2. SIGNIFICANT ACCOUNTING POLICIES

2.1. Statement of Compliance

The Standalone Financial Statements have been prepared in accordance with Ind AS, as prescribed under Section 133 of the
Companies Act, 2013 ('the Act'), the Companies (Indian Accounting Standards) Rules, 2015 and other relevant provisions of the
Act.

2.2. Basis of Preparation and Presentation

The financial statements have been prepared on the historical cost basis, except for the following assets and liabilities which have
been measured at fair value or revalued amount:

• Certain financial assets/liabilities that are measured at fair values at the end of each reporting period;

• Defined benefit plans - plan assets that are measured at fair values at the end of each reporting period, as explained in the
accounting policies below.

Historical cost is generally based on the fair value of the consideration given in exchange for goods and services.

Whenever the Company changes the presentation or classification of items in its financial statements materially, the company
reclassifies comparative amounts, unless impracticable. Non-Convertible Redeemable Preference Shares which under IGAAP was
classified in Share Capital now as per Ind AS forms part of the Non-Current Liabilities under Long Term Borrowings from Related
Parties.

2.3. Classification of Current/Non-Current Assets and Liabilities

All the assets and liabilities have been classified as current or non-current as per the Company's normal operating cycle and other
criteria set out in the Schedule III to the Companies Act, 2013 and Ind AS 1 "Presentation of financial statements".

Assets:

An asset is classified as current when it satisfies any of the following criteria:

a. it is expected to be realised in, or is intended for sale or consumption in, the Companies normal operating cycle;

b. it is held primarily for the purpose of being traded;

c. it is expected to be realised within twelve months after the reporting date; or

d. it is cash or cash equivalent unless it is restricted from being exchanged or used to settle a liability for at least twelve months
after the reporting date.

Liabilities:

A liability is classified as current when it satisfies any of the following criteria:

a. it is expected to be settled in the companies normal operating cycle;

b. it is held primarily for the purpose of being traded;

c. it is due to be settled within twelve months after the reporting date; or

d. the Company does not have an unconditional right to defer settlement of the liability for at least twelve months after the
reporting date. Terms of a liability that could, at the option of the counterparty, result in its settlement by the issue of equity
instruments do not affect its classification. All other assets/

liabilities are classified as non-current.

Operating Cycle:

Based on the nature of activities of the Company and the normal time between acquisition of assets and their realisation in cash
or cash equivalents, the Company has determined its operating cycle as twelve months for the purpose of classifications of its
assets and liabilities as current and non-current

2.4. Critical accounting estimates, assumptions and judgements:

The preparation of financial statements requires management to make estimates, assumptions and judgements that affect the
reported balances of assets and liabilities and disclosures as at the date of the financial statements and the reported amounts of
income and expenditure for the periods presented. Actual results may differ from the estimates considering different assumptions
and conditions. Estimates and underlying assumptions are reviewed on an ongoing basis. Impact on account of revisions to
accounting estimates are recognized in the period in which the estimates are revised, and future periods are affected.

2.5. Measurement of fair values: The Company's accounting policies and disclosures require the measurement of fair values, for both
financial assets and liabilities.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date, regardless of whether that price is directly observable or estimated using another valuation
technique. In estimating the fair value of an asset or a liability, the Company takes into account the characteristics of the asset or
liability if market participants would take those characteristics into account when pricing the asset or liability at the measurement
date.

All assets and liabilities, for which fair value is measured or disclosed in the financial statements, are categorised within the fair
value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

i. Level 1 - inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the
measurement date;

ii. Level 2 -inputs other than quoted prices included within level 1, that are observable for the asset or liability, either directly or
indirectly; and

iii. Level 3 - inputs that are unobservable for the asset or liability

2.6. Operating Segment

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision
maker. The chief operating decision maker of the Company is responsible for allocating resources and assessing performance of
the operating segments and accordingly is identified as the chief operating decision maker.

