Terrantic secures US$3.5M to optimize supply chain management and crack down on food waste
08 Aug 2024 --- Terrantic, a data platform for modernizing operations in the food supply chain, has announced the closing of its oversubscribed US$3.5 million seed round. The Seattle start-up will inject the funds into supporting food processing companies to reduce food waste and improve output by optimizing supply chain operations.
Supply Change Capital led the round with participation from York IE, Vitalize VC and existing investors Array Ventures.
Noramay Cadena, managing partner at Supply Change Capital, says that Terrantic’s technology will help upgrade the F&B industry’s performance, bolstering sustainability.
“An optimized and data-informed supply chain is critical to enabling a sustainable food system. Operational efficiency and data insights within the supply chain — from food processing to agriculture to process manufacturing — are the keys.”
Tech tackles food waste
According to the World Food Programme, food loss and waste cost the global economy an estimated US$1 trillion. Food waste also produces up to 10% of global greenhouse gas emissions.
Food waste remains a pain point for F&B businesses, costing significant time and money. However, advanced machine learning models have created space for the players along the food value chain, including third-party organizations.
Terrantic’s model connects different data sources and provides contextual insights across business functions. It learns an organization’s operations and helps with planning and scheduling, which ensures that products reach consumers at the highest level of quality.
“Our goal is for food processing companies to never have to review a business intelligence report or pay for data professional services again,” says Trevor Cox, co-founder and chief business officer at Terrantic, adding that this is an opportunity for the start-up to help more food processing companies be more productive.
Terrantic’s clients include Columbia Fruit, Servico and the University of California, Merced among others, who use its AI-enabled contextualization engine to fix operative disruptions in the food processing sector. The technology can expand shelf life in addition to improving margins and throughput.
“Our technology is the nerve center that provides food processors with the end-to-end visibility and contextual execution they need to connect the food supply chain,” says Krishna Srinivasan, co-founder and CEO of Terrantic.
“It is the foundational operating system that has helped food processing companies increase shelf life by 20% and production throughput by 40%.”
“We are just getting started. Investments in improving our technology and sales engine will help us reach and change the operations of many more companies in the future.”
Terrantic estimates that the US has a US$20 billion serviceable market for farmers and food processors.
