Full Text
REGD. No. D. L.-33004/99
The Gazette of India
CG-DL-E-02092026-275941
EXTRAORDINARY
PART III—Section 4
PUBLISHED BY AUTHORITY
No. 522] NEW DELHI, THURSDAY, AUGUST 27, 2026/BHADRA 5, 1948
WAREHOUSING DEVELOPMENT AND REGULATORY AUTHORITY
NOTIFICATION
New Delhi, the 20th August, 2026
Requirement of Security Deposit for registration of warehouses with the Warehousing Development and
Regulatory Authority
No. T-30/5/2020-Technical-Part(2).— In exercise of the powers conferred by sub rule (1) of rule 19 of the
Warehousing (Development and Regulation) Registration of Warehouses Rules, 2017, and in supersession of the
notification of the Warehousing Development and Regulatory Authority number No. T-23/3/2020-Technical-Part(1)
14th June, 2024 published in the Gazette of India, Extraordinary, Part III, Section-4, except as respects things done or
omitted to be done before such supersession, the Warehousing Development and Regulatory Authority (hereinafter
referred to as the Authority) hereby notifies the following procedure for requirement of security deposit, namely:—
1. No Fixed Security deposit shall be required from an applicant warehouse or Warehouse Service Provider
seeking registration of a warehouse with the Warehousing Development and Regulatory Authority for grant
issue of a Registration Certificate under the Warehousing (Development and Regulation) Act, 2007 and the
rules and regulations made thereunder. A registered warehouseman intending to undertake business
involving issuance of electronic Negotiable Warehouse Receipts (eNWRs) only shall before commencement
of such business, require furnishing Advance Dynamic security deposit (advance DSD) as per the rates
legislated under Para 3 of this notification and thereafter.
2. Where the warehouse fulfils all the requirements specified under the Act, rules and regulations made
thereunder, the Authority shall issue a certificate of registration to the applicant in respect of the warehouse
to the applicant immediately after the approval of inspection report in the form specified in the Fourth
Schedule of the Warehousing (Development and Regulation) Registration of Warehouses Rules, 2017
provided insurance requirement have been fulfilled.
3. Details of the amount and manner of security deposit to be furnished by the applicant or the warehouseman
shall be in the following manner :-
(i) A warehouseman intending to undertake business involving issuance of electronic Negotiable Warehouse
Receipts (eNWRs) shall, prior to commencement of such business, furnish an Advance Dynamic Security
Deposit to the Authority. The Advance Dynamic Security Deposit will be adjusted in the subsequent month's
DSDs as usual.
(a) An Advance Dynamic Security Deposit of Minimum ₹1,00,000 (Rupees One Lakh) per warehouse, or
an amount commensurate with the value of the electronic Negotiable Warehouse Receipts (eNWRs)
proposed to be generated by the WHM, shall be maintained by the warehouseman where the
warehouseman intends to issue electronic Negotiable Warehouse Receipts (eNWRs).
(b) Where the applicant or warehouseman is a Farmer Producer Organisation or a Primary Agricultural
Cooperative Credit Society or a Self Help Group and intends issuing electronic Negotiable
Warehouse Receipts (eNWRs), the Advance Dynamic Security Deposit shall be fifty thousand
rupees per warehouse.
(c) The dynamic security deposit is a percentage of the maximum value of negotiable warehouse receipts
outstanding, in all the registered warehouses of the warehouseman on any day during the preceding
month, referred as T* in the table below. Column (3) is the required dynamic security deposit in the
previous slab whereas column (4) is security deposit required in the referred slab for the dynamic
security deposit. The cumulative value of advance security deposit (column 5) and dynamic (column
(3) and (4)) security deposit shall be maintained with Warehousing Development & Regulatory
Authority as in the table below:
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| Sl. No. | Slab | Dynamic Security deposit | Advance DSD |
| (1) | (2) | (3) | (4) | (5) |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| 1 | T is less than or equal | 0 | 1% of T | |
| | to Rs. 25 crores | | | |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| 2 | T is above Rs. 25 | Rs 25 Lakhs | 0.75% of T | Minimum Rs. 1 lakh per warehouse or value commensurate to eNWR proposed to be generate in the month. |
| | crores and up to Rs. | | | |
| | 250 crore | | | |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| 3 | T is above Rs. 250 | Rs. 1.937 Crores | 0.50% of T | |
| | crores and up to Rs. | | | |
| | 2,500 crore | | | |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| 4 | T is above Rs.2,500 | Rs. 13.187 Crores | 0.25% of T | |
| | crore | | | |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
Note: Where the applicant or warehouseman is a Farmer Producer Organisation or a Primary
Agricultural Cooperative Credit Societies or a Self Help Group, the total security deposit shall be
fifty thousand rupees (total) per warehouse towards Advance Dynamic Security Deposit for issuance
of electronic Negotiable Warehouse Receipts (eNWRs).
