Professional Documents
Culture Documents
By Rahul Khetawat
Agri Warehousing Sector in India
Executive Summary
One of the major segments contributing to a rapidly growing logistics industry is the
warehousing business. The growth in international trade and agriculture production coupled
with the rise in containerization levels has led to high demand for warehouses. Agriculture
accounts for a significant share of warehousing demand at the tertiary hubs. With the plenty of
labour and land available at the rational cost and good infrastructure connectivity can propel
some of this locations to become attractive warehousing hubs in future. This creates tremendous
opportunity for the private sector. The market, which is valued at INR 20 bn, is expected to grow
due to the demand generated by importers, exporters and agri processors for specialized services.
The report begins with an overview of the industry indicating market size, growth, current state
of the market and the infrastructural resources available. The report highlights various types of
warehouses, categorized on the basis of ownership and usage. An analysis of the various
investment options available to players entering the market has been provided in order to assist
new entrants.
The report covers the various initiatives taken by the government towards the development of
warehousing sector including introduction of Single-tax Goods & Services Tax (GST) regime
and Warehousing Act 2007, investments in logistics parks and free trade warehousing zones
(FTWZs), and development of infrastructural facilities. The report identifies the key
characteristics and trends including strong macroeconomic fundamentals, change in tax policy
boosting warehouse outsourcing, significant investments by the logistics providers in
warehousing segment, entry of realty players and large scale investments from private equity
firms.
Competition section profiles major private and public players in the market. The section contains
a snapshot of their corporation, future investment outlook as well as their financial performance,
providing an insight into the existing competitive scenario.
2|Page
Agri Warehousing Sector in India
Table of Content
3|Page
Agri Warehousing Sector in India
In the last quarter of 2009-10 India’s gross domestic product(GDP) growth was 8.6% and index
of industrial production recoded a growth of 17.6% and CAGR 6.0% during the past decade
and stock market grows by 70% from 10876 to 17728(April 2009 to April 2010). India’s export
nos. is also rapidly growing but growth in agriculture and allied sector is discouraging despite
positive growth in GDP but agriculture and allied sector grows negatively with -0.2%.
The overall target of GDP growth in the country for the 11th five year plan is 9% with an annual
average growth rate of 4% in agriculture and allied sector.
Way out
Wa
Assets and Sales allocation
Against this backdrop of tremendous expansion across sectors, logistics sector assumes a pivotal
role in reducing cost and rate of inflation by improving efficiencies and avoiding wastage of agri
commodities, fruit and vegetable. In a survey conducted by the world
««««««««««
bank in 2007 India ranked 39th in the logistics performance index.
Key Highlights of According to world bank India is identified to be a ‘comprehensive
Indian Logistics reformer’ in the process of transforming from being a logistics unfriendly
Sector state to logistics friendly one.
Critically, only about 6% of the Indian logistics industry is organised, while the rest is riddled
inefficiencies and low level of innovation. However organised logistics market is expected to
grow to about 14% of total Indian logistics industry by 2011. Despite this the advance concept of
customer support, inbound logistics, reverse logistics have yet to gain traction in fragmented and
technically challenged environment. India is currently midst of a first wave of logistics
outsourcing with a fragmented market of 3PL players.
5|Page
Agri Warehousing Sector in India
Chart No. 1
• In 2007
94%
unorgnised
6%
Organised
• In 2011
86%
unorgnised
14%
Organised
6|Page
Agri Warehousing Sector in India
Chart No. 2
ü Warehousing
is second
largest
contributor in
total cost of
logistics
7|Page
Agri Warehousing Sector in India
Chart No. 3
8|Page
Agri Warehousing Sector in India
Modern warehousing forms an integral part of a supply chain where goods are not only stored for
safekeeping, but several value-advance processes are implemented to process inventories,
thereby minimizing obsolescence and reducing wastage. Warehouses are used for critical
functions such as stockpiling, product mixing, value addition, distribution and customer service.
Traditionally in India warehousing featured a small unit sizes. Although indigenous constraint
based innovation has taken place at various levels, the lack of world class standards and
specifications poses a significant challenge to other growth sector that rely on logistics and
warehousing. An indirect tax structure incentivised companies in India to maintain seprate
warehouse in different states.
With the growth of orgnised warehousing and an expected simplification of existing tax structure
warehousing in India is witnessing a paradigm shift towards large logistic park with the state of
the facilities. The of Indian warehousing sector is primarily driven by the industrial growth of
country. While the Indian economy is predominantly driven by the service based industry and
agriculture sector. Both agriculture and service have thus far been the key demand generator for
warehousing sector.
