ImpactAlpha, July 19 – Waste of fresh food is a common problem in emerging markets where many small farmers lack access to cooling technologies, buyers and reliable logistics. “We dump/lose hundreds of thousands of tons of fruit and vegetables every day due to supply chain inefficiencies,” said Wheelocity’s Selvam VMS.
Chennai-based Wheelocity is a food logistics startup that functions as a high-tech middleman, supplying popular online grocers like Swiggy Instamart and Ninjacart with produce from farmers. Its network includes collection and distribution centers, logistics services, and “dark stores,” from which groceries ordered online are sent.
The company raised $12 million in a mix of equity and debt from Lightspeed India Partners, Anicut Capital and others.
Wheelocity is currently in 12 cities in India and wants to expand to an additional 30 cities over the next year. One risk: dependence on quick-commerce customers. The “instant delivery” sector, which surged in response to pandemic lockdowns, is struggling, with Pakistan’s Airlift being the latest casualty.