The Chief Operational Decision Maker monitors the operating results of its business segments separately for the purpose of
making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit and
loss and is measured consistently with profit and loss in the financial statements. The Operating segments have been identified
on the basis of the nature of products/services.

a) Segment revenue includes sales and other income directly identifiable with the segment including intersegment revenue.

b) Expenses that are directly identifiable with the segments are considered for determining the segment results. Expenses which
relate to the Company as a whole and not allocable to segments are included under unallocable expenditure.

c) Income which relates to the Company as a whole and not allocable to segments is included in unallocable income.

d) Segment result includes margins on inter-segment and sales which are reduced in arriving at the profit before tax of the
Company.

Segment assets and liabilities include those directly identifiable with the respective segments. Unallocable assets and liabilities
represent the assets and liabilities that relate to the Company as a whole and not allocable to any segment.

Secondary segment have been identified with reference to geographical location of external customers. Composition of
secondary segment is as follows:

(i) India and

(ii) Outside India

2.7. Functional and Presentation Currency

These financial statements are presented in Indian Rupees (?) which is the functional currency of the Company

2.8. Property, plant and equipment (PPEs)

Items of property, plant and equipment are stated in balance sheet at cost less accumulated depreciation and accumulated
impairment losses, if any except for land which is been carried as per revaluation of model. Under revaluation model, after
recognition as an asset, an item of property, plant and equipment whose fair value can be measured reliably shall be carried at a
revalued amount, being its fair value at the date of the revaluation less any subsequent accumulated depreciation and subsequent
accumulated impairment losses. The frequency of revaluations depends upon the changes in fair values of the items of property,
plant and equipment being revalued. Company estimates to revalue its land every 3 years. When parts of an item of property,
plant and equipment have different useful lives, they are accounted for as separate items (major components) of property, plant
and equipment. Items of property, plant and equipment acquired through exchange of non-monetary assets are measured at fair
value, unless the exchange transaction lacks commercial substance or the fair value of either the asset received, or asset given up
is not reliably measurable, in which case the acquired asset is measured at the carrying amount of the asset given up.

De-recognition

An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected to
arise from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and
equipment is determined as the difference between the sales proceeds and the carrying amount of property, plant and equipment
and is recognised in profit or loss.

Depreciation

Depreciation is recognised so as to write off the cost of assets (other than freehold land and Capital work-in-progress) less their
residual values on straight-line method over their useful lives as indicated in Part C of Schedule II of the Companies Act, 2013.
Depreciation methods, useful lives and residual values are reviewed at the end of each reporting period, with the effect of any
changes in estimate accounted for on a prospective basis.

The estimated useful lives are as follows:

Asset Useful life
Leasehold Land 99 years

Building 1 - 25 years

Plant and Machinery 3 - 20 years
Furniture & Fixtures 3 - 12 years

Vehicles 3 - 10 years

For transition to Ind AS, the Company has elected to continue with the carrying value of all of its PPE recognised as of April 01,
2016 i.e. transition date, measured as per the previous GAAP and use that carrying value as its deemed cost as of the transition
date.

2.9. Intangible Assets

Intangible assets that are acquired by the Company and that have finite useful lives are measured at cost less accumulated
amortisation and accumulated impairment losses, if any. Subsequent expenditures are capitalised only when they increase the
future economic benefits embodied in the specific asset to which they relate. Amortisation is recognised on a straight-line basis

over the estimated useful lives of intangible assets. Intangible assets that are not available for use are amortised from the date
they are available for use.

De-recognition of intangible assets

Intangible assets are de-recognised either on their disposal or where no future economic benefits are expected from their use.
Gain or loss arising on such de-recognition is recognised in profit or loss and are measured as the difference between the net
disposal proceeds, if any, and the carrying amount of respective intangible assets as on the date of de-recognition.

