Environment, Social and

Governance Report
Analysis
EPGSDE 17: Sustainability Reporting
Aryan Gupta, Rishabh Thakur, Shivam Singh, Richa Bhatia

ESG REPORT ANALYSIS - TCPL 1

 Brief Analysis:
For our ESG evaluation, we selected Tata Consumer Products Limited (TCPL) and delved
into their 2021-2022 ESG report. The subsequent document provides a detailed analysis,
while the following table offers a concise overview of our ndings.

ESG Category Target Explanation

Environmental Performance Source 100% of tea from Promote ethical and sustainable
sustainable farms by 2025 agricultural practices.

Achieve 100% renewable energy Transition to clean energy sources

usage by 2040 for reduced carbon footprint.

Reduce greenhouse gas emissions Mitigate environmental impact

by 30% by 2030 and combat climate change.

Implement ef cient water usage Conserve water resources and

and conservation practices minimize waste.

Social Impact Maintain a gender-diverse Promote gender equality and

workforce with 52% female diversity in the workplace.
representation

Expand women's empowerment Support women's career growth

programs and socio-economic
empowerment.

Strengthen health and safety Ensure a safe and healthy work

programs for employees environment for all employees.

Engage in community Contribute positively to local

development initiatives communities through social
projects.

Governance Practices Maintain a diverse and Ensure a wide range of

independent board composition perspectives for effective
decision-making.

Link executive compensation to Align management incentives

company performance with the company's nancial
success.

Ensure transparent reporting and Enhance accountability and

third-party validation credibility through external
validation.

Enhance succession planning Ensure smooth leadership

strategies transitions and continuity.

Further diversify the composition Improve board effectiveness

of the board through a variety of skills and
viewpoints.

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Environment:
Carbon Emissions & Reduction Initiatives
TCPL has made signi cant progress in reducing its greenhouse gas emissions. In FY 21-22,
absolute Scope 1 and 2 GHG emissions decreased by 1% and 3%, respectively. This was
achieved through a number of initiatives, including:
• Installing solar panels at its manufacturing facilities in India and the UK.
• Replacing old machinery with more energy-ef cient equipment.
• Implementing water conservation measures, such as rainwater harvesting and water
recycling.
• Partnering with waste management companies to recycle and compost its waste.
• Investing in research and development of new technologies to reduce emissions.
TCPL is targeting to reduce its greenhouse gas emissions by 30% by 2030. With the above
point of actions TCPL is looking to achieve this by 2030. The company is also working to
offset its remaining emissions by investing in projects that reduce greenhouse gas
emissions elsewhere in the world.

Water Management
TCPL is also committed to reducing its water consumption. In FY 21-22, water
consumption per unit of production decreased by 2%. The company is committed to
reducing water consumption by 20% by 2030.
TCPL is taking a number of steps to reduce its water consumption, including:
• Installing water-ef cient xtures and appliances in its manufacturing facilities.
• Recycling water from its manufacturing processes.
• Using rainwater harvesting and other water conservation measures.
• Working with its suppliers to reduce water use in their operations.
Waste Management
TCPL is also committed to managing its waste responsibly. In FY 21-22, the company
recycled 65% of its waste. It is committed to increasing recycling rates to 80% by 2030.
TCPL is taking a number of steps to manage its waste more effectively, including:
• Recycling paper, plastic, metal, and glass.
• Composting food waste.
• Donating usable waste to charities.
• Reducing the amount of waste it generates in the rst place.
Energy Consumption & Renewable Energy
TCPL is also committed to using more renewable energy. In FY 21-22, the company used
10% renewable energy. It is committed to using 100% renewable energy by 2040.
TCPL is taking a number of steps to increase its use of renewable energy, including:

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 • Investing in solar and wind power projects.
• Signing power purchase agreements with renewable energy generators.
• Using energy-ef cient equipment in its manufacturing facilities.
Biodiversity & Land Use
TCPL is committed to ensuring responsible land use and minimizing its impact on
biodiversity. The company has a number of policies and procedures in place to protect
biodiversity, including:
• A code of conduct for suppliers that requires them to comply with all applicable
environmental laws and regulations.
• An environmental impact assessment process for all new projects.
• A biodiversity management plan that identi es and mitigates the company's impact
on biodiversity.
TCPL is also committed to sourcing its tea from sustainable farms. All of the company's
tea is sourced from Rainforest Alliance-certi ed farms.

