Corporate Sustainability Report 2010 11

Jubilant Industries Limited Corporate Sustainability Report 2010-11 3

Corporate Sustainability Report 2010-11


SUSTAINABILITY MISSION

Jubilant Industries Limited strives for Sustainability

through good Corporate Governance practices.

The Company will support Sustainability to meet

Environmental, Economic and Social needs without

compromising the progress and success of future

generations.

Hari S BhartiaChairmanDecember 05, 2010

1.0 CorporateSustainabilityMatters

2.0 Vision, Values and Promise

3.0 Report, Assurance and Business Structure

3.1 The Report

3.2 The Assurance

3.3 The Business Structure

4.0 Transparency and Accountability

4.1 Corporate Transparency and Accountability

4.2 Economic Transparency and Accountability

5.0 RiskandOpportunitiesManagement

6.0 ClimateChange&SustainableBehaviour

7.0 CaringforEnvironment

8.0 ContinualfocusonSafety

9.0 SharingValuewithEmployees

10.0 WorkingwithCustomers

11.0 GrowingwithCommunitiesforInclusiveGrowth

12.0 TheWayForward

GRI Content Index

GRIApplicationCheck

Abbreviations

What’s inside?


CLIMATE CHANGE MITIGATION POLICY

Jubilant Industries Limited believes in Sustainable Development and recognizes the risk of Climate Change. The Company is committed to reduce carbon emissions and aims to:

ŸCreate awareness among employees, their families, customers and community around the plants on climate change issues

ŸImplement energy conservation measures

ŸReduce Greenhouse Gas emissions through process optimization and pollution prevention

ŸUse advanced information technology to reduce travel related emission

ŸRaise greenery & plantation in the plant and its vicinity

We shall endeavour to mitigate Climate Change by these initiatives.

Priyavrat BhartiaDirector December 04, 2010



1.0 The Corporate SustainabilityMatters

TheJubilantBhartiagroupbeingaresponsiblecorporatecitizenhasbeenpublishingCorporateSustainability Report of Jubilant OrganosysLtd., since 2003. The Board of Directors ofJubilant Organosys Limited has approved theamalgamation of Pace Marketing SpecialtiesLimited, an exclusive contract manufacturerfor adhesives of Consumer Products Divisionof Jubilant Organosys. To further strengthenthe businesses independently, the Board also approvedthedemergerofAgriandPerformancePolymerbusinessandthisentityisreferredasJubilant Industries Ltd. (JIL).

Asanenvironmentally conscious JubilantBhartiaGroupCompany, JIL alsodecided to follow the samepracticesof JubilantOrganosys Ltd. (presentlyknownasJubilantLifeSciencesLtd.)forSustainableDevelopment.Duringthisyearofdemerger,wecontinuedourinitiativesintheareasofEnvironment,Health and Safety as well as on Social initiatives in synchronization withthebusinessgrowth invarious segments. JILbelieves thatSustainability isinheritedbeinga JubilantBhartiaGroupCompany.WearehappytosharewithyouthefirstCorporateSustainabilityReportfortheyear2010-11givingourperformanceonEconomic,EnvironmentalandSocialperformance,theTripleBottomLineoftheCompany.

Duringtheyear,werealignedourbusinesssegmentationtoderivemaximumsynergies from the businesses. We segmented the organization into twomajorbusinesses–AgriProducts&PerformancePolymers.ThePerformancePolymersbusinesswasfurthersegmentedintoLatex,SolidPVA,ConsumerProducts Division& other business is IndianMade Foreign Liquor. Out ofthesebusinessesourmainfocusisontheAgriProductsBusinessandPolymerBusinesswhichtogethercontributemorethan99%ofthetotalsales. The Company strives to be a leading Agri and Performance Polymers


companyhavingasignificantdomesticpresenceandtheabilitytodeliverhighqualityandconsistencyacrossawiderangeofvalue-addedproductsandservicesinthemarketplace.

Ouremphasisistocatertotheneedsofthecustomersthroughgood quality services and products being manufacturedin Uttar Pradesh, Rajasthan, Maharashtra and Gujarat.The business works closely for research and developmentactivities to introduceuseful products tomeet theneeds oftheconsumers.Infact,byvirtueofAgribusiness,wecatertothelargeststakeholderbaseofourcountry,i.e.farmers,whoareoneoftheimportantstakeholdersinthedevelopmentofthe country.

Weareconstantlyengagedindeliveringvaluetoourcustomersby leveraging R&D and innovations capabilities, maximizingoperationalefficiencies,usinginternationalanddomesticmarketingtoleadsalesgrowthandstrivingforbenchmarkedlocallyandglobally.ThedistributionnetworkwasexpandedconsiderablyinConsumerProductsDivision.WeincreasedthecapacityutilizationoftheSingleSuperPhosphateplantsundertheAgriProductsBusiness.

In addition, we aremarketing agrochemicals, water soluble fertilizers, plant growth regulators andmicronutrients through the existingchannelpartnerstostimulaterevenuegrowth.WeexpandedthecapacityinSolidPVA&VPLatexandplantoincreasecapacityutilizationinthecomingyearsandlaunchedanewproduct‘Lamino’intheConsumerProductsDivision.

TheCompany’s focusonSocial Initiativeshasbeenanon-goingactivityatall the locationsdependingupon theneed.ThesearecarriedoutthroughJubilantBhartiaFoundation(JBF)forgrowthofthecommunityaroundtheplants.Ourthrustistowardstheimmediateneedsof the community inorder tobringa change in their values forbetter lifeand socio-economicdevelopment. JBF initiativesare focusedmainlyonimprovementinprimaryeducation,basichealthcareandlivelihoodgenerationthroughskilldevelopment.TheCompanyensuresparticipatoryapproachfortheseinitiatives.

Considering Education as themain driver for social-economic development, our luminary project ‘Muskaan’ isworking in tandemwithGovernment to impact the abysmal state of primary education in rural areas in an effectivemanner. TheBasicHealthcare facilities areprovidedthroughadedicatedCommunityHealthCentre-SarvajanikMedical Centre for the community around Gajraula and throughmobiledispensariestooutreachareasatotherlocations.Theotherinitiatives‘NirogBachpan’and‘SwasthyaPrahari’aimatinculcatingbest health seeking behavior in the community. The Company isworkingtodevelopapoolofskilledmanpowerforhigherprospectof employability, through Vocational Training programs at alllocationsinassociationwithNABARD.

