Atul Ltd 2018-19

Ǌȴ ĿūŕūijĿČîŕ îƙƙĚƥƙȠ The biological assets of the Group comprise oil palms, date palms and tissue culture. ¹ĺĚ HƑūƭƎ ČŕîƙƙĿǛĚƙ ƥĺĚ ƥĿƙƙƭĚ ČƭŕƥƭƑĚƙ îƙ qîƥƭƑĚ îŠē TŞŞîƥƭƑĚ ƎŕîŠƥƙȦ qîƥƭƑĚ ċĿūŕūijĿČîŕ îƙƙĚƥƙ îƑĚ ƥĺūƙĚ ǅĺĿČĺ îƑĚ îǄîĿŕîċŕĚ ljūƑ ƙîŕĚ ĿŠ ŠĚǊƥ ǧǨ ŞūŠƥĺƙ ūƑ ƥĺîƥ ĺîǄĚ îƥƥîĿŠĚē ĺîƑǄĚƙƥîċŕĚ ƙƎĚČĿǛČîƥĿūŠƙ ȳljūƑ ČūŠƙƭŞîċŕĚ ċĿūŕūijĿČîŕ îƙƙĚƥƙȴ or are able to sustain regular harvests (for bearer biological assets). The plants which are not mature are considered as immature plants. Mature and immature tissue culture plants, which are ready for sale in less than 12 months from the reporting date îƑĚ ČŕîƙƙĿǛĚē îƙ ČƭƑƑĚŠƥ îƙƙĚƥƙ ƭŠēĚƑ î ƙĚƎîƑîƥĚ ĺĚîē ūlj ċĿūŕūijĿČîŕ îƙƙĚƥƙ ūƥĺĚƑ ƥĺîŠ ċĚîƑĚƑ ƎŕîŠƥƙ îŠē ūƥĺĚƑƙ ƭŠēĚƑ non-current assets. The Bearer plant are recognised and measured as per Ind AS 16 (refer Note 5). The oil palm Fresh Fruit Bunches (FFB) growing on the trees are accounted for as biological assets other than Bearer plant until the point of harvest. Harvested oil palm FFB are transferred to inventory at fair value less costs to sell when harvested. Changes in fair value of oil palm GG ūŠ ƥƑĚĚƙ îƑĚ ƑĚČūijŠĿƙĚē ĿŠ ƥĺĚ ūŠƙūŕĿēîƥĚē ¬ƥîƥĚŞĚŠƥ ūlj ¡ƑūǛƥ îŠē gūƙƙȦ GîƑŞĿŠij Čūƙƥ ŕĿŒĚ ŕîċūƭƑ îŠē ūƥĺĚƑ Čūƙƥƙ îƑĚ ƑĚČūijŠĿƙĚē ĿŠ ƥĺĚ ūŠƙūŕĿēîƥĚē ¬ƥîƥĚŞĚŠƥ ūlj ¡ƑūǛƥ îŠē gūƙƙȦ Biological assets are measured at fair value less cost to sell. Costs to sell include the incremental selling costs, including îƭČƥĿūŠĚĚƑƙɄ ljĚĚƙȡ ČūŞŞĿƙƙĿūŠ ƎîĿē ƥū ċƑūŒĚƑƙ îŠē ēĚîŕĚƑƙ îŠē ĚƙƥĿŞîƥĚē Čūƙƥƙ ūlj ƥƑîŠƙƎūƑƥ ƥū ƥĺĚ ŞîƑŒĚƥ ċƭƥ ĚǊČŕƭēĚƙ ǛŠîŠČĚ Čūƙƥƙ îŠē ĿŠČūŞĚ ƥîǊȦ Tissue culture raised matured plants are measured on initial recognition and at the end of each reporting period at its fair value less costs to sell. The gain or loss arising on such biological assets are included in the Consolidated Statement ūlj ¡ƑūǛƥ îŠē gūƙƙȦ TŞŞîƥƭƑĚ ƥĿƙƙƭĚ ČƭŕƥƭƑĚ ƑîĿƙĚē ƎŕîŠƥƙ îƑĚ ŞĚîƙƭƑĚē îƥ Čūƙƥ ŕĚƙƙ îČČƭŞƭŕîƥĚē ĿŞƎîĿƑŞĚŠƥ ŕūƙƙȡ Ŀlj ƥĺĚ quoted market price are not available for the immature plants at different stages and the fair value measurements are clearly unreliable. ǋȴ ¡ƑūǄĿƙĿūŠƙ îŠē ČūŠƥĿŠijĚŠƥ ŕĿîċĿŕĿƥĿĚƙȠ Provisions are recognised when the Group has a present legal or constructive obligation as a result of past events, it is ƎƑūċîċŕĚ ƥĺîƥ îŠ ūƭƥǜūǅ ūlj ƑĚƙūƭƑČĚƙ ǅĿŕŕ ċĚ ƑĚƐƭĿƑĚē ƥū ƙĚƥƥŕĚ ƥĺĚ ūċŕĿijîƥĿūŠ îŠē ƥĺĚ îŞūƭŠƥ ČîŠ ċĚ ƑĚŕĿîċŕǋ ĚƙƥĿŞîƥĚēȦ ¹ĺĚƙĚ îƑĚ ƑĚǄĿĚǅĚē îƥ ĚîČĺ ǋĚîƑ ĚŠē îŠē ƑĚǜĚČƥ ƥĺĚ ċĚƙƥ ČƭƑƑĚŠƥ ĚƙƥĿŞîƥĚȦ ¡ƑūǄĿƙĿūŠƙ îƑĚ Šūƥ ƑĚČūijŠĿƙĚē ljūƑ ljƭƥƭƑĚ operating losses. ØĺĚƑĚ ƥĺĚƑĚ îƑĚ î ŠƭŞċĚƑ ūlj ƙĿŞĿŕîƑ ūċŕĿijîƥĿūŠƙȡ ƥĺĚ ŕĿŒĚŕĿĺūūē ƥĺîƥ îŠ ūƭƥǜūǅ ǅĿŕŕ ċĚ ƑĚƐƭĿƑĚē ĿŠ ƙĚƥƥŕĚŞĚŠƥ Ŀƙ ēĚƥĚƑŞĿŠĚē ċǋ ČūŠƙĿēĚƑĿŠij ƥĺĚ Čŕîƙƙ ūlj ūċŕĿijîƥĿūŠƙ îƙ î ǅĺūŕĚȦ ƎƑūǄĿƙĿūŠ Ŀƙ ƑĚČūijŠĿƙĚē ĚǄĚŠ Ŀlj ƥĺĚ ŕĿŒĚŕĿĺūūē ūlj îŠ ūƭƥǜūǅ ǅĿƥĺ respect to any one item included in the same class of obligations may be small. ¡ƑūǄĿƙĿūŠƙ îƑĚ ŞĚîƙƭƑĚē îƥ ƥĺĚ ƎƑĚƙĚŠƥ ǄîŕƭĚ ūlj ċĚƙƥ ĚƙƥĿŞîƥĚ ūlj ƥĺĚ ĚǊƎĚŠēĿƥƭƑĚ ƑĚƐƭĿƑĚē ƥū ƙĚƥƥŕĚ ƥĺĚ ƎƑĚƙĚŠƥ ūċŕĿijîƥĿūŠ îƥ ƥĺĚ ĚŠē ūlj ƥĺĚ ƑĚƎūƑƥĿŠij ƎĚƑĿūēȦ ¹ĺĚ ēĿƙČūƭŠƥ ƑîƥĚ ƭƙĚē ƥū ēĚƥĚƑŞĿŠĚ ƥĺĚ ƎƑĚƙĚŠƥ ǄîŕƭĚ Ŀƙ î ƎƑĚȹƥîǊ ƑîƥĚ ƥĺîƥ ƑĚǜĚČƥƙ ČƭƑƑĚŠƥ ŞîƑŒĚƥ îƙƙĚƙƙŞĚŠƥƙ ūlj ƥĺĚ ƥĿŞĚ ǄîŕƭĚ ūlj ŞūŠĚǋ îŠē ƥĺĚ ƑĿƙŒƙ ƙƎĚČĿǛČ ƥū ƥĺĚ ŕĿîċĿŕĿƥǋȦ ¹ĺĚ ĿŠČƑĚîƙĚ ĿŠ ƥĺĚ ƎƑūǄĿƙĿūŠ ēƭĚ ƥū ƥĺĚ ƎîƙƙîijĚ ūlj ƥĿŞĚ Ŀƙ ƑĚČūijŠĿƙĚē îƙ ĿŠƥĚƑĚƙƥ ĚǊƎĚŠƙĚȦ ūŠƥĿŠijĚŠƥ ŕĿîċĿŕĿƥĿĚƙ îƑĚ ēĿƙČŕūƙĚē ǅĺĚŠ ƥĺĚƑĚ Ŀƙ î ƎūƙƙĿċŕĚ ūċŕĿijîƥĿūŠ îƑĿƙĿŠij ljƑūŞ Ǝîƙƥ ĚǄĚŠƥƙȡ ƥĺĚ ĚǊĿƙƥĚŠČĚ ūlj ǅĺĿČĺ ǅĿŕŕ ċĚ ČūŠǛƑŞĚē ūŠŕǋ ċǋ ƥĺĚ ūČČƭƑƑĚŠČĚ ūƑ ŠūŠȹūČČƭƑƑĚŠČĚ ūlj ūŠĚ ūƑ ŞūƑĚ ƭŠČĚƑƥîĿŠ ljƭƥƭƑĚ ĚǄĚŠƥƙ Šūƥ ǅĺūŕŕǋ ǅĿƥĺĿŠ ƥĺĚ ČūŠƥƑūŕ ūlj ƥĺĚ HƑūƭƎ ūƑ î ƎƑĚƙĚŠƥ ūċŕĿijîƥĿūŠ ƥĺîƥ îƑĿƙĚƙ ljƑūŞ Ǝîƙƥ ĚǄĚŠƥƙ ǅĺĚƑĚ Ŀƥ Ŀƙ ĚĿƥĺĚƑ Šūƥ ƎƑūċîċŕĚ ƥĺîƥ îŠ ūƭƥǜūǅ ūlj resources will be required to settle the obligation or a reliable estimate of the amount cannot be made. Ǖȴ /ŞƎŕūǋĚĚ ċĚŠĚǛƥƙȠ 'ĚǛŠĚē ċĚŠĚǛƥ ƎŕîŠȠ HƑîƥƭĿƥǋȠ HƑîƥƭĿƥǋ ŕĿîċĿŕĿƥǋ Ŀƙ î ēĚǛŠĚē ċĚŠĚǛƥ ūċŕĿijîƥĿūŠ îŠē Ŀƙ ČūŞƎƭƥĚē ūŠ ƥĺĚ ċîƙĿƙ ūlj îŠ îČƥƭîƑĿîŕ ǄîŕƭîƥĿūŠ ċǋ îŠ îČƥƭîƑǋ îƎƎūĿŠƥĚē ljūƑ ƥĺĚ ƎƭƑƎūƙĚ îƙ ƎĚƑ ƎƑūŏĚČƥĚē ƭŠĿƥ ČƑĚēĿƥ ŞĚƥĺūē îƥ ƥĺĚ ĚŠē ūlj ĚîČĺ ǛŠîŠČĿîŕ ǋĚîƑȦ ¹ĺĚ ŕĿîċĿŕĿƥǋ ūƑ îƙƙĚƥ ƑĚČūijŠĿƙĚē ĿŠ ƥĺĚ îŕîŠČĚ ¬ĺĚĚƥ ĿŠ ƑĚƙƎĚČƥ ūlj ēĚǛŠĚē ċĚŠĚǛƥ ijƑîƥƭĿƥǋ ƎŕîŠƙ Ŀƙ ƥĺĚ ƎƑĚƙĚŠƥ ǄîŕƭĚ ūlj ƥĺĚ ēĚǛŠĚē ċĚŠĚǛƥ obligation at the end of the reporting period less the fair value of plan assets. The liability so provided is paid to a trust administered by the Company, which in turn invests in eligible securities to meet the liability as and when it accrues for ƎîǋŞĚŠƥ ĿŠ ljƭƥƭƑĚȦ Šǋ ƙĺūƑƥljîŕŕ ĿŠ ƥĺĚ ǄîŕƭĚ ūlj îƙƙĚƥƙ ūǄĚƑ ƥĺĚ ēĚǛŠĚē ċĚŠĚǛƥ ūċŕĿijîƥĿūŠ Ŀƙ ƑĚČūijŠĿƙĚē îƙ î ŕĿîċĿŕĿƥǋ ǅĿƥĺ î ČūƑƑĚƙƎūŠēĿŠij ČĺîƑijĚ ƥū ƥĺĚ ūŠƙūŕĿēîƥĚē ¬ƥîƥĚŞĚŠƥ ūlj ¡ƑūǛƥ îŠē gūƙƙȦ 198 Atul Ltd | Annual Report 2018-19 Corporate Overview 01-22 Statutory Reports 23-105 Financial Statements 107-250