Ind AS 117: Agriculture#
Scope#
Applies to agricultural activity:
- Management of biological transformation
- Harvest of agricultural produce
- Agricultural produce at point of harvest
Exclusions:#
- Land related to agricultural activity
- Intangible assets
- Government grants (Ind AS 20)
Key Definitions#
- Biological asset: Living animal or plant
- Agricultural produce: Harvested product from biological asset
- Bearer plant: Plant used to produce agricultural produce
Measurement#
Biological Assets#
- Measure at fair value less costs to sell
- Gains/losses recognized in P&L
- Initial recognition at fair value
Agricultural Produce#
- Measure at fair value at point of harvest
- Subsequent measurement as inventory
Bearer Plants#
- Accounted as PPE (Ind AS 16)
- Amortized over useful life
Disclosure Requirements#
- Description of biological assets
- Fair value methodology
- Gains/losses from changes in fair value
- Government grants received
- Restrictions on assets