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Naagin’s ‘Soil to Sauce’ Model Redefines Chilli  Sourcing Through Direct Farmer Partnerships

Naagin’s ‘Soil to Sauce’ Model Redefines Chilli  Sourcing Through Direct Farmer Partnerships
Naagin chilli sourcing

SUMMARY

India’s chilli supply chain has historically been fragmented, with various intermediaries  inflating costs and creating uncertainties for both farmers and food and beverage  brands. As Naagin expanded its reach into retail, international markets, and food service partnerships, the demand for high-quality chillies surged, prompting the brand  to rethink its sourcing strategy. The answer lay in a direct farmer partnership model  called ‘Soil to Sauce,’ which aims to streamline procurement, ensure consistent quality,  and provide fair pricing, along with reliable support and income for growers. 

Founded by Mikhel Rajani, Arjun Rastogi, and Kshitij Neelakantan, Naagin has  consistently championed Indian chillies through innovative products. This initiative  signifies a strategic shift from merely sourcing ingredients to actively managing the  agricultural supply chain. 

Grass-Root Impact: Reducing Risks for Farmers 

Naagin collaborates with farmers throughout the entire crop cycle—from planting to  harvest. Farmers benefit from custom seed varieties and pre-harvest financial support  for essential equipment and resources, which enhance both yield and quality. This  approach eliminates the need for farmers to make upfront investments, ensuring that  no corners are cut and promoting more efficient cultivation. Naagin commits to  purchasing the entire harvest at a premium above market rates, addressing the  common issue of “grading loss,” where high-quality produce is often rejected due to its  imperfect appearance. In cases of significant crop failure, Naagin covers costs,  providing a rare sense of stability and income protection in an otherwise unpredictable  sector. 

“A few years ago, the toughest challenge was growing a good crop only to face  uncertainty at the time of sale. So many factors are beyond our control. With Naagin, 

the process is straightforward, and the outcomes are reliable. It feels more like a  partnership than just a supplier relationship,” shared a partner farmer from  Maharashtra. 

Naagin’s hands-on approach with farmers has been greatly enhanced through its  collaboration with Hi Rich Seeds (HRS), led by Dr. Narendra Singh, Senior GM of R&D,  and his team. Farmers receive tailored seed varieties and technical guidance on  modern agronomy to maximize yield. 

Boosting Operational Efficiency through Partnership 

By managing seeds, providing equipment support, and guaranteeing buybacks, Naagin  ensures that chillies maintain consistent flavour and heat, allowing for uniformity  across batches. Moreover, direct sourcing cuts out multiple layers of intermediaries,  reducing transaction costs and enabling more investment in quality raw materials. 

“In our food ecosystem, farmers are frequently the most marginalised participants, and  this needs to change. It has been enlightening to work with them. Our aim is to create a  sourcing model where they earn fairly, experience less uncertainty, and genuinely feel  supported, while we secure the consistent quality needed for a global brand. If we can  demonstrate that this model leads to better business outcomes, we hope to influence  the way India grows and sources food for the better,” said Arjun Rastogi, Co-Founder of  Naagin. 

A Vision for a Sustainable Food Ecosystem 

Currently in its pilot phase, the ‘Soil to Sauce’ model illustrates that social responsibility  and commercial efficiency can coexist. By providing assured buybacks, transparent  pricing, and agronomic support, Naagin Foods is laying the groundwork for a more  equitable, transparent, and resilient spice supply chain in India.

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