Startups reimagining farming through digital mechanization.

By Kilasa Mtambalike

In the heart of the country, where smallholder farmers have long relied on traditional tools like hoes and ox-plows, a new generation of agricultural startups is sowing the seeds of transformation.

Young entrepreneurs are reimagining farming by introducing affordable mechanization solutions that are bridging the productivity gap and driving food security.

One such trailblazer is Greenbiz Limited, a startup based in Kisongo, Arusha. This is a platform that captures what farmers are already doing, how much they save weekly, how they repay loans, and their farming activities and turns that into a digital credit profile.

Co-founder Daniel Elibariki says that the idea was born from a simple but powerful realization: rural farmers, especially women, were doing everything right; saving weekly, working hard, and forming cooperative groups, yet remained locked out of formal finance because they lacked collateral. 

“We saw these groups, known as Village Community Bank (VICOBA), as a foundation we could build on.

 By digitizing their financial records and aggregating their data, we realized we could build a trust bridge between these farmers and banks. That’s how the journey started out of a desire to make finance fairer and more inclusive for the people who need it most,” he says.

The startup addresses the financing gap for smallholder farmers, particularly the lack of access to credit due to traditional collateral requirements.

Agriculture contributes over 25 percent to Tanzania’s GDP, yet most smallholder farmers still rely on informal lending or personal savings. Without finance, there's no mechanization, no inputs, and no scaling. Given the growing threats from climate change and food insecurity, closing this gap has never been more urgent.

The company uses the profiles to secure collateral-free loans from partner banks and integrates agricultural advisory and sensor technology to help farmers make data-driven decisions and the result is that a farmer wakes up not just hoping for rain, but knowing when to plant, how much to borrow, and where to improve.

 

“We are focused on micro-mechanization, tools and technologies that fit the scale and budget of smallholder farmers. Things like soil sensors, drip irrigation kits, and precision planting tools. These might seem small, but for a farmer using only hand tools, they’re game-changers. We're filling the gap between traditional labor and full-scale mechanization, which is often unaffordable or unsuitable for small farms,” Elibariki says.

Elibariki says that one of the biggest hurdles in their operations has been digital and financial literacy.

“Farmers need to understand not just how to use our platform or devices, but why they matter. That’s why training is central to our model. We host in-person sessions and partner with local leaders and youth to serve as digital champions in each village. Building trust has also been key, most rural communities have been burned by “solutions” that disappeared after a pilot,” he adds.

Grenbiz Limited is among the beneficiaries of KilimoTech Accelerator. The brainchild of Youth Entrepreneurship for the Future of Food and Agriculture (YEFFA), the strategic initiative is supported by Alliance for a Green Revolution in Africa (AGRA) and implemented by Sahara Accelerator and aims to accelerate digital innovations in agricultural mechanization for Tanzania's smallholder farmers.

Emmanuel Senzighe, Kilimotech Accelerator Project Manager, says that The project focuses on enhancing productivity and sustainability in the sunflower, maize, horticulture, and rice value chains by supporting Agritech startups (Agripreneurs) and fostering partnerships among key stakeholders.

The program focuses on scaling Agritech startups (Agripreneurs) by providing tailored support, technical and business diagnostics, and technical mentorship. By connecting young women and men SMEs to mechanization, irrigation, and financial service providers, Kilimotech Accelerator fosters a vibrant ecosystem of innovators, startups, and key stakeholders.

This comprehensive approach aims to enhance the productivity of Tanzania’s agriculture sector by leveraging digital platforms to address key barriers such as high equipment costs, limited system integration, and restricted access to financing.

It further enables the most underserved farmers, particularly youth and smallholders, to leapfrog into modern mechanization by making essential technologies more accessible, affordable, and readily available.

   

“GreenBiz is one of nine innovative solutions currently being accelerated with tailored support to refine their offerings and develop proof-of-concept models that can enable scalable impact. The Accelerator is committed to driving sustainable growth and market readiness for these startups through mentorship, targeted workshops, ecosystem engagement, and strategic collaboration, ultimately aiming to expand youth employment and enhance access to mechanization services,” he adds.

      

As for Elibariki, KilimoTech has been instrumental in the growth of their startup and they see a brighter future on the horizon.

“The mentorship helped us refine our product-market fit, the network connected us with potential partners, and the exposure has opened doors to potential investors and partners we wouldn’t have accessed on our own. It’s been a catalyst for our next phase of growth,” he says. 

He notes that they expect a twofold impact from their operations: increased productivity through timely decision-making and smart investments, and a shift in labor dynamics where technology eases the burden on women and youth.

 

“With access to finance and mechanization tools, farmers can cultivate more land, reduce post-harvest losses, and generate higher incomes. Over time, we hope to see less outmigration of rural youth and more pride in farming as a tech-driven profession,” he says.

According to Elibariki, despite their expectations, their journey has not been devoid of surprises or memorable moments.

“One Maasai woman in our pilot group told us that for the first time in her life, she feels like a "bankable" person. That word “bankable” really stuck with us.

 It’s not just about money. It’s about dignity, confidence, and a sense of being seen and valued by the formal system,” he says.

Still, challenges remain. Agritech is tough because you’re dealing with two notoriously hard sectors, agriculture and finance.

 Getting banks to trust community data and getting farmers to trust tech requires patience and consistency, says Elibariki.

“We’ve faced setbacks in infrastructure, resistance to change, and even skepticism from funders. But the impact we’ve seen makes it all worthwhile,” he adds.

Mechanization has traditionally been the missing link in Africa’s agricultural development. 

According to the UN Food and Agriculture Organization, over 60 percent of sub-Saharan farmers still rely on hand tools. But startups are now stepping into this gap with technology tailored to local realities.

Creating an enabling environment for agri-tech startups means investing not just in individual ventures but in the ecosystem itself. 

Governments, donors, and private sector actors have a role to play in supporting research, building infrastructure (like rural connectivity), and shaping policies that promote innovation.

As the digital revolution sweeps through agriculture, the startups that will succeed are those with both the tools to build and the vision to lead. 

By equipping innovators with the right mix of business savvy and technical depth, we can unlock the full potential of technology to power a more resilient and productive future for farming.

And hopefully, somewhere out there, investors are taking note.