Kagome Launches $50M AgriTech Fund in Partnership with SVG Ventures

Japanese food producer Kagome, via its U.S. subsidiary Garbic USA, has introduced a $50 million corporate venture capital fund aimed at supporting innovation in the agricultural industry. The fund, called SVG Ventures Sunrise Fund, will operate with a 10-year investment plan and is being managed in collaboration with Silicon Valley-based venture capital firm SVG Ventures.

SVG Ventures will serve as the fund’s general partner. The fund aims to drive advancements in agritech. The SVG Ventures Sunrise Fund will focus on backing startups developing agricultural technologies worldwide. 

With initial investments ranging from $500,000 to $1 million per startup, the fund will support early-stage ventures and may offer follow-on funding as needed. 

Kagome’s current U.S. operations, such as Ingomar Packing Company and United Genetics Seed Company, will be crucial in evaluating and applying the technologies supported by this initiative.

Kagome, known for its tomato-based products and its leadership in Japan’s ketchup market, sees this fund as a response to the challenges faced by the agri-food industry. 

The company has identified an imbalance between the agricultural environment and available technology, driven by factors such as climate change and crop diseases. Kagome aims to tackle these issues head-on by partnering with SVG Ventures and driving innovation in drought-resistant crops and other sustainable farming solutions.

Hiroyuki Ueda of Kagome’s Global Agri Research & Business Center emphasized the importance of innovation in overcoming the challenges facing global agriculture today. He highlighted the need for sustainable solutions to ensure the future resilience of food systems and expressed confidence that the Sunrise Fund would be instrumental in supporting startups addressing these challenges. 

John Hartnett, founder and CEO of SVG Ventures, also highlighted the strategic alliance’s potential to transform the agricultural value chain. By combining Kagome’s expertise and history with SVG’s experience in investing in agritech startups, the Sunrise Fund aims to support sustainable innovation, not just for Kagome, but for the broader agricultural community as well.

SVG Ventures, known for its global agri-food innovation platform, brings extensive experience accelerating agritech startups. This partnership is a step toward building a more resilient and sustainable agricultural value chain.

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