On September 25, 2020 HDFC Bank launched India’s first Warehouse Commodity Finance App. The app will help customers to draw down and manage the loan against the pledge of commodities online without physical intervention or multiple visits to a bank branch. This will bring improved efficiencies and time savings for the agri value chain.
- The app will benefit enormously the agri processors, traders and farmers who are primary beneficiaries of WHR loans (Warehouse Receipt Loans).
Key Info about Warehouse Commodity Finance App
Availability- The existing and new customers of the Bank who avail warehouse receipt/commodity pledge loan from HDFC Bank will be offered this app.
Login– Existing customers who have already been sanctioned loans can avail these by logging in to the app. In case of new customers, they can get the pledge loan sanctioned from HDFC Bank and register for the app.
Benefit– The app will be particularly useful to customers in the states of Punjab, Haryana, Rajasthan, TamilNadu among others, as these states have a strong agri industry.
HDFC Bank is the 2nd largest MSME(Micro, Small & Medium Enterprises) Bank of India, supporting the full agricultural value chain with 45% MSME book in Semi Urban and Rural markets.
What are Warehouses?
A Warehouse is a building for storing goods. By ensuring a steady supply of goods to the market, it helps to maintain price stability in an uncertain economic environment especially in essentials like rice, wheat, soyabean, cotton, pulses and oilseeds.
About Warehouse financing:
i.Warehouse financing is the lifeblood of this business as banks are capable of sanctioning loans against these commodities that are stored safely.
ii.Similarly, when the loan is repaid, the pledged commodities will be released digitally.
This helps in timely delivery of goods and timely consumption for agri processing.
Recent Related News:
On August 14, 2020 Aditya Puri, Managing Director of HDFC Bank, launched digitally the 1st of its kind card, ‘Shaurya KGC(Kisan Gold Credit) Card’, a tri color themed card for Indian armed forces personnel, i.e, Army, Navy, Air force and Para military forces and their families. It will benefit over 45 lakh users. The product is based on the Kisan Credit Card (KCC) guidelines by the government.
About HDFC Bank:
Managing Director(MD) and Chief Executive Officer(CEO)– Aditya Puri(on his retirement on October 2020, Sashidhar Jagdishan will take over)
Headquarters – Mumbai, Maharashtra