(d) The Dynamic Security Deposit specified in table above shall become applicable only after
commencement of issuance of electronic Negotiable Warehouse Receipts (eNWRs) by the
warehouseman and shall thereafter be determined based on the maximum value of electronic Negotiable
Warehouse Receipts outstanding in all the registered warehouses of the warehouseman on any day
during the preceding month in accordance with the provisions of this notification.
(e) The Advance Dynamic Security Deposit furnished under clauses (a) and (b) above may, at the discretion
of the Authority, be adjusted against the Dynamic Security Deposit requirement determined in
accordance with clause (c).
(f) A registered warehouse not intending to undertake business involving issuance of electronic Negotiable
Warehouse Receipts (eNWRs) shall not be required to furnish any security deposit to the Authority.
(i) The Advance Dynamic Security Deposit shall be maintained during the period of issuance of
electronic Negotiable Warehouse Receipts (eNWRs) and for a period of six months thereafter,
whereas the Dynamic Security Deposit shall be updated at the end of each month and submitted to
the Authority, which shall be duly acknowledged and the validity of dynamic security deposit may
be kept for a period of minimum six months so as to take care of any changes in the requirement of
security deposit during this period.
(ii) The Authority may, adjust the security deposit already furnished by the warehouseman against the
amount required to be furnished as security deposit including adjustment of Advance Dynamic
Security Deposit against Dynamic Security Deposit requirements.
(iii) The security deposit shall be in the form of Bank Fixed Deposits or in the form of Bank Guarantee
/e- Bank Guarantee (as per the format given in the First Schedule), or surety insurance policies
or contracts or any other instrument decided by the Authority favouring Warehousing
Development & Regulatory Authority.
(iv) The Authority may allow any entity created under an Act of Parliament or of a State Legislature to
provide, an Indemnity Bond for the amount required as security deposit (as per format provided
in the Second Schedule).
(v) Where the applicant or warehouseman is a Primary Agricultural Cooperative Credit Society, The
Authority may allow to submit an Indemnity Bond for the amount required as security deposit
(as per format provided in the Third Schedule) issued by the State Government.
(vi) An entity allowed by the Authority to submit an Indemnity Bond shall submit, along with its
application for registration, a resolution from its Board of Directors authorising to furnish such
Indemnity Bond.
(vii) The security deposit shall be released as per the guidelines issued by the Authority from time to
time.
(viii) The Authority shall refund the security deposit in respect of a warehouse, if-
a. an application for renewal of registration of the warehouse has been rejected and if the Authority
is satisfied that the warehouseman has discharged his obligations as per the requirements of the
rules; or
b. a warehouseman surrenders his certificate of registration, and the Authority accepts such
surrender; or
c. the certificate of registration of a warehouse is cancelled, and the Authority is satisfied that the
warehouseman has discharged his obligations as per the requirements of the rules.
(ix) Notwithstanding such revision the security deposit as specified in sub-paragraph (i) and (ii), if
any, the warehouseman shall not increase the charges payable by the depositors within the period
of validity of negotiable warehouse receipts issued to them.
4. In the First Schedule, Second Schedule and Third Schedule to the notification dated 14th June, 2024 and
its amendment dated 1st July, 2025, for the words "security deposit", wherever they occur and in so far as
they relate to warehouses undertaking eNWR business, the words "advance dynamic security deposit"
shall be substituted.
5. The provisions of this notification shall apply only to applications for registration of warehouses made on
or after the date of its commencement. Warehouses registered before such commencement and
applications for registration, if any, pending on such date, where the security deposit has already been
furnished to the Authority, shall continue to be governed by the provisions relating to security deposit
applicable to them immediately before such commencement, and no alteration in such requirements shall
arise merely by reason of the coming into force of this notification.
GAURAV SINGH THAKUR, Director(Tech.)
