"We'll be serving a category of MSMEs buying primary steel which accounts for Rs 1200 crore market. The platform will allow an MSME to buy steel from a distributor without cash which was not possible in the traditional method," Varma said.
"This digitally enabled platform solution will connect emerging corporate accounts to potential lenders. I believe the initiative has the potential to set a new norm for steel consuming segments. We expect to touch over 600 customers through this initiative within a years time," Tata Steel chief of marketing & sales Sanjay Sahni said.
The mjunction officials said financing would be done to pre-approved consumers and distributors. The need surfaced after it was found MSMEs were seeking products in credit while the steel distributors were unable to meet their demand.
"mjunctions e-finance platform that provides onboarding, transacting, monitoring and reporting services will be well leveraged to make this programme a success," Varma said.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)