By Ashok Punatar Mob: 9820746494 Email: email@example.com
In a move with wide ramifications for the warehouse financing eco-system, NABARD today released Rs. 30 Crore to National Collateral Management Services Limited (NCML) out of its Warehousing Infrastructure Fund (WIF). This disbursement is a part of the overall sanction of Rs.128 Crore to NCML by NABARD for construction of 25 Warehouses in 10 States for creation of scientific warehousing capacity of 374500 MT.
Dr. Harsh Kumar Bhanwala, Chairman, NABARD handed over the disbursement letter to Shri Sanjay Kaul, CEO, NCML.
This is the first such disbursement by NABARD to a private sector entity in the warehousing sector. Speaking on the occasion, Dr. H.K.Bhanwala stated, “NABARD has emerged as the largest player in the field of warehouse financing by a judicious and innovative utilization of both Rural Infrastructure Development Fund and Warehouse Infrastructure Funds set up by GOI in NABARD. We see this development as significant not only because of the promise of enhanced storage capacity but also allows us to leverage the dynamism of the private sector”.
On the occasion of disbursal of the first tranche of Rs. 30 crore of this loan,
Mr. Sanjay Kaul, MD & CEO, NCML said “The project is expected to be fully completed in 2015-2016. We are extremely pleased to be associated with NABARD in this venture. We expect to have future collaborations with NABARD, particularly in farmer-centric projects”.
The scientific warehousing infrastructure will lead to better price discovery for farmers and reduce their exposure to price risks of market due to lack of scientific storage capacity. NABARD has been responsible for financing nearly 50% of the total warehousing capacity creation during the 12th Five Year Plan.