Climate-tech startup Banofi is transforming banana crop waste into premium vegan leather, building a sustainable alternative to traditional leather while creating new income opportunities for farmers. Founded in 2022 by Jinali Mody, the West Bengal-based startup has gained global recognition with awards, international partnerships, and pilot projects across the fashion, lifestyle, and automotive industries.
Banofi was born from a simple consumer challenge. While searching for a sustainable leather bag, Mody found that conventional leather carried significant environmental costs, while many vegan alternatives relied heavily on plastic-based materials. The experience inspired her to develop a bio-based leather substitute using one of India’s most abundant agricultural waste streams—banana stems.
Drawing on her background in biochemistry, consulting, and environmental studies, Mody identified an opportunity to convert discarded banana stem waste into a high-value material. India, the world’s largest banana producer, generates an estimated 120 million tonnes of banana stem waste annually, much of which is typically burned or discarded after harvesting.
Banofi extracts cellulose-rich fibres from banana stems, combines them with natural binders and starches, and processes the material into sheets designed to replicate the texture, appearance, and feel of traditional leather. By eliminating conventional tanning processes, the company also avoids the use of chromium and other heavy metals commonly associated with leather production.
Beyond sustainability, the company is also creating economic value across the agricultural supply chain. Banofi says it has helped more than 100 small-scale farmers generate additional income by purchasing banana stems that were previously treated as agricultural waste.
According to the company, its cellulose-based material uses 93% less water, produces 97% lower carbon emissions, and generates zero wastewater compared to conventional leather. The UN Environment Programme has similarly highlighted significant reductions in water consumption and carbon emissions associated with the company’s manufacturing process.
Banofi has quickly gained international recognition. After winning the Startup Yale Sustainable Venture Prize in 2022, the startup secured its first commercial order from Yale’s Tsai Center for Design and Innovation. In 2023, it won the prestigious $1 million Hult Prize, followed by the Wege Prize for circular innovation.
Today, Banofi has piloted its material with more than 150 brands spanning fashion, lifestyle, and automotive sectors. The startup has also received a grant from Mercedes-Benz, serves as Yale’s official stationery partner, and has secured export certifications for both the United States and European Union markets.
According to startup data platform Tracxn, Banofi reported annual revenue of approximately ₹1.63 crore as of March 31, 2025, with a team of around 16 employees. As demand for sustainable materials continues to rise globally, the startup is positioning itself at the intersection of climate innovation, circular manufacturing, and next-generation biomaterials.
Source: Based on reporting by YourStory, with additional editorial adaptation and analysis.