WearepleasedtoinformyouthatinveryfirstyearofJILformation,we received fewbest recognizedawards. These includes; Frost&Sullivan Award for Competitive Strategy Leadership and FertilizerAssociationofIndiaforEnvironmentProtection.Nodoubt,thisisaclearreflectionofourcommitmentforSustainability.DaybydayallthebusinessesarechallengedonSustainabilityissueslikeclimatechange,naturalresourcedepletion,stakeholderaccountability,corporategovernanceetc.Theneedistoconverttheseriskstoopportunitiesinourbusiness.WerecognizedtheimportanceofglobalwarmingandformulatedthepolicyformitigationofClimateChange.

1.0 The Corporate SustainabilityMatters


With an objective to integrate Sustainability in the organization from thebeginning, the Board approved a Sustainability Mission to provide a solidfoundation to Sustainable development at Jubilant Industries. No doubt,these would not only help us in sailing the journey of Sustainability for longtermsuccessoftheCompanybutguideallofustoworkmoreconsciously& responsibly in each and every sphere of the Company’s activities. TheCompany is committed and working on various measures for energyconservationandemissionreductionaswellasplanstocreateawarenessonclimatechangemitigationissuesonawidernationalscene.

We believe inmanufacturing highquality products withminimum impact on the environment andmeeting the requirementof valued stake holders.In our operations, we stress uponresource conservation, quality assurance,energyefficiency,reducedenvironmentalemissionsandmaintaininghealth&safetyofmachinery,staffandcommunityaround.Wedecidedtoachievehighenvironment,health and safety standards as per company’s policy on Environment, Health andSafety(EHS).Thisdemonstratesourcommitmentforprovidingsafe&healthyworkplacefortheemployeesandcommunity.

Intoday’sbusiness,wecannotignoreenvironmentalissuesandenvironmentalaccountability.Itisimportanttointegratethesupplychainprocesses to lower the costs and serve customersbetter. These two trends arenot independent andwehope to involve suppliers andpurchaserstomeetandevenexceedtheenvironmentalexpectationsofourcustomers.Thus,weadoptedaGreenSupplyChainPolicytoinvolveourPartnersinProgressforlongtermSustainability.

Asacommunity,thechallengewefaceoveralongtermhorizonistoworkforasustainablefuture.Tomakeourbusinesseffectiveanditsimpactacceptable,wewillcontinuetoidentifyandimplementmeasuresforbetterprocurement,judicioususageofresources,minimizewasteandreducepollution.JILiscommittedtoSustainableDevelopmentandcontinuedeffortsaredirectedtowardsprotectingtheenvironment.Wethankyouforcontinuedsupport&encouragementandlookforwardtoyourcooperationforourSustainabilityefforts.

TheCompanyiscommittedforSustainabilityandsetfewtargetsforimplementationduringthenextyearandtheseareaddressedinthereport.Thesereportshavebeendevelopedin-houseandhopethatyouwillappreciatetheseefforts.

Welookforwardtoyourvaluablesuggestionstomakeitbetter.

BestWishes&Regards,

Hari S. BhartiaChairman

Our initiatives ‘Nirog Bachpan’ and

‘Swasthya Prahari’ aim at inculcating best health seeking behavior in the

community.


2.0 Vision, Values and PromiseTheJubilantIndustriesLimitedisguidedbytheVision,ValuesandPromiseofJubilantBhartiaGroupandthesehavebeenembracedbyallthebusinessesandfunctionsofthe Company.

Our VisiOn is driVen by Our Values

We will carefully select, train and develop our people to be creative and

empower them to take decisions, so that they respond to all stakeholders with

agility, confidence and teamwork

We stretch ourselves to be cost effective and efficient in all aspects of our

operations and focus on flawless delivery to create and provide the best value to

our stakeholders

By sharing our knowledge and learning from each other and from the markets

we serve, we will continue to surprise our stakeholders with innovative solutions.

With utmost care for the environment and safety, we will always strive to excel in the quality of our processes, our products and

our services.


TheCompanyhasinternallydevelopedandadoptedCodesandPoliciesforGoodGovernance,theseinclude;

CodeofConductforDirectorsandSeniorExecutives

WhistleBlowerPolicy

Sustainability Mission

Environment,HealthandSafetyPolicy

ClimateChangeMitigationPolicy

Green Supply Chain Policy

Quality Policy

CodeforPreventionofInsiderTrading

The COmpany’s jOurney is led by iTs COre Values TO deliVer iTs prOmise Of Caring, sharing, grOwing

ENVIRONMENT, HEALTH AND SAFETY POLICY

Jubilant Industries Limited operations include manufacturing agri products, performance polymers and IMFL. The Company is committed to environmental protection and observe high standards of Health & Safety (EHS).

We shall accomplish this by striving to:

ŸComply with regulatory standards on Environment, Health and Safety

ŸOptimize resource utilization and reduce waste & emissions

ŸIdentify, minimize and control safety hazards

ŸEnsure safe & healthy work environment

ŸMonitor EHS performance for continual improvement

ŸPromote EHS awareness among employees, contractors, suppliers and community around the operations

ŸCommunicate EHS performance to internal and external stakeholders

The policy will be implemented, monitored and is in public domain.

Ananda MukherjeeCEO and Whole Time Director November 26, 2010


GREEN SUPPLY CHAIN POLICY

At Jubilant Industries Limited, we are committed to strive for enhancing the

Greening of Supply Chain in collaboration with our Partners in Progress for long

term Sustainability and we will work with the partners to:

ŸProtect the environment by creating awareness to reduce, reuse and recycle

resources

ŸEducate Partners to say no to child labour and reduce Greenhouse Gas

emission

ŸAdhere to Environment, Health & Safety compliance

Ananda MukherjeeCEO and Whole Time Director November 15, 2010




The Company believes that sustainability challenges like environmental protection andaccess to natural resources, product innovation, employee health and safety, climatechange,talentmanagementandaddingvaluetolocalcommunitiesneedstobeproperlymanagedandstrategizedforachievingSustainability.TheCompanyhasbeenconstantlyengagedwithGovernmentand IndustryAssociationstoshareknowledgestrategizeandbettermanagethesechallenges.

