Gujarat Raffia Industries Ltd Auditor Reports

To, The Members of, Gujarat Raffia Industries Limited (CIN: L171 IOGJ1984PLC007124)

Report on the Audit of the Ind AS Financial Statements

Opinion

We have audited the accompanying Ind AS financial statements of Gujarat Raffia Industries Limited ("the Company"), which comprise the Balance Sheet as at March 3 1, 2026, and the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Changes in Equity and the Statement Of Cash Flows for the year ended on that date, and notes to the Ind AS Financial Statements, including a summary of material accounting policies and other explanatory information.In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Companies Act, 2013 ("The Act") in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under Section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, ("Ind AS") and other accounting principles generally accepted in India, of the state of affairs of the Company as at March 3 1, 2026, and its profit and other comprehensive income, the changes in equity and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAS) specified under section 143(10) of the Companies Act, 2013. Our responsibilities under those Standards are further described in the Auditors Responsibilities for the Audit of the Ind AS Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India (ICAL) together with the ethical requirements that are relevant to our audit of the Ind AS financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the Ind AS financial statements of the current period. These matters were addressed in the context of our audit of the Ind AS financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. 1. Key Audit Matter

(a) As at 31st March, 2026, balances with revenue authorities and unpaid duties and taxes being as per books of account and GST returns are pending for reconciliation

(b) The company has not provided nor quantified deferred tax assets/liabilities.

We have determined the other Key matters described below to be the key audit matters to be communicated in our report.

Appropriateness of Current and Non- Current Classification	For the purpose of current & non-current classification the Company has considered its normal operating cycle as 12 Months and the same is based on services provided, acquisition of assets or inventory, their realization in cash and cash equivalents. The classification is either done on basis of documentary evidence and if not then on the basis of managements best estimate of period in which asset would be realized or liability would be settled.
Valuation and Existence of Inventories
The Companies inventories, comprising raw materials and finished goods, relating to the manufacturing operations. The company is engaged in the manufacture of PE Tarpaulin, Plastic Sheeting, Ground Sheeting, Geomembrane, Tents, Shelters, Pond Lining, Canal Lining, Fumigation cover, HDPE Woven Bags, PP Woven Bags, Vermined and Ropes etc., where inventory is a key component of the operating cycle.	Obtaining an understanding of and testing the design and operating effectiveness of key internal controls over inventory procurement, production, costing, valuation, and physical verification across the Companys manufacturing facilities and warehouses.
The valuation of inventories involves significant judgment in determining the cost of production, including the allocation of manufacturing overheads across various product lines and production processes such as extrusion, weaving, lamination, coating and fabrication.	Assessing managements determination of the net realizable value by comparing the carrying value of selected inventory items with subsequent sales prices, prevailing market prices of polymer-based raw materials (including HDPE, LDPE and PP granules), and estimated costs necessary to complete and sell the products.
Management is also required to assess the net realizable value of inventories considering fluctuations in the prices of polymer-based raw materials (including HDPE, LDPE and PP granules), changes in market demand, competitive pricing, and the condition and age of inventories. Further, owing to the volume, diversity and nature of inventories comprising raw materials and finished goods held across the Companys manufacturing facilities and warehouses, obtaining sufficient appropriate audit evidence regarding their existence, condition and valuation required significant audit attention. Accordingly, the valuation and existence of inventories were considered to be a key audit matter.	Performing analytical procedures on inventory turnover, gross margins and inventory ageing to identify unusual movements or trends requiring further investigation.
	Assessing the adequacy and appropriateness of the disclosures relating to inventories in the Ind AS financial statements in accordance with the applicable financial reporting framework

Emphasis of Matter

1. We draw attention to Note 34 to the Ind AS financial statements, which describes the foreign currency balances maintained by the Company in its Exchange Earners Foreign Currency (EEFC) bank account. As disclosed in the said note, the Company has significant foreign currency exposure arising from such balances, which are subject to exchange rate fluctuations. The translation of such foreign currency monetary items at the reporting date has resulted in a foreign exchange gain which has not been recognised in the Statement of Profit and Loss.

2. We draw attention to Note 40 to the Ind AS financial statements, which states that management has limited certain extended quantitative and qualitative financial instruments and capital management disclosures required under Ind AS 107 and Ind AS 1 to internal monitoring metrics and primary statement presentation.

Information other than the Ind AS financial statements and auditors report thereon

The Companys board of directors is responsible for the preparation of the other information. The other information comprises the information included in the Management Discussion and Analysis, Boards Report including Annexure to Boards Repon, Business Responsibility Report, Corporate Governance and Shareholders Information, but does not include the Ind AS financial statements and our auditors report thereon.

