3.21 Accounting of Provisions, Contingent Liabilities
and Contingent Assets

Provisions are recognised, when there is a present legal or
constructive obligation as a result of past events, where it is
probable that there will be outflow of resources to settle the
obligation and when a reliable estimate of the amount of the
obligation can be made. Where a provision is measured using the
cash flows estimated to settle the present obligation, its carrying
amount is the present value of those cash flows. Where the effect
is material, the provision is discounted to net present value using
an appropriate current market-based pre-tax discount rate and
the unwinding of the discount is included in finance costs.

Contingent liabilities are recognised only when there
is a possible obligation arising from past events, due to
occurrence or non-occurrence of one or more uncertain
future events, not wholly within the control of the Company,
or where any present obligation cannot be measured in
terms of future outflow of resources, or where a reliable
estimate of the obligation cannot be made. Obligations are
assessed on an ongoing basis and only those having a largely
probable outflow of resources are provided for.

Provisions, contingent liabilities and contingent assets are
reviewed at each Balance Sheet date.

Contingent assets are not disclosed in the financial
statements unless an inflow of economic benefits is probable.

3.22 Dividend to Equity shareholders

Dividend to equity shareholders is recognised as a liability
and deducted from Shareholders' Equity, in the period in
which the dividends are approved by the equity shareholders
in the general meeting.

3.23 Earnings per share ('EPS')

Basic earnings per share

Basic earnings per share are calculated by dividing the
profit (or loss) attributable to the owners of the Group by
the weighted average number of equity shares outstanding

during the year. The weighted average number of equity
shares outstanding during the year is adjusted for bonus
issue, bonus element in a rights issue to existing shareholders,
share split and reverse share split (consolidation of shares).

Diluted earnings per share

Diluted earnings per share is computed by dividing the profit
(considered in determination of basic earnings per share)
after considering the effect of interest and other financing
costs or income (net of attributable taxes) associated with
dilutive potential equity shares by the weighted average
number of equity shares considered for deriving basic
earnings per share adjusted for the weighted average
number of equity shares that would have been issued upon
conversion of all dilutive potential equity shares.

3 A. Critical accounting judgments and key sources
of estimation uncertainty

The preparation of the financial statements in conformity
with the Ind AS requires management to make judgments,
estimates and assumptions that affect the application
of accounting policies and the reported amounts of
assets, liabilities and disclosures as at date of the financial
statements and the reported amounts of the revenues
and expenses for the years presented. The estimates and
associated assumptions are based on historical experience
and other factors that are considered to be relevant. Actual
results may differ from these estimates under different
assumptions and conditions.

The estimates and underlying assumptions are reviewed
on an ongoing basis. Revisions to accounting estimates are
recognised in the period in which the estimate is revised
if the revision affects only that period, or in the period of
the revision and future periods if the revision affects both
current and future periods.

(i) Critical Judgements

In the process of applying the Company's accounting
policies, management has made the following judgments,
which have the most significant effect on the amounts
recognised in the financial statements:

Discount rate used to determine the carrying amount of
the Company's employee defined benefit obligation

In determining the appropriate discount rate for plans
operated in India, the management considers the interest
rates of Government bonds in currencies consistent with the
currencies of the post-employment benefit obligation.

Contingences and commitments

In the normal course of business, contingent liabilities may arise
from litigations and other claims against the Company. Where
the potential liabilities have a low probability of crystallising
or are very difficult to quantify reliably, we treat them as
contingent liabilities. Such liabilities are disclosed in the notes
but are not provided for in the financial statements. Although
there can be no assurance regarding the final outcome of the
legal proceedings, we do not expect them to have a materially
adverse impact on our financial position or profitability.

(ii) Key sources of estimation uncertainty

The key assumptions concerning the future, and other key
sources of estimation uncertainty at the end of the reporting
period, that have a significant risk of causing a material
adjustment to the carrying amounts of assets and liabilities
within the next financial year are discussed below:

Useful lives of property, plant and equipment

As described in Note 3.5, the Company reviews the
estimated useful lives and residual values of property, plant
and equipment at the end of each reporting period. During
the current financial year, the management has reassessed
the useful lives of certain property, plant and equipment
and the impact of the change is not material for the year.
There were no changes in residual values of the property,
plant and equipment.

