AGRO Score provides benchmarks and instant risk scoring for agricultural lenders, removing guesswork and biases
Agrograph, an agri-tech company, has introduced AGRO Score, a new risk score management solution for agriculture, aimed to support lenders in assessing the creditworthiness of farmers.
AGRO Score from Agrograph offers a standardised farm-to-farm creditworthiness rating that ranges from one to five.
The creditworthiness is determined by analysing field-level data such as land use, crop yields and market demand among several other scientifically validated environmental factors.
The agri-tech firm’s latest risk management solution is claimed to address the modern challenge faced by agricultural lenders, which is how to streamline the credit assessment process from field to financing.
The AGRO Score measures both the risk and spatial distribution of a client’s productivity, which a lender can use for pricing and portfolio management.
Furthermore, the lenders can significantly rely on the solution, as it removes the risk of self-reporting application errors and can accurately compare farm-to-farm values. This also allows for local, regional and global benchmarking.
Agrograph offers field-level predictions for farmers
Agrograph uses a machine learning application which takes satellite images and processes the information into highly useful data not only for agricultural lenders but also to farmers. Its field-level predictions can be used to solve several agronomic problems.
The technology is claimed to provide instructions on when to plant, plough, irrigate and harvest the crop to better meet sustainable outcomes.
Agrograph founder Mutlu Ozdogan said: “Historically, few lenders had analytical tools to understand the various factors impacting on-farm profitability and even those that do are limited to a small geography.
“Now, with our AGRO Score standardised metrics scale operational loans, giving financial institutions the ability to serve farmers across the globe.”
Agrograph co-founder Jim O’Brien said: “Farmers need access to reliable and consistent financial resources, and the AGRO Score broadens the financial tools available to farmers by providing institutions with the confidence needed to invest in agriculture.”