9|Page
Agri Warehousing Sector in India
The Indian warehousing sector is poised to become a $55 billion by 2010-11 with around 45
million sq ft warehousing space expected to be developed in the country in next five years
supplemented by around 110 logistics parks. Warehousing activities account for about 26 per
cent of the total Indian logistics industry and offer tremendous growth potential. The sector
growing at the rate of 35-40 per cent every year.
The total logistic cost in India is estimated to be 14% of the GDP which translate into slightly
over 140billion if we assume India’s GDP is slightly over 1trillion dollors. Out of this logistics
cost almost 98.7% by unorgnised sector such as small warehouse operator, transporter and
slightly more than more than 1.5% by organised
sector which accounts approximately 2 billion.
The total share of organised warehousing space is less than 8% of the total warehousing space in
India. The industry is fragmented and largely un-organised and is dominated by small players
with small capacities. The warehousing sector is also expected to positively impact on many
global manufacturing majors wanting to make India a hub for skill intensive manufacturing
given the abundant supply of well qualified engineers. Given the current shortage of quality
warehousing space, rentals in some locations closer to the city have touched as high at Rs. 30 per
sft per month. Organised retail in India grew from $16.99 billion in 2006-07 to $25.44 billion in
2007-08, a growth of 49.7 per cent with a potential to touch $45 billion by 2010. A number of
warehousing companies have been steadily increasing their capacities over the last two years
thanks to the retail boom across the country.
10 | P a g e
Agri Warehousing Sector in India
Containerized
5th Largest consumer
traffic to grow by
market in the world
avg. rate of 18%
by 2025 (Mc Kinsey)
annually over the
Retail Market to Demand next decade
grow to USD Generator (SCI) Exim Cargo
419.93bn by 2015 Export Import
(Mc Kinsey) Organised
Retail
Govt. Investment
18.5% of India’s target of USD
GDP 20.38 billion over
the next two year
Agri exports grow by in infrastructure
25% in 2008-09 sector
Achieve self
Agriculture Infrastructure
sufficiency in most
Sector
of commodities Logistics & 25% Subsidy on
warehousing warehouse
Investment
opportunity of USD development.
180 billion in next
Facilitators Development of
five years.
FTWZ free trade
Required huge warehousing
Policy Support
warehousing space zone
Manufacturing
11 | P a g e
Agri Warehousing Sector in India
In the recent past, the impact of various food, financial and economic crises has been felt across
the world. This has compromised the lives, livelihood and food security of people. Therefore
there is a compelling case for increased investment in the sector. The continued high growth of
agriculture is essential to meet the food and nutritional requirement of the people and provide
livelihood and income in rural areas. Agriculture will continue to have the pride of place in
national policies and plan since the nation’s food security depends upon performance of the
agriculture sector.
The overall target of the GDP growth in the country for the 11th plan is 9% per annum with
annual avg. growth rate of 4% in agriculture,10-11% for Industry and 9-11% in service sector.
The strategy for accelerating agriculture growth to 4% is required actions in terms of bringing
technology to farmers, improving the efficiencies of investments, increasing system support and
rationalizing subsidies and fostering inclusiveness through group approach, by which farmer will
get better access to land credit and skills.
Growth In agriculture and allied sector GDP vis-à-vis total GDP from 2005-06 to 2009-10
Table No.1
The agriculture and allied sector is showing decline 0.2% during 2009-10 as against the previous
year’s growth. This is mainly due to the impact of overall deficit of 23% in rainfall during the south
west monsoon which adversely affected kharif production.
Public and Private Sector Investment in agriculture and allied sector Table No.2
Public Investment in Agriculture and allied sector in different five year Plans Table no.3
1980-85 64,012
1985-90 52,107
1992-97 45,565
1997-02 42,226
2002-2007 67,260
Gross Capital formation public and private in Agriculture and allied sectors and it’s
percentage share to GDP of agriculture and allied Sector Table No.4
14 | P a g e
Agri Warehousing Sector in India
The total geographical area of the country is 328.7 million hectare, of which 140.3 million
hectares is net sown area, while 193.7 million is the gross cropped area. The gross and net
irrigated area is 85.8 million hectares 60.9 million respectively, with cropping intensity of 138%
Corp Production
Production of food grains during 2009-10 is estimated at 216.85 million tones as compare to
234.47 million ton achieved during 2008-09.