Allowances for doubtful debts

The Company makes allowances for doubtful debts based
on an assessment of the recoverability of trade and other
receivables. The identification of doubtful debts requires
use of estimates. Where the expectation is different from the
original estimate, such difference will impact the carrying
value of the trade and other receivables and doubtful
debts expenses in the period in which such estimate
has been changed.

Allowances for inventories

Management reviews the inventory age listing on a periodic
basis. This review involves comparison of the carrying value
of the aged inventory items with the respective net realizable
value. The purpose is to ascertain whether an allowance
is required to be made in the financial statements for any
obsolete and slow-moving items. Management is satisfied
that adequate allowance for obsolete and slow-moving
inventories has been made in the financial statements.

Liability for sales return

In making estimate for liability for sales return, the
management considered the detailed criteria for the
recognition of revenue from the sale of goods set out in Ind AS
115 and in particular, whether the Company had transferred
to the buyer the significant risk and rewards of ownership
of the goods. Following the detailed quantification of the
Company's liability towards sales return, the management
is satisfied that significant risk and rewards have been
transferred and that recognition of the revenue in the current
year is appropriate, in conjunction with the recognition of an
appropriate liability for sales return.

Accruals for estimated product returns, which are based on
historical experience of actual sales returns and adjustment
on account of current market scenario is considered by
Company to be reliable estimate of future sales returns.

Employee benefit obligations

Employee benefit obligations are determined using actuarial
valuations. An actuarial valuation involves making various
assumptions that may differ from actual developments.
These include the estimation of the appropriate discount
rate, future salary increases and mortality rates. Due to the
complexities involved in the valuation and its long-term
nature, the employee benefit obligation is highly sensitive to
changes in these assumptions. All assumptions are reviewed
at each reporting date.

Provisions and contingencies

From time to time, the Company is subject to legal proceedings,
the ultimate outcome of each being subject to uncertainties
inherent in litigation. A provision for litigation is made when it
is considered probable that a payment will be made and the

amount can be reasonably estimated. Significant judgement
is required when evaluating the provision including, the
probability of an unfavorable outcome and the ability to
make a reasonable estimate of the amount of potential loss.
Litigation provisions are reviewed at each accounting period
and revisions made for the changes in facts and circumstances.
Contingent liabilities are disclosed in the notes forming part of
the financial statements. Contingent assets are not disclosed
in the financial statements unless an inflow of economic
benefits is probable.

Deferred income tax assets and liabilities

Significant management judgment is required to determine the
amount of deferred tax assets that can be recognised, based
upon the likely timing and the level of future taxable profits.

The amount of total deferred tax assets could change if
management estimates of projected future taxable income
or if tax regulations undergo a change.

Impairment of Financial assets (other than at fair value)

The Company assesses on a forward looking basis the expected
credit losses associated with its assets carried at amortised
cost and debt instruments carried at FVTOCI. The impairment
methodology applied depends on whether there has been a
significant increase in credit risk. In respect of trade receivables
the Company applies the simplified approach permitted by
Ind AS 109 - Financial Instruments, which requires expected
lifetime losses to be recognised upon initial recognition of
the receivables. For all other financial assets, expected credit
losses are measured at an amount equal to the 12-months
expected credit losses or at an amount equal to the life time
expected credit losses if the credit risk on the financial asset
has increased significantly since initial recognition.

The Company reviews its carrying value of investment in
subsidiaries and goodwill carried at cost (net of impairment,
if any) annually, or more frequently when there is indication
for impairment. If the recoverable amount is less than its
carrying amount, the impairment loss is accounted for in the
statement of profit and loss.