2.10. Impairment of Non-Financial Assets

The carrying amounts of the Company's PPE and intangible assets are reviewed at each reporting date to determine whether there
is any indication of impairment. If any such indication exists, then the asset's recoverable amount is estimated in order to determine
the extent of the impairment loss, if any. The recoverable amount of an asset or cash-generating unit is the greater of its value in
use and its fair value less costs to sell. An impairment loss is recognised in the profit or loss if the estimated recoverable amount
of an asset or its cash generating unit is lower than its carrying amount. Impairment losses recognised in respect of cash-generating
units are allocated to reduce the carrying amount of the other assets in the unit on a pro-rata basis. In respect of other asset,
impairment losses recognised in prior periods are assessed at each reporting date for any indications that the loss has decreased
or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable
amount. An impairment loss is reversed only to the extent that the asset's carrying amount does not exceed the carrying amount
that would have been determined, net of depreciation or amortisation, if no impairment loss had been recognised.

2.11. Financial Instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument
of another entity.

Financial Assets

Initial Recognition and measurements

All financial assets are recognised initially at fair value plus, in the case of financial assets not recorded at fair value through profit
or loss, transaction costs that are attributable to the acquisition of the financial asset. Financial assets are classified, at initial
recognition, as financial assets measured at fair value or as financial assets measured at amortized cost.

Subsequent measurements

For purposes of subsequent measurement, financial assets are classified in Three categories:

i. Financial assets measured at amortised cost

ii. Financial assets measured at Fair Value Through Other Comprehensive Income (FVTOCI)

iii. Financial assets measured at Fair Value Through Profit or Loss (FVTPL)

i. A financial asset that meets the following two conditions is measured at amortized cost.

• Business Model test: The asset is held within a business model whose objective is to hold assets for collecting contractual
cash flows, and

• Cash flow characteristics test: Contractual terms of the asset give rise on specified dates to cash flows that are solely
payments of principal and interest (SPPI) on the principal amount outstanding.

ii. A financial asset that meets the following two conditions is measured at fair value through OCI:-

• Business Model test: The objective of the business model is achieved both by collecting contractual cash flows and
selling the financial assets, and

• Cash flow characteristics test: The contractual terms of the instrument give rise on specified dates to cash flows that are
SPPI on the principal amount outstanding.

iii. All other financial assets are measured at fair value through profit and loss.

Classification as Debt and Equity

Debt and Equity instruments issued by the company are classified as either financial liabilities or as equity in accordance with the
substance of the contractual arrangements and the definitions of a financial liability and an equity instrument

Equity Instruments

All equity instruments in scope of Ind AS 109 are measured at fair value. Equity instruments which are held for trading are classified
as at FVTPL. For all other equity instruments, the Company may make an irrevocable election to present subsequent changes in
the fair value in OCI. The Company makes such election on an instrument-by-instrument basis. The classification is made on initial
recognition and is irrevocable. If the Company decides to classify an equity instrument as at FVTOCI, then all fair value changes on
the instrument, including foreign exchange gain or loss and excluding dividends, are recognised in the OCI. There is no recycling
of the amounts from OCI to profit or loss, even on sale of investment. However, the Company may transfer the cumulative gain or
loss within equity. Equity instruments included within the FVTPL category are measured at fair value with all changes recognised
in the profit or loss.

Derecognition-

A financial asset is primarily derecognised (i.e. removed from the Company's balance sheet) when:

• The contractual rights to receive cash flows from the asset have expired, or

• The Company has transferred substantially all the risks and rewards of the asset, or the Company has neither transferred nor
retained substantially all the risks and rewards of the asset but has transferred control of the asset.

On derecognition of a financial asset in its entirety, the difference between the asset's carrying amount and the sum of the
consideration received and receivable and the cumulative gain or loss that had been recognised in OCI and accumulated in equity
is recognised in profit or loss if such gain or loss would have otherwise been recognised in profit or loss on disposal of that financial
asset.

Impairment of financial assets-

In accordance with Ind AS 109, The company assesses impairment based on expected credit losses (ECL) model at an amount
equal to: -

• 12 months expected credit losses, or

• Lifetime expected credit losses

depending upon whether there has been a significant increase in credit risk since initial recognition.

The Company follows 'simplified approach' for recognition of impairment loss allowance on trade receivables or any contractual
right to receive cash or another financial asset. The application of simplified approach does not require the Company to track
changes in credit risk. Rather, it recognises impairment loss allowance based on lifetime ECLs at each reporting date, right from its
initial recognition.

