Basis of preparation of accounts
 
 The financial statements have been prepared on the basis of going
 concern, under the historic cost convention, to comply in all material
 aspects with applicable accounting principles in India, the Accounting
 Standards notified under Sec 211 (3C) of the Companies Act, 1956 (the
 Act) and the relevant provisions of the Act.
 
 Fixed Assets
 
 Fixed assets are shown at cost or valuation less depreciation. Cost
 comprises of the purchase price and other attributable expenses
 including cost of borrowings till the date of capitalisation in the
 case of assets involving material investment and substantial lead time.
 
 Depreciation on Fixed assets
 
 Depreciation is provided on the straight-line method. Depreciation on
 all assets (except certain Plant and Machinery, Vehicles and Computers
 and related equipment) has been provided over the useful life of the
 assets as determined by the management or derived from the rates
 prescribed in Schedule - XIV to the Companies Act 1956, whichever is
 higher. The useful life of such assets is periodically reviewed and
 re-determined and the unamortised depreciable amount is charged over
 the remaining useful life of such assets. Leasehold land is being
 amortised over the lease period.
 
 Foreign Currency Transactions
 
 Transactions made during the year in foreign currency are recorded at
 the exchange rate prevailing at the time of transactions.  Monetary
 assets and liabilities relating to foreign currency transactions
 remaining unsettled at the year-end are translated at the exchange rate
 prevalent at the date of Balance Sheet. Exchange differences arising on
 actual payment/ realisation and year end reinstatement referred to
 above are recognised in the Profit and Loss Account.
 
 In respect of forward contracts entered into to hedge risks associated
 with foreign currency fluctuation, the premium or discount at the
 inception of the contract is amortised as income or expense over the
 period of the contract. Currency options/other swap contracts
 outstanding as at the Balance Sheet date are marked to market and the
 resultant gain/loss is recognised in the Profit and Loss Account. Any
 profit or loss arising on cancellation of such contracts is recognized
 as income or expense in the Profit and Loss Account of the year.
 
 Investments
 
 Long term investments are valued at cost. The diminution in the market
 value of such investments is not recognised unless it is considered
 permanent in nature. Current investments are valued at cost or market
 value, whichever is lower.
 
 Inventories
 
 Raw Materials and Stores and spares are valued at or below cost. Other
 inventories are valued at lower of cost and net realisable value. The
 method of determination of cost of various categories of inventories is
 as follows:
 
 a) Stores and Spares - Weighted Average Cost.
 
 b) Raw Material - First-in-First-out basis. Cost includes purchase cost
 and other attributable expenses.
 
 c) Finished Goods and Work-in-process - Weighted average cost of
 production which comprises of direct material costs, direct wages and
 applicable overheads.
 
 d) Goods purchased for resale - Weighted average cost
 
 Sundry Debtors and Loans & Advances
 
 Specific debts and advances identified as irrecoverable and doubtful
 are written off or provided for respectively. Subsidy receivable is
 disclosed under Loans and Advances.
 
 Fertiliser Companies Government of India Special Bonds
 
 Fertiliser Companies Government of India Special Bonds issued by
 Government of India in lieu of subsidy dues are intended to be kept for
 short term and are valued at lower of Cost and Market value and are
 shown as Other Current Assets.
 
 Revenue Recognition
 
 a) Sale of goods is recognized at the point of despatch to customers.
 Sales include amounts recovered towards excise duty and exclude sales
 tax.
 
 b) Dividend income from investments is accounted for in the year in
 which the right to receive the payment is established.
 
 c) Subsidy is recognized on the basis of the concession schemes
 announced by the Government of India from time to time on the quantity
 of fertilisers sold by the Company at the final rates notified by the
 Government for the period for which notification has been issued and
 for the remaining period, based on estimates.
 
 d) Income from services rendered is recognised based on the
 agreements/arrangements with the concerned parties.
 
 e) Export benefits under DEPB license and excise benefits are accounted
 for on accrual basis.  Employee Benefits
 
 a) Defined Contribution Plans
 
 Contributions paid/payable to defined contribution plans comprising of
 Superannuation (under a scheme of Life Insurance Corporation of India)
 and Provident Funds for certain employees covered under the respective
 Schemes are recognised in the Profit and Loss Account each year.
 
