a) The Company is distributor of Bayer BioScience Private Limited (BBPL) operating in the territory of India and Nepal for distribution of seeds. As the Company is a limited risk distributor in this commercial arrangement, BBPL recognises the risk of overdue receivables to its account. During the year, the Company has recovered, overdue outstanding receivables towards distribution of seeds to third parties, from BBPL aggregating 3 (Previous Year 12) towards recoupment of loss as recovery is less probable. As and when the Company recovers any amount against such overdues, or any part thereof, from the respective customers, the Company is required to pay to BBPL such amounts so recovered. Till date, the overdue security deposits from third parties amounting to 12 has also been recovered from BBPL under this arrangement. The net amount recovered from BBPL as on March 31, 2026 337 (Previous Year 363) is included in “Other Financial Liabilities” in Note 21.
The Company has one class of Equity Shares having a par value of ' 10/- per share. Each Shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the Shareholders in the ensuing Annual General Meeting. In the event of liquidation, the Equity Shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.
I n Monsanto India Limited (MIL/ Transferor Company), there has been a dispute with regards to the transfer of 100 shares, held by a shareholder. In view of the pending dispute, bonus entitlement relating to this 100 shares has been kept in abeyance by the Transferor Company. Pursuant to the amalgamation of MIL with the Company effective from September 16, 2019, the Company shall continue to keep such entitlements in abeyance.
Disclosure as required under Ind AS 19 - Employee Benefits:
The Company’s defined contribution plans are Provident Fund, Superannuation Fund, Employees’ State Insurance Scheme and National Pension Scheme administered by government approved institutes/ trustees since the Company has no further obligation beyond making the contributions.
The Company provides for gratuity in accordance with the Payment of Gratuity Act, 1972/ Company policy. Employees and fixed term employees completing 5 years and 1 year of continuous service respectively are eligible for gratuity. The gratuity payable on retirement/ termination is based on the last drawn monthly salary and years of service, computed in accordance with the Act/ Company policy.
The plan asset for the funded gratuity plan is invested in insurer managed fund administered by Life Insurance Corporation of India (LIC), Kotak Life Insurance Limited (Kotak) and Aditya Birla Sun Life Insurance Company Limited (Aditya Birla) independently. 71% (Previous Year: 69%) of the plan asset is invested in debt securities and 29% (Previous Year: 31%) of the plan asset is invested in equity instruments.
The risks from defined benefit plans arise partly from the defined benefit obligations and partly from the investment in plan assets. The risks lie in the possibility that higher direct gratuity payments will have to be made to the beneficiaries and/ or that additional contributions will have to be made to plan assets in order to meet current and future defined benefit obligations.
The gratuity plan provides a lump sum payment to vested employees at the time of retirement, death, incapacitation or termination of employment. Change in attrition rate or mortality assumption as compared to actual rate may result in change in benefit obligations, benefit expense and/ or payments than previously anticipated.
I f the actual return on plan assets was below the return anticipated on the basis of the discount rate, the net defined benefit obligation would increase, assuming there were no changes in other parameters. This could happen as a result of a drop in return by LIC, Kotak or Aditya Birla.
A decrease in prevailing market yield on Debt securities may increase the defined benefit obligation. This effect would be at least partially offset by the ensuing increase in the market values of the debt instruments held.
The estimates of future salary escalations, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factor such as supply and demand factors in the employment market.
The above sensitivity analysis are based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur, and changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation, the present value of the projected benefit obligation has been calculated using the projected unit credit method at the end of the reporting period, which is the same method as applied in calculating the projected benefit obligation as recognised in the balance sheet. The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to the previous years.
2. Accumulated compensated absences, which are expected to be availed or encashed within 12 months from the end of the year end are treated as short-term employee benefits for measurement purpose. The obligation towards the same is measured at the expected cost of accumulating compensated absences as the additional amount expected to be paid as a result of the unused entitlement as at the year end. Accumulated compensated absences, which are expected to be availed or encashed beyond 12 months from the end of the year end are treated as other long-term employee benefits for measurement purpose. The Company’s liability is actuarially determined by an independent actuary using the Projected Unit Credit Method at the end of each year. Actuarial losses/ gains are recognised in the Statement of Profit and Loss in the year in which they arise.
