best practices in work force management and sustainable development keeping environment in focus," he added

The Srinivasa Group was founded in 1965 when Jagapati Rao Chitturi (chairman) forayed into the poultry business in Hyderabad. The company also has interests in soya, feed, contract farming, chicken processing and retail. On Thursday's press conference, it was also announced that Hy-Line International, a world leader in chicken layer (egg laying) genetics, has tied up exclusively with Srinivasa Farms in India as well.

The group is also setting up a mega food park as part of its diversification plans to provide food processing infrastructure to small and medium enterprises in Andhra Pradesh in a plug and play mode. The IFC is a sister organisation of the World Bank, which works with more than 2,000 businesses worldwide.

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