Impairment of PPE, CWIP and intangible assets

The carrying values of assets/cash generating units ('CGU') at
each balance sheet date are reviewed to determine whether

there is any indication that an asset may be impaired. If any
indication of such impairment exists, the recoverable amount
of such assets/CGU is estimated and in case the carrying
amount of these assets exceeds their recoverable amount,
an impairment loss is recognised in the Statement of Profit
and Loss. The recoverable amount is the higher of the net
selling price and their value in use. Value in use is arrived at
by discounting the future cash flows to their present value
based on an appropriate discount factor. Assessment is
also done at each balance sheet date as to whether there is
indication that an impairment loss recognised for an asset
in prior accounting periods no longer exists or may have
decreased, consequent to which such reversal of impairment
loss is recognised in the Statement of Profit and Loss.

Goodwill impairment

The Company reviews goodwill carried at cost (net of
impairment, if any).

Goodwill is tested for impairment on an annual basis and
whenever there is an indication that the recoverable amount of
a cash generating unit is less than its carrying amount based on
a number of factors including operating results, business plans,
future cash flows and economic conditions. If the recoverable
amount is less than its carrying amount, the impairment loss is
accounted for in the statement of profit and loss.

The recoverable amount of cash generating units is
determined based on higher of value-in-use and fair value
less cost to sell. The goodwill impairment test is performed
at the level of the cash-generating unit or Company of cash¬
generating units which are benefitting from the synergies of
the acquisition and which represent the lowest level at which
goodwill is monitored for internal management purposes.

Market related information and estimates are used to
determine the recoverable amount. Key assumptions
on which management has based its determination of
recoverable amount include estimated long term growth
rates, weighted average cost of capital and estimated
operating margins. Cash flow projections take into account
past experience and represent management's best estimate
about future developments.

Footnotes:

1. Buildings includes 6 flats (March 31,2024 - 6 flats) which are classified as Investment Property by the Company in accordance with IND AS-40 "Investment Property"

2. Cost of buildings includes cost of 2 shares (March 31, 2024 : 2 shares) of H 100 each fully paid and 15 shares (March 31, 2024 : 15 shares) of H 250 each fully paid in
respect of ownership flats in 2 (March 31, 2024 : 2) Co-operative Societies.

3. Rental income recognised by the Company during the year ended March 31, 2025 was H 0.51 crore (March 31, 2024: H 0.34 crore) and was included in 'Other
income' (refer note 25).

4. The Company has not capitalised any borrowing cost during the current year (March 31, 2024 : H Nil).

5. Total fair value of Investment Property is H 23.64 crore (March 31, 2024 : H 26.93 crore). Refer footnote (a) and (b)

6. The Company has not recognised any impairment loss during the year (March 31, 2024 : H Nil).

7. During the year, there were no transfers (March 31, 2024 : 4 flats having carrying value of H 1.23 crore) from Assets held for sale to Investment property.
Depreciation of H Nil (March 31, 2024 : H 0.14 crore) was charged off on account of transfer from assets held for sale.

8. The figures in italics are for the previous year.

(a) Fair Value Heirarchy

The fair value of investment property has been determined by external independent property valuers as defined under Rule(2)
of Companies (Registered Valuers and Valuation) Rules 2017, having appropriate recognised professional qualification and recent
experience in the location and category of the property being valued.

The fair value measurement for all of the investment property has been categoried as a level 3 fair value based on the inputs to the
valuation techniques used.

(b) Description of Valuation Technique used:

The Company obtains Independent Valuations of its investment property as per requirement of Ind AS 40. The fair value of the
investment property have been derived using the Direct Comparison Method.The direct comparison approach involves a comparison
of the investment property to similar properties that have actually been sold in arms-length distance from investment property or are
offered for sale in the same region. This approach demonstrates what buyers have historically been willing to pay (and sellers willing

Goodwill includes amount of H 165.22 crore (March 31,2024 : H 165.22 crore) allocated to Seeds business of Rallis India Limited (earlier named
as Metahelix Life Sciences Limited). The recoverable amount of Cash Generating Unit "CGU" was based on its value in use determined by
discounting the future cash flows using discount rate of 10.3% per annum (March 31,2024 : 10.9% per annum) for the period of 5 years
using a 4.00% per annum (March 31,2024 : 4.00% per annum) annual growth rate. The recoverable amount was determined to be higher
than its carrying amount of CGU.