Our opinion on the Ind AS financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the Ind AS financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially misstated. If based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Managements Responsibility for the Ind AS Financial Statements

The Company s Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these Ind AS financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the accounting Standards specified under section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and Other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Ind AS financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the Ind AS financial statements, management is responsible for assessing the Companys ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Companys Board of Directors is also responsible for-overseeing the Companys financial reporting process.

Auditors Responsibilities for the Audit of the Ind AS Financial Statements

Our objectives are to obtain reasonable assurance about whether the Ind AS financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these Ind AS financial statements.

As part of an audit in accordance with SAS, we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the Standalone Financial Statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Companies Act, 2013, we are also responsible for expressing our opinion on whether the company has adequate internal financial controls system in place and the operating effectiveness of such controls.

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management, as well as evaluating the overall presentation of the Ind AS financial statements.

Conclude on the appropriateness of managements use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Companys ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors report to the related disclosures in the Standalone Financial Statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors report. However, future events or conditions may cause the Company to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the Ind AS financial statements, including the disclosures, and whether the Ind AS financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

Materiality is the magnitude of misstatements in the Standalone financial statements that, individually or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user of the financial statements may be influenced. We consider quantitative materiality and qualitative factors in

i. Planning the scope of our audit work and in evaluating the results of our work; ii. To evaluate the effect of any identified misstatements in the financial statements.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards. From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the Ind AS financial statements of the current period and are therefore the key audit matters. We or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

As required by the Companies (Auditors Report) Order, 2020 (the Order"), issued by the Central Government of India in terms of sub-section (ll) of section 143 of the Companies Act, 2013, we give in the Annexure "A" statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

As required by Section 143(3) of the Act, we report that:

(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;

(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;

(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account;

(d) In our opinion, the aforesaid Ind AS financial statements comply with the Accounting Standards specified under Section 1 33 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014;

(e) On the basis of the written representations received from the directors as on March 3 1, 2026 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2026 from being appointed as a director in terms of Section 164 (2) of the Act;

(f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure B";

(g) With respect to the other matters to be included in the Auditors Report in accordance with the requirements of section 197(16) of the Act, as amended, in our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 of the Act; and

(h) With respect to the other matters to be included in the Auditors Report in accordance with Rule I I of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:

i. The Company has disclosed the impact of pending litigations which would impact its financial position.

ii. The Company did not have any long-term contracts including derivative contrac were any material foreseeable losses, and iii. There were no amounts which were required to be transferred to the In Protection Fund by the Company.

iv. a) The management has represented that, to the best of its knowledge and belief that, no nds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind

of funds) by the company to or in any other person(s) or entity(ies), including foreign entities ("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, whether, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries;

b) The management has represented, that, to the best of its knowledge and belief that, no funds have been received by the company from any person(s) or entity(ies), including foreign entities ("Funding Parties"), with the understanding, whether recorded in writing or otherwise, that the company shall, whether, directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries; and

c) Based on such audit procedures that have been considered reasonable and appropriate in the circumstances, nothing has come to their notice that has - caused us to believe that the representations under sub-clause (i) and (ii) of Rule I I(e), as provided under (a) and (b) above, contain any material misstatement.

v. Based on our examination, which included test checks, the company has used accounting software for maintaining its books of accounts for the financial year ended March 31, 2026 which has a feature of recording audit trail (edit log) facility. However, the same has not operated throughout the year for all the relevant transactions recorded in the software. Further during the course of our audit, we could not establish the systematic and chronological order of transactions recorded during the year.

vi. The Company has not declared or paid dividend during the year, hence compliance with section 123 of the

Companies Act, 2013 is not applicable.

Annexure A" to the Independent Auditors Report (Continued)

(Referred to paragraph under Report on other legal and regulatory requirements section of the Independent Auditors Report of even date to the members of GUJARAT RAFFIA INDUSTRIES LIMITED on the Ind AS financial statements for the year ended March 31, 2026)

Based on the audit procedures performed for the purpose of reporting a true and fair view on the Ind AS financial statements of the Company and taking into consideration the information and explanations given to us and the books of account and other records examined by us in the normal course of audit, and to the best of our knowledge and belief, we report that:

i. In respect of the Companys Property, Plant & Equipment and Intangible assets:

(a) (i) The company has maintained proper records showing full particulars, including quantitative details and situation of Property, Plant and Equipment and relevant details of right-of-use.