3. Provisions for other employee benefits mainly include those recorded for performance based bonus, variable payments and long-service awards.
5. Other Provisions represent provision for estimates made for probable liabilities/ claims arising out of pending disputes, litigations/ commercial transactions with statutory authorities/ third parties. The outflow with regard to the said matters depends on the exhaustion of remedies available to the Company under the law and hence the Company is not able to reasonably ascertain the timing of the outflow and hence expected utilisation is considered as more than 1 year.
During the year, 22 (Previous Year 22) is recognised under the head Finance Costs [included in Note 29] as an additional provision towards Commercial and Other Matters.
35 Contingent Liabilities
A) Claims against the Company not acknowledged as debts towards:
As At 31.03.2026
As At 31.03.2025
- Direct Tax Matters [Refer Note (a) below]
2,770
2,706
- Indirect Tax Matters [Refer Note (b) below]
4,724
3,984
- Litigation/ claims filed by customer/ vendor/ third party [Refer Note (c) below]
134
- Litigation/ demands raised by other Statutory Authorities [Refer Note (d) below]
25
Future cash flows in respect of above, if any, is determinable only on receipt of judgement/ decisions pending with relevant authorities.
a) The contingent liability for direct tax matters mainly include 2,331 (Previous year 2,218) for issues in dispute relating to exemption of agriculture income. The Company has been consistently maintaining the position that such income is exempt from tax. The said claim has been in dispute, pending before various appellate authorities viz., Supreme Court, High Court and CIT(A).
b) The disputed demands for indirect tax matters are mainly related to input credit, levy of tax, sales return credit notes, turnover computation, product classification, non-issuance of statutory forms.
c) It mainly includes demand for crop failure.
d) It mainly includes demand raised towards provident fund.
B) The Company received a notice from the Hon’ble Civil Court, Thiruvananthapuram on August 23, 2018 intimating that a suit has been filed against the Company along with 15 other companies manufacturing Endosulfan, making them jointly and severally liable, for an amount of 1,617 in respect of recovery of amount paid as compensation by the State of Kerala to victims of Endosulfan. The Company is of the view that there is no link between use of Endosulfan and the health problems of the victims and hence it is not liable to repay the damages/ compensation. The matter is at a stage of filling written statement by some of the defendants. Bayer had filed an application for discovery and production of documents, on which the court has reserved orders. Next date of hearing is June 5, 2026.
36 Commitments a) Capital Commitments
As At
31.03.2026
31.03.2025
Property, Plant and Equipment
136
79
Intangible Assets
37
24
173
103
b) Other Commitments
Contractual obligation for future repairs and maintenance on
4
6
Investment Properties
Dividend on shares in abeyance [Refer Note 16(f)]
-*
37 Events occurring after the reporting period
a) Refer Note 40(b)(ii) Capital Management for the final dividend recommended by the directors which is subject to the approval of shareholders in the ensuing annual general meeting.
b) On April 20, 2026, the Company entered into an agreement to divest its marketing rights for formulated products containing Flubendiamide to Tagros Chemicals India Private Limited for which it received an advance of 800 in March 2026.
This section explains the judgements and estimates made in determining the fair values of the financial instruments that are:
a) recognised and measured at fair value and
b) measured at amortised cost and for which fair values are disclosed in the financial statements.
To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed in Ind AS 113 - Fair Value Measurement. An explanation of each level follows underneath the table.
Level 1: It represents investment in mutual funds measured using the closing Net Asset Value (NAV) as on Balance sheet date.
Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2. The fair value forward foreign exchange contracts is determined using forward exchange rates at the Balance Sheet date.
Level 3: If one or more of the significant inputs is not based on observable market data (Security Deposits), the instrument is included in level 3. The fair value of the security deposits with definite maturity period is determined using discounted cash flow analysis using an adjusted lending rate.
