Data Snapshot is a regular AFN feature that analyzes agrifoodtech market investment data provided by its parent company, AgFunder.
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According to the newly released 2022 Africa Agrifoodtech Investment Report, early-stage investment in African agrifoodtech startups has gained significant momentum in 2021. Seed-stage deals typically dominate venture capital investment activity in any market, but in Africa, the number of seed-stage deals increased by nearly 70% compared to his 2020. did. According to AgFunder’s global report, the global stage is up year-over-year.
Seed-stage activity in Africa was a large part of total deal activity, with 121 deals accounting for 80% of all agrifoodtech deals in Africa closed that year. On the world stage, that number was closer to his 60%.
Agrifoodtech isn’t the only early-stage investment gaining traction. Seed-stage dominance was evident across VC investments in Africa in 2021. Partech Partners reports that 74% of deals were in the seed stage.

The top seed-stage deals on record were combinations of technologies that improve the supply chain and distribution of food to consumers, from eGrocery and retail tech to Midstream Technologies and Agrifood fintech. His biggest seed round was Egyptian e-grocery and delivery platform Rabbit, where he secured $11 million in pre-seed funding.
What is causing the high number of deals in the seed stage?
- Although cross-sectoral, early-stage funds focused on local markets are being launched across Africa. The top three most active investors of the year were all local funds, focused on investing in early stage startups. Launch Africa, Flat6Labs Cairo, and LoftyInc Capital Management are all backing startups between the seed and Series A stages.
- Other companies set up to help early-stage startups include Microtraction, Future Africa Fund, Savannah Fund, and Google’s Black Founders Fund for Africa.
- The positive momentum gained by the success of several fintech unicorns on the African continent has undoubtedly fueled early-stage investment enthusiasm. The fact that many agrifoodtech start-ups are fintech in nature only helps promote the sector.