(1)

Represents amounts receivable pursuant to an out-licensing arrangement wit

a customer. As these amounts are not expected to be realized within twelve months from the end of the reporting date, they are disclosed as non-current

During the year ended March 31, 2021,

pursuant to an arrangement with a bank, the Company sold to the bank certain of its trade receivables forming part of its Global Generics segment, on a non-recourse basis.

The receivables sold were mutually agreed upon with the bank after considering the creditworthiness and contractual terms with the customer, including any gross to net adjustments (due to rebates, discounts etc.) from the contracted amounts. As a result, the receivables sold are

were not more

than the total net amount of trade receivables. The Company

had

transferred substantially all the risks and rewards of ownership of such receivables sold to the bank, and accordingly, the same

were

derecognized in the statements of financial position. As on March 31, 2022 and 2021, the amount of trade receivables de-recognized pursuant to the aforesaid arrangement was Rs.Nil and Rs.9,254, respectively.

In accordance with IFRS 9, the Company uses the expected credit loss (“ECL”) model for measurement and recognition of impairment loss on its trade receivables or any contractual right to receive cash or another financial asset that result from transactions that are within the scope of IFRS 15. For this purpose, the Company uses a provision matrix to compute the expected credit loss amount for trade receivables. The provision matrix takes into account external and internal credit risk factors and historical data of credit losses from various customers.

The details of changes in allowance for credit losses during the years ended March 31

, 2022

and 2021

, are as follows:

	For the Year Ended March 31,
	2022			2021
Balance at the beginning of the year	Rs.	1,296		Rs.	1,202
Provision made during the year, net of reversals		(3	)		176
Trade and other receivables written off & exchange differences		(99	)		(82	)
Balance at the end of the year	Rs.	1,194		Rs.	1,296