15 | P a g e
Agri Warehousing Sector in India
Stock of food grain in central pool or with Govt. Agencies for Public
distribution System
Year Commodity Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Stock
Rice 147.2 153.6 160.49 157.19 150.57 151.17 144.9 136.59 134.71 132.14 179.88 195.3
2000 Wheat 171.7 158.1 144.03 131.87 215.2 277.68 277.57 275.91 272.97 268.5 264.98 259.8
C.Grains 0.01 0 0 0 0 0 0 0 0 0 0 0.08
Total 318.9 311.7 304.52 289.06 365.77 428.85 422.47 412.5 407.68 400.64 444.86 455.1 4561.99
Rice 207 224 232.24 231.91 229.41 228.61 227.51 222.04 215.72 214.52 265.03 251
2001 Wheat 250.4 241.2 233.03 215.04 292.16 375.47 389.2 387.15 378.74 368.26 357.97 340.1
C.Grains 0.28 0.43 2.25 2.83 2.87 2.93 2.87 0.89 0.12 0.02 0.02 0.47
Total 457.7 465.6 467.52 449.78 524.44 607.01 619.58 610.08 594.58 582.8 623.02 591.5 6593.57
Rice 256.2 261.3 259.68 249.12 243.51 234.01 219.37 201.25 175.29 157.7 205.09 202.7
2002 Wheat 324.2 302 284.64 260.39 381.04 413.17 410.74 396.58 379.02 356.37 330.59 312.7
C.Grains 0.8 0.91 0.92 0.72 0.92 1.12 0.36 0.62 0.09 0.09 0.04 0.02
Total 581.1 564.3 545.24 510.23 625.47 648.3 630.47 598.45 554.4 514.16 535.72 515.4 6823.24
Rice 193.7 187.8 176.13 171.57 153.2 132.7 109.74 80.73 71.24 52.41 56.59 108.7
2003 Wheat 288.3 213.2 185.8 156.45 260.12 265.36 241.94 224.27 207.04 184.27 164.13 145.6
C.Grains 0.03 0.03 0.03 0.03 0.03 0.03 0.03 0.39 0.24 0.11 0.13 0.2
Total 482.1 401 361.96 328.05 413.35 398.09 351.71 305.39 278.52 236.79 220.85 254.5 4032.25
Rice 117.3 124.3 135.75 130.69 127.22 122.51 107.63 91.09 72.22 60.92 110.04 111.4
2004 Wheat 126.9 109.5 85.73 69.31 190.33 193.9 191.52 174.26 159.98 142.23 126.31 106.6
C.Grains 6.02 6.3 6.34 6.47 6.34 6.41 6.41 6.41 0.63 0.23 0.75 0.02
Total 250.2 240.1 227.82 206.47 323.89 322.82 305.56 271.76 232.83 203.38 237.1 218 3039.92
Rice 127.6 142.1 136.58 133.41 130.33 115.95 100.71 79.9 63.72 48.49 103.38 111.3
2005 Wheat 89.31 73.05 57.5 40.66 150.5 161.31 144.54 129.81 116.22 102.9 90.52 76.31
C.Grains 0.03 0.31 5.7 5.64 4.07 6.09 5.88 4.13 4.11 4.08 4.08 2.45
Total 217 215.5 199.78 179.71 284.9 283.35 251.13 213.84 184.05 155.47 197.98 190.1 2572.73
Rice 126.4 139.7 141.1 136.73 128.04 119.51 111.41 95.24 78.21 59.69 125.11 120.6
2006 Wheat 61.88 48.74 34.49 20.09 89.93 93.2 82.07 73.3 67.17 64.12 59.94 55.94
C.Grains 4.31 6.57 7.35 9.38 10.22 10.27 11.62 2.55 9.43 2.26 1.44 1.13
Total 192.6 195 182.94 166.2 228.19 222.98 205.1 171.09 154.81 126.07 186.49 177.6 2209.07
16 | P a g e
Agri Warehousing Sector in India
Rice 119.8 126.4 139.67 131.71 134.81 126.14 109.76 91.65 69.37 54.89 106.51 100.5
2007 Wheat 57.29 53.85 51 45.63 116 133.08 129.26 120.19 110.08 101.21 90.25 83.58
C.Grains 0.87 0.29 0.05 0.58 0.28 0.05 0.05 0.02 0.02 0 0.4 0.65
Total 177.9 180.5 190.72 177.92 251.09 259.27 239.07 211.86 179.47 156.1 197.16 184.8 2405.87
Rice 114.8 140.4 147.34 138.35 128.64 121.29 112.49 97.93 84.72 78.63 141.39 155.8
2008 Wheat 77.12 71.62 65.06 58.03 176.92 241.23 249.12 243.8 232.59 220.25 209.61 196
C.Grains 0 1.68 1.43 1.16 1.12 1.15 1.15 1.13 0.73 0.58 2.44 2.79
Total 191.9 213.7 213.83 197.54 306.68 363.67 362.76 342.86 318.04 299.46 353.44 354.6 3518.39
Rice 175.8 201.9 212.57 216.04 214.07 204.03 196.16 187.92 172.11 153.49 216.21 229
2009 Wheat 182.1 167.7 152.76 134.29 298.26 331.22 329.22 316.23 300.73 284.57 268.88 251.6
C.Grains 4.01 4.27 5.34 5.49 5.9 13.01 6.45 5.8 5.09 4.35 2.4 3.01
Total 361.9 374 370.67 355.82 518.23 548.26 531.83 509.95 477.93 442.41 487.49 483.6 5462.05
Rice 243.5 256.6 269.5 267.13 262.25 252.66
2010 Wheat 230.9 206.2 183.88 161.25 337.13 351.62
C.Grains 2.5 1.5 3.79 4.66 4.5 4.51
Total 477 464.3 457.17 433.04 603.88 608.79 3044.14
Source: www.fciweb.nic.in
