WAREHOUSE RECEIPT FINANCE

Pledge loan against warehouse house receipts

Scheme

Purpose

Finance against the pledge of Warehouse/Cold storage receipts (Warehouse Receipts)

Eligibility

Target Audience

Individual farmers (including members of SHG/JLG) engaged in Agriculture & allied activities/ Corporates/ FPO/ FPCs/ Partnership firms/ Cooperatives of farmers/ Established trader with license/ Industries or units engaged in food processing/ processors/ commission agents/ mandis etc.

Age Criteria

Minimum 18 years

Other Criteria

Physical Receipts: Non-perishable and low-price fluctuation produce/goods are eligible. Borrower should have a clear title for the commodity.

eNWR:

Finance to receipts issued by warehouses/cold storages registered with WDRA. Commodity should be active in online/trading market and to be notified by WDRA from time to time and Shelf life of the commodity will be notified by WDRA in their website.

Financials

Quantum

eNWR: Individuals Maximum up to Rs.3.00cr & others - No Maximum limit

Physical Receipts: Maximum Rs.60.00 Lakhs

Margin

25% of the value of the goods by considering

(i) Prevailing market rate

(ii) Value in the Warehouse Receipt

(iii) Min. support price - whichever is least

Rate of interest

Flat rate of 9.75% at present. If covered under Credit Guarantee for eNWR, interest will be charged at 9.60%.

Processing charges

Up to Rs. 3.00 Lakhs - Nil

Above Rs. 3.00 Lakhs - 0.30% on the value of commodity pledged

Tenure

Repayment period

The period of loan should be less than the shelf life of the commodity subject to a maximum of 12 months.

Security

Irrespective of quantum

Only Pledge of receipts.

Additional collateral will not be insisted.

Option of Credit Guarantee for electronic Negotiable Warehouse Receipt up to Rs.2.00cr under CGS-NPF scheme.