In a move set to advance the monitoring and improvement of supply chain sustainability, TRACT, a platform focused on sustainability performance, has acquired €18.6M in Series A funding. This financing round is spearheaded by Icos Capital, a firm known for investing in ventures at the intersection of sustainability, digitalization, and industry. TRACT’s platform offers comprehensive visibility into supply chains, allowing businesses to manage their sourcing portfolios with better risk and sustainability insights.
There have been multiple instances in which companies optimized their supply chains but faced challenges in sustainability due to fragmented data. TRACT aims to address this fragmentation by providing clear metrics and actionable insights, unlike many past systems that lacked comprehensive data integration. Additionally, early sustainability platforms often struggled to accommodate the complex needs of global supply chains, a gap TRACT intends to fill with its expanding toolkit.
What Drives TRACT Forward?
The €18.6M funding will primarily bolster TRACT’s integration of data systems and its expansion to onboard global clients. Backed by major investors like Invest International and Future Food Fund, the company aims to reshape how businesses interact with supply chain data. Nityen Lal, Founding Partner at Icos Capital, emphasized the significance of transparency in emissions and supply chain traceability, which TRACT’s platform addresses effectively.
How Does TRACT Serve Its Clients?
The platform, established by Archer Daniels Midland Company, Cargill, Louis Dreyfus Company, and Olam Food Ingredients, is crafted to measure sustainability performance within the agriculture and food sectors. TRACT’s existing clientele, including some of the largest CPG brands, benefit from its capacity to pinpoint sourcing risks across various commodities like cocoa and coffee. The platform’s ability to visualize supply chain data empowers companies to make impactful sustainability decisions.
TRACT’s focus extends to connecting supplier data effectively with procurement processes—all while managing the intricate webs of risk and sustainability. This is crucial for its partners as supply chains become more complex and intricate.
“Resilient supply chains are the foundation of a more equitable and sustainable food system,” expressed Allison Kopf, CEO of TRACT.
This statement highlights the platform’s core mission: enabling a future of responsible sourcing through better management of data and complexity.
Further down the road, TRACT looks to deepen its global footprint by not only expanding its client base but also honing in on the intricacies of complex sourcing portfolios. The funding will serve as a catalyst for the company’s next phase of growth, ensuring that the tools required for managing a vast array of data and building resilient systems are accessible and effective for all partners involved.
According to Kopf, “This funding accelerates our next phase of growth as we scale the platform.”
The investment traction TRACT gains through this funding round is set to strengthen its role in global supply chains significantly. The platform’s development and enhancement will likely drive a shift toward more sustainable practices in industries worldwide. Providing clear metrics for sustainability not only empowers businesses but also enhances transparency, essential for achieving broader climate goals within the supply chain landscape. In an era where supply chain resilience and sustainability are becoming increasingly crucial, TRACT’s refined approach is poised to offer these necessary solutions effectively.