Goodwill of H 30.60 crore (March 31, 2024 : H 30.60 crore) has been allocated to Geogreen business of Rallis India Limited (earlier named
as Zero Waste Agro Organics Limited). The recoverable amount of Cash Generating Unit "CGU" was based on its value in use determined
by discounting the future cash flows using discount rate of 10.3% per annum (March 31,2024 : 10.9% per annum) for the period of 5 years
using a 5.00% per annum (March 31,2024 : 5.00% per annum) annual growth rate. The recoverable amount was determined to be higher
than its carrying amount of CGU.

An analysis of the sensitivity of the computation to a combined change in key parameters (operating margin, discount rates and long term
average growth rate), based on reasonably probable assumptions, did not identify any probable scenario in which the recoverable amount
of the CGU would decrease below its carrying amount.

36: Employee benefit plans
Defined contribution plans

Contribution to provident fund and Employees' State insurance Corporation (ESIC)

The Company makes provident fund contributions to defined contribution retirement benefit plans for eligible employees. Under the
scheme, the Company is required to contribute a specified percentage of the payroll costs to fund the benefits. The contributions as
specified under the law are paid to Government authorities (PF commissioner) at factories.

Amount recognised as expense and included in the Note 29 — in the head "Contribution to Provident and other funds" for March 31,2025:
^10.06 crore (March 31, 2024: ?9.56 crore).

Defined benefit plans

The Company offers its employees, defined-benefit plans in the form of a gratuity scheme (a lump sum amount), a supplemental pay
scheme (a life long pension) and ex-director pension liability. The gratuity scheme covers substantially all regular employees, ex-director
pension liability covers ex-director and supplemental pay plan covers certain former executives. In the case of the gratuity scheme, the
Company contributes funds to Gratuity Trust, which is irrevocable. Ex-director pension liability and supplemental pay scheme are not
funded. Commitments are actuarially determined at year-end. The actuarial valuation is done based on "Projected Unit Credit" method.

These plans typically expose the Company to actuarial risk such as: investment risk, interest rate risk, longevity risk and salary risk.

Investment risk:

The present value of the defined benefit plan liability is calculated using a discount rate which is determined by reference to market yields
at the end of the reporting period on Government bonds. If the return on plan asset is below this rate, it will create plan deficit.

Interest risk:

A decrease in the bond interest rate will increase the plan liability; however, this will be partially offset by an increase in the plan assets.
Longevity risk:

The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants
both during and after their employment. An increase in the life expectancy of the plan participants will increase the plan's liability.

Salary risk:

The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants. As such, an
increase in the salary of the plan participants will increase the plan's liability.

Defined contribution plans

The Company makes provident fund contributions to defined contribution retirement benefit plans for eligible employees. Under the
scheme, the Company is required to contribute a specified percentage of the payroll costs to fund the benefits. The contributions as
specified under the law are paid to the provident fund set up as a trust by the Company in case of certain locations. The Company is liable
for contributions and any deficiency compared to interest computed based on the rate of interest declared by the Central Government
under the Employees' Provident Fund Scheme, 1952 and recognises, if any, as an expense in the year it is determined.

Financial risk management objectives

The Company's corporate treasury function provides services to the business, co-ordinates access to domestic financial markets, monitors
and manages the financial risk relating to the operation of the Company. These risks include market risk (including currency risk, interest
rate risk and other price risk), credit risk and liquidity risk.

The use of financial derivatives is governed by the Company's policies approved by the board of directors, which provide written principles
on foreign exchange risk, interest rate risk, credit risk, the use of financial derivatives and non-derivatives financial instruments, and the
investment of excess liquidity. Compliance with policies and exposure limits is reviewed by the internal auditors on a continuous basis. The
Company does not enter into or trade financial instrument, including derivative financial instruments, for speculative purposes.

The corporate treasury function reports quarterly to the Company's audit committee that monitors risks and policies implemented to
mitigate risk exposures.

Market risk

The Company's activities expose it primarily to the financial risk of changes in foreign currency exchange rates. The Company enters into
a variety of derivative financial instruments to manage its exposure to foreign currency risk including forward foreign exchange contracts
to hedge the exchange rate risk arising on imports and exports.

