"Should the company write it off compeletely???"

The Historical cost  the   "specific material for the production of one of its products," of which production is discontinued, must be part of Value of Closing Inventory.    

If this specific material does not carry any  realizable  value, "you can write it off" completely from Value of Closing Inventory, by specifically showing it as a special item in the statement of Profit and Loss, as per the Accounting Standards. 

Thanks for the reply but i want a lil more clarification sir.. u said the company should carry the material at cost??? Can it be considered as an Inventory item?

"Can it be considered as an Inventory item?"

Yes, It should be.

so, it should be carried at cost or NRV whichever is lower right??

Yes, Please.

All AS at one place