(ii) The company has no intangible assets present for the period under review;

(b) The company has a regular programme for physical verification in a phased periodic manner, which, in our opinion, is reasonable having regards to the size of the company and the nature of its assets. No material discrepancies were noticed on such verifications.

(c) According to the information and explanations as given to us, the records examined by us and based on the examination of the conveyance deeds provided to us, we report that the title deeds, comprismg all the immovable properties of land and buildings which are freehold, are held in the name of the Company as at the balance sheet date. In respect of immovable properties of land and building that have been taken on lease and disclosed as fixed assets in the Ind AS financial statements, the lease agreements are in the name of the Company .

(d) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has not re-valued its Property, plant and equipment (including Right-of-use assets).

(e) According to the information and explanations given to us and on the basis of our examination of the records of the Company, there are no proceedings initiated or pending against the Company for holding any Benami property under the Prohibition of Benami Property Transactions Act, 1988 and rules made there-under,

ii. In respect of its Inventories

(a) Physical verification of inventory has been conducted at reasonable intervals during the year by the management and no material discrepancies were noticed on such physical verification.

(b) In our opinion and according to information & explanations given to us the procedures of physical verification of inventories followed by the Management is reasonable and adequate in relation to the size of the company and the nature of its business

(c) The Company has maintained proper records of Inventories and no material discrepancies were noticed on physical verification

(d) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has been sanctioned working capital limits in excess of five crore rupees, in aggregate, from banks on the basis of security of current assets and moveable and immoveable properties. In our opinion, the quarterly returns or statements filed by the Company with such banks. Discrepancies observed in the same with reasons thereof are stated as under Company.

Quarter	Bank	Securities provided	Amount as p er books (Rs. I n lakhs )	Amount as per quarterly statement (Rs. In lakhs)	Amount of differenc e (Rs. In lakhs)	Reasons for material discrepancies (Rs. In Lakhs)
IV 2026	Union Bank of India	Book Debt	144.71	145.79	1.08	Difference due to entries passed on finalization of accounts for currency rate difference, regrouping of parties, discount, bad debts etc.
Quarter	Bank	Securities provided	Amount as per books (Rs. In lakhs )	Amount as per quarterly statement (Rs. In lakhs )	Amount of differenc e (Rs. In lakhs)	Reasons for material discrepancies (Rs. In Lakhs)
IV 2025	Union Bank of India	Book Debt	271.45	238.74	21.29	Difference due to entries passed on finalization of accounts for currency rate difference, regrouping of parties, discount, bad debts etc.

iii. In respect of loans granted and taken to / from parties covered in the register-maintained u/s 189 of the Companies Act, 2013

According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has not made investments, provided any guarantee or security to companies, firms, limited liability partnerships or any other parties during the year. The Company has granted loans to companies, firms, limited liability partnership other parties during the year, details of the loan is stated in sub-clause (a) below.

(a) i. Based on the audit procedures carried on by us and as per the information and explanations given to us, the Company does not have any subsidiaries for the period under review.

ii. Based on the audit procedures carried on by us and as per the information and explanations given to us, the Company has granted loans to parties other than subsidiaries more specifically mentioned in the financial statements of the company.

(b) According to the information and explanations given to us and based on the audit procedures conducted by us, we are of the opinion that short term loans and advances given during the year as per terms and conditions mutually decided between them.

(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, in the case of loans given, the repayment of principal and payment of interest has not been stipulated and the repayments or receipts have not been regular.

(d) According to the information and explanations given to us and on the basis of our examination of the records of the Company, we were not able to ascertain that whether there was any amount which was overdue for more than ninety days or not in respect of loans given.

(e) According to the information and explanations given to us and on the basis of our examination of the records of the Company, there is no loan given falling due during the year, which has been renewed or extended or fresh loans given to settle the over-dues of existing loans given to the same party

According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has given loans repayable on demand as mutually decided between the company and the various parties including creditors.

iv. In respect of loans, investments and guarantees u/s. Section 185 and 186 of the Companies Act, 2013:

In our opinion and according to information and explanation given to us, in respect of loans, investments, guarantees and security, the Company has complied with the provisions of sections 186 of the Companies Act, 2013. However, the company has not complied with the provisions of Section 185 of Companies Act, 2013

v. In respect of deposits from public:

In our opinion, and according to the information and explanations given to us, the Company has not accepted any deposits or there is no amount which has been considered as deemed deposit within the meaning of sections 73 to 76 of the Act and the Companies (Acceptance of Deposits) Rules, 2014 (as amended). Accordingly, reporting under clause 3(v) of the Order is not applicable to the Company

vi. In respect of maintenance of cost records:

