Page 289 - BCML AR 2019-20

BALRAMPUR CHINI MILLS LIMITED

Notes forming part of the Consolidated Financial Statements

Note No. : 37 Other disclosures (Contd.)

Footnotes:
(i) The Pradhan Mantri Rojgar Protsahan Yojana (PMRPY) Plan Scheme has been designed to incentivise employers for generation of
new employment, where Government of India pays the 8.33% Employee Pension Scheme contribution of the employer for the new
employment.
(ii) The Government of Uttar Pradesh pursuant to Notification No. 13/2018/1697/46-3-18-3(37)/2018 dated 1st October, 2018 notified
a Scheme for assistance to sugar mills @ ` 4.50 per quintal of sugarcane purchased during sugar season 2017-18 with a view for
timely clearance of sugarcane price and assist the millers from falling sugar and molasses prices. Accordingly, ` Nil (Previous Year: `
4930.98 Lacs) was adjusted as reduction from the cost of materials consumed.
(iii) The Central Government pursuant to Notification No. 1(5)/2018-SP-I dated 9th May, 2018 issued by the Ministry of Consumer Affairs,
Food and Public Distribution (Department of Food and Public Distribution) had notified a Scheme for assistance to sugar mills @
` 5.50 per quintal of sugarcane crushed during sugar season 2017-18 with a view of offset cost of sugarcane. Accordingly, ` Nil
(Previous Year: ` 546.89 Lacs) was adjusted as reduction from the cost of materials consumed.
(iv) The Central Government pursuant to Notification No. 1(14)/2018-SP-I dated 5th October, 2018 issued by the Ministry of Consumer
Affairs, Food and Public Distribution (Department of Food and Public Distribution) had notified a Scheme for assistance to sugar
mills @ ` 13.88 per quintal of sugarcane crushed during sugar season 2018-19 with a view to offset cost of sugarcane. Accordingly,
` 1901.33 Lacs (Previous Year: ` 12175.25 Lacs) has been adjusted as reduction from the cost of materials consumed.
(v) The Central Government pursuant to Notification No. 1(4)/2018-SP-I dated 28th September 2018 allocated factory-wise Minimum
Indicative Export Quota (MIEQ) of 50 Lakh MT for export of sugar in sugar season 2018-19. The Company was allocated MIEQ of
1,80,160 MT as per the said Notification. The Notification required the mills to undertake exports allocated to them under MIEQ or
16.70 kg of sugar per MT of actual cane crushed by them during sugar season 2018-19, whichever is lower.
The Company has physically exported 75.20 MT (Previous Year: 1,66,701.80 MT) of raw /white sugar by way of direct exports and
through merchant exporter.
(vi) The Central Government pursuant to Notification No. 1(14)/2018-S.P.-I dated 5th October, 2018 announced the Scheme for defraying
expenditure towards internal transport, freight, handling and other charges on export with a view to facilitate export of sugar
during sugar season 2018-19. Based on actual expenditure incurred by the Company on physical exports a sum of ` 1.77 Lacs
(Previous Year : ` 4194.75 Lacs) has been deducted from Miscellaneous expenses under Other expenses. Further, a sum of ` 90.11
Lacs (Previous Year: ` 593.88 Lacs) has been shown under line item “Re-imbursement of transportation expenses for export” under
Revenue from operations.
(vii) The Central Government pursuant to Notification No. 1(14)/2019-S.P.-I dated 16th September, 2019 issued by the Ministry of
Consumer Affairs, Food and Public Distribution (Department of Food and Public Distribution) allocated factory wise Maximum
Admissible Export Quantity (MAEQ) for export of sugar for the sugar season 2019-20. The Company was allocated MAEQ quota
of 2,29,225 MT as per the said Notification. Subsequently, pursuant to re-allocation of MAEQ quota of sugar for export during
sugar season 2019-20 of non-performing mills vide Notification No. 1(14)/2019-S.P.-I dated 18th February 2020, the Company was
allocated additional MAEQ quota of 85,115 MT.
The Company has physically moved for export 2,60,577 MT of raw /white sugar till 31st March 2020 by way of exports through
merchant exporter.
The Central Government pursuant to Notification No. 1(14)/2019-S.P.-I dated 12th September, 2019, notifed a Scheme for providing
assistance to sugar mills @ ` 10,448.00 per MT on export of sugar covering expenses on marketing costs including handling,
upgrading and other processing costs and costs of international and internal transport and freight charges on export of sugar with
a view to facilitate export of sugar during sugar season 2019-20 thereby improving the liquidity position of sugar mills enabling
them to clear cane price dues of farmers for sugar season 2019-20. Accordingly, ` 27225.08 Lacs has been shown under line item
“Export Incentive and assistance ” under Revenue from operations.
(viii) The Central Government pursuant to Notification No. 1(6)/2018-S.P.-I dated 15th June, 2018 issued by the Ministry of Consumer
Affairs, Food and Public Distribution (Department of Food and Public Distribution) announced a Scheme for Creation and
Maintenance of Buffer Stock of 30 Lakh MT of sugar by the sugar mills in the country for one year w.e.f. 1st July, 2018 with a view
to improve liquidity of the sugar industry; enabling sugar mills to clear cane price arrears of farmers and to stabilize domestic

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