ThereportingperiodfortheCorporateSustainabilityReportisfromApril1,2010toMarch31,2011,whichisthefinancialyearinIndia.AspartoftheSchemeofAmalgamationandDemergeramongstJubilantLifeSciencesLimited(JLL),JubilantIndustriesLimited(JIL)andothers,theAgriproductsdivision,PerformancePolymerdivisionandIMFLdivisionofJLLweredemergedandtransferredtotheCompanywitheffectfromcommencementofbusinessonApril1,2010(i.e.theAppointedDateundertheScheme).TheHon’bleHighCourtofAllahabad,videitsOrdersdatedOctober28,2010andNovember8,2010approvedthesaidScheme.TheSchemebecameeffectivefromNovember15,2010.TheJubilantOrganosysLtd.(presentlyknownasJubilantLifeSciencesLtd.)hasbeenpublishingCorporateSustainabilityReportsince2003andthelastreportwaspublishedinAugust2010.TheJubilantIndustriesLtd.operationswerepartofJubilantLifeSciencesLtd.beforethedemergeronNovember15,2010.ThisisthefirstCorporateSustainabilityReportofJubilantIndustriesLtd.

ThisreportwillbepublishedonannualbasisalongwiththeAnnualreportoftheCompany.ThecoreandadditionalperformanceindicatorsofG3.1guidelinesofGlobalReportingInitiative(GRI),TheNetherlandsareincludedinthereportasperthemateriality.Theotherrequirementsoftheguidelineshavealsobeenfollowed.JubilantBhartiaGrouphasstrongfoundationofSustainabilityreporting.Inthisreport,theeffortsaremadetoadequatelyaddressthechangeinbusinessaswellasthechallengesandopportunitiesalongwiththeEconomic,EnvironmentandSocialperformanceof theCompany.The report coversall the5manufacturing facilities i.e.Gajraula&Sahibabad inUttarPradesh,KapasaninRajasthan,SamlayainGujaratandNirainMaharashtra.TheSahibabadunitwasnotcoveredinthepreviousSustainabilityReportsofJubilantOrganosysLtd.becausethiswasacquiredinJuly2010.

JubilantAgriandRetailPrivateLimitedisasubsidiarycompanyofJubilantIndustriesacquiredinFebruary2011.Thereportincludesallmajoractivitieswhichhavesignificantimpactonsustainability.However,certainaspectssuchasemissionsduetoemployeetravelandmovementofgoodshavenotbeen included in the report.TheDatameasurement techniquesadopted for reportingarebasedon itspracticability.Allresourcesconsumedarebasedonactualmeasurement.However,intheabsenceofcontinuousmonitoringsystemforstackemission,sampledatahavebeenextrapolatedtoderivetheresults.Further,thecompanywillstrengthenthesystemofcollectingHSD/EnergydataatSahibabadsite.Therearenore-statementsofinformationinthereport.Previousyear’sfiguresarenotreportedasthisbeingthefirstreportofJubilantIndustries.ActualdatafortheperiodofNovember2010toMarch2011iscompiled.However,thedataofApril-October2010isextrapolatedinthereportwhereverapplicable.

TheChiefofEHS&SustainabilityofJubilantLifeSciencesisoverseeingtheCorporateSustainabilityReportingofJubilantIndustriesalso.Thecontactpersonforanyquestions/clarification/feedbackrelatedtothisreportis;

dr. y. K. saxenaChiefofEHS&SustainabilityJubilantLifeSciencesLimited1A, Sector 16A,Noida–201301UttarPradesh,IndiaPhonenumber:+911204361987email: [email protected]

3.1 The repOrT


Amulti dimensional process tocapture core sustainability issues hasbeenfollowedforthisreport.The Company recognizes thatthere isway toaligncompany’sreporting process and continueto improve for integrity andaccountability.Analysisoftheseissues is an important input to company’sbusinessstrategyandrisk management framework.This report content has been defined as per GRI guidelines.The report is structured in six major focus areas whichare the essential elements ofSustainability related to the Company’s business. However,other required details are alsocovered.

Thefocusareasare:

Risk and opportunitiesManagement

ClimateChange&SustainableBehaviour

CaringfortheEnvironment

Continualfocusonsafety

Growing with communitiesforinclusivegrowth

Value sharing withEmployees

TheCompanycontinuestoseekto improve its SustainabilityReporting, moving beyondcompliance for Sustainabilityand believe to informcompany’s strategy and longterm integration of economicdevelopment, environmentalquality and improve socialperformance.

This report has been verified byM/s Ernst & Young Pvt. Ltd. and theAssuranceStatementisgivenbelow;

There are no re-statements of information in the report. Previous year’s figures are not reported as this being the first report of Jubilant Industries.

3.2 The assuranCe




3.3 The business sTruCTure

JubilantIndustriesLtd.istheflagshipcompanyoftheJubilantBhartiagroup.TheCompany’sdiversifiedportfolioofAgriproducts,PerformancePolymersandIMFLbusinessesdeliversbroadrangeoftechnologybasedproductsandsolutionstocustomersinIndiaaswellasglobally.Overtheyears,thisbusinesshasattainedasignificantsizeinIndiaandtheCompanyaimsatscalingupitsbusinessinglobalmarkets

TheCompanyhasbeendemergedfromJubilantLifeSciencesLimitedonNovember15,2010,and listedonBombayStockExchange(BSE)andNationalStockExchange(NSE)witheffectfrom February 14, 2011. The Company’s head office is inNoida,Uttar Pradesh, India andservicescustomersaroundtheglobewithits5manufacturinglocationsinfourstatesofIndia.Theseincludes;Gajraula&SahibabadinUttarPradesh,KapasaninRajasthan,NirainMaharashtra,andSamlayainGujaratandastrongteamofover600peopleincluding250salesandmarketingworkforce.TheCompanyisamemberofFertilizerAssociationofIndia(FAI)andInternationalChewingGumAssociation(ICGA).

TherevenuesoftheCompanyforFY2011standat`5539.90Millionwith46.40%ofthisrevenuecomingfromPerformancePolymersbusinessand47.17%fromAgriProducts.Thetotalcapitalizationbrokendownintermsofdebtandequityis`42.33million and `80.14millionrespectively.

TheCurrentLeadershipPositionsofeachbusinesssegmentofJILisgivenbelow;

TheCompany’sstrategicfocus istocollaborateandacceleratetheprocessofdeliveringtheproductstothemarketfor itscustomers’.AtJIL, theemphasis isgiventocatertotheneedsofthecustomersthroughgoodqualityservicesandproductsbeingmanufacturedatthemanufacturingplantsoftheCompany.Thebusinessworkscloselywithcustomersusingresearchanddevelopmenttointroducerequiredsolutionsandproductstosuittheendconsumer’sneeds.

