ABC Producer Company Ltd. was incorporated on 11th July, 2013 as a producer company with objective of production of wheat and related products. The CAGR since inception is around 12%, better as comparative to other secto

As per the Producer Companies Rules, 2021, a Producer Company shall make investments from and out of its general reserves in anyone or in combination of the following, namely: In approved securities, fixed deposits, units and bonds issued by the Central Government or State Governments or Co-operative societies or schedule bank; or In a co-operative bank, State co-operative bank, co-operative land development bank or Central co-operative bank; or With any other scheduled bank; or In any of the securities specified in section 20 of the Indian Trusts Act, 1882; or In the shares or securities of any other inter-State co-operative society or any co-operative society; or In the shares, securities or assets of public financial institutions specified under clause (72) of section 2 of the Companies Act, 2013. The objection of company secretary is valid, the producer company can invest its surplus funds as mentioned above only.