Climate Change Data

Environmental Metrics

ESG Focus Areas

• Water conservation
• Reduction of air pollution
• Energy efficiency
• Increased use of renewable energy
• Waste management

Environmental Achievements

• Installed 500 KW solar panel at Mysore & Malur plants; another 600 KW installation in pipeline for Hosur. Consumes about 40% of power from renewable sources.
• Water recycled and reused
• 45 stacks installed to reduce air pollution
• 934 KL rainwater harvesting capacity
• Green belt developed around Malur plant

Social Achievements

• CSR activities focused on providing education and improving livelihoods of physically disabled people; spent Rs. 1.59 crores on CSR.
• Prioritized safety, health, and well-being of employees and communities during the COVID-19 pandemic; pursued vaccination of workforce and their families.

Governance Achievements

• Implemented Vigil Mechanism cum Whistle Blower Policy; no complaints received during FY2021-22.
• Adequate internal financial controls over financial reporting; regularly tested by Statutory and Internal Auditors.
• All related party transactions were on an arm’s length basis.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impact, supply chain disruptions, high raw material inflation.
• Purchasing power of small and marginalized farmers.
• Stiff competition in tractor segment (domestic and international).
• Rural infrastructure requiring improvement.
• Credit availability for small farmers.
• Dependency on monsoon.

Mitigation Strategies

• Focus on operational excellence, marketing strategies.
• Partnerships with NBFCs and banks for easier credit facility for farmers.
• Leveraging government subsidies.
• Constant innovation, unique product offerings.
• Expanding distribution network.
• Closely monitoring farmer feedback and improving product development.
• Introducing new products for specific crops and geographical locations.
• Conducting training events for product knowledge.

Supply Chain Management

Responsible Procurement

• Procuring materials from local vendors if they meet quality standards; continuous interaction to increase their capabilities.

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• 9 HP Power Tiller (electric start, functions as weeder and power tiller)

Awards & Recognition

• Exemplary prize for IMexI Initiative (Hosur plant)
• Platinum award by ABKAOTS SHEC – 2022 (Hosur plant)
• Rhodium category award (Mysore Plant)
• Platinum & Gold category award (Hosur Plant)
• Gold & Silver category award (Malur Plant)
• Product ITOTY award for best power tiller
• Product ITOTY award for 30HP Tractor
• One of the top 25 Innovative companies at CII Industrial Innovation Award 2021

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Installed an aggregate solar capacity of 1100 Kw across our plants
• ~40% Water recycled and re-used
• Zero Liquid Discharge
• 470 Mt Waste Recycled
• 934 KL Rainwater harvesting Capacity
• 45 Stacks Installed to Reduce air pollution
• >1000 Trees Planted across plants

Social Achievements

• CSR spends of INR 1.74 crore on promoting education in Bangalore
• 742 permanent staff members as of March 31st, 2023
• Recently hired 40 engineers

Governance Achievements

• Robust corporate governance framework
• Adherence to all relevant laws and regulations
• Transparency regarding activities and policies

Climate Goals & Targets

Environmental Challenges

• High correlation with monsoons
• Dependence on government subsidy for power tillers
• Huge competition in tractors
• Emission norms
• Input Costs
• Farmers' purchasing power
• Fragmented Market
• Awareness and Education
• Seasonal nature of demand

Mitigation Strategies

• Working with NBFCs and banks to make it simpler for farmers to obtain finance
• Analyzing farmer feedback and adjusting product development
• Launching new products based on crops and geographic regions
• Ongoing innovation, frugal engineering, and cutting-edge goods
• Products meet new regulatory standards
• Offering distinctive products
• Offering favourable financing options to distributors and customers
• Prioritizing faster retail cycle
• Investing in awareness and education campaigns

Supply Chain Management

Responsible Procurement

• Supplier Risk Management and Mitigation (SRMM) process

Climate-Related Risks & Opportunities

Opportunities

• Shift to a low-carbon economy

Sustainable Products & Innovation

• 9 HP Power Tiller with electric start

Awards & Recognition

• IMexI award
• Indian Tractor of the Year Award
• Power Tiller of the Year Award
• CII Industrial Innovation Awards 2022

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Social Responsibility
• Governance

Environmental Achievements

• Implemented solar installations with a combined capacity of 1,100 Kw across manufacturing facilities
• Achieved 44% water recycling and reuse
• Recycled 319 MT of waste
• Planted 1,211 trees

Social Achievements

• Launched leadership development program in partnership with IIMB
• Introduced various sports and wellness initiatives
• Enhanced maternal benefits and insurance coverage
• Spent ₹3.13 Crores on CSR activities

Governance Achievements

• Implemented robust internal financial controls
• Established a vigil mechanism cum whistle-blower policy
• Conducted 7 Board of Directors meetings

Climate Goals & Targets

Environmental Challenges

• Monsoon dependence impacting industry growth
• Intense competition in the tractor industry
• Stringent emission norms affecting product development and compliance costs
• Rising input costs
• Supply chain disruptions

Mitigation Strategies

• Collaborated with NBFCs and banks to streamline finance options for farmers
• Adjusted product development based on farmer feedback
• Focused on innovation and cutting-edge technology
• Developed strong partnerships with reliable suppliers
• Diversified supplier and customer bases

Supply Chain Management

Responsible Procurement

• Supplier Risk Management and Mitigation (SRMM) process

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Seasonal water scarcity
• Heat waves

Transition Risks

• Regulatory changes
• Changing market demands
• Additional carbon taxes

Opportunities

• Development of energy-efficient products
• Investments in renewable energy solutions

Reporting Standards

Frameworks Used: BRSR

Certifications: ISO 9001:2015, ISO 14001:2015, ISO 45001:2018

Sustainable Products & Innovation

• Electric tractors
• Electric power tillers and weeders

Awards & Recognition

• IMexI Silver Medallion Award (Hosur & Malur Plants)
• QCFI Competition Silver Medallion Award
• ITOTY Awards 2024 (VST Shakti MT 270 tractor)
• CII State Competition Best Themes Trophy
• MHI Best Supplier Award
• CII Quality Circle Recognition