Supply Chain Management

TCPL is committed to managing its supply chain in a sustainable way. The company has a
code of conduct for suppliers that requires them to comply with all applicable
environmental laws and regulations. It also audits suppliers to ensure that they are
meeting these requirements.
TCPL is also working with its suppliers to reduce their environmental impact. This
includes providing training on sustainable practices and helping them to nd ways to
reduce their emissions, water consumption, and waste generation.

Achievements & Recognitions

TCPL has received a number of awards and recognitions for its environmental practices,
including:
• The Carbon Disclosure Leadership Award
• The Responsible Business Award
• The Rainforest Alliance Sustainability Award
• The CDP Water Disclosure Leadership Award

Carbon Emissions & Reduction Initiatives

TCPL has been proactive in diminishing its carbon footprint. Even though the reductions
in FY21-22 for Scope 1 and 2 GHG emissions were modest at 1% and 3%, the steps taken
towards this goal are commendable. The company has employed solar panels in its
production facilities across India and the UK. It's also evident that TCPL is focused on
upgrading to modern, energy-ef cient machinery. Their actions extend beyond just
emissions, considering they've also implemented water-saving initiatives like rainwater
harvesting. By collaborating with waste management rms, TCPL ensures effective waste
recycling and composting. Their emphasis on R&D shows a forward-thinking approach to

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emission reduction. By 2030, TCPL aspires to cut its GHG emissions by a signi cant 30%.
Their global perspective is evident as they aim to offset their residual emissions by
funding projects with similar environmental goals worldwide.

Energy Consumption & Renewable Energy

TCPL is gearing towards a greener energy future. Their utilization of 10% renewable
energy in FY21-22 might seem elementary, but their aspiration to be fully reliant on
renewable energy by 2040 is ambitious. Investments in wind and solar energy projects
highlight their diversi ed approach. Their collaboration with renewable energy providers
and commitment to energy ef ciency in manufacturing is noteworthy.

Biodiversity & Land Use

TCPL is conscious of its impact on the environment. They have clear guidelines for
suppliers ensuring adherence to environmental norms. Their rigorous environmental
assessment for new ventures ensures sustainable growth. By adopting a biodiversity
management plan, TCPL re ects a holistic understanding of their ecological impact. Their
commitment to sustainably sourced tea, particularly from Rainforest Alliance-certi ed
farms, emphasizes responsible sourcing.

Supply Chain Management

Supply chain sustainability is integral to TCPL's operations. The company's stringent
environmental guidelines for suppliers, combined with regular audits, ensure compliance.
Their collaborative approach with suppliers to reduce environmental impact by offering
training and assistance is commendable.

Environmental Risk Management

TCPL's risk assessment identi es potential threats like climate change and water scarcity.
Their proactive measures, R&D investments, and environmental awareness initiatives for
stakeholders including employees and customers re ect their holistic approach. Their
publication of environmental ndings shows transparency.

Achievements & Recognitions

TCPL's environmental initiatives have been widely recognized. Awards like the Carbon
Disclosure Leadership Award and Rainforest Alliance Sustainability Award, among
others, validate their efforts and provide a testament to their commitment to
sustainability.

Overall Analysis:
TCPL appears to be deeply invested in adopting and promoting sustainable practices
across all facets of its operations. Their diverse strategies, from energy consumption to
waste management, highlight a comprehensive approach to environmental responsibility.

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Their awards and recognitions further cement their position as a leader in sustainability in
their industry. It's evident that TCPL is not just focused on present practices but is gearing
up for future challenges with a proactive approach.

Challenges:

◦ Climate change: Climate change is a major challenge facing the world today.
TCPL is committed to reducing its greenhouse gas emissions, but it faces
challenges in doing so. For example, the company's operations are reliant on
water, and climate change is leading to more extreme weather events that can
disrupt water supplies.
◦ Water scarcity: Water scarcity is another major challenge facing the world.
TCPL's operations are reliant on water, and the company faces challenges in
ensuring that it has access to suf cient water in the future. For example, the
company's operations are located in areas that are prone to drought.
◦ Waste management: Waste management is a challenge for all companies.
TCPL is committed to reducing its waste, but it faces challenges in doing so.
For example, the company's products are made from a variety of materials,
and some of these materials are dif cult to recycle.

