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<h1>Producer Companies' Investment Rules: Section 378ZL allows investing in securities, with a 30% cap on capital and reserves.</h1> Section 378ZL of the Companies Act, 2013, outlines the investment guidelines for Producer Companies. It permits these companies to invest their general reserves in approved securities, fixed deposits, and government-issued bonds to maximize returns. Producer Companies can acquire shares of other Producer Companies or form subsidiaries and joint ventures to promote their objectives, subject to a 30% cap of their paid-up capital and free reserves. Exceeding this limit requires a special resolution and Central Government approval. Investments must align with the company's objectives, and a register of all investments is to be maintained and accessible to members.