PERMANENT

Indian Overseas Bank Ref: No. : ADV / 532 /2010-2011

Central Office Date : 24.03.2011
763, Anna Salai
Chennai - 600002 Issuing Dept: Priority Credit (Agri)

To All Branches / Regional Offices / other Offices

Agricultural Advances
Scheme for Financing Farmers against Ware House Receipts
IOB – Ware House Receipt Finance Scheme

Attention of branches and Regional offices is invited to Central Office

Circular Nos. ADV / 120 / 2007-08 dated 30.11.2007 and ADV / 125 /
2007-08 dated 13.12.2007 on “IOB-Warehouse Receipt Finance
Scheme”.

As per the present guidelines of the Scheme, loans are available

against pledge of warehouse receipts issued by State / Central Govt.
warehouses / cold storages (viz. FCI, CWC, NAFED, State Warehousing
Corporation etc) as well as receipts issued by private warehouses
approved by the Commodities Exchange.

After a review of the above guide line, it is now decided to waive

“Approval of Private Warehouses with Commodities Exchange” for
granting such loans, subject to the following:

a. Full value of stock stored in the godown or cold storage unit must be
under insurance
b. Risk of break down of cold storages should have been covered by
insurance

Regional Offices are now permitted to approve Private Warehouses for

granting of advances against receipts issued by them waiving
approval from Commodities Exchange.

All other guidelines as contained in Central Office Circular Nos. ADV /

120 / 2007-08 dated 30.11.2007 and ADV / 125 / 2007-08 dated
13.12.2007 on “IOB-Warehouse Receipt Finance Scheme” remain
unchanged.

(S.N.MISRA)
GENERAL MANAGER