In our opinion and according to information and explanation given to us, the provisions of section 148 of the companies act, 2013 is not applicable to the company for the period under review, accordingly paragraph 3 (vi) ofthe order is not applicable.

vii. In respect of statutory dues:

(a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, amounts deducted/ accrued in the books of account in respect Of undisputed statutory dues including provident fund, employees state insurance, income-tax, sales- tax, service tax, goods and service tax, duty of customs, duty of excise, value added tax, cess and other material statutory dues have been generally regularly deposited during the year by the company with the appropriate authorities.

(b) According to the information and explanations given to us, no undisputed amounts payable in respect of provident fund, employees state insurance, income-tax, sales- tax, service tax, goods and service tax, duty of customs, duty of excise, value added tax, cess and other material statutory dues were in arrears as at March 3 1, 2026 for a period of more than six months from the date they became payable,

(c) According to the information and explanations given to us and the records of the company examined by us, there are no dues of income-tax, sales- tax, service tax, goods and service tax, duty of customs, duty of excise and value added tax which have not been deposited on account of any dispute except followings;

Statute	Nature of Dues	Amount (In Lacs)	Period to which the amount related
Income tax Act, 1961	Income Tax	1.21	F.Y. 2006-07
Income tax Act 1961	Income Tax	0.99	F.Y 2019-20
Income tax Act, 1961	Income Tax	2.59	F.Y 2000-01
Income tax Act, 1961	Income Tax	1.61	F.Y.2017-18
Goods and Service Act	VAT	6.30	F.Y 2012-13
Goods and Service Act	VAT	7.75	F.Y. 2011-12

viii. In respect of tax assessments under Income Tax Act, 1961:

According to the information and explanations provided to us, the company has not surrendered or disclosed any income in the tax assessments under Income Tax Act, 1961, hence paragraph 3(viii) of the order is not applicable

ix. In respect of dues to financial institution / banks / debentures: According to Information and explanation given to us,

(a) The company has not defaulted in repayment of loans or other borrowings or in the payment of interest thereon to any lender.

(b) The company has not been declared willful defaulter by any bank or financial institution or other lender;

(c) The company has accepted term loans for the period under review and has applied the same for the purpose for which it was borrowed;

(d) The company has not raised funds on short term basis which have been utilized for long term purposes.

(e) The company has not taken any funds from any entity or person on account or to meet the obligations of its subsidiaries, associates or joint ventures.

(f) The company has not raised any loans during the year on the pledge of securities held in its subsidiaries, joint ventures or associate companies.

x. In respect of application of money raised by Initial public offer, further public offer (including debt instruments) and term loans:

(a) The company has not raised moneys by way of initial public offer or further public offer (including debt instruments) during the year and hence reporting under clause 3(x)(a) of the order is not applicable.

(b) The company has not made any preferential allotment or private placement of shares or convertible debentures (fully, partially or optionally convertible) during the year and hence reporting under clause 3(x)(b) ofthe order is not applicable.

xi. In respect of fraud:

(a) According to the information available with us, no fraud by the company and no fraud on the company has been noticed or reported during the year.

(b) According to the information available with us, no report under sub-section (12) of section 143 of the Companies Act has been filed by the auditors in Form ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors) Rules, 2014 with the Central Government; during the year and up to the date of this report.

(9) As represented to us by the management, there were no whistle-blower complaints received during the year and hence reporting under clause 3(xi)(c) of the order is not applicable.

xii. In respect of Nidhi Company:

The Company is not a Nidhi Company has complied and hence reporting under clause (xii) of the order is not applicable.

xiii. In respect of Related parties Transactions:

In our opinion and according to the information and explanations given to us, the transactions with related parties are in compliance with Sections 177 and 188 of the Companies Act, 2013, where applicable, and the details of the related party transactions have been disclosed in the Ind AS financial statements as required by the applicable Indian Accounting Standards.

xiv. In respect of Internal Audit System :

(a) In our opinion, the Company has a system commensurate with the size and nature of its business.

(b) We were informed that internal audit reports were issued during the year. However, such reports were not made available to us despite our requests. Accordingly, we were unable to consider the internal audit reports while determining the nature, timing and extent of our audit procedures as required under clause 3(xiv)(b) of the Companies (Auditors Repoft) Order, 2020. xv. In respect of Non-Cash Transactions :

According to the information given to us, the company has not entered into any non-cash transactions with directors or persons connected with him Hence, the provisions of section 192 of Companies Act are not applicable to the company.

xvi. In respect of registration under section 45-1A of RBI:

According to the information given to us, the company is not required to be registered under section 45-1A of the Reserve Bank of India Act, 1934 (2 of 1934). Hence reporting under this clause not applicable to the company.

