India's food economy is both immense and leaky. Nationally, nearly 78.2 million tonnes of food are wasted every year — roughly 55 kg per person — while mandis and intermediaries inflate retail prices by an estimated 30–50%, leaving farmers with under 30% of the final consumer price. Households in India spend significant portions of monthly income on food - rural households average 46.5% while urban households spend 39.2%, with low-income families often spending up to 50-67%, making affordability a chronic social issue. Janata Bazar was founded in September 2023 to address these twin problems: reduce waste and lower consumer prices while increasing farmer returns.

Janata Bazar was initiated by three founders whose experiences span rural resource management, statistical modelling, economics and content creation. The company began in South Kolkata, opening pilots in neighbourhoods such as Garia, Jadavpur, Tollygunj, Sonarpur and Kalikapur. Supply was sourced largely from North 24 Parganas, South 24 Parganas, Nadia, Paschim Medinipur and nearby farmer networks, minimizing lead time and spoilage.

Those early failures catalysed reforms: mandatory ERP purchase authorizations, daily cash reconciliation, and a centralized procurement desk.

A data-first diagnosis clarifies the opportunity. An estimated 78.2M tonnes of food loss each year represents more than a moral failure — it is an economic drag equating to roughly ₹50,000-92,000 crore in lost value (approximately $6-11 billion annually). Long mandi chains and fragmented logistics create 5–7 intermediary steps between farmer and consumer; a farmer selling capsicum at ₹30/kg will often see the same item retail for ₹120–150/kg, although transport costs are only ₹6–10/kg. In urban households, when staples spike (for example, onions at ₹50/kg), families cut consumption or switch to lower-nutrition substitutes.

Traditional kiranas, once the backbone of Indian retail, face closures at scale — roughly 200,000 in the past year (2024), primarily due to quick-commerce platforms, price volatility and supply chain failures force customers away. Pre-harvest inefficiencies (lack of credit, insurance, and forecasting) create 15–20% yield variance, costing exporters and farmers billions annually.

Janata Bazar's value proposition is simple: convert traditional kiranas or brand new real estate into compact, trusted hubs that buy directly from farmers, use data to reduce spoilage and mismatch, and pass efficiency gains to consumers and farmers.

The Janata Bazar model is built to maximize the value captured by farmers, ensuring sustainability for the entire supply chain.

To make the model investment-grade we must be scrupulous about unit economics. Below are worked examples and company-level projections under explicit assumptions. These are conservative and transparent so investors can adjust inputs.

Monthly revenue: ₹10,50,000

Franchisee holders need to setup a store, operate in under Janata Bazar rules and guidelines and they receive 50% of the gross profits. As the GP grows beyond certain levels, Franchisees receive more than 50% of GP

Monthly gross

This illustration shows that at current margins the per-store net is modest but positive at the higher end of current margins; at cluster-scale margins the profitability becomes materially strong.

Initial Approximate Setup Cost is Rs 3,00,000. In addition, it is advisable that extra funds for recurring expenses (rent, salaries, electricity, etc.) are put aside for the first 3 months, as this is the time needed for the outlet to stabilize and reach consistent profitability.
Break even revenue: Rs. 6,11,000 per month (assuming 18% gross profit), Rs 20366 per day. We need a minimum of 2 people per store (salary Rs 10000; 2 people in the morning shift, 2 in the evening shift). To better understand this, you can refer to the pdf attached below.

This scenario models a more realistic expansion, showcasing key milestones as the business scales and achieves sustainable profitability.

Janata Bazar's technology stack is modular and pragmatic:

Every store adheres to standard operating procedures covering daily procurement cut-offs, QC sampling, FIFO stocking, markdown policy and waste reconciliation.

Procurement follows a minimum viable order (MVO) logic: daily orders are placed from nearby partner farms for perishable SKUs and from mandi/wholesale for non-seasonal items. Each inbound batch receives a quality check (weight, visual grade, temperature). Blockchain entries include timestamped photos and a field QC checklist.

Waste is logged daily and reconciled weekly. Excess good-quality produce is captured into micro-B2B orders or micro-processing channels to avoid disposal. Returns to suppliers are processed only with documented defects tied to blockchain provenance.

Janata Bazar's roadmap is explicit:

Core KPIs: daily sales/store, average basket, repeat customer rate (post-CCTV/ERP integration), SKU turnover days, waste %, farmer price uplift and gross margin.