Procedure for registration of a warehouse

Procedure for registration of a warehouse under the Warehousing (Development & Regulation) Act, 2007 by the WDRA (Warehousing Development and Regulatory Authority) is outlined below:

1. If a warehouseman wants to apply for registration of his warehouse, then he has to apply
for registration in the prescribed form A1(Annexure – I).
2. Copy of above application form A1 has to be submitted to one of the accreditation agency,
(suitable to applicant) requesting them for accreditation of their warehouse, as per WDR
Act, 2007. List of accreditation agencies is at (Annexure-II).
3. The accreditation agency will inform to the applicant about date and time on which the
examiner appointed by accreditation agency will come to their premises for inspection and
verifications.
4. In the mean while till such time the examiner comes for inspection, the applicant shall
ascertain that following conditions are fulfilled:-
(a) Fee for accreditation is paid to accreditation agency as per circular (Annexure-III).
(b) Godowns of the warehouse shall be as per BIS standards (Annexure-IV). *
(c) The manpower shall be as per WDRA norms (Annexure -V).
(d) Equipments, chemicals and other laboratory articles shall be as per the list (Annexure –
VI).
(e) Documents to ascertain adequate positive networth of the warehouse, a certificate from
a Chartered Accountant or creditworthiness from a scheduled bank of the individual
warehouse or its organisation will suffice.
(f) Proof of ownership or registered lease deed vesting the right with the warehouseman to
use the relevant warehouse for the purposes of operating a warehouse.
(g) No objection certificate or warehouse license from the Municipal Corporation or local
authority for carrying out the business of warehousing within the premises of the
relevant warehouse.
(h) List of the goods for which the registration is being sought.(List of notified commodities
Annexure VII)
(i) Insurance policies for fire, floods, theft, burglary, misappropriation, riots, strikes or
terrorism. The values of the sum insured for different policies shall be as follows:-
(i) Special fire perils policy (for a value not less than the actual value of the stocks held
in storage at a given point of time and if the stocks exceed the limit of insurance
cover value/sum insured then warehouseman shall immediately get enhanced the
value of sum insured from insurance company otherwise, the warehouse has to
bear the cost of un-insured stocks and has to pay to the depositor. In case of loss of
stocks).
Policy should give details of different stocks with “held in trust” clause.
(ii) Other risks such as floods and riots, strikes or terrorism shall be covered as an add on policy of special fire perils
(iii) Theft and burglary policy – The warehouseman has to take this policy on first loss
basis and he shall ensure that the policy adequately covers the risks.(iv) Misappropriation – The warehouseman shall take policy of covering losses  of goods
etc due to fraudulent activities of an employee of warehouse, then the said risks
shall be adequately covered.
(j) Statement/copy of agreement for outsourcing work of pest control and security and also
to support tie-ups, if any, with grading, testing laboratories.
(k) Layout plan of the Warehouse.
5. Accreditation agency will inspect the warehouse and verify all above documents and will
prepare inspection report in a checklist (Annexure – VIII)
6. Applicant will submit all above documents alongwith application in form A1 in original duly
verified by examiner of accreditation agency alongwith following documents to WDRA:-
(a) Board Resolution / Power of attorney authorizing the applicant to apply on behalf of the
organization
(b) Identity proof of the applicant such as certificate of incorporation or Memorandum and
Articles of Association for companies or copy of partnership deed for partnerships or
such other documents as may be specified by the Authority.
(c) Proof of ownership or registered lease deed or rent agreement and receipt of the
warehouse.
(d) No objection certificate from the Municipal Corporation or local authority, for carrying
out the business of warehousing.
(e) Accreditation certificate issued by an accreditation agency registered by the Authority
under section 5 and the matters’ referred to under clause (a) of sub-section (2) of
section 35 of the Act.
(f) Fee as specified by the Authority as follows:-
1. Application Registration Fee. – Every application for registration of warehouse or renewal
thereof shall be accompanied with fee by way of bank draft or bankers cheque of any
nationalized bank in favour of the Drawing and Disbursing Officer, Warehousing Development
and Regulatory Authority payable at New Delhi at the rate as indicated below:-
Registration/renewal of registration of warehouse:-
(i) State Capital cities Rs.2.50 per MT
(ii) District Headquarters Rs.1.50 per MT
(iii) For rural and other areas Re.1.00 per MT
Subject to a minimum amount of Rs.7500 for each warehouse.
2. Security Deposit.- Every applicant, at the time of submission of the application for
registration of each warehouse, shall furnish to the Authority, security deposit by bank draft or
bankers cheque of any nationalised bank in favour of Drawing and Disbursing Officer,
Warehousing Development and Regulatory Authority payable in New Delhi at the rate as
indicated below:-
(i) State Capital cities Rs.2.50 per MT
(ii) District Headquarters Rs.1.50 per MT
(iii) For rural and other areas Re.1.00 per MT
Subject to a minimum amount of Rs.7500 for each warehouse.
(g) Statement of financial credibility in the form of audit reports/budget statement with
supporting documents.
(h) Such other documents as may be specified by the Authority.
7. After the above documents alongwith the following prescribed fee and accreditation
certificate is received by WDRA then after through examining if WDRA finds that the
applicant warehouse meets all the standards and norms prescribed by WDRA and as per
Act, Rules & Regulations, then a registration certificate will be issued in the name of
applicant warehouseman and same will be sent to him by speed post.

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