New Delhi, 2019: Delhi based Agri Logistics group Sohan Lal Commodity Management (SLCM) today entered into a memorandum of understanding (MoU) with Allahabad Bank to provide collateral management services. Under this agreement, SLCM will extend its services to Allahabad Bank branches for securing respective commodities for the borrowers from time to time. Mr. Ankur Jaipuria, Chief Business Officer, SLCM Group exchanged MOU with Mr. Sanjay Mathur, Deputy General Manager, Allahabad Bank.
SLCM has been working with banks as their Collateral Manager for Warehouse Receipt Financing. The company provides best-in-class warehousing, quality management, audit and security services as part of collateral management services to the banks & other financial institutions.
This agreement will bring the two organizations together, with the bank extending finance against warehoused commodities and inventories and SLCM providing end-to-end solutions to all the commodity stake holders under its collateral management portfolio. The tie-up will help the farmers to avail post-harvest credits at affordable interest rates, which will further help them with scientific storage facilities and fair price discovery of their produce in the market.
Commenting on the MoU with Allahabad Bank, SLCM Group CEO Sandeep Sabharwal said, “This tie up is yet another endeavor of SLCM to help and strengthen the commodity sector by bridging the gap between producer and financial institutions/banks through collateral management services. At SLCM, we provide a robust system oriented warehousing support with an assurance of finest crop safety solutions. We are hopeful that the tie-up will immensely benefit the farmers and other key stake holders.”
Mr. Sabharwal further added, “With our vast network of warehouses and technology driven warehousing management solutions we are confident of providing transparent and efficient services to Allahabad Bank. SLCM has earlier signed similar agreements with eleven leading banks in India and 5 nationalized banks in Myanmar to provide collateral management services. We look forward to more such tie ups with other banking frontrunners to help them reach out to the farming community.”
Allahabad Bank will benefit from this strategic tie-up with SLCM which has a wide reach across 19 states in India, with a strong network of 3183 warehouses and 19 cold storages backed by a reliable scientific management system, ‘AGRI REACH’, duly accredited by FICCI.