Terraa, based in Morocco and provides B2B tech-enabled food delivery, has successfully raised $1.5 million in pre-seed funding.
FoodLabs, a European early-stage VC investor and venture studio for food, sustainability, and health, took the lead in the funding round.
UM6P Ventures, Outlierz Ventures, Musha Ventures, and the Africa-focused DFS Lab were also investors in the round.
Youssef Benkirane and Benoit De Vigne founded Terraa in 2022, a company that buys fresh food directly from farmers and distributes it to retailers.
The business purchases fresh food from farmers to fulfill online orders placed by shops, restaurants, and other resellers. Orders can be placed on its website or through WhatsApp.
The majority of the procedures are carried out internally for quality control, but they intend to increasingly support certain of their operations by working with vetted external providers when this is practical.
“Morocco’s market for fresh food is highly fragmented, with numerous long-standing intermediaries. They operate according to habit rather than following any best practices in terms of technology or operations. High inefficiencies are evident along the entire value chain, from the farmer to the final customer, in addition to fragmentation. The other issue, according to Benkirane, is the opacity that permeates the entire value chain.
Terraa wants to utilize the funds to expand across Morocco’s cities and develop its logistics network. After a year, it wants to look into other regional markets.
Read more on Tech Gist Africa:
Chari, a B2B e-commerce firm in Morocco, receives $1 million from Orange Ventures
WafR, a Moroccan retail tech startup, has raised $1 million in a seed round
Jobop, a Moroccan startup, has secured a $1 million seed round