Canara Bank has signed a Memorandum of Understanding (MoU) with post-harvest management services company Origo Commodities India to support farmers with Warehouse Receipt Financing across the country. The MoU will focus across multiple states including Karnataka, Telangana, Andhra Pradesh, Tamil Nadu and Maharashtra among others.
The bank is targeting more than Rs 1,000 crore business under warehouse receipt financing in the coming season. Warehouse Receipt Financing is a tool that enables farmers to avail financing and avoid distress sale of their produce.
The bank’s net profit for first quarter ended June 30, 2014 rose by 1.86% at Rs 806.86 crore as compared to Rs 792.07 crore for the quarter ended June 30, 2013. Its total income increased by 11.61% to Rs 11728.01 crore for the quarter under review from Rs 10507.88 crore for the corresponding quarter of the previous year.