2.12. Financial Liabilities

Initial recognition and measurement

All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings and payables, net of directly
attributable transaction costs.

Effective interest method

The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating interest income
over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the
expected life of the debt instrument, or, where appropriate, a shorter period, to the net carrying amount on initial recognition.

Subsequent measurement

All financial liabilities are subsequently measured at amortised cost using the effective interest method or at FVTPL.

Financial liabilities at Fair Value Through Profit or Loss

Financial liabilities are classified as at FVTPL when the financial liability is held for trading or is designated upon initial recognition
as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred principally for the
purpose of repurchasing in the near term or on initial recognition it is part of a portfolio of identified financial instruments that
the Company manages together and has a recent actual pattern of short-term profit-taking. This category also includes derivative
entered into by the Company that are not designated and effective as hedging instruments in hedge relationships as defined by
Ind AS 109. Gains or losses on liabilities held for trading are recognised in the profit or loss.

Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing
financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability
are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the
recognition of a new liability. The difference between the carrying amount of the financial liability derecognised and the
consideration paid and payable is recognised in profit or loss.

Derivative financial instruments

Initial recognition and subsequent measurement

The Company uses derivative financial instruments, such as forward currency contracts, full currency swap, options and interest
rate swaps to hedge its foreign currency risks and interest rate risks respectively. Such derivative financial instruments are initially
recognised at fair value on the date on which a derivative contract is entered into and are subsequently re-measured at fair value
at the end of each reporting period. Derivatives are carried as financial assets when the fair value is positive and as financial
liabilities when the fair value is negative. Any gains or losses arising from changes in the fair value of derivatives are taken directly
to profit or loss

Offsetting Financial Instruments

Financial assets and liabilities are offset and the net amount is reported in the Balance Sheet where there is a legally enforceable
right to offset the recognised amounts and there is an intention to settle on a net basis or realise the asset and settle the liability
simultaneously.

Compound financial instruments

The component parts of compound financial instruments issued by the company are classified separately as financial liabilities and
equity in accordance with the substance of the contractual arrangements and the definition of financial liability and an equity
instrument.

2.13. Leases

A lease that transfers substantially all the risks and rewards incidental to ownership to the lessee is classified as a finance lease. All
other leases are classified as operating leases.

Company as a lessee-

Finance leases are capitalised at the commencement of the lease at the inception date fair value of the leased property or, if lower,
at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the balance sheet as
a finance lease obligation. Lease payments are apportioned between finance charges and reduction of the lease liability so as to
achieve a constant rate of interest on the remaining balance of the liability. Finance charges are recognised in profit or loss as
finance costs, unless they are directly attributable to qualifying assets, in which case they are capitalised in accordance with the
Company's general policy on the borrowing costs. Contingent rentals are recognised as expenses in the periods in which they are
incurred.

Operating lease payments are generally recognised as an expense in the profit or loss on a straight-line basis over the lease term.
Where the rentals are structured solely to increase in line with expected general inflation to compensate for the lessor's expected
inflationary cost increases, such increases are recognised in the year in which such benefits accrue. Contingent rentals arising under
operating leases are also recognised as expenses in the periods in which they are incurred.

Company as a lessor-

Rental income from operating lease is generally recognised on a straight-line basis over the term of the relevant lease. Where the
rentals are structured solely to increase in line with expected general inflation to compensate for the Company's expected
inflationary cost increases, such increases are recognised in the year in which such benefits accrue. Initial direct costs incurred in
negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised over the lease
term on the same basis as rental income. Contingent rents are recognised as revenue in the period in which they are earned.

Amounts due from lessees under finance leases are recorded as receivables at the Company's net investment in the leases. Finance
lease income is allocated to accounting periods so as to reflect a constant periodic rate of return on the Company's net investment
outstanding in respect of the leases.

2.14. Cash and Cash Equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand and Fixed deposits. For the purpose of the
statement of cash flows, cash and cash equivalents consist of cash and fixed deposits, as defined above, net of outstanding bank
overdrafts as they are considered an integral part of the Company's cash management.