Global rating agency Standard and Poor’s has downgraded ratings for Jain Irrigation Systems Ltd to 'D' — default grade on missing to make interest payment on securities issued by its subsidiary.

The company failed to make the interest payment on its guaranteed 2022 senior unsecured notes issued by its subsidiary Jain International Trading BV.

The interest payment was due on February 1, 2020, and the 30-day grace period ended on March 3, 2020, S&P said in a statement.

Jain Irrigation's Indian operations are undergoing a debt-restructuring process initiated by a consortium of Indian banks as part of the inter-creditor agreement. Advisors of the company and the consortium are working on a debt resolution plan.

The plan might take longer than expected and the company's operations might continue to suffer due to a lack of sufficient liquidity to manage its debt servicing and working capital requirements, S&P added.

Jain Irrigation is an India-based company engaged in the manufacture of plastics-based micro-irrigation piping and plumbing systems. It is the world's second-largest provider of such systems, behind Israel-based Netafim Ltd. The company also has a growing food processing business--which mainly produces fruit pulp, dehydrated onions, and spices.