2.1. Basis of Accounting
 
 The financial statements of the company have been prepared in
 accordance with generally accepted accounting principles in India
 (Indian GAAP). The company has prepared these financial statements to
 comply in all material respects with the accounting standards notified
 under the Companies (Accounting Standards) Rules, 2006, (as amended)
 and the relevant provisions of the Companies Act, 1956. The financial
 statements have been prepared on an accrual basis and under the
 historical cost convention unless otherwise specified. The accounting
 policies adopted in the preparation of financial statements are
 consistent with those of previous year unless otherwise specified.
 
 During the year ended 31 March 2012, the revised Schedule VI notified
 under the Companies Act 1956, has become applicable to the company, for
 preparation and presentation of its financial statements. The adoption
 of revised Schedule VI does not impact recognition and measurement
 principles followed for preparation of financial statements. However,
 it has significant impact on presentation and disclosures made in the
 financial statements. The company has also reclassified the previous
 year figures in accordance with the requirements applicable in the
 current year.
 
 2.2. Use of Estimates
 
 Preparation of financial statements in conformity with generally
 accepted accounting principles, requires estimates and assumption to be
 made, that affect reported amounts of assets and liabilities on the
 date of financial statements and reported amount of revenues and
 expenses during the reported period. Actual results could differ from
 these estimates and differences between the actual results and
 estimates are recognized in the period in which results are known/
 materialized.
 
 2.3. Fixed Assets
 
 Tangible assets are stated at cost of acquisition, installation or
 construction including other direct expenses, less accumulated
 depreciation, and impairment losses, if any. Intangible assets are
 recognised only if it is probable that the future economic benefits
 that are attributable to the assets will flow to the enterprise and the
 cost of the assets can be measured reliably.
 
 2.4. Expenditure during Construction Period
 
 All identifiable revenue expenses including interest incurred in
 respect of various projects/expansions are allocated to capital cost of
 respective assets on their completion/installation.
 
 2.5. Investments
 
 Long term investments are stated at cost of acquisition. Provision for
 diminution in value, is made only if, in the opinion of management such
 a decline is other than temporary. Investments in foreign currency are
 stated at cost by converting at exchange rate prevailing at the time of
 acquisition / remittance.
 
 2.6. Inventories
 
 2.6.1.  Raw materials, packing materials, finished/traded goods are
 valued at cost or net realisable value whichever is lower.
 
 2.6.2.  Works in process are valued at estimated cost.
 
 2.6.3.  Sales promotional items are valued at cost.
 
 2.7. Foreign Currency Transactions
 
 Foreign currency transactions are recorded at the exchange rates
 prevailing on the date of the transaction. The net gain or loss on
 account of exchange differences arising on settlement of foreign
 currency transactions are recognised as income or expenses of the
 period in which they arise. Monetary assets and liabilities denominated
 in foreign currencies at the balance sheet date are reported using the
 rate prevailing as on that date. The resultant exchange differences are
 recognised in the statement of profit and loss. In cases where forward
 contracts are entered, the relevant foreign currency assets /
 liabilities are translated at the forward rate. The resulting exchange
 difference, if any, is charged to the revenue.
 
 2.8. Revenue Recognition
 
 Revenue on sales is recognised when risk and rewards of ownership of
 products are passed on to customers, which are generally on dispatch of
 goods. Incomes from services are recognised when services are rendered.
 Sales are net of discounts, sales tax and returns; excise duty
 collected on sales is shown by way of deduction from sales. Dividend
 income is recognised when right to receive dividend is established and
 there is no uncertainty as to its reliability. Revenue in respect of
 other income is recognised when a reasonable certainty as to its
 realisation exists.
 
 Revenue from sale of technology / know how (rights, licences and other
 intangibles) are recognised when performance obligation is completed as
 per the terms of the agreement.
 
 2.9. Export Benefits
 
 Export benefits available under prevalent schemes are accounted to the
 extent considered receivable.
 
 2.10.  Depreciation/Amortization
 
 Depreciation is provided on Written Down Value method at the rates
 specified in Schedule XIV of the Companies Act, 1956. Premium on
 leasehold land is being written off over the period of lease.
 Expenditure incurred on ANDA development cost are amortised over
 estimated useful life.
 