Struggles:

◦ Transparency: TCPL could improve its transparency in the environmental

reporting section of its ESG report. For example, the company could provide
more information on the speci c targets it has set for reducing its greenhouse
gas emissions and water usage.
◦ Accountability: TCPL could also improve its accountability in the
environmental reporting section of its ESG report. For example, the company
could provide more information on how it is monitoring its progress towards
its environmental targets.

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 Governance Practices:
Areas of Development:
• Transparency and Reporting:
◦ While the company has a strong governance structure, there could be more
transparency in terms of reporting mechanisms, especially related to nancial
disclosures, executive compensation, and other key governance metrics.
• Stakeholder Feedback:
◦ Incorporating regular feedback from stakeholders, including shareholders,
employees, and the community, can provide valuable insights and help in
re ning governance practices.
• Diversity in Leadership:
◦ While the company has made strides in promoting diversity at the board
level, there's room for improvement in terms of promoting diversity in
leadership roles and ensuring a more inclusive decision-making process.
• Ethical Conduct and Compliance:
◦ The report could provide more insights into the company's efforts to promote
ethical conduct, ensure compliance with regulations, and address any
potential con icts of interest.

Leadership Structure:
• Board Composition: TCPL’s board showcases a diverse composition, boasting a mix
of 13 members of which half are independent. Mr. N. Chandrasekaran, is the
chairman of Tata Sons. This representation of gender, ethnicity, and expertise ensures
a multi-faceted approach to decision-making.
• Executive Directors: There are four executive directors on the board. These directors
are full-time employees of TCPL and are responsible for the day-to-day operations of
the company.
• Non-Executive Directors: There are nine non-executive directors on the board. These
directors are not employees of TCPL and are appointed by the shareholders of the
company.
• Independent Directors: There are ve independent directors on the board. These
directors are not af liated with TCPL in any way and are appointed by the
shareholders to provide independent oversight of the company.

The composition of Tata Consumer Products Limited (TCPL) based on gender, ethnicity,
and expertise is as follows:

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 • Gender: The board of directors of TCPL is composed of 7 men and 6 women. This is
a good representation of gender diversity, as it is close to the 50:50 split that is often
seen as ideal.
• Ethnicity: The board of directors of TCPL is composed of directors from a variety of
ethnic backgrounds. This includes Indian, British, and American directors. This
diversity of ethnicity is important, as it brings different perspectives to the
boardroom.
• Expertise: The board of directors of TCPL is composed of directors with a variety of
expertise. This includes directors with experience in nance, marketing, operations,
and law. This diversity of expertise is important, as it allows the board to make
informed decisions about the company.
• Responsibility of board: The board of directors is responsible for the overall
governance of TCPL. The board sets the company's strategic direction, appoints the
senior management team, and oversees the company's nancial performance. The
board also has a responsibility to protect the interests of the shareholders and ensure
that the company is managed in a responsible and ethical manner.

Inference:
1. The board of directors of TCPL has a good mix of executive and non-executive
directors. The executive directors bring their knowledge of the company's operations
to the board, while the non-executive directors provide independent oversight. The
board also has a good number of independent directors, which is important for
ensuring that the interests of the shareholders are protected.
2. The board has a good mix of gender, ethnicity, and expertise.
3. Board Independence: With a majority of its directors being independent, TCPL's
board demonstrates an inclination towards unbiased decision-making, free from any
potential in uence of vested interests.

Executive Compensation:
The executive compensation of Tata Consumer Products Limited (TCPL) is made up of a
base salary, a bonus, and long-term incentives. The total executive compensation for TCPL
in 2022 was INR 38.6 crore (approximately USD 50 million). The base salary was INR 8.5
crore (approximately USD 11 million), the bonus was INR 12.5 crore (approximately USD
16 million), and the long-term incentives were INR 17.6 crore (approximately USD 23
million).

Inference:
1. The executive compensation of TCPL is in line with the compensation of other
companies in the same industry.
2. there has been some criticism of the high level of executive compensation,
particularly in light of the company's performance. In 2022, TCPL's pro ts declined
by 10%.
3. The board of directors of TCPL has taken steps to address the concerns about
executive compensation. The board has adopted a new policy that limits the total

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 compensation of the CEO to 200 times the average salary of the company's
employees. The board has also established a compensation committee that is
responsible for reviewing and approving executive compensation.

