AVALVE – Action on Poverty

Investing in Impact

P4G has awarded the partnership with almost US $350,000 in grant funding. 

Around 44 percent of Vietnam’s population work in the agricultural sector with about 89 percent of farmers in the country being smallholder farmers. Farmers use high volumes of fertilizer and water to maximize their crop yields. 

AVALVE is a Korean smart farm technology company that specializes in artificial intelligence (AI) solutions for sustainable agriculture. Its hydroponic smart farm solution uses AI to monitor crops and introduces efficient water and energy management in crop production processes. It reduces water usage by 90 percent and increases crop productivity by 300 percent. 

The startup is introducing its smart farms to smallholders in Northern Vietnam. It is training them to use smart farm technology to monitor and cultivate high-value crops like Korean strawberries that command higher prices in Vietnam. AVALVE’s smart farm technology automatically diagnoses crop growing conditions and provides farmers with real-time information to make decisions that can increase crop yields. 

AVALVE is also introducing farmers to offtake markets where they can sell their produce, and is helping farmers design agrotourism activities to draw visitors to the region and the smart farms. The startup focuses on improving job opportunities for women who typically have fewer avenues to lead smart farm businesses. 

AVALVE’s revenue model is based on subscription fees from the sale of hardware and software solutions and sales of high value Korean strawberries. Farmers in turn earn income from the sale of produce and community-based tourism, derived from visitors’ interest in smart farms. 

Between 2024 and 2025, AVALVE set up a strawberry smart farm that has begun cultivating strawberry seedlings. The system has undergone the initial round of tests that demonstrated that the environment controls and data collection were processing smoothly. The first crop of this cycle will serve as foundational data for establishing future growing strategies. 

During this time, AVALVE also launched its premium brand “Seoul Sweet” for Vietnam and Southeast Asian markets. The startup is positioning this as a lifestyle brand centered on freshness and will sell its smart farm-produced strawberries under this brand. Seoul Sweet’s registration is currently being reviewed with product packaging and distribution to follow. AVALVE has already secured buyers for strawberries from its smart farm facilities. 

Action on Poverty in Vietnam plays the lead role in community engagement to help AVALVE onboard smallholder farmers and better understand their needs. It also works with government stakeholders to promote agrotourism in the region. Action on Poverty facilitates sharing and learning on the smart farm solution and its impact on gender equity, and farmer livelihoods. 

The nonprofit is currently setting up a strawberry display and learning center in AVALVE’s AI-based smart farm. The purpose of this exercise is twofold: As a sales strategy for interested customers and as a learning center to showcase AI smart farm models and technologies. Action on Poverty is also working with farmers to design support programs to introduce them to this new technology. 

In September 2025, AVALVE participated in a business showcase and policy dialogue where it joined other P4G startups in Vietnam to pitch its business model and share specific market barriers with policymakers. Barriers included lack of clarity on high-tech agricultural enterprises, challenges for foreign startups in raising capital in Vietnam because of strict collateral requirements, and complexities in business registration and other administrative procedures. 

During the partnership period, AVALVE aims to distribute and install smart farm solutions at multiple smart farms in Vietnam before expanding to other countries in the region. It aims to raise US $1 million in investment. 

The partnership comprises the following partners: AVALVE (lead business partner); Action on Poverty (lead administrative partner).