1.1.  Corporate Information
 
 The Company is a Public Limited Company domiciled in India and
 incorporated under the provisions of the Companies Act. 1956. Its
 shares are listed in India on Bombay Stock Exchange Limited. The
 Company is engaged in the manufacturing and trading of sugar, farm
 operation and power generation for own consumption
 
 1.2.  Basis of Preparation
 
 The Financial statements are prepared and presented under the
 historical cost convention and in accordance with accounting principals
 generally accepted in India (Indian GAAP) and comply in all material
 aspects with the accounting standards notified under Section 211(3C) of
 the Companies Act, 1956 and the relevant provisions of the Companies
 Act, 1956 except where otherwise stated.
 
 The Company follows accrual method of accounting unless otherwise
 specifically stated
 
 1.3.  Recognition of Income and Expenditure
 
 i) The revenue from sale of goods is recognized on passing of title of
 the goods, which generally coincides with delivery of goods to the
 customers. Sales are inclusive of excise1 duty.
 
 ii) Expenditure is recognized on accrual basis and provision is made
 for all known losses and liabilities, except insurance and leave
 encashment which is accounted for on cash basis.
 
 1.4.  Use of Estimate
 
 The preparation of financial statements requires estimates and
 assumptions to be made that effect the reported amount of assets and
 liabilities on the date of financial statements and the reported amount
 of revenue and expenses during the reporting period. Difference between
 the actual results and estimates are recognized in the period in which
 results are known/materialized.
 
 1.5.  Government Grants & Subsidies
 
 Government Grants related to depreciable assets are credited to Capital
 Subsidy Reserve and transferred to Profit & Loss Account over the
 useful life of assets. Grants received during the year towards revenue
 expenses are being reduced from the respective expenses.
 
 1.6.  Fixed Assets
 
 Fixed assets are stated at cost of acquisition including any
 attributable cost for bringing the asset to its working condition for
 its intended use less accumulated depreciation and impairment losses.
 Capital work in progress is stated at amount expended upto the date of
 Balance Sheet.
 
 1.7.  Depreciation
 
 a) Depreciation on Fixed Assets as on 30.6.1987 has been provided at
 the rates prevailing at that time on straight line method pursuant to
 circular no 1/86 dated 21.5.1986 issued by the Department of Company
 Affairs, New Delhi.
 
 b) In respect of Fixed Assets acquired from 01.07.1987 depreciation has
 been provided on Straight line basis as per rates specified in Schedule
 XIV to the Companies Act.  1956.
 
 c) In respect of Assets costing less than Rs.  5000/- full depreciation
 is provided in the year of acquisition.
 
 1.8.  Inventories
 
 a) Sugar stocks have been valued at lower of cost or net realizable
 value.
 
 The cost of Finished Goods and Work-in-Process include cost of
 conversion and other directly apportionable overheads incurred in
 bringing the inventories to their present location and condition.
 
 b) By-Products, Scrap and Standing crop are valued at net realizable
 value.
 
 c) Stores & spares are valued at cost determined on weighted average
 basis.
 
 1.9.  Excise Duty
 
 Closing stock of finished goods includes Excise duty payable thereon.
 This treatment has no impact on the profit or loss for the year
 
 1.10.  Retirement Benefits
 
 a) The liability for gratuity to employees as at the balance sheet date
 is determined on the basis of actuarial valuation based on Projected
 Unit Credit Method administered by the trustees and managed by Life
 Insurance Corporation of India. The contribution thereof paid/payable
 is charged in the books of accounts. Acturial gain/loss are charged of
 to Profit & Loss Account.
 
 b) The leave records are maintained from July to June every year,
 therefore the accumulation of leave, if any, is encashed before closing
 of next financial year Hence the same is accounted for on cash basis in
 the year of payment.
 
 c) Retirement benefits in the form of Provident Fund and Pension
 Schemes are charged to the Profit & Loss Account of the year when the
 contributions to respective funds accrues.
 
 1.11.  Taxes on Income
 
 a) Current Tax is determined as the amount of tax is payable in respect
 of taxable income for the period based on applicable tax rates and
 laws.
 
 b) Deferred tax is recognized, subject to the consideration of
 prudence, on timing differences being the difference between taxable
 income and accounting income that originate in one period and are
 capable of reversal in one or more subsequent periods and is measured
 using Tax rates and Laws that have been enacted or substantively
 enacted by the Balance Sheet date. Deferred tax assets are not
 recognized on unabsorbed depreciation and carry forward losses unless
 there is virtual certainty that sufficient future taxable income will
 be available against which such deferred tax asset can be realized.
 Deferred tax assets are reviewed at each Balance Sheet date to reassess
 excess realization.
 
 1.12.  Segment Reporting
 
 The Company is having Farm activity for growing of cane Seed and
 production of Vermi Compost.
 
 Geographical segments have been considered for Secondary Segment
 Reporting. The whole of India has been considered as a Geographical
 Segment.
 
 1.13.  Earning Per Share
 
 Basic earnings per share are calculated by dividing the net profit or
 loss for the period attributable to equity shareholders by the weighted
 average number of equity shares outstanding during the period. Partly
 paid equity shares are treated as a fraction of an equity share to the
 extent that they were entitled to participate in dividends relative to
 a fully paid equity share during the reporting period.
 
 For the purpose of calculating diluted earnings per share, the net
 profit or loss for the period attributable to equity shareholders and
 the weighted average number of shares outstanding during the period are
 adjusted or the effects of all dilutive potential equity shares.
 
 1.14.  Impairment of Assets
 
 Impairment losses, if any, are provided to the extent the carrying
 amount of the assets exceeds their recoverable amount. Recoverable
 amount is the higher of an asset''s net selling price and its value in
 use. The value in use is the present value of estimated future cash
 flows expected to arise from the continuing use of an asset and from
 its disposal as at the end of its useful life. Such impairment, if any,
 are ascertained and reviewed at each year-end.
 
 1.15.  Provisions, Contingent liabilities and Contingent assets
 
 Provisions are recognized in respect of obligations based on the
 evidence available, their existence at the balance sheet date, is
 considered probable. Estimated liability in respect of business
 performance is provided for based on past experience and historical
 data
 
 Contingent liabilities are not provided for in the books of accounts
 and are disclosed by way of a note in the accounts.
 
 Contingent assets are not recognized in the accounts