Tie-up to benefit scores of farmers in availing post-harvest credit facilities
Shree Shubham Logistics limited, a subsidiary of Kalpataru Power Transmission limited (KPTL) and leading player in Agri-Logistics sector which manages warehouses at more than 68 locations with a storage capacity in excess of 6 Lacs Metric Tonnes, today announced the signing of Memorandum of Understanding (MoU) with State Bank of India, largest Bank in the country. SSLL will now provide Collateral Management and Referral Services to State Bank of India for extending post harvest credit facilities to farmers, traders etc..
“We are pleased to sign the agreement with State Bank of India. SSLL and SBI will now jointly work to provide liquidity to farmers against their produce and thereby enable them to time their sale for optimal returns”, said Mr. Manish Mohnot, ED -KPTL and Director - Shree Shubham Logistics Limited (SSLL).
”Our services which provide end-to-end solutions to all the commodity stake holders in the agricultural and non-agricultural segment with a pan-India presence, coupled with the bank’s excellent network will provide a great extent of financial flexibility to farmers. It will also reduce the seasonal price fluctuations and distress sales during the crop harvest season”, Currently we are managing around warehouses with storage capacity in excess of 6 Lac Metric Tonnes and also got network of RSWC warehouses to facilitate commodity finance in the state of Rajasthan Mr. Mohnot said.
Commenting on the agreement, General Manager, Agri Business Unit, State Bank of India, Corporate Centre, Mumbai, said “The tie-up between SBI and SSLL will focus on the producers at the start of the supply chain. Farmers can secure post harvest credit facilities by keeping their produce in SSLL owned and controlled warehouses so that they do not have to resort to distress selling of their produce”.
“The tie-up will provide an opportunity to field functionaries to extend finance by drawing the comfort of collateral management services from SSLL and its wide network of warehouses. We see great opportunity to serve large spectrum of farmers by financing the warehouse receipts under Produce Marketing Loans with the network of SSLL”. Added, DGM Corporate & Institutional Relations Agri- Business of SBI, looking after the tie ups with Corporate.
Earlier SSLL has also signed agreements with Union Bank of India, Axis Bank, IndusInd Bank and Development Credit Bank.
