Punjab National Bank (PNB) has tied-up with NCDEX Spot Exchange in order to provide credit to farmers, processors and market participants. Through this tie-up, depositors of exchange-accredited warehouses will be able to avail loan against their produce from the bank. This move taken by the bank will mainly benefit farmers, small traders and SMEs and provide a boost to agricultural producers and SMEs.
With this agreement, the bank will get wider reach to the farmers, processors and traders trading on NSPOT, the wholly-owned subsidiary of NCDEX. Besides, the members of NCDEX Spot would also get another alternative to obtain credit and sell his produce at a later date. This will help farmers avoid hurried up sales at the peak supply season.
