New Delhi: The highly fragmented barter business — a cashless transaction where one trades a product or service for another — is set for a sea change in India with the world’s largest exchange Bartercard announcing its foray in the country.
Australia-based Bartercard said on 27 March that it would commence operations in next three-four months in India, “which is the largest market yet to be entered by the group” already present across 12 countries.
The Bartercard operations would commence in June-July here and licence for it has been given to Indian businessmen Rakesh Thapar and Ashoka Bhanwarlal Motha, the London Stock Exchange listed company said in a statement.
The recruitment of the management team has begun and training of personnel in Australia and India would commence in May for India operations.
Bartercard chairman Wayne Sharpe said, “India is a huge market with great potential and we are delighted to have made this licence sale. We are actively looking to increase Bartercard’s presence further in Asian countries.”
Bartercard, unlike other credit or debit cards, need to be recharged with customers’ own goods and services and not cash.
With a membership of over 55,000 smart businesses in 12 countries around the world (over 23,000 in Australia), Bartercard enables member businesses to exchange goods and services with other member businesses, while saving cash and without having to engage in a direct swap of goods.
Barring cash involvement, a Bartercard transaction is similar to a credit or debit card. Members receive a plastic card and an interest-free line of credit. Trade Dollars are credited to the members Bartercard account upon the sale of goods and services through the exchange.
Members use their Bartercard transaction card to spend their credit balance or draw on their interest-free line of credit, on goods and services from any other Bartercard member.
Bartercard is the world’s largest Barter exchange and creates business opportunities for companies who barter their goods and services.
The barter trade market in India largely comprises of smaller firms with exceptions like Net4Barter, which has a client base of about 1,000 companies.