AmongstTop4brandsinIndiaforSingleSuperPhosphatefertilizerandasignificantagronutrient

playerNo.1inIndiaandglobally

amongstthetop3forPVAinsolidformforchewinggum

base

No.1inIndiaandamongstthetop3playersgloballyforVinylPyridineLatexforautomobiletyresand

conveyorbelting Consumerbrand“Jivanjor”isthe2ndlargestbrandinIndiainconsumeradhesivesandasignificantplayerintheIndianwoodfinishesmarket

sahibabad

gajraulaKapasan

samlaya

nira

agriprOduCTs

fOOdpOlymers

VplaTeX

COnsumerprOduCTsdiVisiOn


3.0 Report, Assurance and Business StructureInlinewithcompany’scontinuedfocusonSustainabilityofthebusiness,TheCompanyaimsatimprovingstakeholdervaluethroughimprovedecoefficientuseofcapitalandnaturalresources.TheCompany’sapproachtosustainabledevelopmentfocusesonthetriplebottomlineofEconomic,EnvironmentandSocialperformance.Thesocialresponsibility isan integralpartofhowthebusiness isconductedandtheeffortsaredirectedtowardscommunitydevelopment,throughinitiativesintheareasofprimaryeducation,basichealthcareandlivelihoodgenerationprograms.

JubilantIndustriesLtd.hasbeenaregisteredcompanyundertheCompany’sActbyRegistraroftheCompanies,Kanpur,UttarPradeshandisaPublicListedcompany.TheCompanyhasnojointventures.However,JubilantAgriandRetailPrivateLimitedisasubsidiarycompanyofJubilantIndustriesacquiredinFebruary2011andtheportfoliooftheCompanyincludes;

AgriProductssuchasCropNutrition,CropGrowth&CropProtectionproductsandindustrialproductslikeSulfuricAcid

PerformancePolymerproductssuchas:

Consumerproductslikewoodworkingadhesives,woodfinishes,footwearadhesivesandepoxysealantproducts

Food polymer like Solid Poly Vinyl Acetate

LatticessuchasVinylPyridineLatex,SBRLatexandNBRlatex

IndianMadeForeignLiquor-BottlingofIMFL

agriCulTural prOduCTs diVisiOn

TheCompany’sagriculturalproductsdivisionisclassifiedintofoursegmentsofcropnutrition,plantgrowthregulators,cropprotectionandindustrialchemicals.Allagriculturalproductsaresoldunderthebrandname‘Ramban’.ThesalesareprimarilytotheNorthernhalfofIndiaandarewellknowninthesemarketsbythefarmingcommunityforitsquality,consistencyandreliability.

product line products and services sector/industry/ Customers

CropNutritionproductssuchasSingleSuperPhosphate(SSP)FertilizernamelyRamban&marketingofotheragriproductse.g.Bentosulph,Sulphagold,RambanBhooSanjeevani(organicmanure)&NutraPlus.

Thiscategoryofproductsaidinincreasingthecropyield&qualityofplantsandhelpconditionthesoiltoprotectplantsagainstcropdisease.

Agriculture

Cropgrowthregulatorproductssuchas‘Vam-C’,Ripex,PowerPlus,etc.

Itprimarilyaidtoincreaseplantgrowth&balancematuritybycurtailingtheunwantedvegetativegrowth.

Agriculture

Cropprotectionproductscoverawiderangeofinsecticides,herbicidesandfungicides

Tradingofcropprotectionproductsatvariousstagesincludingfromseedsowingtoharvesting.However,itisnotmanufactured,theexistingchannelisusedfortradingtheproductse.g.Ikon,Cartex,Atler,CymaxandRaideraresomeoftheinsecticideandpesticideproducts.Inaddition,Fire,ClodinoxformapartofherbicideproductportfolioandVozim,HexonandVozimPlusformapartoffungicidesproducts.

Agriculture

IndustrialChemicalssuchasSulfuricAcidand Sodium Silico Fluoride

SulfuricacidismainlyforcaptiveconsumptioninSSPproductionandsoldcommerciallyforindustrialusealso.SodiumSilicoFluorideismarketedtomainlyglassindustry.

SSPindustry,Soap&detergentindustry,fertilizers,sugarrefiners,colors,dyes,paper&thealuminumindustry,glassindustry


Thesuccesssofarinthebusinessisanoutcomeofstrategicvisiontoattainleadershipposition.Thisisdrivenbyacultureofinnovation,theCompany’sfocusondeliveringqualityproductsandservicestoitscustomers.TheCompanybelievesinInclusivegrowthi.e.growthofthekeystakeholdersalongwiththeCompanyandencouragestransparency,accountabilityandgoodgovernancepracticesacrossallfacetsofbusiness.

Jubilant Industries strives towards sustainablebusiness i.e. businessnot justbasedonfinancial performance,butwith abroader setofdevelopmentgoals.JILconductsitsbusinessinaccordancewiththeconceptof“TripleBottomLine”focusingequallyoneconomic,socialandenvironmentaspectsofsustainability.

TheCompanycontinuesitsfocusonsustainabilityofthebusinessandaimsforimprovingstakeholdervaluethroughimprovedefficientuseofcapitalandnaturalresources.Thesocialresponsibilityisanintegralpartofourbusinessandalleffortsaredirectedtowardscommunitydevelopment,throughinitiativesintheareasofprimaryeducation,basichealthcareandlivelihoodgenerationprograms.TheseareperformedthroughJubilantBhartiaFoundation(JBF).

perfOrmanCe pOlymer prOduCTs diVisiOn

ThePerformancePolymersdivisionisoneoftheleadingmanufacturersofproductssuchasVinylpyridinelatex,Adhesives,Woodfinishes,Speciality polymers and Food

product line products and services sector/industry/ Customers

Jivanjor-Adhesives Arangeofreadytousewoodadhesives,suitableforwoodjoinery.Thewaterbasedadhesivescomprise,PolysticHero,VambondExcelandAllRounder.JivanjoralsoofferscontactadhesiveChampionwhichisasyntheticrubberbasedadhesiveforexceptionalfastdrying&verticallamination.

Woodworking

Jivanjor-woodfinishes Woodfinishesareusedinstainsandancillariesfordecoration&protectionofwoodenfurniture.ThewoodfinishincludesPolyurethanefinish,MelamineNon-yellowingfinish,Melaminefinish,Nitrocellulosefinish&PUAlkydfinish.Ancillarieslikesealers&thinnersarealsooffered.

Woodworking

Jivanjor-footwearadhesives Rangeoffootwearadhesivescomprisessyntheticrubberbasedadhesivesandtwocomponentpolyurethaneadhesives.TherubberbasedadhesivesareRB1001F,RB1003,RB1005andFOAMBONDwhilethetwocomponentpolyurethaneadhesives,includePU2000,PU 2001 and PU 2002.