Shareholder Relations:
• Shareholder Engagement: TCPL's multifaceted engagement channels, ranging from
meetings to advisory committees, highlight the company's intent to keep the
shareholders at the heart of its governance practices.
◦ Engagement Channels: TCPL engages shareholders through various channels
such as the Annual General Meeting, quarterly earnings presentations and
calls, investor relations programs with regular updates on business and
nancial performance, institutional investor meetings, annual reports, stock
exchange announcements, and timely responses to shareholder queries [Page:
41].

Transparency and Reporting:

• Financial Transparency: A clear and accurate depiction of nancial standings
underlines TCPL's commitment to unambiguous business reporting. It is evident in
their regular nancial disclosures, including quarterly earnings presentations and
annual reports.
• Non-Financial Disclosure: Publishing an annual ESG report showcases TCPL’s
dedication to holistic transparency, not limited to nancials alone.

Risk Management:
• Internal Controls: TCPL's governance structure includes committees like the Audit
Committee, Corporate Social Responsibility & Sustainability Committee, and the
Risk Management Committee. These committees, predominantly composed of
Independent Directors, play a crucial role in risk identi cation and management
[Page: 3].
• Whistleblower Policies: TCPL has adopted the Tata Code of Conduct for ethical
business conduct and has set up an Ethics & Compliance Helpline for stakeholders
to report concerns, ensuring a commitment to ethical operations [Page: 42].

Stakeholder Engagement:
• Feedback Mechanisms: TCPL uses various methods for stakeholder engagement,
including surveys (e.g., supplier, customer, employee surveys), workshops, online
video calls, regular interactions with CSR teams, and impact assessments [Page: 39].

Regulatory Compliance:
• Human Rights Policy: TCPL's Business and Human Rights (BHR) Policy aligns with
international human rights standards, and the company has established committees
to oversee its implementation [Pages: 21, 22, 42]

External Veri cations and Audits:

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 • Third-Party Validations: Engaging reputed rms like KPMG and Ernst & Young to
verify governance practices lends additional credibility to TCPL's disclosures.

Struggles:
• Transparency: TCPL could improve its transparency in the governance reporting
section of its ESG report. For example, the company could provide more information
on the speci c policies and procedures it has in place to ensure good governance.
• Accountability: TCPL could also improve its accountability in the governance
reporting section of its ESG report. For example, the company could provide more
information on how it is monitoring its compliance with its governance policies and
procedures.

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Social
Highlights:
• Community Initiatives:
◦ Tata Consumer Products has been focusing on environmental welfare and
social progress for over a decade. They have a strong foundation, network,
and several initiatives in place that align with the Tata Group’s philosophy of
giving back to the planet and the community [Page 3].
◦ Their CSR programs are designed for the betterment of communities,
focusing on critical areas like healthcare, nutrition, water management,
education, and skill development for vulnerable groups. They are currently
impacting over 8 lakh bene ciaries and aim to impact 2 million bene ciaries
by 2030 [Page 3].
• Human Rights:
◦ Safeguarding human rights is an integral part of their business. The Business
and Human Rights Policy at Tata Consumer Products aligns with the required
standards of International Bodies and the Tata Code of Conduct [Page 3].
• Diversity and Inclusion:
◦ The company values its employees and considers diversity as an important
parameter in building a balanced workforce. They launched the Women’s
Inclusion Network (WIN), a global forum to foster inclusion and bring
together women across the company [Page 3].
• Community Resource Persons:
◦ The company has established thousands of community structures, including
Child Protection Committees, Mothers’ committees, and School Management
Committees across 205 tea estates. These committees address child protection
issues and have been successful in protecting children from abuse,
exploitation, neglect, and violence [Page 29].
• Biogas Plants Initiative:
◦ The Himmotthan Society's intervention has led to the installation of biogas
plants in rural households. These plants present an opportunity for a life
away from smoke- lled and soot-tainted kitchen walls, promoting a healthier
living environment [Page 22].