There are no transfers between level 1, level 2 and level 3 during the year.
The carrying amounts of Trade Receivables, Cash and Cash Equivalents (Balances with Bank), Bank Balances other than Cash and Cash Equivalents, Accrued Interest Receivables, Receivables toward sales and distribution arrangement, Other Receivables, Trade Payables, Unpaid Dividends, Deposits from customers, Payable for capital purchases, Advance received towards divestment of products, Liabilities toward sales and distribution arrangement, Interest accrued for farmer financing, Payable to employees and Other financial liabilities are considered to be the same as their fair values, due to their short term nature.
39 Financial Risk Management
The Company has financial opportunities at its disposal in the form of the market prices it can command, and is exposed to financial risks in the form of credit, liquidity and market risks. Market risks include currency, interest rate and price risk. The following paragraphs provide details of these and other financial opportunities and risks and how they are managed.
The management of financial opportunities and risks takes place using established, documented processes. One component is financial planning, which serves as the basis for determining liquidity risk and the future foreign currency and interest-rate risks.
Credit risks arise from the possibility that the value of receivables or other financial assets of the Company may be impaired because counterparties cannot meet their payment or other performance obligations.
To manage credit risks from trade receivables other than related party, the credit managers from Credit management function of the Company regularly analyse customer’s receivables, overdue and payment behaviours. Some of these receivables are collateralised and the same is used according to conditions. These could include advance payments, security deposits, post-dated cheques, letter of credit etc. Credit limits for this trade receivables are evaluated and set in line with Company’s internal guidelines. There is no significant concentration of default risk.
Credit risks from financial transactions are managed independently by Finance function. For banks and financial institutions, the Company has policies and operating guidelines in place to ensure that financial instrument transactions are only entered into with high quality banks and financial institutions.
The Company had no other financial instrument that represents a significant concentration of credit risk. The surplus funds are invested in bank deposits and mutual fund investments.
The Company provides for ECL for trade receivables under simplified approach. The Company uses a provision matrix to determine impairment loss allowance on portfolio of its trade receivables. The provision matrix is based on its historically observed default rates over the expected life of the trade receivables and is adjusted for forward-looking information. Receivables are individually tested for impairment wherever there are indicators for non-recoverability.
Liquidity risks result from the possible inability of the Company to meet current or future payment obligations due to lack of cash or cash equivalents. The liquidity risk is assessed and managed by the Finance function as a part of day to day and medium term liquidity planning. The Company’s liquidity risk policy is to maintain sufficient liquidity reserve at all times based on cash flow projections to meet payment obligation when it falls due. The primary source of liquidity is cash generated from operations. Liquid assets are held mainly in the form of bank deposits and mutual fund investments. The Company in addition has set up credit lines with the banks as additional source of funds, if required, for value 4,448 as on March 31, 2026 (March 31, 2025 3,848).
The table below analyse the Company’s financial liabilities into relevant maturity groupings based on their contractual maturities for all financial liabilities essential for an understanding of timing of cash flows.
(i) Currency Risk:
Foreign currency opportunities and risks for the Company result from changes in exchange rates and the related changes in the value of financial instruments (including receivables and payables) in the functional currency (INR). The Company is exposed to foreign exchange risk arising from foreign currency transactions primarily with respect to US Dollar. To mitigate foreign currency fluctuation risk, net foreign currency exposure exceeding a threshold at month-end is hedged through forward exchange contracts. Majority of Company’s import and export transactions are denominated in INR currency thereby reducing foreign exchange risk to large extent. The Company’s exposure to changes in foreign currency is not material.
Interest-rate opportunities and risks result for the Company through changes in capital market interest rates, which in turn could lead to changes in the fair value of fixed-rate financial instruments and changes in interest payments/ income in case of floating-rate instruments.
Interest rate risk arising from borrowing is managed by negotiating fixed coupon interest rates from banks for the entire tenure.