Footwear

Jivanjor-epoxysealants Rangeofepoxysealantsforanyrepairjoblikesmallcrackandleakages,thevariantsincludePlumber’sseal,MixnFix,FastSeal,WhitePutty,10MinutePutty,IndustrialGradeEpoxyandWetSet.

Plumbing/Domestic

Food Polymer - Solid Poly Vinyl Acetate (SPVA)

SolidPVAisthemajorrawmaterialformakingChewingGumandBubbleGum.AllgradesofPVAhavebeendevelopedbyextensivein-houseR&DeffortsandtechnologyimprovementsandconformtoInternationalstandardsforfoodGradequality.

ChewingGum

Latex - VP latex, SBR latex, NBRlatex

VPLatexisusedformanufacturingoftyrecorddippingandconveyorbeltfabric.SBRlatexisusedinabovetyrecordfabricwhileNBRlatexusedinAutomotivegasketbindingapplications.

Tyre industry


3.0 Report, Assurance and Business Structureawards & reCOgniTiOn

JubilantisproudtomentionthereceiptoffewmostprestigiousawardswithinamonthofformationoftheCompany.Theseinclude;

Frost & Sullivan Award 2010 for Competitive Strategy Leadership for Water Based Adhesives

TheCompanywasrecognizedbyFrost&SullivanasVisionariesforanOutstandingandExceptionalPerformanceinChemicals,MaterialsandFoodAwardatanOstentatiousCeremonyheldinDecember,2010inMumbai.Theawardwasforshowcasingunparalleledinnovationacrossawidevarietyofproductsandservices.Thenomineesandawardrecipientswereidentifiedbyadiligentprocesstakingintoconsiderationperspectives from customers, experts and thought leaders within theindustryalongwithFrost&Sullivan’sknowledgeontheindustries,whichhasbeenacquiredthroughyearsofcontinuousresearchandtracking.

Theerudite jury includedpersonalities likeMr.SanjayLaud,GlobalVicePresident,BioplusLifeSciences;Mr.GMTewari,Ex-ChairmanandGoverningBoardMemberofProteinFoodsandNutritionalDevelopmentAssociationof India (PFNDAI); Dr. R Rajagopal, Director, Knowgenix; Mr. Rajeev M Pandia, Ex MD of SI and Past President, ICC;Mr. Ramesh Alur, General Partner, Ventureast; Dr. Hirwani,Director,URDIPCSIR;andDr.AnandRamanathan,Manager,KPMG.

Ms. Mamta Wadhwa, Senior Director, Chemicals, Materials and Foods practice, Frost & Sullivan.

The Water based Adhesive industry is faced with several key industry challenges that companies must address to succeed. Jubilant possesses an enviable and broad range of products allowing it to act as a one stop solution for all customers needs. Today Jubilant is one the few organizations offering a unique set of capabilities based on a deeper understanding of competitive offerings relative to customer needs


Fertilizer Association of India Award 2010 for Environment Protection for Single Super Phosphate, Kapasan Plant

The Company’s Fertilizer unit at Kapasan, Chittorgarh received huge honor onreceiving prestigious Fertilizer Association of India (FAI) Environment ProtectionAward in the SSP fertilizer plants category during their Annual Function held inNovember2010inNewDelhiinpresenceofapprox.2000nationalandinternationaldelegates fromFertilizers industriesacross theglobe.Theawardwas receivedbyCEOandWholeTimeDirectoroftheCompanyfromtheHon’bleUnionMinisterofChemicalsandFertilizers,Mr.MKAzhagiri.ThisawardwasadjudgedonfulfillmentoftheparametersofEnvironmentProtectionmeasurestakenbytheCompanyandwascomparedwithalltheSSPunitsacrossthecountry.

Greentech Safety Gold Award 2011 in Chemical sector for Outstanding Safety Management

The Company received Greentech Safety Gold Award in Chemical sector foroutstandingachievementinSafetyManagementforGajraulaplant.TheawardistheacknowledgementofCompany’sworkandcommitmenttowardssafetymanagementin its business operations making them safer operations and environmentallysustainable.


4.0 Transparency and Accountability4.1COrpOraTe TransparenCy and aCCOunTabiliTy

TheTransparencyandAccountabilityisthemainindicatorofgoodgovernance,whilegoodgovernanceisapre-conditioninachievingSustainability.Infact,JubilantIndustriesfirmlybelievesthatthetransparencyandaccountabilityareinterrelatedconceptsandmutuallyreinforcing.Without transparency there couldn’t be any accountability. Unless there isaccountability,transparencywouldbeofnovalue.Theexistenceofbothcontributestoaneffective,efficientandequitablemanagement.

The transparency refers to sharing informationandacting in anopenmanner.It allows stakeholders togather information thatmaybe critical touncoveringissuesandtheirinterests.Transparencyisbuiltonthefreeflowofinformation.Processes,institutionsandinformationaredirectlyaccessibletothoseconcernedwiththem,andenoughinformationisprovidedtounderstandandmonitorthem.Accessible information means more transparency. The Company’s initiativeforCorporateSustainabilityReportwithinsixmonthsof its formation isa stepforwardfortransparencyandaccountability.

TheBoardofDirectorsoftheCompanyistheapexgoverningbodyresponsibleforframingandimplementationofcorporategovernancepolicies.TheBoard,withtheobjectiveofcreatingsustainablevalueforallstakeholders,providesvisiontotheCompanyandoverseesthemanagement’sdecisions.TheBoardhasfosteredaspiritofconstructivecriticismandcreatedacultureoftransparencythroughouttheorganization.Jubilant’soperationsarelookedafterbythehighestExecutiveOfficeroftheCompany,whoisCEOandWholetimeDirector.TheCEOandWholetimeDirector isnotapromoterorfounderoftheCompany.TheremunerationofCEOandWholeTimeDirector is paidonly after approval by theBoardandShareholders.

TheDirectorsarepaidsittingfeestomeettheexpenses incurredbytheminattendingtheBoardmeetings,whicharedulyapprovedbytheBoardofDirectorsandareinaccordancewithGovernmentguidelines.Further,non-executivedirectorsarealsopaidcommissiononanannualbasis,inordertocompensatethemforthetimeandeffort.SuchcommissionissubjecttotheapprovalofBoardandshareholders. Presently,theCompanyhasnotadoptedaformalmethodforevaluatingtheperformanceofnon-executiveBoardmembers.Theperformanceevaluationoftheexecutivemembersisbasedontheresultsachievedintheirrespectiveareas.

