Delhi, 5/Sept/24: South Indian Bank announced a strategic partnership with Sohan Lal Commodity Management (SLCM) to deliver ‘Unified Collateral Management Solutions’ to support farmers and other stakeholders in the agricultural ecosystem. This collaboration will facilitate access to post-harvest credit at competitive interest rates, alongside offering scientific storage services and ensuring fair commodity pricing at marketplaces (Mandis).

The partnership is poised to address some of the key challenges faced by the agricultural sector, particularly in the areas of post-harvest storage and financing. By combining the financial expertise of South Indian Bank with the innovative collateral management and warehousing solutions provided by SLCM, the collaboration promises to deliver a seamless experience to farmers and agri-businesses alike.

Speaking on the collaboration, Mr. Senthil Kumar, SGM & Head – Credit, South Indian Bank said, “At South Indian Bank, we are committed to fostering sustainable growth and financial stability for the farmers who form the backbone of our economy. We are glad to partner with SLCM to add to our ability to serve our customers better. We are looking to build out our agriculture portfolio so as to improve yields, incomes etc. in rural India by creating a robust framework that enables farmers and agri-businesses to access post-harvest credit at competitive rates, while ensuring the safe and scientific storage of their commodities, thus, enhancing value creation across the agricultural ecosystem.”

Discussing the new partnership with South Indian Bank, Mr. Sandeep Sabharwal, CEO – of SLCM Group stated, “Our alliance with South Indian Bank underscores the strength of our collateral management and warehousing business model, built on a robust ‘phygital’ infrastructure and unmatched warehouse management expertise. South Indian Bank can now leverage our extensive network of warehouses and expertise to provide loans to entities across the agricultural ecosystem, with the minimal risk of default. At SLCM, we offer a reliable scientific management system for crop protection along with comprehensive warehouse support. Our AI-powered and NABL Accredited application ‘Agri Reach,’ which has earned two prestigious patents from the Government of India, has proven its ability to reduce post-harvest
losses from the current 10 percent to just 0.5 percent, regardless of infrastructure, crop, or geographical location.”

With this collaboration, a lasting impact on the agricultural sector is expected, with enhanced support for farmers and agri-businesses, contributing to broader economic growth.