Objective

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

Nature and
Purpose of
Advance

Working capital against original/ electronic warehouse receipts issued by warehouses/storages approved by WDRA/ Government warehouse Corporations/ Approved private warehouses.

Quantum of Loan

75% of the value of the produce subject to a maximum amount of Rs. 50 Lakhs (except cotton and rubber) and in case of NWR/ e-NWR maximum of Rs.75 lakhs.

Acceptable Produce

Perishable goods are not eligible.

Produce with high price fluctuations are avoided unless there is 100% collateral cover.

Borrower should have clear title for the commodity.

Security

Pledge of Warehouse receipt endorsed in our favour and our name registered in the books of the warehouse.

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

Repayment

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

Rate of Interest

Up to Rs.10.00 Lakhs - 1Y MCLR (8.85% at present) + 0.35% (spread) = 9.20% at present.

Above Rs. 10.00 Lakhs - 1Y MCLR (8.85% at present) + 0.90% (spread) = 9.75% at present.

*1Y MCLR - 8.85% at present

Processing Charges

Up to Rs. 3.00 Lakhs - Nil

Above Rs. 3.00 Lakhs - 0.30%