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NCDEX, the country’s largest agriculture commodity futures exchange, has joined hands with SBI, ICICI Bank and Nabard to launch a new company, National E-Repository Ltd, to provide repository services for agri-commodities from September 26.
Initially, the repository will issue electronic credit in the form of negotiable warehouse receipts against the agriculture commodities deposited at its approved warehouses. The depositor of goods can either take a trade position against the receipts on the NCDEX or raise funds against the receipt from banks.
Samir Shah, MD, NCDEX, said: “We have decided to spin off Comtrack into a separate entity to widen its scope and chosen select partners who can add value. Depending on the market response, the new company will issue e-receipts against agriculture commodities stored at all WDRA registered warehouses.”
National E-Repository has a net worth of ₹50 crore as prescribed by WDRA and this will be enhanced to ₹81 crore soon, he added.
As an anchor investor, NCDEX will hold 67 per cent in the new company while SBI and ICICI Bank own slightly less than 10 per cent each with Nabard holding 13 per cent.
“SEBI has been kept in the loop on the entire development leading to launch of the repository and the regulator is keen that non-agriculture commodities are also captured in the repository as operations stabilise,” said Shah.
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