17 | P a g e
Agri Warehousing Sector in India
This capital intensive marketing infrastructure is necessary for carrying the agriculture produce
from production season to consuming periods. Lack of inadequate scientific storage facilities
cause heavy losses to farmers in terms of huge wastage of quantity and quality of corps in
general seasonal fluctuations are aggravated in the absence of these facilities. To have a
scientific storage facility in the country, the “agriculture produce corporation act” was enacted in
1956. The government also enacted the warehousing acts during July 1957 to August 1958. The
scheme of warehousing, rural godown has initiated in public, cooperative and private sectors in
the country to meet the storage need of the producers in different areas. Keeping in view present
agriculture production in the country, the available storage facilities/ capacities are still
inadequate. Looking at the production trends and increasing marketed surplus (70%), a storage
capacity of 150MT is still needed.
Indian agri warehousing sector currently valued at approximately USD 2bn. And growing
rapidly and majorly dominated by government agencies and very few private players could have
developed a storage capacity.
All India Rural Credit Survey Committee (1954) recommended a three tire system of
warehousing: at the national level, state and district level, village and rural level.
At present there are three main agencies in the public sector which are engaged in building large
scale storage/warehousing capacity. They are: the Food Corporation of India (FCI), Central
Warehousing Corporation (CWC), and State Warehousing Corporation (SWC).
FCI provides storage capacity for food grains. It has its own go downs and it also hires storage
capacity from other sources such as CWC, SWCs, State Governments and private parties.
Besides, public sector agencies, co-operatives have also constructed warehouses in rural areas for
storage of their members' produce, for stocking of fertilizers and other inputs and consumer
articles. To avoid unfair competition with the go downs of the co-operative marketing societies,
the state warehousing corporations do not open warehouses at any place below the sub divisional
level. By 1987-88, a total storage capacity of over 10 million tonnes in the co-operative sector
was available.
18 | P a g e
Agri Warehousing Sector in India
19 | P a g e
Agri Warehousing Sector in India
Source: http://fcamin.nic.in/dfpd/EventListing.asp
20 | P a g e
Agri Warehousing Sector in India
Very few players could have developed warehousing capacity till date due to the high cost of
infrastructure and low ROI.
2 Bikaner 21742MT.
3 Kota 12964MT.
6 Jodhpur
7 Deesa 36000mt
8 unjha 15719MT.
9 Rajkot 16764Mt.
10 Ahmedabad
They have started acquiring land for development of warehouses and already constructed
warehouse of 3000MT. in Alwar district.
Rest warehousing capacity is highly fragmented and owned by small businessman and traders
which is not scientific and in very small size.
21 | P a g e
Agri Warehousing Sector in India
In the post green revolution era, there is a significant growth in the production and productivity
in the Indian agriculture. The country has become self sufficient in food grains and achieved a
remarkable growth in the production of pulses, oil seeds and fibers to meet the requirements of
the country. Although our farming community toiled hard, they could not get real benefit of the
growth in the economy in the absence of a suitable mechanism to ensure a reasonable rate of
return to their hard labour and investments. Only a handful of influential farmers, who have the
infrastructure to overcome the market fluctuations, could derive the benefits.
