SMS Pharmaceuticals Limited
Climate Impact & Sustainability Data (2021-22, 2022-03 to 2023-03, 2023-24)
Reporting Period: 2021-22
Environmental Metrics
Total Energy Consumption:1.89 Lakhs units/year
Water Consumption:180 KL/day
ESG Focus Areas
- Environment
- Social
- Governance
Environmental Achievements
- First Indian pharma company to receive Indo-US GCNC Award for adopting green chemistry practice
- Energy saving of 1.89 Lakhs units/year and water recycled 180 KL/day
- Investment in state-of-the-art pollution control equipment
Social Achievements
- Construction of RCC GF+FF school building (8 Nos of class rooms) in Andhra Pradesh
- CSR Expenditure of 166.20 Lakhs
- 22600 training hours and 230 training and development initiatives
Governance Achievements
- Established a Vigil Mechanism and a Whistle blower Policy
- Annual evaluation of its own performance, Board Committees and individual Directors
- Familiarization programmes for Independent Directors
Climate Goals & Targets
Short-term Goals:
- Consolidate existing operations around Ibuprofen, ARV and new product approvals
Environmental Challenges
- Rise in input cost pressures in Q4 of FY22, resulting in sharp inventory correction at customer end and minimal offtake for ARV products
- Supply chain bottlenecks and rising input costs
- Covid-19 pandemic & global inflation
Mitigation Strategies
- Undertook expansion plans at Visakhapatnam facility
- Leveraged robust R&D capabilities
- Enhanced capabilities to expand product pipeline across more therapeutic areas
- Implemented short-term and long-term measures to combat the impact of Covid-19
Supply Chain Management
Responsible Procurement
- Sourcing from MSME units
Climate-Related Risks & Opportunities
Awards & Recognition
- Indo-US GCNC Award
- Pandit Jawaharlal Nehru Silver Rolling Trophy
- Indian Pharma Bulk Drug Company of the Year Award
- India Pharma Bulk Drug Export Company of the Year Award
Reporting Period: 2022-03 to 2023-03
Environmental Metrics
Total Carbon Emissions:61308.87 tCO2e/year (Scope 1 & 2)
Scope 1 Emissions:32757.70 tCO2e/year
Scope 2 Emissions:28551.17 tCO2e/year
Scope 3 Emissions:31.87 tCO2e/year
Total Energy Consumption:447448.46 (A+B+C)
Water Consumption:57071.65 kiloliters/year
Waste Generated:339.98 tons/year
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Obtained the Indo-US GCNC award for green chemistry practices
- Invested in state-of-the-art pollution control equipment
- Organized tree-planting campaigns
Social Achievements
- Implemented various measures for employee well-being (health insurance, accident insurance, etc.)
- Provided training on health and safety measures and skill upgradation
- Implemented Occupational Health and Safety management system
Governance Achievements
- ESG reporting assists businesses in identifying and managing risks, improving operations, and making better decisions.
Climate Goals & Targets
Short-term Goals:
- Reengineering the manufacturing process of various products including Ibuprofen, decreasing of wastage, reducing the production cycle time, increasing batch size by the end of march 2024
Environmental Challenges
- ESG compliance
- Regulatory compliance
- Changing global political and economic conditions
- Supply chain sustainability
- Environmental risks
- Product and quality risks
Mitigation Strategies
- Advocating and practicing sustainability
- Strict adherence to regulations
- Careful business strategy planning
- Improvement in sourcing of key raw materials
- Sustaining environmental policies
- Robust R&D capabilities
Supply Chain Management
Responsible Procurement
- Preferential procurement policy for MSMEs/small producers
Climate-Related Risks & Opportunities
Awards & Recognition
- Indo-US GCNC award for green chemistry practices
Reporting Period: 2023-24
Environmental Metrics
Total Carbon Emissions:70,000 Metric tonnes of CO2 equivalent (Scope 1 & 2)
Scope 1 Emissions:37,382.48 Metric tonnes of CO2 equivalent
Scope 2 Emissions:42,378.97 Metric tonnes of CO2 equivalent
Scope 3 Emissions:200.61 Metric tonnes of CO2 equivalent
Total Energy Consumption:547,315.59 Lakh Units
Water Consumption:165,873 KL
Waste Generated:1731.40 Metric tonnes
ESG Focus Areas
- Environment stewardship
- Community development
- Corporate Governance
Environmental Achievements
- Received the Indo-US GCNC award for implementing green chemistry practices
- Developed a commercial process to produce Neopentyl glycol from waste generated during Ibuprofen synthesis
- Operates as a Zero Liquid Discharge (ZLD) unit at Hyderabad
Social Achievements
- CSR initiatives focused on healthcare, education, and rural development
- Construction of school buildings
- Establishing an R.O. water plant in nearby villages
Governance Achievements
- Robust Board of Directors with diverse backgrounds
- Well-established corporate governance framework
- Committees for Audit, Nomination and Remuneration, Stakeholders Relationship, Corporate Social Responsibility, and Risk Management
Climate Goals & Targets
Environmental Challenges
- Global economic uncertainties
- Geopolitical risks affecting supply chains
- Regulatory compliance costs
Mitigation Strategies
- Backward integration to manage raw material costs
- Cost optimization efforts
- Monitoring geopolitical events and regulatory changes
Supply Chain Management
Responsible Procurement
- Sourcing from domestic market
- Efforts to reduce dependence on imports
Climate-Related Risks & Opportunities
Sustainable Products & Innovation
- Neopentyl glycol from waste
Awards & Recognition
- Indo-US GCNC Award