[ADVT.-III/4/Exty./291/2026-27]
FIRST SCHEDULE
(Format for bank guarantee for security deposit payment to be submitted by the Warehouseman)
Director (Administration and Finance)
Warehousing Development and Regulatory Authority
National Cooperative Union of India Building (4th Floor),
3, Siri Institutional Area, August Kranti Marg,
Hauz Khas, New Delhi – 110016
(With due stamp duty as applicable)
OUR LETTER OF GUARANTEE Number:-
1. In consideration of Warehousing Development and Regulatory Authority, having its office at National
Cooperative Union of India Building (4th Floor), 3, Siri Institutional Area, August Kranti Marg, Hauz
Khas, Delhi-110016 (INDIA) (hereinafter referred to as the WDRA which expression shall unless
repugnant to the content or meaning thereof include all its successors, administrators and executors) and
having considered granting or granted registration of the warehouse (s), namely,
or
as per list annexed with this schedule (duly endorsed by the Bank) belonging to
M/s
(hereinafter referred to as “the Warehouseman” which expression unless repugnant to
the content or meaning thereof, shall include all the successors, administrators, and executors).
2. WHEREAS, the Warehouseman having unequivocally accepted to conduct business of warehousing as per
terms and conditions provided in the Warehousing (Development and Regulation) Registration of
Warehouses Rules, 2017 (hereinafter referred as the said rules) and having agreed to furnish to the
WDRA a security deposit in the form of a Bank Guarantee for Rs..
(Rupees...............only) for the
faithful performance of the entire registration with the WDRA, we....(hereinafter referred to as the
Bank)at the request of the warehouseman do hereby undertake to pay to the WDRA an amount not
exceeding Rs
.against any loss or damage caused to or suffered by the holder of the negotiable
warehouse receipt due to breach by the warehouseman of any of the terms and conditions contained rules
and the notification in the said number...dated the.....
...on "Requirement of Security Deposit for registration of warehouses with the WDRA” (hereinafter
referred as the notification).
3. We
.(Name of the Bank) do hereby undertake to pay the amount due and payable
under this guarantee without any demur merely on a demand from the WDRA stating that the amount
claimed is due by way of loss or damage caused to or suffered by the holder of the negotiable warehouse
receipt due to breach by the warehouseman of any of the terms and conditions contained in the rules and
the notification. Any such demand made on the bank shall be conclusive as regards the amount due and
payable by the Bank under this guarantee. However, our liability under this guarantee shall be restricted
to an amount not exceeding Rs.
4. We undertake to pay to the WDRA any money so demanded notwithstanding any dispute or disputes
raised by the warehouseman in any suit or proceeding pending before any Court or Tribunal relating
thereto, our liability under this present being absolute and unequivocal. The payment so made by us under
this bond shall be a valid discharge of our liability for payment thereunder and the warehouseman shall
have no claim against us for making such payment.
5. We.
(Name of the Bank) further agree that the
WDRA shall have the fullest liberty without our consent and without affecting in any manner our
obligations hereunder to vary any of the terms and conditions of the said agreement or to extend time of
performance by the Warehouseman from time to time or to postpone for any time or from time to time
any of the powers exercisable by the WDRA against the warehouseman and to for bear or enforce any of
the terms and conditions relating to the said agreement and we shall not be relieved from our liability
under terms and conditions relating to the said agreement and we shall not be relieved from our liability
by reason of any such variation, or extension being granted to the Warehouseman or for any forbearance,
act or omission on the part of the WDRA or any indulgence by the WDRA to the warehouseman or by
any such matter or thing whatsoever which under the law relating to sureties would, but for this provision,
have effect of so relieving us.
6. This guarantee will not be discharged due to the change in the constitution of the Bank or the
Warehouseman.
7. We,.
(Name of the Bank) Lastly undertake not to
revoke this guarantee during its currency except with the previous consent of the WDRA in writing.
8. Notwithstanding anything contained herein :-
i. our liability under this Bank Guarantee shall not exceed.
(Rupees only)
ii. this Bank Guarantee shall be valid upto...
and
iii. we are liable to pay the guaranteed amount or any part thereof under this Bank Guarantee only and only if
the WDRA serve upon us a written claim or demand on or before.
(date
of expiry of guarantee)
Dated the.
day of 20..
Name of Authorised Signatory or Manager
For (Name of the Bank) Branch Seal of the bank
SECOND SCHEDULE
INDEMNITY BOND
This indemnity is executed by deed on the day of
.202 by....