Chart No.4
24 | P a g e
Agri Warehousing Sector in India
25 | P a g e
Agri Warehousing Sector in India
GENERAL REFRIGERATED
26 | P a g e
Agri Warehousing Sector in India
1. Scientific Storage
A large quantity of the agricultural commodities can be stored. The commodities can be
protected against the quantitative as well as qualitative losses occurring due to unavoidable
circumstances such as floods, pests. It can carry agriculture produce from production season to
consuming periods. It helps in the stabilization of prices by adjusting demand and supply.
Storage is necessary for some period
for performance of other marketing
functions. Storage provides
employment and income through price
advantages.
Advantages
• Underground storage structures are safer from threats from various external sources of
damage, such as theft, rain or wind.
• The underground storage space can temporarily be utilized for some other purposes with
minor adjustments; and
• The underground storage structures are easier to fill up owing to the factor of gravity.
Food grains in a ground surface structure can be stored in two ways - bag storage or bulk storage.
27 | P a g e
Agri Warehousing Sector in India
I. Bag storage
• Each bag contains a definite quantity, which can be bought, sold or dispatched without
difficulty;
• Bags are easier to load or unload.
• It is easier to keep separate lots with identification marks on the bags.
• The bags which are identified as infested on inspection can be removed and treated
easily; and
• The problem of the sweating of grains does not arise because the surface of the bag is
exposed to the atmospheres.
Advantages
• The exposed peripheral surface area per unit weight of grain is less. Consequently, the
danger of damage from external sources
is reduced; and
• Pest infestation is less because of almost
airtight conditions in the deeper layers.
• The government of India has made
efforts to promote improved storage
facilities at the farm level.
3. Colletral Management
It means managing the collateral on behalf of the collateral taker. CM transactions are intended
to protect against performance risk of counter party. Banks in India have traditionally been assets
based lenders with hardly any knowledge of asset financed. Reach of banks, majorly private
sector banks in particular, coupled with lack of domain expertise. Banks, Public & Private, under
28 | P a g e
Agri Warehousing Sector in India
pressure to expand agri credit portfolio, sound collateral management therefore to become major
enabler.
• Identify various inherent and external risks associated with collateral and mitigate these risks with
integrated risk management system
• Quality and Quantity assurance for both lender and borrower, backs the same with
guarantees and insurance
• Manage storage facilities adhering to operational standards for minimizing loss and risks
• Stock management
29 | P a g e
Agri Warehousing Sector in India
Our farming community depends heavily on the borrowed money for the agricultural operations.
The borrowings are at an unreasonably high rate of interest, mostly from the money lenders. As a
result, they are forced to sell their produce immediately after the harvest although price is very
low. Thus, the farmers lose heavily on their investments. This vicious cycle is recurring year
after year making the farmers poorer. Today, the country is not having a reasonable
infrastructure for providing relief to these farmers. The facility for storage of agricultural
produce is inadequate in rural areas. The farmers therefore have to dispose of their produce at an
unremunerative price, immediately after the harvest. The creation of storage facilities, through
construction of grain godowns in villages will remedy the above situation. The farmers can store
their produce in godowns by paying rents, and release the produce to market when the price is
reasonable. Meanwhile, the farmers can borrow from a financial institution, in case of need, by
pledge of godown receipt.
The business of “Financing against Warehouse receipts” is currently in its nascent stages, as far
as India is concerned. However, it can certainly prove to be a highly lucrative business with
tremendous potential that it possesses, especially in view of organized trade through multi
commodity futures exchanges as also impending launch of spot trade in agricultural
commodities.
Loan against Warehouse Receipts is basically a self-liquidating loan with the tenure of the loan
not exceeding 12 months (stipulated so as to guard against depletion in quality/valuation of the
underlying goods) and with security margin of up to 25-40%. This margin is taken to guard
against the “Market Risk” that the bank is subject to, due to unfavorable movement in the prices
of the underlying commodity.
All the major Public as well as Private sector banks have already brought this business into
focus, and have started taking aggressive steps in this direction.
30 | P a g e
Agri Warehousing Sector in India
Interest Rates
Security Margin
C.M Comission
31 | P a g e
Agri Warehousing Sector in India
Risk Associated with fake warehouse • Random checks should be conducted either before
receipts, or misrepresentation of disbursal of the loan or anytime later to cross check the
quantity/quality of the commodity stored. authenticity of the warehouse receipt and take stock of
the commodities stored in the warehouse.
