SLCM Group to foray into ASEAN, African regions

Agri-logistics firm Sohan Lal Commodity Management (SLCM) Group today said it has outlined expansion plans to foray into ASEAN and African regions.
"We have outlined expansion for the current fiscal and plan to foray into ASEAN and African regions where we intend to replicate our proven business model to improve agriculture growth with a robust supply chain management and warehousing services.
"SLCM has plans to penetrate African continent with the first foray into Malawi," SLCM group CEO Sandeep Sabharwal told PTI here.
At present, the firm has operations in Myanmar where it is engaged in warehousing, collateral management and allied services through its wholly owned subsidiary SLCM Ltd.

SLCM has partnered with 10 leading banks and financial institutions for collateral management including the leading public and private sector banks in India.
It has also entered into partnerships with YOMA Bank and C B Bank in Myanmar.

"Through our tie-ups in Myanmar, SLCM Ltd has disbursed loans worth 680 million kyatts and has managed 100,000 sq feet of space, 15 different commodities with a throughput of approx 4 million tonnes, he said.
In the domestic market, Kissandhan Agri Financial Services, an agri-financing arm of SLCM has achieved 130 per cent growth in loan disbursements in Q1 of FY 2015-16.

Kissandhan has added loan disbursement figure of Rs 76 crore in Q1 FY16 against that of Rs 33 crore achieved in Q1 of FY 2014-15.
Kissandhan's total disbursement stands at Rs 210 crore as on June 30, 2015 to farmers and SMEs against crop collateral, Sabharwal said.
Kissandhan, with a capital infusion of Rs 50 crore from parent company SLCM, is eyeing a three-fold growth in loans disbursement by the end of this fiscal.
Ranging from the smallest ticket size of Rs 42 lakh and a high-end ticket of Rs 5 crore, the average ticket size has been about Rs 2.5 crore.

The SLCM group in India has achieved a turnover figure of more than Rs 1,923 crore in 2014-15 and eyes a turnover of about Rs 2,600 crore in the coming fiscal.
Expecting a multi-fold growth, they have plans to expand the warehouse management network from current 750 to 1500 with presence in all the major states of India, Sabharwal said.