How VilCart is rewiring rural India's kirana economy

Bengaluru: In a country where village markets often remain underserved, Bengaluru-based rural commerce platform VilCart is quietly building what its founder calls a “parallel rural economy”. What began in the agricultural heartland of Mandya has today grown into a supply-chain network spanning 30,000 villages and nearly 100,000 kirana stores across South India.

Founded by C Prasanna Kumar, who hails from an agricultural family in Mandya, VilCart was born out of firsthand exposure to the challenges faced by farmers, small retailers, and consumers. After qualifying as a Chartered Accountant in 2009 and briefly working in the profession, Kumar spent years studying inefficiencies in village supply chains, before formally launching VilCart in May 2018.

The company has since scaled revenue from Rs 48 crore to nearly Rs 1,200 crore in FY25-26, emerging as one of India’s fastest-growing commerce platforms focused exclusively on Bharat markets.

Kumar’s idea was to create a supply chain designed specifically for villages — not as an extension of urban retail, but as an independent ecosystem of its own. Today, VilCart is positioning itself as India’s “Grameen Superbazaar” — a one-stop commerce ecosystem, where villages can access products, services, and opportunities closer to home.

“Our vision is to build a Grameen Superbazaar for rural India — a complete ecosystem where villages can access products, services, and opportunities, without depending on urban markets,” Kumar explains to DH.

VilCart operates a rural-to-rural supply-chain model that connects Farmer Producer Organisations (FPOs), rural mills, kirana stores, and consumers directly, cutting out multiple urban intermediaries. The company primarily targets villages with populations below 5,000, which account for nearly 96% of India’s villages.

The platform addresses several persistent challenges: inconsistent product availability, procurement inefficiencies for kirana stores, and limited market access for farmers.

Before VilCart, many kirana store owners travelled to nearby towns every week to purchase inventory. Today, the company supplies products directly at their doorsteps every three days, through a demand-led distribution network. It currently works with more than 58 FPOs and rural mills across Karnataka.

For consumers, essentials become more affordable and accessible closer to home. For kirana stores, inventory management becomes easier, margins improve, and dependence on wholesalers reduces sharply. For farmers and producers, VilCart creates a more stable and consistent market for their goods.

The company now serves around 14,500 villages in Karnataka alone, and processes nearly two lakh orders every month. It indirectly reaches more than 2.5 lakh families.

Its financial growth has mirrored its operational expansion. Revenue rose from Rs 883 crore in FY23-24 to Rs 1,176 crore in FY25-26, with the company targeting Rs 1,500 crore in the current financial year. VilCart has also reduced losses from nearly 6% to 4%, and expects to achieve break-even by October 2026.

“We are building for long-term sustainability, not just short-term scale. Bharat markets require patience, trust, and consistency,” Kumar says.

C Prasanna Kumar

Funding expansion

The company’s rapid expansion has also attracted investor interest. VilCart has raised nearly Rs 217 crore so far through angel and private equity investors. It is now preparing to raise about Rs 200 crore through a Series B round.

“We are in talks with investors and expect to close the round within the next quarter,” Kumar adds.

A major driver of profitability has been the company’s growing portfolio of private-label products, which currently contribute 18% of total revenue. These include edible oils, biscuits, masalas, agarbatti, and mosquito repellents. According to Kumar, private labels offer higher margins of 10-15% for kirana stores, while also reducing prices for consumers.

Kumar believes Bharat markets differ fundamentally from urban India. “Village commerce is relationship-driven, not discount-driven. Once trust is built, customer loyalty is extremely strong,” he says.

Future roadmap

Looking ahead, the company plans to reach 150,000 kirana stores and expand deeper into South India before scaling nationally. It is also exploring financial services, electronics distribution, and drone-based logistics.

Technology adoption is also steadily increasing. While nearly 70% of orders are still placed through telesales, the remaining come via the company’s mobile app. VilCart has also begun piloting a B2C model in Mandya district.

Despite the rapid growth, Kumar believes that the company’s larger mission goes beyond commerce.

“Our long-term vision is to create a self-sustaining ecosystem, where villages are economically-empowered and less-dependent on urban systems,” he says.

As startups increasingly look beyond metros for growth, VilCart’s rise signals how Bharat’s next big commerce opportunity may lie deep inside India’s villages.