• In case of Private warehouses, a warehouse will be
linked to a particular branch. Only through this branch
Advances will be made to avoid duplication and
difficulties in co-ordination.
Risk Associated with volatility in price The security margin that would be initially charged at 30%
movement of the underlying commodity should be sufficient for mitigating these risks.
Risks related with the All the commodities stored will be comprehensively insured
damage/obsolescence of the stored to mitigate this risk.
commodities
Default on interest and/or principal The Security Margin of 20-30% should be good enough to
payment (Credit Risk) cover for the probabilities of Credit Risk
32 | P a g e
Agri Warehousing Sector in India
Major transition from Central Sales Tax to the existing VAT regime coupled with the
introduction of Single-tax Goods & Services Tax (GST) allowing for the lower logistics costs
Expected to lead to large warehouses offering various services via integration of technology
The GST will standardize tax rates throughout the country, allowing many corporations to move
away from having warehouses in different states to adhere to each state’s tax code, and employ
logistics companies to manage distribution and supply chains.
2. Warehousing Act.
The Warehousing Act, 2007 introduced a negotiable warehouse receipt (NWR) system NWR’s
are expected to facilitate FI’s as it provides cost advantages and eases trade procedure for players
will generate requirement of quality warehousing infrastructure.
Government has been encouraging private players to develop logistics parks and Free Trade
Warehouse Zones in order to boost this sector by drawing in large scale investments. to create
trade related infrastructure to facilitate the import and export of goods and services with freedom to
carry out trade transactions in free currency.
• Tax Benefits: Income tax (section 80IA) and Service Tax exemptions for developers and
users of the zone ~ reduces logistics costs for users of the zone.
• Duty Deferment Benefits: Custom Duty deferment benefits for products requiring
longer storage time.
• Excise Duty Exemptions: Excise duty exemption for products sourced from the
domestic markets, including goods, spares, DG sets, packing materials, etc.
Infrastructure Benefits
33 | P a g e
Agri Warehousing Sector in India
Administration Benefits
• Delivery Time: Reduction in custom clearance time and better logistics connectivity
leading to improved delivery time.
• Support Facilities and Effective Management: Provision of efficient management
services and international expertise along with support facilities such as banking,
insurance etc.
Government has allowed 100% FDI in warehousing through automatic route. This may lead to
quality warehousing space development and and which will benefit to entire sector.
Government is providing 25% subsidy on warehouse construction and 75% loan of total project
cost at very low interest rates.
34 | P a g e
Agri Warehousing Sector in India
Expenditure 91 Cr.
PAT 9.55Cr.
Bank 33 Banks
empanelment
Testing Labs 32
As compare to 2007-08 profit and revenue is doubled in
2008-09.
Revenue 74.51Cr.
Expenditure 62.74Cr.
PAT 2.34
Bank empanelment 6
All values in crore
Testing Labs 9
36 | P a g e
Agri Warehousing Sector in India
Key People Aditya Bafna, executive • Recenly signed M.O.U with rajasthan
Director state warehousing corporation to
manage his warehosue in rajasthan.
Major Kalpatru power and
Shareholders transmission Ltd. • They have 12 company owned
warehouses and theycan store
Storage Capacity 6,30,500M.T out of 2,30,500MT into it.
2,30,500 is owned
• Earning per share stood at 1.69Rs.
No. of Warehouse 12(Owned)
Financial highlight
Other Services Commodity testing,
All figures in Lac
Procurement, Colletral
Management,
Commodity funding,
Fumigation,
Revenue 51Cr.
Expenditure 50.92Cr.
PAT 16.94Lac
Bank empanelment 5
Testing Labs 11
Revenue Breakup
37 | P a g e
Agri Warehousing Sector in India
Business Highlights
Key People Mr. Suresh Goyal, • Handling Largest quantity of mustard in India.
(Chairman)
Amit Mundawala • They got term sheet from K.S oil for 50%
stake in company.
(M.D)
• They also provide procurement service under
Major Suresh Goyal, Amith the brand name of “Star agri commodities”.
Shareholders Agarwal, Amit
Mundawala, Amit Financial Highlights
Khandelwal All values in lac
Storage Capacity
Revenue 4.19Cr.
Expenditure 3.25Cr.
Income form
PAT 80.93Lac Procurement
Business
Bank empanelment 4
Testing Labs 8
38 | P a g e
Agri Warehousing Sector in India
39 | P a g e