Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Substantial water used was recycled
• Installed sewage treatment plants and other waste management systems

Social Achievements

• Invested in a culture of overarching excellence directed towards emerging as the sectorial benchmark in terms of quality (product and process) as well as resource productivity leading to continuous cost management and sustainability across market cycles
• Made prudent investments (recruitment, retention and training) to enhance efficiency and effectiveness across all our business functions
• Invested in practices that have enhanced safety – training, protocols, certifications, investment in supports and awareness-building
• Engaged with the community around its manufacturing location with the objective to widen the circle of prosperity through relevant interventions in line with Sustainable Development Goals

Governance Achievements

• Strengthened an audit-driven and compliance-driven approach, enhancing the predictability of our processes (the company has not incurred statutory penalties in its existence)
• Adopted and implemented IND AS without a substantial material impact. This validated the Company’s governance standard, reinforcing the credibility of financials and carrying value of assets and liabilities

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impact on lives, livelihood and businesses, disrupting several lives and dealing a blow to the economic health of the nation
• Operational challenges mounted due to restricted movements and disrupted supply lines during the first two months of the last financial year
• Sharp appreciation in grains costs in FY 2019-20
• Second pandemic wave affected the company’s objective to launch a premium brand in Uttar Pradesh

Mitigation Strategies

• Focus on our people’s health & safety, ensuring uninterrupted supplies, meeting demand, caring for the communities in which we operate and protecting our business model
• Focus on cost control and working capital management
• Broadbased its ENA manufacturing capacity effective from October 2018, strengthening its ability to capitalise on any improvement in resource dynamics
• Strengthened its storage capacity to capitalise on raw material price movements
• Launched a price-sensitive but credible liquor brand, marked by the prospect of large volumes and the opportunity to establish its quality-focused reputation
• Capitalised on the fact that all competing liquor brands in Kerala were based on molasses-derived ENA while the company’s distinctive ENA was derived from grain, translating into superior taste characteristics

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Achieved zero effluent discharge targets while moderating water consumption intensity through recycling

Social Achievements

• Invested in recruitment, retention and training to enhance efficiency and effectiveness. Invested in practices with enhanced safety – training, protocols, certifications, investment in supports and awareness-building. Engaged with the community around its manufacturing location with the objective to widen the circle of prosperity through relevant interventions in line with Sustainable Development Goals.

Governance Achievements

• Strong internal control policy equivalent with its size and operations. The Board of Directors, in charge of the internal control system, puts down the guidelines and authenticates its sufficiency, efficacy and implementation.

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic affected capacity to increase offtake during the first two months of the last financial year and affected the speed of the proposed capital expenditure to commission additional ethanol capacity. Sharp increase in the cost of grain (maize, corn, rice), PET resin, and coal costs increased packaging and resource costs, which could not be passed on to consumers.
• Company’s expansion cum diversification project into the manufacture of ENA was delayed.

Mitigation Strategies

• Deferred capital expenditure into the current financial year. Judiciously financing the state-of-the-art R&D segment to deliver a strong pipeline for organized launches. Location of the Company is sufficiently distributed across the markets. Moderately priced products and operation in regulated markets with high entry barriers provide protection against competition risks. Adaptability to regulatory changes through diversified business sections.

Supply Chain Management

Responsible Procurement

• Deepened relationships with vendors who provided capital equipment and spares as well as with primary customers (trade partners). Selected to work with a range of resource providers given the diverse nature of material.

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Social Responsibility
• Governance

Environmental Achievements

• Reduced water usage per bulk liter of ENA production by 50% over three years
• Planted 450 trees near facilities
• Upgraded to LED lighting and installed solar panels to reduce electricity usage
• Implemented an efficient wastewater management system

Social Achievements

• Half of participants in community programs are women
• Focus on increasing ethnic diversity and inclusion
• Assisting 1,000,000 smallholder farmers with resources and skills

Governance Achievements

• Robust internal control policy overseen by the Board of Directors
• Established a Vigil Mechanism/Whistle Blower Policy
• Constituted an Internal Complaints Committee (ICC)

Climate Goals & Targets

Environmental Challenges

• Supply-chain disruptions
• Inflation of raw material prices
• Availability and procurement of inputs
• Intense competition
• Regulatory shifts
• Adverse impact on brand reputation
• Cybersecurity risks

Mitigation Strategies

• Cultivated long-term relationships with suppliers
• Strategic long-term contracts for major inputs
• Diverse product portfolio and continuous innovation
• Diversified revenue stream
• Robust cybersecurity strategy (firewall systems, genuine software, regular updates, antivirus, employee training, disaster recovery, DRM)
• Proactive hazard identification, evaluation, and control system

Supply Chain Management

Responsible Procurement

• Commitment to ethical sourcing

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Nicobar Gin

Awards & Recognition

• Ambrosia Awards 2024 (Best Rum, Best Packaging)
• San Francisco World Spirits Competition 2024 (Bronze Medal)