(an entity created under
the Act of the Parliament or of the State Legislative) hereinafter called Entity in favour of the Warehousing
Development and Regulatory Authority hereinafter called Authority WHEREAS:
a. The Authority is established under the Warehousing (Development and Regulation) Act, 2007 (Act, 2007)
with the objective to regulate and ensure implementation of the provisions of said Act for development of
warehouses, regulations of negotiability of warehouse receipts and promote orderly growth of
warehousing business. Every person desirous of commencing or carrying business of maintaining a
warehouse issuing negotiable warehouse receipts is required to be registered and for that purpose an
application has to be made to the Authority under the said Act.
b. Every applicant warehouse or Warehouse Service Provider seeking registration of their warehouse shall be
required to submit security deposit to the Authority within twenty-one days of the communication by the
Authority.
c. The value of security deposit (in the form of bank guarantee or surety insurance policies or contracts or any
other instrument decided by the Authority in favour of Warehousing Development and Regulatory
Authority) to be deposited by warehouseman and to be maintained during the period of registration and to
be updated at the end of each month as provided in Table II of this notification is as follows: -
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| S. No. | Slab | Dynamic security deposit | Advance DSD |
| (1) | (2) | (3) | (4) | (5) |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| 1 | T is less than or equal | 0 | 1% of T | |
| | to Rs. 25 crores | | | |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| 2 | Tis above Rs. 25 | Rs 25 Lakhs | 0.75% of T | Minimum Rs. 1 lakh per warehouse or value commensurate to eNWR proposed to |
| | crores and up to Rs. | | | |
| | 250 crore | | | |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| 3 | Tis above Rs. 250 | Rs. 1.937 Crores | 0.50% of T | |
| | crores and up to Rs. | | | |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
| 4 | Tis above Rs.2,500 | Rs. 13.187 Crores | 0.25% of T | be generate in the month. |
| | crore | | | |
+--------+--------------------------+---------------------+----------------+---------------------------------------------------------------------------------------+
Note: Here "T" is referred in the above Table as highest value of total outstanding negotiable warehouse receipts in
over the preceding month for all the warehouses registered by the warehouseman.
d. The Authority may at its discretion, adjust the security deposit already furnished by warehouseman against
the amount required as security deposit. The security deposit shall not be released until six months after
cancellation, rejection or surrender of the registration of the warehouse or until after satisfaction of every
claim against security deposit whichever is later. The Authority reserves its rights to revise the amount of
security deposit.
c. As the Authority may allow any entity created under an Act of the Parliament or State Legislative and
carrying business of maintaining warehouse (s) and issuing Negotiable Warehouse Receipt, to submit
Indemnity Bond in lieu of security deposit and the Entity allowed by the Authority to submit an
Indemnity Bond shall submit, along with its application for registration, a resolution from its Board of
Directors authorising the furnishing of such Indemnity Bond.
NOW therefore M/s of
(name the entity) established under
Act, agrees and
undertakes at all times to save, defend, and indemnify and keep indemnified the Authority from and against
all actions, suits, proceedings, accounts, claims and demands whatsoever for an amount of Rs... (rupee
only) (as detailed at Annexure) to the extent of limits to be worked out as provided in paragraph (c) above
and as per the conditions of this indemnity bond noted below: -
1. M/s......
(Name of the entity) shall comply with all the obligations to be performed on their
part under the Authority's rules and regulations.
2. M/s...
(Name of the entity) undertakes to keep the Authority indemnified for an amount to be
worked out as per the Table mentioned in paragraph (c) above until six months, after cancellation,
rejection or surrender of registration or until after satisfaction of every claim whichever is later.
3. M/s.....
(name of the entity) shall be discharged of its obligation under Indemnity Bond in
respect of a warehouse, if:
a. an application for renewal of registration of the warehouse has been rejected and if the Authority is
satisfied that the warehouseman has discharged his obligations as per the requirements of the rules;
b. a warehouseman surrenders his certificate of registration, and the Authority accepts such surrender, or
c. the certificate of registration of a warehouse is cancelled, and the Authority is satisfied that the
warehouseman has discharged his obligations as per the requirements of the rules.
4. M/s.
...(Name of the entity) undertakes not to increase the charges payable by depositors within
the period of Negotiable Warehouse Receipts issued to them.
5. M/s........... ..(Name of the entity) hereby agrees that in case any losses or damages, if suffered by the
Authority (to the extent of paragraph (c) above), the same shall be indemnified by M/s................ (Name
of the entity).
6. This Indemnity Bond shall have validity till..
day of ........(month) 202....