According to the information given to us, the company has not conducted any Non-Banking Financial or Housing Finance activities. Hence reporting under this clause not applicable the company.

(c)According to the information given to us, the company is not a Core Investment Company (CIC) as defined in the regulations made b the Reserve Bank of India. Hence reporting under this clause not applicable to the company.

(d) According to the information given to us, there is no Core Investment Company (CIC) within the Group (as defined in the core investment companies (Reserve Bank of India) Directions, 2016) and accordingly reporting under this clause not applicable to the company

xvii. In respect of Cash Losses :

According to the information given to us, the Company has not incurred cash losses during the financial year covered by our audit and the immediately preceding financial year.

xviii. In respect of change in Statutory Auditor :

The previous statutory auditor of the Company resigned from office. Pursuant to such resignation, we were appointed as the statutory auditors of the Company on 12^th August 2025 to conduct the audit of the financial statements for the year ended 2025-26.

xix. In Respect of material uncertainty exists on date of audit report:

On the basis of the financial ratios, ageing and expected dates of realisation of financial assets and payment of financial liabilities, other information accompanying the financial statements and our knowledge of the board of directors and management plans and based on our examination of the evidence supporting the assumptions, nothing has come to our attention which causes us to believe that any material uncertainty exists as on the date of the audit report that indicating that company is not capable of meeting its liabilities existing at the date ofbalance sheet as and when they fall due within a period of one year from the balance sheet date. We, however state that our reporting is based on the facts up to the date of audit report and we neither give any guarantee nor any assurance that all liabilities falling due within a period of one year from the balance sheet date, will get discharged by the company as and when they fall due.

xx. In respect of unspent amount under section 135(5):

In our opinion and according to the information and explanations given to us, there is no unspent amount under sub-section (5) of Section 135 of the Companies Act, 2013 pursuant to any project. Accordingly, clauses 3(xx)(a) and 3(xx)(b) of the Order are not applicable

xxi. In Respect of qualifications and adverse remarks:

Based on our examination of the Companies (Auditors Report) Order CARO reports of the holding/subsidiary/joint venture/associate companies, there are no qualifications or adverse remarks by the respective auditors in those reports.

Annexure 6B" to the Independent Auditors Report

(Referred to in paragraph (f) under Report on other legal and regulatory requirements section of our report to the Members of GUJARAT RAFFIA INDUSTRIES LIMITED of even date)

Report on the internal financial controls over financial reporting under clause (I) of sub section 30f section 143 of the Companies Act, 2()13 ("the Act")

We have audited the internal financial controls over financial reporting of Gujarat Raffia Industries Limited (the Company") as at March 31, 2026, in conjunction with our audit of the financial statements of the Company for the year ended on that date.

Managements responsibility for internal financial controls

The board of directors of the Company is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, the safeguarding of its assets, the prevention and detection of fraud sand errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.

Auditors responsibility

Our responsibility is to express an opinion on the internal financial controls over financial reporting of the Company based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the "Guidance Note") issued by the Institute of Chartered Accountants of India and the standards on auditing prescribed under Section143 (10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls. Those standards and the guidance note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting were established and maintained and if such controls operated effectively in all material respects. Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness.

Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial repoffing, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditors judgment, including the assessment of the risks of material misstatement in the financial statements, whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a b audit opinion on the Companys internal financial control system over financial reporting.

Meaning of internal financial controls over financial reporting

A companys internal financial control over financial reporting is a process designated to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companys internal financial control over financial reporting includes those policies and procedures that

(i) Pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company;

(ii) Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and

(iii) Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companys assets that could have a material effect on the financial statements.

Limitations of internal financial controls over financial reporting

Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management of override of controls, material misstatements due to error

or fraud may occur and not be detected. Also, projections of any evaluation ofthe internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion and according to the information and explanations given to us, the Company has, in all material respects, an adequate internal financial control system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2026, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.

	For, KPSJ & ASSOCIATES LLP
	Chartered Accountants
	FRN: 124845W/W100209
	Sd/-
	(PRAKASHCHANDRA PARAKH)
	Partner
Place: Ahmedabad	M. No.: 039946
Date : 21/05/2026	UDIN: 26039946BGJFIZ5838