Climate Change Data

Environmental Metrics

ESG Focus Areas

• Sustainable farming
• Climate change mitigation
• Water scarcity
• Rural development
• Corporate Social Responsibility

Environmental Achievements

• Developed seed embedded technologies to protect against and withstand specific biotic and abiotic stress
• Extensive investment in R&D across 300 acres of land

Social Achievements

• Strong distribution network connecting with over 2,000 distributors and 400 Nath Farm Advisors, covering over 131 territories across India
• 150,000 exclusive contract farmers spread over 15,000 villages in India
• CSR initiatives in rural development

Governance Achievements

• Strong compliance and R&D team keeping abreast of policy changes and international standards
• Well-defined risk management mechanism

Climate Goals & Targets

Environmental Challenges

• Uncertainties regarding government policies on GM or Hybrid seeds
• Technological efficacy (soil/pest immunity)
• Weather fluctuations

Mitigation Strategies

• Strong compliance & R&D team to keep abreast of policy changes
• Heavy investment in R&D infrastructure to introduce new technologies
• Introducing seeds that can be grown in specific conditions (drought, heatwave, etc.)

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Adverse climatic changes

Sustainable Products & Innovation

• Seed embedded technologies
• High yielding hybrids with high levels of biotic & abiotic stress tolerance

Environmental Metrics

ESG Focus Areas

• Rural Development
• Agro-Cultivation Education
• Environmental Sustainability

Environmental Achievements

• Implemented rainwater harvesting
• Used processing dust as manure
• Composted used germination papers

Social Achievements

• Provided cost-free plant protection chemical to cotton farmers
• Employed local people
• Engaged with local suppliers

Governance Achievements

• Adopted Anti-Bribery and Anti-Corruption Policy
• Established a whistle-blower policy
• Conducted annual performance evaluation of the board and directors

Climate Goals & Targets

Environmental Challenges

• Uncertainties regarding government policies on GM or Hybrid seeds
• Technological efficacy
• Weather fluctuations

Mitigation Strategies

• Strong compliance & R&D team
• Investment in R&D infrastructure
• Introducing seeds suitable for specific conditions

Supply Chain Management

Responsible Procurement

• Responsible Supply Chain Policy
• Direct grower procurement model

Climate-Related Risks & Opportunities

Physical Risks

• Adverse climatic changes

Awards & Recognition

• Vasantrao Naik Prathisthan Award

Environmental Metrics

ESG Focus Areas

• Rural Transformation
• Agro-Cultivation Education
• Environmental Sustainability

Environmental Achievements

• Reduced manpower by over 40% by introducing mechanical grading of de-linting & processing cotton seed and sophisticated processing infrastructure
• Installed two Semi-Automatic Packing Machine & one FFS Machine resulting in enhancing the quality of Packing, ensure the increase of per day output and pack field crops within time bound
• Created a centralized & dedicated stores warehouse for non-seed inventory (primary, secondary packing material & seed treatment chemicals) enhancing seed life & Productivity
• Created a huge cold storage facility to store the seed, safeguard the seed from High temperature and Relative humidity and to protect the viability of the seed

Social Achievements

• Provided Cost-Free Plant Protection Chemical GA-3 to Cotton Seed Farmers to ward off the leaf reddening impact
• Direct grower procurement model engaging small land holders & neighborhood farming societies to produce quality seed
• Recruiting most of the Front line employees and daily Labor from surrounding villages providing employment to local people
• Engaging with local suppliers for sourcing both seed and non-seed products

Governance Achievements

• Adopted a code of business conduct and ethics
• Established a mechanism for employees to report unethical behavior, actual or suspected fraud or violation of the Company's code of conduct or ethics
• Carried out an annual performance evaluation of its own performance, the directors individually as well as the evaluation of the working of its committees

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacting farmer and marketing personnel movement
• Uncertainty around government policies on GM or Hybrid seeds
• Technological Efficacy: Increased usage of the same kind of technology sometimes makes the soil or viruses and pests immune to the benefits of that technology
• Weather Fluctuations
• Cotton Business Impacted by Multiple Challenges: Uncertainty around policy approval or new technology and increasing proliferation of illegal seeds in cotton growing states

Mitigation Strategies

• Developed innovative methods and made good use of technology to help farmers overcome the crisis
• Strong compliance & R&D team keeping abreast of policy changes and international standards
• Invested heavily in developing its R&D infrastructure to introduce new technologies & innovations
• Introducing seeds that can be grown in specific conditions like drought, heat wave, etc.
• Creating a diversified portfolio and increasing focus on “All Season Products”

Supply Chain Management

Responsible Procurement

• Responsible Supply Chain Policy; Contracts have appropriate clauses and check to prevent the employment of child labor or forced them in any form

Climate-Related Risks & Opportunities

Physical Risks

• Adverse climatic changes impacting production

Transition Risks

• Growing regulatory norms due to rising competition

Opportunities

• Developing seeds that can be grown in specific conditions like drought, heat wave, etc.

Reporting Standards

Frameworks Used: SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Indian Accounting Standards (Ind AS)

Certifications: ISO 9001

Sustainable Products & Innovation

• Seeds that are drought, disease and pest resistant

Awards & Recognition

• “Vasantrao Naik Prathisthan Award”

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Deadly second wave of Covid-19 at the beginning of Kharif season.
• Massive headwinds on account of illegal BT cotton in the country.
• Reduced sales and profit, pursuant to the reduction in paddy sales due to change in product mix.
• Provisions against advances given to farmers due to decline in production over the last two-three years primarily on account of COVID and climate vagaries.

Mitigation Strategies

• Strategy to de-risk and diversify product portfolio (showing satisfactory results).
• Efforts to reduce and rationalise working capital (yielding satisfactory results).
• Reduction in working capital cycle and receivable days.
• Overall inventory decreased (expecting inventory levels to normalize further).
• Working on amicable solutions with farmers to recover advances.
• Making provisions for potential bad advances to farmers as a matter of abundant precaution.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Vasantrao Naik Prathisthan Award