A task force on implementing the Warehouse Receipt Financing System (WRFS) is committed to creating effective operating procedures, highlighted Task Force Leader Deputy Minister U Nyunt Aung of the Ministry of Commerce, at the first meeting held on 9 September at the Union of Myanmar Federation of Chambers of Commerce and Industry.
The deputy minister called for harmony and concerted efforts from all the stakeholders concerned in the warehousing including the government departments, growers, producers, warehouse owners and traders by fulfilling the needs to establish the WRFS successfully.
This system will tackle warehousing problems during harvest time, allow the use of commodities as collateral to secure loans to avoid selling for quick cash and allow the farmers to repay the loan when the goods fetch high prices.
The task force will write operating procedures, lay down policies and standard rules, establish separate funds, carry out pilot projects and assist domestic and foreign warehouse investors.
Additionally, to enhance the rice sector, crop insurance implementation to protect farmers from disaster risks can also help stabilize the rice and paddy prices. — TWA/EM