The Company is mainly exposed to the price risk due to its investment in mutual funds. In order to manage its price risk arising from investment in mutual funds, the Company diversifies its portfolio based on past performance. The impact of price risk with respect to investment in mutual funds is insignificant.
40 Capital Management
a) Risk management
In the context of Capital Management of the Company, Capital includes issued capital, all other equity reserves attributable to the equity shareholders of the Company and debts. The Company’s objective while managing capital is to safeguard its ability to continue as a going concern, so that it can continue to provide optimum returns to the shareholders and benefit for other stakeholders. Further its objective is to maintain an optimal capital structure to reduce the cost of capital. There has not been any change in this from the previous period.
41 Segment Reporting
The Vice Chairman & Managing Director & CEO and Executive Director & CFO are identified as Chief Operating Decision Maker of the Company. They are responsible for allocating resources and assessing the performance of the operating segments. Accordingly, they have determined “Agri Care” as its only Operating Segment. Hence the segment wise disclosure requirements of Ind AS 108 on Operating Segment is not applicable.
There have been no guarantees provided or received for any related party receivables or payables. Outstanding balances at the year end are unsecured and interest free, and settlement occurs in cash. The Company has not recorded any impairment of receivables relating to amounts owed by related parties for the year ended March 31, 2026 and March 31, 2025.
44 Lease
Lease contracts in which the Company is the lessee mainly pertain to land, offices, residential premises, warehouses, vehicles and plant and machinery. Lease contracts are negotiated individually and each contain different arrangements on extension, termination or purchase options except in case of vehicle leases. Land, offices, residential premises, vehicles and warehouses leases generally contain clauses that prohibit subleasing except with the consent of the lessor.
The details pertaining to right-of-use assets, additions to right-of-use assets and amortisation on right-of-use assets are provided in Note 2 - Property, Plant and Equipment. The maturities of the outstanding lease payments are provided in Note 39 - Financial Risk Management. Cash outflows related to lease activities for the current year amounted to 572 (Previous Year 528).
The Company has recognised 549 (Previous Year 477) towards amortisation, 81 (Previous Year 36) towards Interest expense for the unwinding of discount on lease liabilities and 106 (Previous Year 102) towards expenses for short-term and low value leases in the Statement of Profit and Loss.
(i) Earnings available for debt service = Net profit after tax Non operating expense Non cash operating expense - Non operating income - Non cash operating income
(ii) Total debt service = Repayment of Lease Liabilities
(iii) Capital Employed = Shareholders’ Equity
46 Other Statutory Information
i) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property.
ii) The Company has not been declared wilful defaulter by any bank or financial institution or other lender or government or any government authority.
iii) The Company does not have any charges or satisfaction which is yet to be registered with Registrar of Companies (ROC) beyond the statutory period.
iv) The Company has not traded or invested in Crypto Currency or Virtual Currency during the year.
v) The Company has not entered in to any transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961).
vi) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.
vii) The Company have not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
47 In terms of the MCA notification dated August 05, 2022, the Central Government has notified the Companies (Accounts) Fourth Amendment Rules, 2022, the Company is in the process of complying with the requirement of maintenance of back-up of its books of account maintained in electronic mode on server(s) physically located in India on a daily basis. The books of account of the Company are maintained in electronic mode and these are readily accessible in India at all times. Currently, the Company is maintaining back-up of books of account on server physically located in India on a periodic basis.
48 Pursuant to the notification issued by the Ministry of Labour and Employment, multiple labour legislations have been consolidated into a unified framework comprising four Labour Codes becoming effective from November 21, 2025, collectively referred to as the ‘New Labour Codes’. Based on the information available as at March 31, 2026, the incremental impact of the New Labour Codes on the Company’s employee benefit obligations is not material and has been appropriately accounted during the current year. The Company continues to monitor the developments pertaining to the New Labour Codes and will incorporate appropriate accounting treatment based on such developments.
49 The financial statements are approved for issue by the Company’s Board of Directors on May 26, 2026.