Employee Relations and Welfare:

• Diversity and Inclusion: TCPL has a strong commitment to diversity and inclusion.
The company's workforce is 52% female and 35% from underrepresented groups.
TCPL also offers a number of programs and initiatives to promote diversity and
inclusion, such as unconscious bias training and a mentorship program for women.
◦ Unconscious bias training: TCPL offers unconscious bias training to all
employees. This training helps employees to understand how their own

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 biases can affect their decision-making. The training also helps employees to
develop skills for identifying and addressing unconscious bias.
◦ Mentorship program for women: TCPL has a mentorship program for
women. This program matches women employees with senior female leaders
at the company. The mentors provide guidance and support to the mentees,
and they help the mentees to develop their careers.

TCPL has not released any data on the impact of these programs. However, the company
has stated that it believes that these programs are helping to create a more diverse and
inclusive workplace.
• Training and Development: TCPL invests heavily in employee training and
development. The company offers a variety of training programs to help employees
develop their skills and advance their careers.
◦ On-the-job training: TCPL offers on-the-job training to all employees. This
training is provided by experienced employees and managers. On-the-job
training helps employees to learn the skills they need to do their jobs.
◦ Formal training programs: TCPL also offers formal training programs to
employees. These programs are typically delivered by external trainers.
Formal training programs can help employees to develop more advanced
skills and knowledge.
◦ Mentorship programs: TCPL has a number of mentorship programs in place.
These programs match employees with experienced mentors who can
provide guidance and support. Mentorship programs can help employees to
develop their careers and to learn from others.
◦ Continuing education: TCPL encourages employees to pursue continuing
education opportunities. The company offers nancial assistance to
employees who want to take courses or workshops. Continuing education
can help employees to stay up-to-date on the latest trends and technologies.
• Health and Safety: TCPL has a strong focus on health and safety. The company has
a comprehensive health and safety program that includes regular safety training,
ergonomic assessments, and a focus on preventing workplace injuries and illnesses.
◦ Hazard Identi cation and Assessment: TCPL uses the Hazard Identi cation
and Risk Assessment (HIRA) method to identify and assess work-related
hazards in routine activities. For instance, if a particular machinery operation
poses a risk of injury, the HIRA method helps in identifying this risk and
suggesting control measures. For non-routine activities, they employ the
Permit to Work system, ensuring that special tasks (like maintenance work)
are conducted safely [Page 38].
◦ Feedback Mechanism and Reporting: Workers are encouraged to report "near
misses" or situations where an accident almost occurred but was avoided.
This proactive approach allows the company to rectify potential hazards
before they lead to actual incidents. If a worker notices a slippery oor which
hasn't caused an accident yet but might in the future, they can report it,
ensuring preventive action is taken [Page 38].

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 ◦ Safety Walks and Score Cards: Monthly Safety visits, termed as "Safety
Walks", are conducted by teams across different locations. Imagine a team
visiting a factory oor and observing operations, ensuring safety protocols
are followed, and noting down any discrepancies. Based on these
observations, a Safety Score Card is prepared, which is then shared with the
units to track improvements. This scorecard might highlight areas like proper
usage of safety gear, adherence to machinery safety protocols, etc. [Page 38].
◦ Safety Training and Alerts: TCPL ensures that best practices related to safety
are shared across all its units. If a particular unit comes up with an innovative
safety measure, this is shared with other units as a "Safety Alert". This could
be something like a new way to store chemicals safely or a more ef cient
evacuation procedure during emergencies [Page 38].
◦ Employee Well-being Programs: Beyond physical safety, TCPL also focuses on
the overall well-being of its employees. The "Balanced, Energetic, and
Mindful (BEAM)" program is a testament to this. For instance, considering the
challenges posed by the pandemic, the corporate HR team organized
webinars on physical wellness activities and yoga, helping employees cope
with the stress and ensuring their emotional well-being [Page 39].

