Auri Grow India Launches AI-Powered Carbon Credit Platform; Targets 1 Lakh Farmers and Rs 16-50 Crore Annual Carbon Value

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Auri Grow India Launches AI-Powered Carbon Credit Platform; Targets 1 Lakh Farmers and Rs 16-50 Crore Annual Carbon Value

The company has a market cap of over Rs 100 crore and the stock is up by 78 per cent from its 52-week low of Re 0.45 per share.

Auri Grow India Ltd has announced the launch of CarbonKrishi, an AI-enabled carbon credit agritech platform, marking its entry into the fast-growing carbon credit and ESG ecosystem. The company aims to onboard around 1 lakh farmers, with the initiative estimated to generate Rs 16–50 crore annually in gross carbon credit value, subject to verification and prevailing global prices.

CarbonKrishi is designed to help farmers adopt sustainable agricultural practices such as soil carbon enhancement, optimised fertiliser use, crop rotation, organic cultivation and water-efficient farming. The platform leverages AI analytics, satellite imagery, crop and soil data, and digital reporting systems to estimate farm-level carbon impact and enable participation in global carbon markets.

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At an indicative platform participation or commission share of 20–30 per cent, Auri Grow estimates a potential Rs 3–10 crore in annual revenue from carbon credits. The company has clarified that these figures are indicative and depend on multiple variables, including farmer participation, verification outcomes and carbon prices.

For FY24–25, Auri Grow reported sales of Rs 175.55 crore, compared to Rs 16.76 crore in FY23–24, reflecting nearly 10-fold growth. Net profit for the year stood at Rs 7.17 crore, up from Rs 51 lakh in the previous year.

Separately, the company has accepted, in principle, a proposal from Hong Kong-based Foreign Institutional Investor Luminary Crown Ltd to acquire up to 24 per cent equity stake at an indicative price of Rs 2 per share, subject to regulatory and shareholder approvals. The company’s share price on 6 January stood at Rs 0.75. The proposal does not involve management control, and Auri Grow is evaluating permissible transaction structures, including rights issue, Qualified Institutions Placement (QIP), preferential allotment or market-based acquisitions.

The Letter of Intent (LoI) from Luminary Crown also outlines strategic collaboration initiatives. These include expansion into rice aggregation, processing and exports targeting GCC and select European markets; development of hydroponics and aeroponics farming projects with an estimated project cost of Rs 55 crore, indicative annual revenue potential of Rs 180–200 crore and net margins of around 13 per cent; and the establishment of organic farming operations on company-owned land parcels for a minimum tenure of five years.

Commenting on the development, Mr Pratik Kumar Patel, Director, Auri Grow India Ltd, said the launch of CarbonKrishi represents a key step in the company’s transition towards a technology- and sustainability-driven agri platform. He added that the initiative aims to unlock incremental income for farmers while creating a scalable, asset-light revenue stream aligned with long-term ESG-led value creation.

The global carbon credit market is witnessing strong momentum due to regulatory requirements and corporate Net-Zero commitments. Agriculture, though under-utilised, is emerging as a significant contributor to carbon credits, and Auri Grow aims to monetise this opportunity through CarbonKrishi’s technology-led platform model.

About the Company

Based in Indore, Auri Grow India Ltd (formerly Godha Cabcon & Insulation Ltd) is a specialised manufacturer of electrical conductors and cables, including ACSR, AAAC, and AAC for power transmission and distribution. Since its incorporation in 2016, the company has evolved from a family-led manufacturing setup into a diversified entity, expanding its operations into agri-tech and exports alongside its core power sector business. Having recently achieved a significant financial turnaround from losses to profitability, the firm is attracting increased interest from foreign investors as it scales its production of both overhead lines and underground cabling solutions.

The stock’s 52-week high is Rs 1.36 per share and its 52-week low is Re 0.46 per share. The shares of the company have a single-digit PE of 18x whereas the industry PE is 33x. The company has a market cap of over Rs 100 crore and the stock is up by 78 per cent from its 52-week low of Re 0.45 per share.

Disclaimer: The article is for informational purposes only and not investment advice.