Sarkaritel.com News and Features-Corporate News

CWC Pays Rs 7.86 cr Dividend to Government

New Delhi November 01, 2006

The Central Warehousing Corporation (CWC) today presented a dividend cheque for Rs.7.86 crore to Minister for Consumer Affairs, Food & Public Distribution, Shri Sharad Pawar Presenting the cheque  N.K.Choubey, MD, CWC stated that the Corporation had declared a dividend of 21% for the year 2005-06 after registering the highest ever profit before tax of Rs.106.95 crores. Speaking on the occasion The Minister urged the Corporation to explore the possibility of establishing chain of cold storages in the growing areas for agricultural produce for better marketing.

CWC, a premier storage agency in the Public Sector was set up in March, 1957 by an Act of Parliament. The CWC has a network of 518 warehouses with the total storage capacity of 102.82 lakh MT with an average utilization of 86% all over India. Initially set up to provide scientific storage facilities to agricultural produce and notified commodities at reasonable cost, CWC has been diversifying into different areas in order to cross-subsidize and sustain its operations in agricultural sector. It made an entry into operation of Public Bonded Warehouses in the late seventies and was identified as a custodian for dutiable goods. Today the CWC operates 87 Custom Bonded Warehouses with a capacity of 5.81 lakhs MTs. The CWC also runs three Air Cargo Complexes, 31 Container Freight Stations/ Inland Clearance Depots and three Temperature Controlled Warehouses providing services to the export/import trade.

Against the authorized capital of Rs.100 crore, the paid up capital of the CWC is Rs.68.02 crores. The CWC is not dependent upon any budgetary support from the Government and all its operations/construction plans are met out of internal generation of resources.

Except for the first 9 years of its existence, the CWC has been consistently paying a dividend to the Government. The Corporation has so far paid a total dividend of Rs.109.14 crores to Central Government against Rs.37.42 crore invested by it in Share Capital of CWC.

The CWC operates a scheme to educate the farming community on storage and preservation of stocks at the farm level for reducing the avoidable storage losses. The scheme is in operation through 229 rural based warehouses. Under its Farmer Extension Service Scheme a total of 228192 farmers have been educated all over India. The Corporation also operates Disinfestations Extension Service Scheme (DESS) as a profit center concept, under which pest control services are provided at the doorstep of the customers be it farmers traders, exporters, importers, shipping agents to control the damage caused by insects, rodents and termites. It also undertakes pest control operations in railway wagons/coaches; aircrafts; office/residential complexes; bulk vessels carrying fumigable commodities; cargo containers and hotels etc.

The Central Warehousing Corporation will be observing its Golden Jubilee in March, 2007.

E-Mail : newseditor@sarkaritel.com