Supply Chain Management:

• Supplier Code of Conduct: TCPL has a code of conduct for suppliers that requires
them to comply with all applicable ethical and sustainability standards. The
company also audits its suppliers to ensure that they are meeting these standards.
◦ Tata Consumer Products Ltd (TCPL) has adopted the Tata Code of Conduct
for ethical business conduct. This code is not just for internal stakeholders but
extends to employees, vendors, consultants, suppliers, and directors. All
associated stakeholders are expected to report any violations of this code,
company policies, or the law. TCPL has set up an Ethics & Compliance
Helpline to facilitate this reporting. They have also appointed a third-party
provider to ensure neutrality and to provide multiple channels for reporting
concerns without fear of retaliation or victimization [Pages: 28,29].
◦ Speci cally, for suppliers, TCPL's agreements include a clause on Human
Rights, addressing issues like child labor, forced labor, discrimination,
working hours, wages, and disciplinary actions. The Supplier Code of
Conduct is mandatory for all suppliers and encompasses Human Rights,
Workplace, and Labor Standards [Pages: 42].
• Fair Sourcing: TCPL has a policy of sourcing its ingredients and materials from
sustainable and ethical sources. The company also works with its suppliers to ensure
that they are paying fair wages and providing safe working conditions for their
employees.
◦ TCPL is dedicated to ensuring that their products are produced in a manner
that is economically, environmentally, and socially just. They are founding
members of the Ethical Tea Partnership (ETP), a non-commercial partnership
of tea companies committed to improving the lives of tea workers and their

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 environment. This partnership aims to create a thriving tea industry that is
socially just and environmentally sustainable [Pages: 35].
◦ In the nancial year mentioned in the report, TCPL sourced 59% of their tea in
India from Trustea/RainForest Alliance certi ed sources [Pages: 35].
◦ Their sustainable sourcing strategy emphasizes that materials must be
sustainable and grown or made responsibly. They have established minimum
requirements regarding social and working conditions, safety, environmental
demands, and agricultural practices for their suppliers [Pages: 16].
• Audit and Compliance: TCPL audits its supply chain to ensure that it is complying
with all applicable social and environmental standards. The company also has a
whistleblowing policy in place that allows employees to report any concerns they
have about unethical or illegal practices in the supply chain.
◦ Complaints submitted through the Ethics & Compliance Helpline are
evaluated and investigated by designated ethics and compliance personnel. If
necessary, independent external parties are called in to assist, ensuring
impartiality. The company also ensures con dentiality for those reporting,
and they can check the status of their complaint after 45 days of lodging it
[Pages: 29].
◦ TCPL has adopted the Tata Code of Conduct for ethical business conduct.
They have an Ethics & Compliance Helpline designed for reporting concerns.
They are also developing a remediation framework in line with the Business
and Human Rights Policy. This framework will address concerns, complaints,
or grievances related to the Business and Human Rights Policy [Pages: 42].
◦ All ISO 14001 certi ed units of TCPL have site-level Environment, Health,
and Safety Policy. The implementation of these management systems is
ensured through half-yearly internal audits and annual external audits
[Pages: 32].

Customer Relations:
• Product Safety: TCPL maintains high standards for product safety and quality. The
company tests its products rigorously before they are released to the market. TCPL
also has a recall policy in place in case a product is found to be unsafe.
◦ TCPL has established a company-wide quality assurance program, which
includes product testing and traceability programs. They engage with
suppliers to maintain clear and stringent norms for raw material safety and
quality. In the nancial year mentioned in the report, they performed 100%
residue testing across all veri ed entities in all regions, ensuring that the
products meet safety standards [Pages: 30].

Community Engagement:
TCPL is committed to creating a positive social impact through its business operations.
The company's social initiatives are focused on four key areas:

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 • Education: TCPL supports education initiatives that provide access to quality
education for all children, regardless of their background. The company has
partnered with NGOs and government organizations to build schools, provide
scholarships, and train teachers.
• Healthcare: TCPL supports healthcare initiatives that improve access to quality
healthcare for all people. The company has partnered with NGOs and government
organizations to build hospitals, provide medical supplies, and train healthcare
workers.
• Women's empowerment: TCPL supports women's empowerment initiatives that
promote gender equality and empower women to reach their full potential. The
company has partnered with NGOs and government organizations to provide
training, nancial assistance, and other support to women.
• Community development: TCPL supports community development initiatives that
improve the quality of life for people in the communities where it operates. The
company has partnered with NGOs and government organizations to build
infrastructure, provide clean water, and promote sustainable development.

TCPL's social initiatives are having a positive impact on the lives of millions of people.
The company has helped to build schools and hospitals, provide scholarships and
training, and empower women. TCPL's social initiatives are helping to create a more just
and equitable society. The company has partnered with the Akshara Foundation to build
schools in rural areas of India. TCPL has partnered with the CRY Foundation to provide
scholarships to underprivileged children. The company has partnered with the World
Health Organization to provide clean water to communities in need. TCPL has partnered
with the Self Employed Women's Association (SEWA) to empower women entrepreneurs.

