Federal Bank has partnered with leading online data and information portal Commodity Online for the distribution of loans against warehouse receipts and collateral management services across the country.

Commodity Online will roll out an agri commodity financing platform through its flagship portal www.commodityonline.com where farmers and traders can track commodity markets and warehouses online and get financing for their commodities quickly.

According to Mohan K, Deputy General Manager (SME & Agri), Federal Bank, the bank’s partnership with Commodity Online enables it to aggressively get into the online space to provide financing for agri commodities with collateral management across India.

“Today, less than 40 per cent of traders in India have access to institutional credit. And barely 10-15 per cent small and marginal farmers get access to finance. Loans against warehouse receipts were around ₹5,000 crore 10 years back. Currently, banking institutions have lent around ₹40,000 crore against warehouse receipts,” he said.

George Iype, Managing Director of Commodity Online, said the portal has rolled out an exclusive online platform wherein farmers and traders can track the spot market prices of all commodities live, check where warehouses are available and track research insights from each commodity market across India.