Kashmir, often called the “crown jewel of India” due to its breathtaking landscapes and rich cultural heritage, is also known for producing some of the finest agricultural products such as saffron, almonds, and walnuts. However, the region’s agricultural legacy is under threat due to the rise of counterfeit products flooding the market.
According to a study by the Spices Board of India, adulteration in saffron has resulted in significant financial losses for both consumers and farmers in the region.
This alarming trend inspired Amir Hameed Mir to start AMSAA, a Direct-to-Consumer (D2C) brand, in 2023. The company aims to deliver authentic Kashmiri products such as saffron, almond, and honey, around the world while empowering local farmers.
“Genuine Kashmiri saffron is sold at a premium price, typically between Rs 2-3 lakh per kilogram. However, due to adulteration, farmers are often forced to sell their saffron at significantly lower prices, leading to a loss of around 40-50% of potential revenue,” Mir tells YourStory.
“Being a Kashmiri, I felt responsible for ensuring that people have access to genuine products from our region. It wasn’t just about saffron; it was about the trust associated with Kashmir’s rich heritage,” says Mir.
The founder invested about Rs 50 lakh from personal savings to bootstrap the startup.
The turning point
Five years ago, Mir was working as a government officer in the Legal Metrology Department in Anantnag in Kashmir. Though the job was stable, its repetitive nature left him unfulfilled.
After witnessing the growing crisis of counterfeit Kashmiri saffron—a product that is a symbol of the region’s agricultural heritage, Mir decided to draw on his expertise in legal metrology and began investigating the supply chain of saffron and other Kashmiri products.
Mir discovered that out of the 1,600 kg of saffron produced annually in Kashmir, much of what was sold in the market was fake, often replaced with cheaper, imported varieties.
“A friend asked me to get authentic Kashmiri saffron for his pregnant wife. Despite being a Kashmiri, I struggled to find genuine saffron and ended up buying fake produce. Realising this was consumed by a pregnant woman left me disturbed. I knew I had to do something to change the system,” he recalls.
The real victims, Mir found, were the farmers. Exploitative middlemen forced them to sell their saffron, almonds, and walnuts at drastically low rates. Meanwhile, consumers, unaware of the adulteration, paid exorbitant prices for goods that were often fake or mixed with inferior products.
Mir realised that the only way to rectify this injustice was to bridge the gap between the producers and the consumers. He left his government job to launch AMSAA to empower farmers and create a transparent supply chain.
AMSAA’s offerings
AMSAA initially focused on B2B saffron exports, but a few months later expanded to B2C, offering a product line.
Currently, it offers three flagship products—Mongra Saffron, Acacia Honey, and Amma Almonds. It plans to expand its product portfolio with 8-10 more by the end of the year. “We directly source products from farmers, ensuring purity and quality,” Mir states.
“We streamline the supply chain by integrating modern processes with traditional practices, ensuring products reflect Kashmir’s agricultural heritage while meeting global quality standards,” he adds.
So far, it has served 2,000 customers, with 60% of sales coming from international B2B orders. The startup has registered a repeat rate of 80%.
AMSAA Saffron
As of October 2023, AMSAA generated Rs 60 lakh in revenue, primarily from export sales to the US and Canada.
While AMSAA’s presence in the Indian market is still in its early stages, the company is optimistic about its growth prospects and expects to reach Rs 1 crore in revenue by the end of the year, with both offline and online channels contributing to sales.
The startup has collaborated with 25 farmers and Farmer Producer Organisations (FPO) in Kashmir to eliminate middlemen, provide fair compensation, and restore farmers’ faith in agriculture.
“Our farmers are the backbone of AMSAA. We work directly with them, providing fair prices and technical support to maintain the highest quality standards. It’s a partnership built on mutual respect,” Mir states.
AMSAA connects Kashmir’s farms to global markets through a multi-channel approach, offering products on major ecommerce platforms like Amazon, Flipkart, eBay, and JioMart, while maintaining a presence in over 100 retail outlets across India.
“We aim to empower farmers by providing a platform to sell their products directly to consumers, eliminating intermediaries to ensure fair prices and improved incomes. By promoting locally grown, organic produce, we strive to build stronger connections between farmers and customers, fostering economic sustainability,” he asserts.
Saffron sorting
Additionally, the startup has established retail partnerships with over 100 outlets and collaborates with wholesalers for B2B sales.
Challenges
In traditional supply chains, intermediaries exploit farmers by buying products at Rs 100-120 per kg and selling them for Rs 800-1200 per kg, leaving farmers with minimal profit.
“One of the biggest hurdles we’ve faced at AMSAA is helping farmers break free from the cycle of unfair pricing imposed by intermediaries. For many years, they’ve been forced to sell their hard-earned produce at low prices, with little understanding of the true market value,” Mir explains.
Many farmers are unaware of the true value of their products in D2C markets, leading them to sell at lower prices due to lack of market access. Prices of agricultural products, such as dry fruits, can fluctuate significantly due to factors like weather and crop yield.
“At AMSAA, we aim to ensure farmers receive fair prices for their quality produce by removing intermediaries and connecting them directly with consumers. While challenging established norms is tough, we believe empowering farmers with knowledge and market access will foster a more sustainable and equitable agricultural ecosystem,” he further says.
What next?
The India Dried Fruits Market is projected to grow at a CAGR of 6.2% from 2024 to 2033, with a valuation of $831.1 million in 2024, according to Custom Market Insight.
To fuel its next phase of growth, AMSAA is planning to raise Rs 50 lakh in funding next year. The funds will be used to enter the lucrative corporate gifting market and scale operations, says Mir. “This funding will help us reach new markets and cater to customers who value premium, authentic gifts for corporate and personal occasions.”
The company’s growth strategy includes opening exclusive brand stores in tourist hotspots such as Srinagar and Gulmarg, targeting high-value customers.
“We want visitors to experience the true essence of Kashmiri products. These stores will not only offer our products but also tell the story of Kashmir’s agricultural legacy,” Mir shares.
AMSAA competes with players such as Saffron and Dry Fruits Co, Kashmir Hills, Kashmir Box, and The Nut Cracker.
“At AMSAA, we stand out through our strong ties with local farmers, ensuring fair prices and sustainable, organic cultivation. Beyond offering dry fruits, we connect Kashmir’s farmers directly with consumers, delivering the authentic taste of our land while empowering the farming community,” he states.