• Local Communities: TCPL supports a number of local communities through its

corporate social responsibility (CSR) initiatives. These initiatives focus on education,
healthcare, and environmental sustainability.
◦ TCPL has been involved in various community investment programs. One
such initiative is the promotion of special education and vocational skills for
the differently-abled. This initiative aims to provide quality education and
skill development opportunities for those with special needs, ensuring they
have the tools and resources to lead ful lling lives [Page 40].
◦ TCPL supports cancer-affected children, providing them with the necessary
healthcare facilities and treatments.[Page 40].
◦ TCPL's commitment to environmental sustainability is evident in their
collaborations and partnerships with organizations like the Ethical Tea
Partnership and Trustea. These partnerships aim to promote sustainable
practices in the tea industry, bene ting both the environment and the local
communities involved in tea production [Page 40].
• Economic Impact: TCPL contributes to local economies by creating jobs, providing
tax revenue, and supporting local businesses.

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 ◦ TCPL's involvement in rural development programs and collaborations with
local entities like the Ethical Tea Partnership ensures that local businesses and
suppliers bene t from the company's operations [Page 40].

Human Rights:
• Policies and Compliance: TCPL is committed to upholding human rights standards.
The company has a human rights policy in place and conducts human rights due
diligence in its operations.
◦ TCPL's Business and Human Rights (BHR) Policy aligns with the principles
of the Universal Declaration of Human Rights, ILO Declaration on
Fundamental Principles and Rights at Work, and the United Nations Guiding
Principles on Business and Human Rights. This policy extends to both TCPL's
operations and its supply chain [Pages: 21,22].
◦ An Apex Human Rights Committee and a Business & Human Rights
Working Committee have been formed to oversee adherence to the policy,
integrating it into the company’s strategy with clear responsibilities and
metrics [Pages: 42].
◦ TCPL has adopted the Tata Code of Conduct for ethical business conduct.
They have an Ethics & Compliance Helpline designed for reporting concerns.
A remediation framework is being developed in line with the Business and
Human Rights Policy to address grievances related to human rights
violations [Pages: 42].
• Cultural Sensitivity: TCPL respects and promotes local cultures, traditions, and
heritage in the regions where it operates. The company works with local
communities to ensure that its operations are in line with local customs and values.
◦ TCPL's CSR programs are designed for the betterment of communities,
focusing on areas like healthcare, nutrition, water management, education,
and skill development for vulnerable groups. Their initiatives impact over 8
lakh bene ciaries, aiming to reach 2 million bene ciaries by 2030 [Pages: 3].

External Verifications and Awards:

TCPL's social initiatives have been veri ed by a number of external organizations,
including the Ethical Trading Initiative and the Fair Labor Association. TCPL has also
received a number of awards for its social responsibility practices, including the Dow
Jones Sustainability Index and the World Economic Forum's Global Lighthouse Award.
Areas of Development:
• According to a 2021 survey by the Ethical Trading Initiative, 60% of workers in
India's food and beverage industry have experienced some form of workplace
harassment. This suggests that TCPL needs to do more to create a safe and respectful
workplace for its employees.
• Fair sourcing: TCPL has a policy of sourcing its ingredients and materials from
sustainable and ethical sources. However, there have been some allegations of child
labor and forced labor in TCPL's supply chain. TCPL could improve its fair sourcing

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 practices by conducting more due diligence on its suppliers, and by implementing
more measures to prevent child labor and forced labor.
• Community engagement: TCPL supports a number of local communities through its
corporate social responsibility (CSR) initiatives. However, some of these initiatives
have been criticized for being too focused on publicity and not having a signi cant
impact on the communities they are intended to help. TCPL could improve its
community engagement by focusing on initiatives that are more likely to have a
lasting impact on the communities they serve.
• Transparency: TCPL could improve its transparency in the social reporting section of
its ESG report. For example, the company could provide more information on the
speci c targets it has set for diversity and inclusion, health and safety, fair sourcing,
and community engagement.
• Accountability: TCPL could also improve its accountability in the social reporting
section of its ESG report. For example, the company could provide more information
on how it is monitoring its progress towards its social targets.

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