Agrikore ( eWallet System); Proposition and Benefit to Agriculture Financing
Agrikore also known as eWallet system provides a comprehensive system consisting of the technology,business processes, and a systematic organization of the actors in Agriculture on the African continent in a manner such that it is extremely de-risked and investable to a interested investors which may be individuals or institutions on a large scale. This has never been done before.
Normally, a potential Agriculture financier ( Government , Donor, Private Investor) is unable to easily incentivize production,produce offtake,processing and marketing by providing the needed liquidity either as a loan or grant to the various actors starting from the farmer. This is due to several factors including lack of access, inability to monitor, and ensure the application of the financial input, and a lack of leverage in retrieving the returns from the investment. Essentially, The Agriculture sector in Africa, despite its $330billion size in 2015 is not organized.
With Agrikore, the financier is insulated from the intricate system consisting of farmers, aggregators, offtakers, agro-dealers, insurers, and commodity buyers that create value in the form of produce etc from agricultural inputs because the technology provides the transparency , integrity & immutability that grows the confidence of remote actors in the system.
In the way Uber organized disparate single drivers into an organized ecosystem, Agrikore does the same for agriculture. By organizing the farmers etc in the ecosystem, and easing the flow of providing liquidity into the system, Agrikore incentivizes production & other value added services by ensuring that resources are available to farmers on time. The existence of the produce itself serves as its own collateral, and a system of insurance, and inspection ensures that the flow of inputs and its conversion to produce is seriously de-risked compared to without the network.
The entire system is now re-built and operated on the Agrikore blockchain facilitating transparency of all transactions, with an immutability of transactions and records that assures confidence to all participants. A comprehensive system of smart contracts further assures trust in the system by facilitating and enforcing expected outcomes of agro-financial processes including disbursement, administration, and repayment of agro-loans, produce delivery, storage contracts, and ware-housing, and grants and subsidy distribution. This is the first time on the African continent that a system that provides immutability , integrity and transferability of contracts within agriculture. We can now capture agricultural potential inside a digital ecosystem and create sustainable wealth.
And like a car consists of many parts under the hood all working together to move the driver of a car forward, where the requirement is simply to put in gas. The Agrikore investor also invests the liquidity that flows into the system, and gets to participate in the rewards of the system through that investment; but without having to create or operate any of the aspects of the ecosystem churning under the hood to create value in form of produce, and ultimately returns.
We have created a system that consistently creates value and also self-corrects due to the cyclical nature of agriculture thereby eliminating the risks of run-away asset price inflation (bubbles).
This is what Messers Cellulant has created, a system for ensuring that value can be created and it’s captured. The other sections of this white paper describes the way the ecosystem works based on real world experiences of our Liberia, Nigeria, Togo, Uganda etc.
(Co- Founder Cellulant Corporation & Ceo Nigeria)
Dr. Kehinde Alabi (PhD)
Nancy Chinemerem Nwaka
Jennifer Njedika Onyebuagu