Stock Report

Adani Agri Logistics secures LoA from FCI for Silo Complexes

Posted On : 2022-10-14 22:17:54( TIMEZONE : IST )

Adani Agri Logistics secures LoA from FCI for Silo Complexes

Adani Agri Logistics Ltd (AALL), a wholly-owned subsidiary of Adani Logistics Ltd, has received a Letter of Award (LoA) from the Food Corporation of India (FCI), following competitive bidding, to build silo complexes at various locations across the country.

Based on the LoA, AALL will develop and operate state-of-the-art silo complexes at four locations - Kanpur, Gonda and Sandila in Uttar Pradesh and Katihar in Bihar, in line with the Government of India's objective of modernizing India's storage infrastructure, creating a total silo storage capacity of 3.5 lakh MT.

Silo complexes, which are mechanized and automated units equipped with temperature and humidity controls, are built to handle, store and preserve food grains. The handling process, from procurement to transportation, is in bulk form catered through containerized movement.

AALL's project will benefit farmers across the states of Uttar Pradesh and Bihar besides supporting general consumers and PDS (Public Distribution System) beneficiaries.

Currently, farmers are forced to deal with a waiting period of two to three days while their agricultural produce makes its way through the traditional farm-to-mandi procurement chain. With the implementation of this project, the processing time will be cut down to merely one to two hours. This will significantly improve procurement efficiency.

Additionally, this project will benefit general consumers and beneficiaries of the PDS (Public Distribution System), besides generating substantial savings on labour costs, gunny bags and transportation.

The project, to be executed under the Design, Build, Finance, Operate and Transfer (DBFOT) mode, will include Hub Silo Complexes, which are silo complexes with container depots, and Spoke Silo Complexes, which are silo complexes without container depots.

With the addition of 3.50 lakh MT storage capacity, AALL will now have a total of 15.25 lakh MT of silo storage capacity across 24 locations in India.

Shares of Adani Ports and Special Economic Zone Limited was last trading in BSE at Rs. 780.25 as compared to the previous close of Rs. 784.85. The total number of shares traded during the day was 227673 in over 7183 trades.

The stock hit an intraday high of Rs. 805.95 and intraday low of 778.35. The net turnover during the day was Rs. 179935759.00.

Source : Equity Bulls


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