TheCompany’sexecutivecompensationpoliciesarestructuredinlinewiththecurrentbusinessnormsandpractices.ThecompensationisgiventotheCompany’sexecutivesonthebasisoftheirachievementsonnon-financialparametersalso.

TheCompanyalsohasvariousBoardlevelCommittees,whichincludeAuditCommittee,InvestorsGrievanceCommittee,andRemunerationCommitteetomeetregulatoryrequirementsaswellastodischargethesecriticalfunctionsasdelegatedbytheBoard.TheothercommitteesareFinanceCommitteeandListingCommittee.

ThereareinformalproceduresinplaceforappointingmembersoftheBoardwhereinthecompositionoftheBoardisstudiedtoassessifthere isaproperbalance inplaceatthestrategic level.ForappointinganewDirector,suitablecandidatesareshort-listed,basedonthecriteriasetbytheBoard,includingtheareaofexpertise/specialization.TherightoffinalselectioniswiththeBoard.


TheCompany’sBoard isa judiciousmixofexecutive,non-executiveand independentdirectors.Outof thetotalofsixdirectors,fivearenon-executiveandoutofthesethreeareindependent.Non-executivedirectorsarethosewhoarenotassociatedwiththeCompanyinanexecutivecapacity.An independentdirector isanon-executivedirectorwhoapart fromreceivingdirector’s remunerationdoesnothaveanymaterialpecuniaryrelationshipwiththeCompany.Thereisnoformalwrittenpolicyforconflictresolution.Theconflictswithinseniormanagementlevelareresolvedthroughinformalchannels.

TheBoardhasalsoconstitutedaSustainabilityCommitteeforbettermanagementofEconomic,EnvironmentandSocialperformanceaswellasinitiativesformitigationofClimateChange.TheformationofSustainabilityCommitteewithinashortperiodofformationoftheCompanyistestimonyofCompany’scommitmentforSustainability.

TheBoard/Committeesregularlymonitor:

Internal Audit Reports

RiskManagementProcesses

Businessstrategyandlongtermplans

Financialperformance

ForeignExchangeexposures

Statutory compliance

Further,toensureeffectiveimplementationofBoard’spolicydecisions,thereareseveralExecutiveCommittees,comprisingCEO&WholeTimeDirectorandseniorofficialsoftheCompany.TheBusinessHeadsareresponsibleforsupervisingandoverseeingthefunctioningoftherespectivebusinesses,includingthedevelopmentofbusinessstrategiesandplans,withdueconsiderationtotheinterestsofstakeholders.AttheAnnualStrategyMeet,theChairmanandtheCEO&WholeTimeDirectorreviewthesebusinessstrategies.TheManagementTeamofJubilantispresentedbelow:

Accessible information means more transparency. The Company’s initiative for Corporate Sustainability Report within six months of its formation is a step forward for transparency and accountability.

bOard Of direCTOr

CEO & Whole-time Director

CfO

Treasury BU Head - Agri

bu head - Cpd

accounts

Taxation

Legal

businessunit heads

Companysecretary

bu head - Vpl

bu head - spVa

Heads - Mfg head - sCm head - hr head - r&d

mis

eXpOrTs

head - Techserv

businessexcellence

ehs &sustainability


TheCompanyhasbesttalenttolookaftertheinterestoftheshareholders.ThisconsistsofHeadofFinance,Business,Manufacturing,SupplyChain,R&D,HumanResourcesandBusinessExcellenceetc.However,presentlytheEHS&Sustainabilityisoverseen&guidedbyChiefofEHS&SustainabilityofJubilantLifeSciences.Infact,theseactivitiesatplantlevelareperformedbyateamofEHSpersonnelandthisteamfunctionallyreporttoChiefofEHS&Sustainability.

TheactivitiesofEnvironment,Health&SafetyrelatedareassuchasmitigationofClimateChangeandSustainabilityetc.arealsooverseen&guidedbyChiefofEHS&SustainabilityofJubilantLifeSciencesduringthereportingyear.TheCompanyalsohasseveralpoliciesonlaborpracticesandHead-HRistheseniormostofficersresponsibleforlaborpracticesoftheCompany.Thespecificgoalsaremonitoredasindicatorfor laborpractices. TheCompanybelievesand respect inhuman rights.HumanRights issues suchas freedomofassociation, collectivebargainingandabolitionofchildlaboretc.areaddressedaspervariouspolicies.Duringthereportingperiod,therewasnocaseofhumanrightsviolation.

TheCompanyiscontinuallyworkingtoimprovethequalityofservicerenderedtoitsstatutoryrequirements.TheAnnualGeneralMeetingisimportantplatformwhereshareholderscansharetheirvaluablesuggestionsandideaswithdirectors.

Dueconsiderationwillbegiventothesuggestions/ideasgivenbytheshareholders,andtotheextentfoundpracticable,appropriateandintheinterestsoftheCompany,suitableactionsaretaken.Theminutesofthemeetingsofmemberswillbepreparedasperrequirementsoflaw.TheCompanysendshardcopyofNoticeofAnnualGeneralMeetingandAnnualReporttoshareholders.AcopyofthisSustainabilityReportwillbeforwardedtoalltheshareholdersalongwiththeAnnualReportaswellastootherkeystakeholders.

TheProfitisintegraltosurvival.Itrevives,renewsandreplenishes.Withoutasurplus–especiallyinsustainableway-therewillbenofundstoinvestintheenvironmentalandsocialdriversofsustainabledevelopment.TheCompanyconstantlyfocusedongrowingbusinesswiththeobjectivetoenhancevalueforallthestakeholders.StrongfinancialmanagementandgrowthacrossthevaluechangeenabletheCompanytoundertakeenvironmentalandsocialinitiativesyearafteryearwithoutcompromising.TheCompanyhasadoptedERPsystemforfinancialaccountingandreporting.ThemainproductsoftheCompanyforthereportingyearareasfollows;

s.no. products Quantity per annum

1 PolymersincludingCo-PolymersandVPLatex 37,139MT

2 SSP 276,771MT

3 SulfuricAcid 59,911MT

4 AgriChemicals 779KL

5 IMFL 6,197KBL

6 Biocompost 5,550MT

The revenuegeneratedwas`5539.90millionduring this year. The revenuewas`2613.30 and `2570.40million forAgri&performancePolymerbusinessrespectively.Therevenuegenerationfromotherbusinessanddiscontinuingoperationswas`22.30millionand&`333.90respectively.Theregionwiserevenuegenerationfromexportsisgivenbelow:

Sales revenue by Geographic Markets ` in million

Americas&Europe 2,98.64

China 1,16.43

Asia&Others 2,12.54

Total Exports 6,27.61Therevenuegenerationfromexportis`627.61Millionwhichis11.33%ofthetotalrevenuegeneration.