 2.11.  Employee Benefits
 
 2.11.1.  Short Term Employee Benefits:
 
 Short term employee benefits expected to be paid in exchange for the
 services rendered by employees are recognised undiscounted during the
 period employee renders services.
 
 2.11.2.  Post Employment Benefits:
 
 Company''s contribution for the period paid / payable to defined
 contribution retirement benefit schemes are charged to statement of
 profit and loss account. Company''s liability towards defined benefit
 plan viz.  gratuity is determined using the Projected Unit Credit
 Method as per the actuarial valuation carried out at the balance sheet
 date.
 
 Defined benefit in the form of compensated absences is provided for
 based on actuarial valuation at the year-end in accordance with
 Company''s rules.
 
 2.11.3.  Stock Based Compensation:
 
 Employee stock options are accounted as per the accounting treatment
 prescribed under Guidance Note on Accounting for Employee Share-based
 payments issued by the ICAI read with SEBI (Employee Stock Option
 Scheme & Employee Stock Purchase Scheme) Guidelines, 1999 issued by
 Securities and Exchange Board of India. The Compensation cost of stock
 options granted to employees is measured by the fair value method and
 is amortised uniformly over the vesting period.
 
 2.12.  Research and Development
 
 Research costs are expensed as incurred. Development expenditure
 incurred on an individual project is carried forward when its future
 recoverability can reasonably be regarded as assured. Any expenditure
 carried forward is amortised over the period of expected future sales
 from the related project, not exceeding ten years. The carrying value
 of development costs is reviewed for impairment annually when the asset
 is not yet in use, and otherwise when events or changes in
 circumstances indicate that the carrying value may not be recoverable.
 
 2.13.  Excise and Custom Duty
 
 Excise duty in respect of finished goods lying in factory premises and
 customs duty on goods lying in custom bonded warehouse are provided for
 and included in the valuation of inventory.
 
 2.14.  Cenvat, Service Tax and VAT Credit
 
 Cenvat, Service Tax and VAT credit receivable/availed are treated as an
 asset with relevant expenses being accounted net of such credit, and
 the same is reduced to the extent of their utilisations.
 
 2.15.  Income Tax
 
 Current tax is accounted on the basis of Income Tax Act, 1961. Deferred
 tax resulting from timing differences between book and tax profits is
 accounted for at the current rate of tax, to the extent that the timing
 differences are expected to crystallise. MAT Credit Entitlement as per
 the provisions of Income Tax Act, 1961 is treated as an asset in
 accordance with the Guidance Note on Accounting for Credit Available in
 respect of Minimum Alternative Tax under the Income Tax Act, 1961, by
 credit to the statement of profit & loss.
 
 2.16.  Impairment of Assets
 
 The fixed assets and producing properties are reviewed for impairment
 at each balance sheet date. An asset is impaired when the carrying cost
 of assets exceeds its recoverable value. An impairment loss is charged
 to the statement of profit & loss in the year in which an asset is
 identified as impaired. The impairment loss recognized in prior
 accounting periods is reversed, if there has been a change in the
 estimate or recoverable amount.
 
 2.17.  Operating Leases
 
 Assets taken on lease under which all risks and rewards of ownership
 are effectively retained by the lessor are classified as operating
 lease. Lease payments under operating leases are recognised as expenses
 on accrual basis in accordance with the respective lease agreements.
 
 2.18.  Provisions, Contingent Liabilities and Contingent Assets
 
 Provisions are recognised only when there is present obligation as a
 result of past events and when a reliable estimate of the amount of
 obligation can be made. Contingent liability is disclosed for (i)
 Possible obligations which will be confirmed only by future events not
 wholly within the control of the Company or (ii) Present obligations
 arising from past events where it is not probable that an outflow of
 resources will be required to settle the obligation or a reliable
 estimate of amount of the obligation cannot be made. Contingent assets
 are not recognised in the financial statements since this may result in
 the recognition of income that may never be realised.
 
 2.19.  Borrowing Cost
 
 Borrowing cost attributable to acquisition or construction of
 qualifying assets is capitalised as cost of such assets. A qualifying
 asset is one that necessarily takes substantial period of time to get
 ready for its intended use. All other borrowing costs are charged to
 revenue.