• Posted on: 1 June 2016
  • By: admin

WAREHOUSE INFRASTRUCTURE FUND (WIF) 2014-15

Consequent upon the announcement of an allocation of ` 5000 crore to NABARD in the budget for 2014-15, for supporting creation of infrastructure for storage of agricultural commodities, Reserve Bank of India (RBI) issued guidelines for creation of Warehouse Infrastructure Fund (WIF 2014 -15) in NABARD. The fund envisages extension of loans to Public and Private sectors for construction of warehouses, silos, cold storages and other cold chain infrastructure.

WIF would be utilized for meeting the growing demand for scientific storage capacity for agricultural commodities in the entire country and also in the wake of enactment of National Food Security Act 2013. Priority will be given for the projects proposed in Eastern and North Eastern states and food grain deficit states.

The salient features of the WIF are indicated below:



1




Eligible Institutions / Entities



 



State / Central Government Owned / assisted entities, Cooperative, Federations of Cooperatives, Farmers’ Producers’ Organizations (FPOs), Federations of Farmers’ Collectives, SPVs set up under PPP mode, etc.

 Primary Agricultural Credit Societies (PACS) / Cooperative Marketing Societies (CMS) or similar institutions

 Corporates / Companies / Individual Entrepreneurs etc



2


 


 Activities Covered



 


 Loans will be provided for proposals of projects involving creation of storage infrastructure, with a minimum aggregate capacity of 5000 metric tons (MT), for agricultural and allied produce including construction of:

a. Warehouses

b. Silos

c. Cold storage, controlled atmosphere (CA) stores, other cold chain infrastructure activities like pack houses / integrated pack houses, reefer vans, bulk coolers, individually quick frozen units, chilling/ freezing infrastructure, etc.

 

Modernization/improvement of the existing storage infrastructure projects will be considered



3


Conformation to Norms of WDRA / NCCD

 


Loans will be provided in respect of only those dry and wet storage projects which conform to the norms / standards prescribed by Warehousing Development and Regulatory Authority (WDRA) / National Centre for Cold-chain Development (NCCD).

The borrowers also to give an undertaking for obtaining accreditation / registration from WDRA for storage infrastructure / following the standards set by NCCD for cold chain infrastructure, on completion of the infrastructure.


4


Priority Segments

 


Funds under this allocation would be utilized for meeting the growing demand for storage capacity for agricultural commodities and also in the wake of enactment of National Food Security Act 2013 from the following segments:

Food grain procurement agencies, like FCI (including under PEG Scheme), Central Warehousing Corporation, State Government Departments/Agencies, SWCs, etc. Panchayats, PACS and other Co-operative Societies (including modernization/renovation/ repairs of the existing warehouses) for enabling farmers to store their produce and avail concessional post-harvest loans. State Civil Supplies Departments/ Corporations for Public Distribution System (PDS) and supply of essential commodities.

Private sector companies/ corporates for storing food grains as well as other agricultural commodities, like pulses, oilseeds, cotton, spices & condiments and perishables like fruits & vegetables, dairy/ poultry/meat/fish products.

 

Priority will be given for the projects proposed in Eastern and North Eastern states and all other deficit states from the food grain production point of view.


5


Loans to Public Sector

 


Loans to State Government, Agencies Owned/ Sponsored by State Govt. and Panchayats (through State Governments) will be governed by the extant Rural Infrastructure Development Fund(RIDF) guidelines.

 


6


Loans to Private Sector

 


Direct loans to private sector and to the entities owned/sponsored by the State Govt., which are not covered by guarantee, would be governed by the terms of lending indicated in Annexure – I

 


7


Implementation Period

 


The implementation period will be during the year 2014-15

 

 

 

 

Annexure – I

Direct Loans to Private Sector – Terms of Lending



Type of Borrower



Maximum Quantum of Loan


(% of TFO)


Tenure of Loan (Years)



Rate of Interest


(% p.a.)


Agencies owned/sponsored by Government of India, SPVs set up under the projects in PPP mode, FPOs, Federations of Farmers’ Collectives, Apex Marketing Boards, etc.

 


95



07

 

More than 7 years

 


PLR*+Risk Premium

 

PLR + Risk Premium + Tenor Premium

 


Cooperatives (and their Federations), APMCs or similar institutions

 


95



07

 

More than 7 years

 


PLR+Risk Premium

 

PLR + Risk Premium + Tenor Premium

 


Private Companies/ Corporates /Individual Entrepreneurs etc.

 


75



07

 

More than 7 years

 


PLR*+Risk Premium

 

PLR + Risk Premium + Tenor Premium

 

* PLR is Prime Lending Rate of NABARD

Tags: