NCDEX Spot Exchange ties up with MSWC

Written by Commodities Bureau | Mumbai, Oct 22 | Updated: Oct 23 2008, 05:51am hrs
NCDEX Spot Exchange Ltd (NSEL), the Maharashtra State Warehousing Corporation (MSWC), and the National Collateral Management Services Ltd (NCMSL) on Wednesday entered into a three-way memorandum of understanding (MoU) for creating high quality warehousing infrastructure at 20 important locations in Maharashtra.

This strategic alliance will also give a boost to on-line trading on NSEL.

The MoU was signed in Mumbai by R Ramaseshan, director, NSEL, UK Agarwal, joint managing director, MSWC and Sanjay Kaul, MD & CEO, NCMSL.

Under this MoU, NSEL, MSWC, and NCMSL will jointly modernise the operations of mandis under the World Bank assisted Multi State Agricultural Competitiveness Project (MACP).

The three signatories to the MoU have agreed to work towards providing facilities to farmers and traders for screen based spot trading in agricultural commodities and other value-added services such as storage, grading and packaging. They will also facilitate availability of bank finance.

R Ramaseshan said, This arrangement will go a long way in improving lot of farmers in Maharashtra as they will realise a better price for their produce by selling on our online spot trading platform. They will benefit from NSEL's pan-India reach and superior real time price discovery.

The infrastructure that is envisaged to be put in place coupled with on-line spot trading will go a long way to protect farmers against price risk and improve their lot. We will be working together to provide complete post-harvest solutions for farmers, UK Agarwal, said.