Agrileaf, a manufacturer and exporter of biodegradable tableware, has secured ₹16 crore in growth funding led by Capital-A and Samarsh Capital.

Speaking to the media in Mangaluru on Wednesday, Avinash Rao, co-founder of Agrileaf, said the investment will enable Agrileaf to expand its operations in existing markets in the US and Europe, as well as build a brand aimed at consumers in India. This is Agrileaf’s first fundraiser after being bootstrapped and profitable to date.

The round also saw participation from angel investors including Shaji Devekar, Siddharth Bafna, co-founder of The Nutcracker, Ved Prakash’s family office, Pritie Jain of Bling Mushrooms, Sumeet Bhalotia, director of Vario Lounge, Dhruv Taneja, founder of Matchlog, and Chiranth Patil of Beta Plus.

With this investment, Agrileaf will increase its production capacity, improve its biodegradable tableware and packaging line, and deepen its community impact.

Operating from a facility in Dharmasthala, Dakshina Kannada district of the state of Karnataka, Agrileaf integrates an areca leaf collection supply chain with robotics and AI-based quality control to ensure high quality compostable products that meet both market and environmental needs.

Currently, Agrileaf aims to produce up to 2 lakh tableware products per day by the end of 2025 and has created over 1,000 jobs, thereby supporting rural economic development.

Strengthen its mission

Rao said the support from Capital-A and Samarsh Capital enables the company to expand its reach and impact. This investment furthers its mission to bring sustainable, compostable tableware to global markets while supporting the local economy and promoting environmental responsibility.

“With this support, we aim to expand our operations, improve technology and continue to create positive change from the ground up,” he said.

Agrileaf makes biodegradable tableware from areca leaves. He collects areca leaves from Shivamogga and Dakshina Kannada districts of Karnataka.

He said the company would have 10 areca leaf collection centers in Shivamogga, Dakshina Kannada and Udupi districts by the end of this financial year. Agri-leaf plans to use the network of FPOs (Agricultural Producer Organizations) in these districts for this purpose.

Athishay Jain, co-founder of Agrileaf, said India exports ₹30-35 crore worth of biodegradable tableware made from areca leaves every month. The investment will help expand the company’s export market, he said.