The Warehousing Development and Regulatory, (WDRA) on June 27, 2023, issued a notification regarding Inviting comments from Stakeholders on the proposed Rationalization of Dynamic Security Deposit to be submitted by the Registered Warehouseman as per Warehousing (Development and Regulation) Registration of warehouses Rules, 2017.
Commodity derivative market regulator SEBI vide its notification reduced the required FSD from 3% to 2% (of the value of goods stored upto 250 Crores) and there has been no instance thus far where Dynamic Security Deposit had to be invoked for any acts of omission or commission on the part of the WHM. Accordingly, WDRA started consultations with different stakeholders to further rationalize the security deposit requirement.
Requests of warehousemen and representations from associations were examined and decided to initiate the consultation meetings to rationalize the requirement of DSD for Agri warehouses
Suggestions, and comments from the stakeholders including Public warehousemen like CWC/ SWC, private warehouses, commercial banks including the general public are invited on the proposed security deposit guidelines.
[Notification No. T-23/3/2020-Technical-Part/1686]
