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Aadit Palicha Highlights Supply Chain Gaps in India’s Fresh Produce Market

Zepto CEO Aadit Palicha recently shared his vision for transforming India’s fresh produce logistics. In a LinkedIn post, he emphasized the need for a specialized supply chain system—what he calls a “Delhivery for fruits and vegetables (FnV)”—to address major inefficiencies in the market.

The Growing Demand for Efficient Fresh Produce Logistics

Zepto, one of India’s leading quick-commerce platforms, currently manages one of the country’s largest direct-to-farm FnV supply chains, processing over 20 lakh units daily. As consumer demand for fast and fresh grocery delivery rises, the gaps in India’s cold storage, packaging automation, and collection center networks have become increasingly clear.

Palicha pointed out key infrastructure challenges, including:

• Lack of ripening chambers for optimal storage.
• Inadequate packaging automation to ensure accuracy.
• Inefficient collection center networks, affecting sourcing quality.

Investment and Technology: The Key to Success

Addressing these challenges will require significant investment in infrastructure and technology. Palicha stressed that success in this space depends on “deep execution and tech capability building.”

As part of this vision, Zepto is working toward filing for an IPO by March or April 2025, with a potential $800 million to $1 billion fundraising target. The company also recently moved its headquarters from Singapore to India, signaling a strong commitment to its local operations.

Competition and Market Dynamics

This announcement comes amid competition with companies like Zomato and Blinkit, which also operate in the quick-commerce sector. Earlier this month, Zomato CEO Deepinder Goyal claimed that Zepto had the highest cash burn in the industry, a statement that Palicha publicly refuted.

Despite competition, the potential for growth in India’s fresh produce logistics remains vast, and Zepto is positioning itself as a major player in this evolving market.

Further Reading:

1. Economic Times: Aadit Palicha’s Vision for Fresh Produce Logistics
2. Inc42: Zepto’s IPO Plans & Market Expansion
3. YourStory: How Quick Commerce is Transforming India’s Grocery Market

What do you think about Zepto’s vision? Will India see a dedicated fresh produce logistics revolution soon? Let us know your thoughts!