In witness whereof signed this Indemnity Bond is executed on this
.202.
day of
Executor
Name:
Designation:
Organisation:
(With Seal)
In the presence of witnesses:
(1)
(2)
Annexure to the Second Schedule
Details of warehouses included in the Indemnity Bond
+--------+---------------------------------+------------------------+
| S.No | Name and address of the warehouse | Capacity in metric ton |
+========+=================================+========================+
| | | |
+--------+---------------------------------+------------------------+
| | | |
+--------+---------------------------------+------------------------+
Executor
Name:
Designation:
Organisation:
(With Seal)
THIRD SCHEDULE
INDEMNITY BOND
This indemnity is executed by deed on the day of 202 Government of .............in favour of the
Warehousing Development and Regulatory Authority (WDRA) hereinafter called “AUTHORITY”
WHEREAS:
a. The Authority is established under the Warehousing (Development and Regulation) Act, 2007 (Act, 2007)
with the objective to regulate and ensure implementation of the provisions of said Act for development of
warehouses, regulations of negotiability of warehouse receipts and promote orderly growth of warehousing
business. Every person desirous of commencing or carrying business of maintaining a warehouse issuing
negotiable warehouse receipts is required to be registered and for that purpose an application has to be made
to the Authority under the said Act.
b. Every applicant warehouse or Warehouse Service Provider seeking registration of their warehouse shall be
required to submit security deposit to the Authority within seven working days of the communication by the
Authority.
с.
The value of security deposit (in the form of bank guarantee or surety insurance policies or contracts or
indemnity bond or any other instrument decided by the Authority in favour of Warehousing Development
and Regulatory Authority) to be deposited by the Government of
on behalf of the Primary
Agricultural Cooperative Credit Society/ies and to be maintained during the period of registration. The total
security deposit shall be fifty thousand rupees (total) per warehouse covering both the dynamic and Advance
Dynamic security deposit
d. The Authority may at its discretion, adjust the security deposit already furnished for the Primary Agricultural
Cooperative Credit Society/ies against the amount required as security deposit. The security deposit shall not
e.
be released until six months after cancellation, rejection or surrender of the registration of the warehouse or
until after satisfaction of every claim against security deposit whichever is later. The Authority reserves its
rights to revise the amount of security deposit.
As the Authority may allow Government of
on behalf of Primary Agricultural Cooperative Credit
Society/ies which are carrying business of maintaining warehouse (s) and issuing Negotiable Warehouse
Receipt, to submit Indemnity Bond in lieu of security deposit and the Entity allowed by the Authority to
submit an Indemnity Bond shall submit, along with its application for registration,
NOW therefore, the Government of
agrees and undertakes at all times to save, defend, and
indemnify and keep indemnified the Authority from and against all actions, suits, proceedings, accounts, claims
and demands whatsoever for an amount of Rs.........(rupee only) (as detailed at Annexure) to the extent of limits
to be worked out as provided in paragraph (c) above and as per the conditions of this indemnity bond noted
below: -
1. M/s.
(Name of the entity/ies) shall comply with all the obligations to be
performed on their part under the Authority's rules and regulations.
2. The Government of
undertakes to keep the Authority indemnified for an amount stated in para c
above until six months, after cancellation, rejection or surrender of registration or until after satisfaction of
every claim whichever is later.
3. M/s.......
(name of the entity/ies ) shall be discharged of its obligation under
Indemnity Bond in respect of a warehouse, if:
a. an application for renewal of registration of the warehouse has been rejected and if the Authority is
satisfied that the warehouseman has discharged his obligations as per the requirements of the rules;
b.
a warehouseman surrenders his certificate of registration, and the Authority accepts such surrender;
or
c.
the certificate of registration of a warehouse is cancelled, and the Authority is satisfied that the
warehouseman has discharged his obligations as per the requirements of the rules.
4. M/s.
..(Name of the entity/ies) undertakes not to increase the charges payable
by depositors within the period of Negotiable Warehouse Receipts issued to them.
5. The Government of
hereby agrees that in case any losses or damages, if suffered by the Authority
indemnified
(to the extent of paragraph (c) above),
by the Government of
the same
shall
be
6. This
Indemnity
Bond shall have
validity till
day of
(month)
202.......
In witness where of signed this Indemnity Bond is executed on this
2025.
day of
Executor
Name:
Designation:
Organisation:
(With Seal)
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.
RAVINDER KUMAR
Login to read full text