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Farm Machinery: Pay-Per-Use Model to Help Farmers

Pay-per-use model is having the transparency of cost. The services of em3 is almost immediate and of good quality. Em3 does farming services on demand and it proved as timely, economical.

To provide on-demand services for farmers, the company owns farm implements, tractors and aggregates tractors from John Deere, farm equipment from Trimble. Currently this start-up works with 25,000 farmers. The requests for equipment would come in advance or at short notice.

The CEO at em3, Adwitiya Mal said, "We are proving services throughout the cultivation cycle for famers in Gujarat, Madhya Pradesh, Chhattisgarh and Rajasthan. When farmers call us or reach out to our representative in the centres then these centres would in turn route their requests to company." From the labour perspective and a mechanisation perspective, companies are at an advantage. Investing on farm mechanisation proves unviable for smaller farmers, renting them on paying for farming services proves economical.

CEO, of Trringo, a start-up of the Mahindra and Mahindra group which operates in the FAAS (farming as a service) space, Arvind Kumar "Farmers use tractors along with farm implements such as harvesters or tillers and the unorganised service providers may not have all of them ready and hence, the farmers need to depend on multiple sources."

Adopting the Uber model to increase mechanisation and overcome labour shortage for farmers. The company plans to set up hubs through the franchise model, having signed an MOU with the government of Karnataka. The company has also tied up with John Deere and individual entrepreneurs who already rent out to farmers to aggregate the tractors and farm implements.

To offer tractor and farm equipment to farmers in the state, the Karnataka government has tied up with VST Tillers, John Deere and Mahindra and Mahindra.