In a significant move to empower farmers and traders across India, the Warehousing Development Regulatory Authority (WDRA) has inked a Memorandum of Understanding (MoU) with the Bank of India (BoI). The agreement, signed on September 27, 2023, in the presence of esteemed dignitaries, including T.K Manoj Kumar, Chairperson of WDRA, Rajneesh Karnatak, MD&CEO of BoI, M. Karthikeyan, Executive Director of BoI, along with other senior officials from both organizations, is set to revolutionize access to low-interest rate loans.
At the core of this collaboration is the aim to raise awareness and facilitate funding against electronic Negotiable Warehouse Receipts (e-NWRs), thereby offering financial relief to the agricultural community.
One of the primary objectives outlined in the MoU is to provide crucial information to depositors regarding the benefits of utilizing e-NWRs. Moreover, it lays the groundwork for a comprehensive outreach program to bolster agricultural pledge finance throughout India.
The signing ceremony also featured a presentation by WDRA, highlighting the pivotal role of post-harvest pledge financing through electronic Negotiable Warehouse Receipts (e-NWRs) in enhancing rural credit availability.
Representatives from the banking sector shed light on the challenges faced by lending institutions operating in this sector. In response, WDRA reaffirmed its unwavering commitment to provide regulatory support, fostering trust among all stakeholders involved.
This collaborative effort between WDRA and BoI carries the potential to alleviate financial burdens on farmers and traders, empowering them to invest in their agricultural endeavors with greater confidence.
The availability of low-interest rate loans through e-NWRs is poised to drive agricultural growth and economic prosperity in India's rural communities.
