Mumbai, Feb. 28 -- Crisil Ratings stated that the ratings continue to reflect the company's dominant market position in the sugar and allied sectors in north India, which has added diversity to its revenue profile; established relationships with farmers; superior operating efficiency and strong financial risk profile.

These strengths are partially offset by susceptibility to cyclicality in the sugar business and regulatory changes, including movement in the state advised price (SAP) for cane in Uttar Pradesh and minimum selling price (MSP) for sugar or regulations around distillery operations.

The ratings also consider risks associated with the ongoing polylactic acid (PLA) project, which will require sizeable investment and is in early...