4.2eCOnOmiC TransparenCy and aCCOunTabiliTy


The Value disTribuTiOnThecontinuoussupplyofqualityrawmaterialisimportantforanybusiness.TheCompanyhasbeenworkingwithitsPartnerinProgresstoensuresustainabilityofthebusiness.Asignificantpartofrawmaterialsandsupplyprocurementisdonebyadvancepaymentorthroughletterofcredit.TheCompanyprocuresmajorpartofthematerialsfromthelocallybased(withinIndia)suppliersandtriestoconnectourPartnersinProgresswithGreenSupplyChainManagementasdefinedinthepolicy.Themainrawmaterialconsumedduringthereportingyearisasfollows;

s.no. raw materialsQuantity

(mT per annum)

1 Process Chemicals 8171

2 Rock Phosphate 160248

3 Sulfur 82621

4 ChemicalsforLatex 3647

5 Vinyl Acetate Monomer 8196

Thedetailsofmajorexpensesformanufacturingsuchasrawmaterial,powerandfuel,advertisementandpublicityetc.aregivenbelow;

item ` in million

Purchases–Tradedgoods 60.04

RawandProcessmaterialsconsumed 3065.96

PowerandFuel 168.20

Stores,spares,chemicals,Catalyst&packagingmaterialconsumed 349.59

Processingcharges 1.27

Advertisement,Publicity&Salespromotion 33.84

Printing&Stationery 4.67

Communicationexpenses 7.88

AuditorsRemuneration - As Auditors 0.51

-Fortaxationmatters 0.13

-Forcertification/advices 0.47

Legal,Professional&Consultancycharges 31.19

Freight&Forwarding 320.51

Total 4044.26

Thestaffcostasapercentageofnetsalesis7.74%ofnetsalesinFY2010-11.Thedetailsregardingsalaries,contributiontoProvidentFund,Gratuityetc.aregivenbelow;


TheCompany’sretainedearningsandreservesare`2720.29Million.Thedividendpayoutforthereportingyearincludesthedividendtaxanditispresentedbelow;

dividend Value

Totaldividendpayout `27.94Million

%dividend(onfacevalueof` 10) 30%

ThedetailsoftheCompany’scontributiontothepublicexchequeraregivenbelow;

Taxes ` in million

Corporate Tax 118.02

TaxonDistributedProfitsonEquityShares(Provision) 3.90

ExciseDuty 250.86

Total 372.78

ShareholdingPatternoftheCompanyasonMarch31,2011isasunder:

TheCompany receives subsidies for themanufactureof fertilizers,which isanAgrovetproduct.During theyear, theamountof subsidyreceivedfromtheGovernment,is`1379.43Million.


19.76%

indian public/ Others

47.51%

promoter/ group Company

20.86%

fiis/nris/ Foreign Bodies

2.04%FI/Bank/

mutual funds

9.83%Corporate

bodies

item ` in million

Salaries,Wages,Bonus,Gratuity&Allowances 383.68

ContributiontoProvidentFund&SuperannuationFund 23.48

StaffWelfareExpenses 21.73

Total 428.89


The Sustainability issues - environmental, social or economic - can present risks toorganizationsaswellasopportunitiesthatmaycontributetothesuccessoftheCompany.Ingeneral, sustainability risksandopportunitiesarenotadequately coveredbyexistingmanagement approaches. Today’s business environment, remains challenging for theCorporateWorld and riskmanagement retains its positionhighon everyorganization’sagenda.ThesearewellunderstoodbytheCompanyandadequatemeasuresandsystemsare in place.

Thebusinessdynamicsarechangingwhichbringinnewriskhorizons.Theabilitytoanticipatethreats,respondandcontinuallyadaptisacriticalpartoftheriskmanagementprocessGlobaloperationsandcontinuousenhancementinproductpipeline,capacitiesandtechnologiescoupledwithintensifyingcompetitionposesignificantchallengesandrisksfortheorganization.Suchrisks,ifnotperceivedinatimelymanner,couldadverselyimpactaccomplishmentoftheoverallobjectivesoftheorganization&itssustainability.Theriskandopportunitiesarisefromthree principle areas:

OperationalrisksandopportunitiesfromtheCompany’soperations.

ExternalrisksandopportunitiessuchasClimateChange.

Relationshiprisksandopportunitiesfromtheinternalandexternalstakeholders. Thesustainabilityriskandopportunityrequiresariskmanagementprocess.

AtJIL,theriskmanagementprocessesisinplace.However,furtherthekeystagesofa sustainabilityriskmanagementprocessinclude;

Identifyandassesskeyrisksandopportunities.

Workaspercommitmentandprovidereassurance

DefineCompany’ssustainabilityriskstrategy

Identifysignificanceandprioritiesformarketopportunities

Implementriskmanagementplan

Monitorandreview

Establishprocessforcommunicationtointernal&externalstakeholders.

Aneffectiveriskmanagementframeworkenhancestheorganization’sabilitytoproactivelyaddressitsrisks&opportunitiesbydeterminingariskresponsestrategy&monitoringitsprogressonadynamicbasis.This,ineffect,helpsindrivingcontinuedcompetitivesustainabilityofanorganizationasitenablesalignmentofitsoperationsandactivitieswithitsvisionandvalues.

Inthecurrentbusinessclimate,wheretherearereputationthreatsandarisingpoliticalbacklash,thecompanieswillneedtotreadcarefullytomaintainthetrustofpublic. TheCompany’sturnoverandprofitcanbechallengedbysomeofinternal&externalchallenges.TheCompanyhaspotentialtoconvertthesechallengesintoopportunitieswithanobjectiveofcreatingvalueasperaboveriskandopportunitymanagementprocess.Thereviewofthekeyimpacts,risks&opportunitiesfortheCompanyispresentedbelow;

pOTenTial finanCial impliCaTiOns and risK TO prOfiTabiliTy As part of Company’s growth strategy, the plan is to expand production capacity& services and further acquiring and developing new

5.0 Risks and Opportunities


5.0 Risks and Opportunitiesbusinesses&productsinthegrowingmarket.However,thereisafinancialrisk,ifnotcompletedinscheduledtimeorwiththeestimatedresourcesforthesame.Tomitigatethisrisk,theCompanyhasastrongteamforeffectiveimplementationofsuchprojectsinstipulatedtimeand resources.

