White Organic Agro bags supply order of 2500 tonnes food grains

The contract value is Rs42cr.

November 17, 2021 12:27 IST | India Infoline News Service
White Organic Agro Limited has announced the receipt of direct letter of intent for supply of various food grains (viz : pulses and grains) upto 2500 Tons totalling to approx Rs42cr to be supplied in the domestic market.

As per regulatory filing, this would be co’s stepping stone in the bulk supply domestic market of pulses and would help widen the horizon into the vast scalable business of food grains within India.

Initially, in FY22 the company has supplied food grains worth Rs15cr to the same group company. As the capacity and the order book in increasing, going forward with a scope of converting the same into a long term contract and in order to facilitate and assure uninterrupted supply the management would soon finalise in the indirect farming business for cultivation, warehousing for pulses in the western states of India, as deem fit.

To facilitate the same the management is in finalising office in Vashi, Navi Mumbai, from where the management intends to carry out the business.

Previously, the supply of food grains by the company had cleared all the required quality checks and quality team of the buyer are looking forward for long term association with the company.

The management believes this step will certainly boost the company’s prospect for future. Commercially as well this is very much viable business. The initial scalability of business of food grains in the domestic market is approx Rs400cr.

On Sensex, at around 12:29 PM, White Organic Agro was trading at Rs12.88 per piece higher by 9.23%.

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