The Warehousing Development and Regulatory Authority (WDRA) on August 27, 2026, notified the requirement of a Security Deposit for the registration of warehouses with the Warehousing Development and Regulatory Authority.
The following has been stated:
• It has revised the security deposit requirements for registration of warehouses, superseding its notification dated June 14, 2024. No fixed security deposit will be required at the time of warehouse registration; however, warehouses intending to issue electronic Negotiable Warehouse Receipts (eNWRs) shall furnish an Advance Dynamic Security Deposit (Advance DSD) before commencing such activity. The minimum Advance DSD is ₹1 lakh per warehouse, or an amount commensurate with the proposed eNWR value, while FPOs, PACS and SHGs are required to maintain ₹50,000 per warehouse.
• Thereafter, a Dynamic Security Deposit will be determined based on the maximum value of outstanding negotiable warehouse receipts, at rates ranging from 1% to 0.25% depending on the applicable slab. Warehouses not undertaking eNWR business will not be required to furnish any security deposit.
• The deposit may be maintained through bank fixed deposits, bank/e-bank guarantees, surety insurance, indemnity bonds or other permitted instruments, and specified entities may furnish indemnity bonds instead of the deposit.
• The revised provisions apply only to registration applications made on or after the commencement of the notification; existing registered warehouses and pending applications where deposits have already been furnished will continue under the earlier requirements.
[Notification No. – T-30/5/2020-Technical-Part(2)]