 The Company makes contributions to two Provident Fund Trusts for
 certain employees, at a specified percentage of the employees salary.
 The Company has an obligation to make good the shortfall, if any,
 between the return from the investments of trust and the notified
 interest rates. Liability on account of such shortfall, if any, is
 provided for based on the actuarial valuation carried out in accordance
 with the revised Accounting Standard 15 (revised 2005) on Employee
 Benefits notified under Sec. 211 (3C) of the Act (revised AS 15) as
 at the end of the year.
 
 b) Defined Benefit Plans
 
 Gratuity for certain employees is covered under a Scheme of Life
 Insurance Corporation of India (LIC) and contributions in respect of
 such scheme are recognised in the Profit and Loss Account. The
 liability as at the Balance Sheet date is provided for based on the
 actuarial valuation carried out in accordance with revised AS 15 as at
 the end of the year.
 
 The Company makes contributions for Superannuation and Gratuity (for
 employees not covered under the LIC Scheme) to Trusts, which are
 recognised in the Profit and Loss Account. The Companys liability as
 at the Balance Sheet date is provided for based on the actuarial
 valuation in accordance with the requirements of revised AS 15 as at
 the end of the year.
 
 c) Other long term employee benefits
 
 Other long term employee benefits comprise of leave encashment which is
 provided for based on the actuarial valuation carried out in accordance
 with revised AS 15 as at the end of the year.
 
 d) Short term employee benefits
 
 Short term employee benefits including accumulated compensated absences
 as at the Balance Sheet date are recognised as an expense as per
 Companys schemes based on expected obligation on an undiscounted
 basis.
 
 Leases
 
 The Companys significant leasing arrangements are in respect of
 operating leases for premises that are cancelable in nature. The lease
 rentals paid under such agreements are charged to the Profit and Loss
 Account.
 
 Use of Estimates
 
 The preparation of the financial statements requires estimates and
 assumptions to be made that affect the reported amount of assets and
 liabilities on the date of financial statements and the reported amount
 of revenues and expenses during the reported period.  Management
 believes that the estimates used in the preparation of financial
 statements are prudent and reasonable. Actual results could differ from
 these estimates. Any revision to accounting estimates is recognized
 prospectively in the current and future periods.
 
 Provisions, Contingent Liabilities and Contingent Assets
 
 Provisions are recognized only when there is a present obligation as a
 result of past events and when a reasonable estimate of the amount of
 obligation can be made. Contingent liabilities disclosed for (i)
 possible obligation 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 the amount of the obligation cannot be made.  Contingent
 assets are neither recognized nor disclosed in the financial
 statements.
 
 Taxes on Income
 
 a) Provision for current tax is made for the amount of tax payable in
 respect of taxable income for the year under Income Tax Act, 1961.
 
 b) Deferred tax is recognised on timing differences being the
 difference between taxable income and accounting income that originate
 in one period and are capable of reversal in subsequent periods,
 subject to consideration of prudence.
 
 Earnings per Share
 
 The earnings considered for ascertaining the Companys Earnings Per
 Share comprises the net profit after tax. The number of shares used in
 computing Basic EPS is the weighted average number of shares
 outstanding during the period. The number of shares used in computing
 diluted EPS comprises the weighted average shares considered for
 deriving basic EPS, and also the weighted average number of equity
 shares that would be issued on the conversion of all dilutive potential
 equity shares. In case of dilutive options, the difference between the
 number of shares issuable and the number of shares that would be issued
 at fair value are treated as diluted potential equity shares. Dilutive
 potential equity shares are deemed converted as of the beginning of the
 period, unless issued at a later date.
 
