Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Social Development
• Governance

Environmental Achievements

• Reduced DM water consumption resulting in savings
• Expanded bio-composting area
• Achieved 75% reduction in effluent volume

Social Achievements

• Conducted skill development activities providing employment to villagers
• Donated medical equipment to District Eye Relief Society
• Donated to Kerala CM Relief Distress Fund

Governance Achievements

• Implemented a robust vigil mechanism and whistleblower policy
• Adopted a Sexual Harassment Policy
• Complied with all mandatory requirements under the Listing Regulations

Climate Goals & Targets

Environmental Challenges

• Raw material cost pressures (ENA and glass bottles)
• CPCB issued a letter directing the closure of the Rampur plant (later revoked but with restrictions and environmental compensation levied)

Mitigation Strategies

• Cost optimization measures (rationalisation of bottle supplies, diversification of supplier base, weight optimisation of glass bottles)
• Representations made to CPCB, resulting in capacity restoration and compliance confirmation
• Investment in technology upgrades at Rampur plant to improve efficiency and environmental friendliness

Supply Chain Management

Responsible Procurement

• Preference given to local vendors
• Suppliers complying with sustainability principles

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: National Voluntary Guidelines on Social, Environmental and Economic Responsibilities of Business (NVGs)

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Social Impact
• Governance

Environmental Achievements

• Increased usage of recycled glass bottles from 4.5% to 14.1% in two years for key large brands.
• Generated 71% of total power consumption at Rampur plant through captive power plants using renewable energy/biofuels (47% from biogas).

Social Achievements

• No pay cuts or job losses for employees during the COVID-19 pandemic.
• Provided medical support to employees and their families, including teleconsultations, medicines, oxygen concentrators, and vaccinations.
• Announced a welfare scheme for the extended family of employees.

Governance Achievements

• Strong governance framework in place, long before mandated by law.
• Long-term credit facility rated CARE AA- (Double A Minus) with a positive outlook.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic and associated lockdowns impacting operations and sales.
• Supply chain disruptions due to the pandemic.
• Increased excise duties and taxes in many states.
• Inflationary pressures on dry goods such as packing materials.

Mitigation Strategies

• Implemented cost optimization measures.
• Continued investment in brands and marketing.
• Reduced net debt by ₹184 crore.
• Minimized imports from China and other countries, developing sourcing base in India.
• Expanded digital platforms to engage with customers and partners.

Supply Chain Management

Responsible Procurement

• Minimizing imports from China; developing sourcing base in India.

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Environmental Sustainability
• Water Conservation
• Community Development

Environmental Achievements

• Increased usage of recycled glass bottles from 4.5% in FY2019 to 19.3% in FY2022 for key large brands
• Recycled 7,195 MT of post-consumer used plastic waste
• Generated 73% of total power consumption at Rampur plant through captive power plants using renewable energy/biofuels

Social Achievements

• Radico – Art of Living Bhujal Shakti Project to improve water levels and generate employment
• Radico – Art of Living Skill Development Centre to provide skills training to unemployed youth
• Promoting a work environment that ensures every employee is treated with dignity and afforded equitable treatment irrespective of their gender

Governance Achievements

• Continued focus on strengthening core brands and launching new premium brands
• Implemented an incentive scheme for all employees focused on value growth and cash flow
• Reduced debt from ₹950 Crore in FY2016 to less than ₹120 Crore in FY2022

Climate Goals & Targets

Environmental Challenges

• Inflationary pressures impacting consumer sentiment and behaviour
• Continued commodity inflation impacting gross margins
• Competition from international peers

Mitigation Strategies

• Focus on strengthening core premium brands and launching new premium brands
• Value engineering to optimise raw material cost without compromising on product quality
• Price increases in various states to alleviate cost pressure
• Diversified base of suppliers
• Company-wide value engineering exercise

Supply Chain Management

Responsible Procurement

• Developing more suppliers to ensure reliable volume deliveries
• Maximised sourcing of glass bottles from suppliers using natural gas as fuel
• Leveraging improved glass technology to produce lighter weight glass bottles

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Recycled glass bottles
• Lighter weight PET bottles

Awards & Recognition

• One of the “Best Organizations for Women” by the Economic Times

Environmental Metrics

ESG Focus Areas

• Water conservation
• Community development
• Renewable energy
• Waste management
• Employee well-being

Environmental Achievements

• Increased the proportion of recycled glass bottles from 4.5% in FY2019 to 20.8% in FY2024 for key brands
• Reduced glass consumption by 1,450 MT and paper usage by 3,100 MT through value engineering
• Achieved 84% renewable energy share in Rampur plant and 99% in Sitapur plant
• Recycled 6,724 metric tonnes of post-consumer plastic waste
• Planted over 6,000 trees

Social Achievements

• Launched Radico – Art of Living Skill Development Centre, training 195 students
• Opened a new women’s empowerment centre, training 120 women
• Radico – Art of Living’s Bhujal Shakti Project, training 5,500 participants

Governance Achievements

• Established a strong vigil mechanism and adopted a Whistle Blower Policy
• Implemented comprehensive HR initiatives to foster a progressive culture and an engaged workforce

Climate Goals & Targets

Environmental Challenges

• Volatility in raw material prices (grain, ENA, glass)
• Economic slowdown due to geopolitical tensions
• Inflationary pressure
• Regulatory compliance requirements
• Shifts in consumer preferences
• Cybersecurity threats
• Competition from international and domestic players
• Attrition risk
• Climate change risks

Mitigation Strategies

• Premium product mix and price increases
• Robust business model and nationwide distribution network
• Strong relationships with suppliers and strategic inventory
• Comprehensive code of business conduct and compliance monitoring
• Continuous customer engagement and product innovation
• Robust IT system and IT Security Awareness program
• Backward integration and strong brand recognition
• Comprehensive HR initiatives and employee well-being programs
• Sustainability initiatives to reduce carbon footprint and promote eco-friendly practices

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Ethical sourcing
• Sustainable sourcing
• Preference for local suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products and processes

Reporting Standards

Frameworks Used: UN SDGs

Certifications: ISO 9001:2015, ISO 22000:2005

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed