About Electronic Negotiable Warehousing Receipt:
- The negotiable warehouse receipt (NWR) system was launched in 2011 allowing the transfer of ownership of a commodity stored in a warehouse without having to deliver it physically.
- These receipts are issued in negotiable form, making them eligible as collateral.
- This has been enabled by enabling the financing of warehouse receipts through the Warehouse (Development and Regulation) Act, of 2007.
- The Warehousing Development and Regulatory Authority (WDRA) regulates the entire operation under NWR.
What is e-NWR?
- An e-NWR is available only in electronic form.
- The single source of information for the e-NWR is the repository system where e-NWR is issued by registered warehouses.
- Confidentiality, integrity and availability of the e-NWR information are provided by the Repository system.
- All e-NWRS can be traded through off-market or on-market Commodity Exchanges platforms.
- An e-NWR can be auctioned under certain conditions such as loan not repaid, on expiry and delivery not taken, and on likely damage or spoilage of the commodity in the warehouse.
- e-NWR can be transferred fully or in part.
Key facts about Warehousing Development and Regulatory Authority (WDRA)
- WDRA was constituted in 2010 under the Warehousing (Development and Regulation) Act, of 2007.
- It is under the Department of Food and Public Distribution (DFPD).