 Employee Stock Option Scheme
 
 Stock options granted to the employees under the stock option scheme
 established are evaluated as per the accounting treatment prescribed by
 the Employee Stock Option Scheme and Employee Stock Purchase Scheme
 Guidelines, 1999 issued by Securities Exchange Board of India. The
 Company follows the intrinsic value method of accounting for the
 options and accordingly, the excess of market value of the stock
 options as on date of grant over the exercise price of the options, if
 any, is recognized as deferred employee compensation and is charged to
 the Profit and Loss Account on graded vesting basis over the vesting
 period of the options.  The unamortized portion of the deferred
 employee compensation if any, is shown under Reserves and Surplus.
 
 II.  Amalgamation of Pasura Bio-Tech Private Limited with the Company
 
 a) Pursuant to the Scheme of Amalgamation (the Scheme) of the
 erstwhile Pasura Bio-Tech Private Limited (PBPL) with the Company, as
 approved by the Honble High Court of Judicature of Andhra Pradesh on
 February 21, 2011, the entire business and undertaking of PBPL
 including all assets, liabilities, duties and obligations have been
 transferred to and vested in the Company with effect from April 1,
 2010.
 
 b) PBPL is engaged in the business of manufacture and sale of
 Pesticides formulations.
 
 c) The Amalgamation has been accounted for under the Pooling of
 interests method as prescribed by Accounting Standard 14, Accounting
 for Amalgamations, notified under Sec 211(3C) of the Act.
 
 d) In accordance with the Scheme, 8,18,475 Equity Shares of Rs.10/-
 each held by the Company in the equity share capital of PBPL stand
 cancelled. The difference of Rs.161.23 lakhs between assets,
 liabilities, statutory reserves of PBPL and the carrying value of
 investments being cancelled, has been adjusted against the General
 Reserve of the Company.
 
 e) All assets, liabilities and licenses held in the name of erstwhile
 PBPL are in the process of being transferred in the name of the
 Company.
 
 f) In view of the accounting for amalgamation with effect from April 1,
 2010, the figures of the current year are not strictly comparable with
 those of the previous year.
 
 III.  Employee Stock Option Plan - ESOP 2007
 
 a) Pursuant to the decision of the shareholders, at their meeting held
 on July 24, 2007, the Company has established an Employee Stock Option
 Scheme 2007 (ESOP 2007 or the Scheme) to be administered by the
 Remuneration and Nomination Committee of the Board of Directors.
 
 b) Under the Scheme, options not exceeding 12,785,976 (equivalent to
 63,92,988 equity shares of Rs.2/- each) have been reserved to be issued
 to the eligible employees, with each option conferring a right upon the
 employee to apply for one equity share. The options granted under the
 Scheme would vest not less than one year and not more than five years
 from the date of grant of the options. The options granted to the
 employees would be capable of being exercised within a period of three
 years from the date of vesting.
 
 c) The exercise price of the option is equal to the latest available
 closing market price of the shares on the stock exchange where there is
 highest trading volume as on the date prior to the date of the
 Remuneration and Nomination Committee resolution approving the grant.
 
 d) Pursuant to the above mentioned scheme, the Company has granted
 options in earlier years which vest over a period of four years
 commencing from the respective dates of grant. The exercise price being
 equal to the closing market price prevailing on the date prior to the
 date of grant, there is no deferred compensation cost to be amortised
 in this regard.
 
 f) The above outstanding options have been granted in various tranches,
 at exercise price being equal to the closing market price prevailing on
 the date prior to the date of grant.
 
 g) In accordance with the requirements of SEBI (Employee Stock Option
 Scheme and Employee Stock Purchase Scheme) Guidelines, 1999 and the
 Guidance Note on Accounting for Employee Share Based Payments issued
 by the Institute of Chartered Accountants of India, had the
 compensation cost for the employee stock option plan been recognized
 based on the fair value at the date of grant in accordance with the
 Black Scholes model, the proforma amounts of the Companys Net Profit
 and Earnings Per Share