Lok Sabha Question No. 2219 (UNSTARRED), answered on 2025-03-12
Subject: eNWR System
Ministry: CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
Asked by: Shri Aditya Yadav

## GOVERNMENT OF INDIA

## MINISTRY  OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION DEPARTMENT OF FOOD AND PUBLIC DISTRIBUTION

## LOK SABHA

UNSTARRED  QUESTION  NO.2219

TO BE ANSWERED ON 12TH MARCH, 2025

## ENWR SYSTEM

## 2219. SHRI ADITYA YADAV:

Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION be pleased to state:

- (a) whether the electronic Negotiable  Warehouse Receipt (eNWR)  system supports the Government's Digital India initiative with a focus on improving  the ease of doing business within  the warehousing sector thereby enhancing transparency and efficiency;
- (b) if  so, the  details  thereof;  and
- (c) if  not, the reasons therefor?

## ANSWER

MINISTER  OF STATE FOR MINISTRY  OF CONSUMER  AFFAIRS. FOOD & PUBLIC DISTRIBUTION

(SHRIMATI NIMUBEN JAYANTIBHAI BAMBHANIYA)

(a) & (b): Since paper based NWRs  were  fraught with  various risk  relating to  loss, mutilation,  damage, overwriting,  fudging  etc. Therefore, in order to overcome these risks / constraints and also to  enhance the credibility/integrity of  the NWRs,  electronic Negotiable Warehouse Receipt (e-NWR)  system through  repositories has been introduced under the transformation plan  which  would facilitate  creation  and  management of  the  e-NWR ecosystem.

WDRA  notified  the Warehousing Development and  Regulatory Authority (Electronic Negotiable  Warehouse Receipts) Regulations, 2017  on  June  29,  2017 concerning regulation  of e-NWRs.

WDRA launched  Electronic Negotiable Warehouse  Receipt  (e-NWR) on  26th September, 2017  to  be issued by  registered warehouse on  electronic  repository  system. WDRA has also  notified that  with effect from Ist  August 2019  all  registered  warehouses shall issue NWRs only in electronic form.

•

The e-NWR  is a more secured document adding to the credibility  to the concerned warehouse as  compared to  paper  based warehouse receipts/  stock  receipts.  Major advantages of e-NWRs,  as compared to paper based Negotiable Warehouse Receipt are as under :-

| PaDer Based                                                                                                             | e-NWR                                                                                                                                                                       |
|-------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Cannot be split                                                                                                         | e-NWRs can be split with obligation to transfer onIY a Dart of the commodi                                                                                                  |
| nutilation, tampering, flidgjng of information etc                                                                      | No possibility of any such eventuality                                                                                                                                      |
| Inhee clearing and trading in a transparent rrlarlrler                                                                  | earing, Settlementand delivery system with transparency in trading of agricultural Produce                                                                                  |
| c ation of the NWRwith multiple stake holders                                                                           | Easy to share vital information of the e-NWR with multiple stake holders like Bankers, commodity exchanges, Government etc.                                                 |
| Rmm for real time rnonitoring and surveillance                                                                          | Tis possible to monitor on real time since N\VR is stored in electronic form.                                                                                               |
| Lien on warehouse receipt in favour of bank is noted on NWR, hence no control on other actionsperformed on the receipt. | m can be marked electronically, so that no other transactions are allowed on such recerpts .                                                                                |
| Possibility of double funding may arise due to fbdged/duplicate receipt                                                 | This situation does not arise since lien is marked electronically on a repository platform and the lien marked e-NWR would not be available for further lending/operations. |

Owing to  various benefits highlighted above, e-NWR system promote an efficient clearing,  settlement  and  delivery system  with transparency  in trading  of  agricultural produce. e-NWRs is also used for the purpose of  de]ivery of  goods in  the commodity derivative markets. Therefore, e-NWIt  promotes ease of doing business in the warehousing sector

- (c): Not  applicable in view  of  reply to (a) and (b) above.

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