Foreign currency sensitivity analysis

The Company is mainly exposed to the currency : USD, EUR, JPY, GBP, AUD and CHF.

The following table details the Company's sensitivity to a 5% increase and decrease in the H against the relevant foreign currencies.
5% is the sensitivity rate used when reporting foreign currency risk internally to key management personnel and represents
management's assessment of the reasonably possible change in foreign exchange rates. This is mainly attributable to the exposure
outstanding on receivables and payables in the Company at the end of the reporting period. The sensitivity analysis includes only
outstanding foreign currency denominated monetary items and adjusts their translation at the period end for a 5% change in foreign
currency rate. A positive number below indicates an increase in the profit or equity where the H strengthens 5% against the relevant
currency. For a 5% weakening of the H against the relevant currency, there would be a comparable impact on the profit or equity, and
the balances below would be negative.

Amounts shows 0.00 represents less than H 0.01 crore.

The Company, In accordance with Its risk management policies and procedures, enters Into foreign currency forward contracts to manage
Its exposure in foreign exchange rate variations. The counter party is generally a bank. These contracts are for a period between one day
and one year. The above sensitivity does not include the impact of foreign currency forward contracts which largely mitigate the risk.

The Company uses foreign currency forward contracts to hedge its risks associated with foreign currency fluctuations relating to accounts
receivable and accounts payable. The use of foreign currency forward contracts is governed by the Company's strategy approved by the
Board of Directors, which provide principles on the use of such forward contracts consistent with the Company's Risk Management Policy.
The Company does not use forward contracts for speculative purposes.

The following forward exchange contracts are outstanding as at the balance sheet date:

Note: USD= US Dollar; JPY = Japanese Yen.

The line item in the Balance Sheet that includes the above hedging instruments are "other financial assets and other
financial liabilities".

b) Other price risk
Equity risk

There is no material equity risk relating to the Company's equity investments which are detailed in note 7 "Other investments".
The Company's equity investments majorly comprises of strategic investments rather than trading purposes.

The Company is mainly exposed to the price risk due to its investment in mutual funds. The price risk arises due to uncertainties
about the future market values of these investments. At March 31, 2025, the investments in mutual funds amounts to H 408.12
crore (March 31,2024: H 247.41 crore). These are exposed to price risk. The Company has laid policies and guidelines which are
adhered to in order to minimise price risk arising from investments in mutual funds. A 1% increase/ (decrease) in prices would
increase/(decrease) the profit or loss by the amounts shown below:

c) interest risk

interest rate risk Is the risk that the fair value or future cash flows of a financial Instrument that will fluctuate because of changes
in market rates. The Company's exposure to the risk of changes in market rates relates primarily to the Company's non-current
debt obligation with floating interest rates. The Company's policy is generally to undertake non-current borrowing using
facilities that carry floating interest rate.

Moreover, the short-term borrowings of the Company do not have a significant fair value or cash flow interest rate risk due to
their short tenure.

Credit risk management

Credit risk refers to the risk that a counter party will default on its contractual obligation resulting in financial loss to the
Company. The Company uses its own trading records to evaluate the credit worthiness of its customers. The Company's
exposures are continuously monitored and the aggregate value of transactions concluded, are spread amongst approved
counter parties. Outstanding customer receivables are reviewed periodically. Provision is made based on expected credit loss
method and specific identification method (refer note 11- Trade receivable).

The credit risk related to the trade receivables is mitigated by taking security deposits/letter of credit - as and where considered
necessary, setting appropriate credit terms and by setting and monitoring internal limits on exposure to individual customers.

There is no substantial concentration of credit risk as the revenue and trade receivables from any of the single customer do not
exceed 10% of Company revenue and trade receivables.

The credit risk on investment in mutual funds and derivative financial instruments is limited because the counter parties are
reputed banks or funds sponsored by reputed bank.

Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the Board of Directors, which has established an appropriate
liquidity risk management framework for the management of the Company's short-term, medium-term and long-term funding
and liquidity management requirements. The Company manages liquidity risk by maintaining adequate reserves, banking
facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the
maturity profiles of financial assets and liabilities.

