Kilimo Innovates Water Conservation in Agriculture, Paying Farmers to Save Water

Water shortage is a pressing global challenge exacerbated by agricultural practices prioritizing crop production over conservation. While essential for food security, water-intensive farming methods contribute significantly to resource depletion and environmental strain.

Innovative solutions like Kilimo are emerging to promote sustainable agriculture by leveraging technology to optimize water usage. By incentivizing farmers to adopt water-saving practices and integrating advanced soil monitoring with satellite imagery, Kilimo represents a pivotal shift towards more efficient resource management in farming.

Kilimo Revolutionizing Agriculture

Kilimo is revolutionizing agriculture by helping farmers conserve water and earn rewards for their efforts. While most people associate water usage with household needs like drinking and bathing, a staggering 70% of global water consumption is actually used in agriculture, rising to 90% in poorer regions.

This essential resource is crucial for crop growth but often scarce for other purposes. In many regions, farmers are encouraged to use abundant water to ensure successful harvests, driven by governmental priorities to achieve food self-sufficiency without inflating water costs.

According to Jairo Trad, Kilimo's co-founder and CEO, their approach serves as a risk management strategy. To date, TechCrunch reported that the company has collected approximately 100,000 soil samples from 45 crop varieties across various countries, predominantly in South America.

These samples are then correlated with satellite imagery of farm fields, providing a practical solution for more efficiently monitoring soil moisture levels. Trad emphasized the importance of understanding soil behavior at ground level in specific regions.

Kilimo utilizes this knowledge to remotely monitor farm fields and provide water management advice to farmers. The service is fee-based, with Kilimo incentivizing water conservation by purchasing any surplus water saved by farmers and reselling it to companies within the same watershed.

Farmers receive a share of the proceeds, typically resulting in a 20% to 40% increase in their net earnings compared to what they paid Kilimo. All transactions adhere to the Volumetric Water Benefit Accounting standard and undergo verification by third-party entities.

Expanding Operations

Despite its decade-long presence, the startup is now focusing on expanding its operations amid growing concerns over water scarcity among corporate leaders. Currently active in South America, including its home base in Argentina and operations in Mexico, Kilimo is eyeing expansion into the Southwestern United States and Europe.

To fuel this growth, the company recently secured a $7.5 million Series A funding round. Led by Emerald Technology Ventures, the round also saw participation from iThink VC, Kamay Ventures, Salkantay Ventures, and The Yield Lab Latam.

Kilimo has established partnerships with major corporations, such as Microsoft, Intel, and Coca-Cola, all of which have made significant water conservation commitments. Recognizing the substantial water consumption of data centers and beverage production, Kilimo aims to engage more corporate partners.

Trad emphasized that while individual companies may not have a substantial impact alone, collaborating with corporations, governments, and development banks allows for collective efforts that can truly make a difference.