Swedish agritech startup OlsAro has raised €5 million ($5.5 million) in Seed funding to expand its AI-enabled crop breeding platform and prepare for the commercial launch of its salt-tolerant wheat.
The round was co-led by Industrifonden and Nordic Foodtech VC, with participation from Future Food Fund, PINC, AgFunder and GU Ventures. The financing brings OlsAro’s cumulative funding to €7.5 million ($8.3 million).
Developing Climate-Resilient Crops With AI
OlsAro develops wheat and other cereal crops designed to maintain yields under environmental stress, including soil salinity, heat and drought.
Its SeedAX platform combines AI-based genetic analysis with genomic, transcriptomic and field trial data to identify traits associated with crop resilience.
The company uses two development approaches depending on regulatory requirements. The first involves EMS mutagenesis, which introduces genetic variation into seed populations, followed by screening to identify desirable traits. The second uses gene editing to incorporate identified traits into locally adapted crop varieties.
According to OlsAro, its population-based approach allows the company to develop varieties that are not classified as genetically modified in its target markets.
“We have spent years proving that we can identify and develop genetics that perform under some of the conditions putting the greatest pressure on agriculture. This round is about turning that capability into a platform that seed companies can use repeatedly.”
— Elén Faxö, CEO of OlsAro
Preparing for Commercial Launch in 2027
OlsAro’s first product is salt-tolerant wheat, which has demonstrated up to 41% higher yields than a moderately salt-tolerant variety under saline conditions in Bangladesh.
The company is working with Bangladeshi seed producer Lal Teer Seed toward a commercial launch in 2027.
Its wheat varieties are also undergoing trials in Kenya and Pakistan, while additional salt- and heat-tolerance trials are taking place in Egypt, Italy, Canada and Australia.
In India, OlsAro is collaborating with DCM Shriram, which has conducted field trials of its salt-tolerant wheat lines in Uttar Pradesh and Bihar.
The company’s varieties are designed to perform in soils with salinity levels ranging from 4–8 deciSiemens per meter (dS/m) and up to 10 dS/m, where conventional wheat can experience significant yield losses.
Expanding the SeedAX Platform
OlsAro will use the new funding to accelerate commercial development, expand its SeedAX platform and launch additional breeding programmes focused on drought tolerance and nitrogen-use efficiency.
The company also plans to extend its technology beyond wheat to other cereal crops, including rice.
Its longer-term strategy focuses on working with established seed companies to incorporate climate-resilient traits into locally adapted crop varieties across multiple agricultural markets.