Other claims include demand notices received from Mumbai Port Authority (MBPA) on four (4) godowns taken on lease by the
company from MBPA towards differential arrears of rentals for the years 2012 upto 2022 and Revised rates (SOR) from 2022
upto 2027 for these godowns. Based on the legal advice received by the Company, the demand (retrospective and prospective
both) raised by the MBPA is challenged before the Bombay High Court by way of Writ petitions. The company has also filed the
Writ petition for surrender of all godowns except 2 godowns.

Management is generally unable to reasonably estimate a range of possible loss for proceedings or disputes other than those
included in the estimate above, including where:

(i) plaintiffs/parties have not claimed an amount of money damages, unless management can otherwise determine an
appropriate amount;

(ii) the proceedings are in early stages;

(iii) there is uncertainty as to the outcome of pending appeals or motions or negotiations;

(iv) there are significant factual issues to be resolved; and/or

(v) there are novel legal issues presented.

However, in respect of the above matters, management does not believe, based on currently available information, that the
outcomes of the litigation, will have a material adverse effect on the Company's financial condition, though the outcomes
could be material to the Company's operating results for any particular period, depending, in part, upon the operating results
for such period.

>: Commitments

Estimated amount of contract with minimum commitment for plant activity H 1.18 crore (March 31, 2024 : H 14.24 crore).

Estimated amount of contracts remaining to be executed on capital account of property, plant and equipment is H 12.56 crore as at
March 31,2025 (March 31,2024 H 12.81 crore) and Intangible assets is H 3.04 crore as at March 31,2025 (March 31,2024 : H 3.43 crore)
against which advances paid aggregate H 0.79 crore as at March 31, 2025 (March 31, 2024 : H 1.36 crore).

The Company has entered into above mentioned transactions in ordinary course of business and the Company does not have any

relationship with these struck off Companies.

# Value below H 10 K

50: 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 traded or invested in Crypto currency or Virtual Currency during the financial year.

iii. The Company has not been declared as wilful defaulter by any bank or financial institution or other lender.

iv. 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).

v. The Company has not received any funds from any persons or entities, including foreign entities ("Funding Parties"), 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 ("Ultimate Beneficiaries")
by or on behalf of the Funding Party or

- provide any guarantee, security or the like from or on behalf of the Ultimate Beneficiaries.

vi. The Company has not advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of
funds) to or in any other persons or entities, including foreign entities ("Intermediaries"), with the understanding, whether recorded
in writing or otherwise, that the Intermediary shall:

- directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever ("Ultimate Beneficiaries")
by or on behalf of the Company or

- provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

51: Exceptional item as disclosed in Statement of Profit and Loss for the year ended March 31,2025, comprises profit on sale of leasehold
land (net of costs) of H 1.17 crore (March 31, 2024 : H 0.68 crore comprises profit on sale of flat).

52:Subsequent event

The Board of Directors at its meeting held on April 23, 2025 has recommended a dividend of H 2.50 per equity share (March 31,2024 : H 2.50
per equity share), subject to shareholders approval at annual general meeting.

53: The Company made a contribution to an electoral trust of H 4.95 crore (March 31, 2024 : H Nil) which is included in other expenses.

54: The MCA wide notification dated March 24, 2021 has amended Schedule Ill to the Companies Act, 2013 in respect of certain disclosures.
The Company has incorporated appropriate changes in the financial statements of March 31, 2025 and March 31,2024.

As per our report of even date attached

For B S R & Co. LLP For and on behalf of the Board of Directors of Rallis India Limited

Chartered Accountants

Firm's Registration No. 101248W/W-100022 GYANENDRA SHUKLA Managing Director and CEO

(DIN: 02922133)

MANSI PARDIWALLA PADMINI KHARE KAICKER Director

Partnei (DIN: 00296388)

Membership No. 108511

Mumbai, April 23, 2025 R. MUKUNDAN Director

(DIN: 00778253)

SUBHRA GOURISARIA Chief Financial Officer

(ICAI M. No. 062955)

SRIKANT NAIR Company Secretary

(ICSI M. No. A30208)

Mumbai, April 23, 2025