Special Support to Licensed Warehousing System by Turkish Mercantile Exchange Inc. in cooperation with Şekerbank
Turkish Mercantile Exchange Inc. (TÜRİB), where Electronic Warehouse Receipts (EWR) issued as an evidence of safe and health storage of agricultural products harvested by farmers in licensed warehouses are traded, starts cooperation with Şekerbank, supporting farmers for 68 years in line with its fundamental purpose: the financing of agriculture.
As per the protocol signed between TÜRİB and Şekerbank for offering special advantages aimed to encourage use of licensed warehousing services, the Bank will provide crediting opportunities under advantageous conditions to producers and firms engaged in trade of agricultural products, and enable them to make use of many different advantages.
EWR Credit in Advantageous Conditions
As a part of its continuing supports given to farmers for the sake of protection and survival of agricultural producers, Şekerbank will, through 10% credit interest rate discount and 50% cost discount to be granted under the cooperation, make it possible for farmers and firms engaged in trade of agricultural products to have access to EWR Credit under advantageous conditions while on the other hand storing their products safely in warehouses in the harvest period.
In addition, a “Licensed Warehouse Rent Support” up to TL 5,000 will also be granted to producers the price of agricultural products of whom is transferred to their Şekerbank account between 01.07.2021 and 31.12.2021.
Farmers and firms engaged in trade of agricultural products, making use of campaign by borrowing EWR-backed credit facility from Şekerbank, will store their products in licensed warehouses located at many points all over Turkey with the support of TÜRİB infrastructure.
Tuğbay KUMOĞLU: “We will continue to give support to farmers and producers.”
“We, as Şekerbank, are meeting all needs and demands of our farmers, and trying to provide them with the most appropriate solutions throughout the production process. Thanks to this cooperation with TÜRİB, we will also support licensed warehousing system which is a very important step taken forward for incentivizing the sustainable agricultural production and managing the supply of food in our country. On the other side, TÜRİB’s know-how and coordination will also make great contribution for correct application of these supports. In line with our original mission, we will continue to support all our farmers and producers for the sake of sustainability of production,” says Tuğbay KUMOĞLU, Deputy General Manager – SME, Retail and Agricultural Banking of Şekerbank, speaking about the protocol signed with TÜRİB.
Ali KIRALİ: “EWR Credits are an important tool for access of our farmers to finance.”
“We are giving weight to cooperation with our stakeholders for financialization of agricultural products, access of farmers to finance, and development of mercantile exchange system in our country. With EWR Market put into operation by us as a nationwide exchange in 2019, through credits borrowed from banks using EWRs as loan collateral, we are supporting the popularization of licensed warehousing and use of EWRs, thus the security of food supply. Our Exchange is making progress in such areas as digitalization of food supply chain from field to fork, popularization of EWRs, further development of contracted agriculture, and licensed warehousing. We, as TÜRİB, are glad to enter into a cooperation with Şekerbank so as to ensure that our farmers are duly informed about EWR credits and have access to the advantages offered to them,” says Ali KIRALİ, Chief Executive Officer of TÜRİB.
Founded in June 2018, TÜRİB is engaged in exchange operations for trading of electronic warehouse receipts and of futures contracts on electronic warehouse receipts issued by licensed warehouse operators.
TÜRİB is working in collaboration with the Union of Chambers and Commodity Exchanges of Turkey (TOBB), T.R. Ministry of Trade, T.R. Ministry of Agriculture and Forest, T.R. Ministry of Treasure and Finance and other stakeholders in such fields and for such purposes as digitalization of food supply chain from field to fork, popularization and generalization of EWRs, development of contracted agriculture, and licensed warehouse operations.