IftheCompanycannotmaintaincostefficiencyintheproductsegments,itmaynotbeabletocaptureanticipatedbusinessopportunitiesoritmaylosemarketshare,asaresultofwhichitsbusinessfinancialconditionandresultsofoperationsmaybeadverselyaffected.Understandingthisasanopportunityanddriverforbusinessgrowth,theCompanyfollowsleanmanufacturingtechniques,alternateresourcemanagementandsixsigmainitiatives.SignificantvariationsinthecostandavailabilityofrawmaterialsandenergymayreducetheCompany’soperatingresults.Ingeneral,thepricesandavailabilityoftherawmaterialsandenergymayvarywithmarketconditionsandmaybehighlyvolatile.Whereverfeasible,TheCompanyentersintolongtermcontractswithvolumecommitmentsandpriceswhicharelinkedtokeyinputmaterialpricestomitigatetherisk.

risKs due TO regulaTOry requiremenTForcontinuedoperationsof theCompany’smanufacturing facilitiesandtomeetthegrowthplansbycapacityexpansion,environmentalapproval isvery importantandnecessary.Theseenvironmentalapprovalsaresubject to thecompliancewith therecommendationsandnormssetbythestatutoryauthorities.Anynoncomplianceinthese,mayleadtodiscontinuationofoperationsordelayinrequiredapprovalforcapacityexpansionorgreenfieldprojects,thismayleadtohighercost.Toavertthisrisk,theCompany’sproactiveapproachforcomplianceprovidesanopportunityoftoavoidthedelayinenvironmentalapprovals.

TheEnvironmentalperformancemonitoringmechanismisputinplacetomapandtrackallsuchoperationsandisreviewedtimetotime.Similarly,foranynewactivitiesenvironmentalandSafetyrelatedaspectsareassessedattheprojectstagealongwithitsmanagementplan.Basedonwhichprocedureforobtainingtherequisiteenvironmentalapprovalsforanynewplant/expansionisinitiatedbeforehand.

TheCompanybelievesthatcompliancewithstringentenvironmentalregulationsmayaffectthebusiness.SomeofCompany’smanufacturingoperationsinvolvehazardouschemicals,processesandby-products.TheCompanyanticipatesthatenvironmentallawsandregulationsinthejurisdictions,whereitoperates,relatingtothedischarge,emission,storage,handlinganddisposalofavarietyofsubstancesthatmaybe used in or result from its operations,may becomemore restrictive and enforcedmore strictly in the future. It also anticipates thatcustomerrequirementsastothequalityandsafetyofproductionprocessesandproductswillcontinuetoincrease.Inanticipationofsuchrequirements, theCompanyhasallocatedadequateresourcestoproactivelyadoptand implementcontrolmeasuresto itsadherencetoenvironmentalqualitystandardsandenhanceitssafetylevels.

At JIL, thechallengesduetocompany’soperationsrelatedtoEnvironment,HealthandSafety (EHS)aspects for thebusiness,employees &societyaremappedandmitigatedthroughaseriesof systematicanddisciplinedsetsofpoliciesandprocedures,whichareexplained below;

For existing plant operations, the audit team reviews the system regularly to achieve the overall objective of the organization andsustainability.

Assessmentof EHSaspects at the capital expenditure stageof thenewprojects aswell as expansion to address the same includingassessmentofneedtohaveseparateapprovalsand/orthesystems&investmentsaccordingly.

CarryoutEnvironmentalImpactAssessmentstudyfortheprojectsasperthestatutoryrequirementandobtainapprovalpriortosettingupofnewplantorexpansionofexistingfacilities.DeveloptheEnvironmentManagementPlantominimizetheimpactsidentified.

TheCompany’soperationsaresubjecttotheoperatingrisksassociatedwithChemicalmanufacturingandFertilizersincludingrelatedstorageandtransportationofrawmaterials,productsandwaste.Thesehazardsinclude,amongotherthings:pipelineandstoragetankleaksandruptures;Fire&explosions;andDischargesorreleasesoftoxicorhazardoussubstances.Suchhazardsmaycausepersonalinjury,propertydamage and environmental contamination, andmay result in the shutdown of affected facilities and the imposition of civil or criminal


penalties.Theoccurrenceofanyof theseeventsmaysubject theCompany to litigationand/orsignificantly reduce theproductivityandprofitabilityofaparticularmanufacturingfacility.

Tomitigatetheserisks,theHAZOPisalsousedforhazardidentificationprocesswhereintherisksareinvolved.Ateachandeverymanufacturingunit,regularsafetytrainingisalsoimpartedtoallconcernedtoupdatetheirskillsandresponsivenessonSiteEmergencyPlanstocontroleventuality,ifany.

TheCompanyhasprocessesinplaceforriskidentification,monitoringandmitigationandincidentmanagementrelatedtoemployeeandenvironmentalprotection,facilities,assets,products,compliance,reputationandcommunications.

Tomeetwiththeproductrequirementvariouschemicalsarehandledasrawmaterials,intermediatesorfinishedgoods.Someofthemarehazardousinnature,whichmayposefire/explosionhazardortoxicrelease.Similarly,incaseofanymajordeviationofoperatingparametersinmanufacturingfacilitiesmayresultintosomeundesirableincident.ThesafetycontrolmeasuresareinplaceinalltheunitssuchasproperselectionofMaterialofConstruction(MOC),Safetyreliefvalves,interlocks,FireHydrantsystems,etc.aspertherequirement.Inadditiontothis,eachandeveryactivityiscarriedoutasperdefinedSafeOperatingProcedures(SOP)andOperatingguidelinesforsafeoperations.TheCompanyhasalsotakenaPublicLiabilityInsurancepolicyforallmanufacturingunits.

AllthemanufacturingfacilitiesofJubilantIndustriesLtdexceptKapasanareaccreditedwithEnvironmentalManagementSystemISO14001andOccupationalHealth&SafetyAssessmentSeriesOHSAS18001certifications,whichexhibitscompany’scommitmenttowardssystemizedapproachforEnvironmentandSafety.TheGajraulaandSamlayaoperationswerecertifiedtomanagementsystems,howeverduetodemergerthecertificateinthenameoftheCompanyareawaited.

Single super phosphate business is likely to be affected by government regulatory controls on subsidies, pricing, disbursements and distribution. Any changes in public policy such as removal of price controls or pricing fluctuation or reduction/removal of subsidies ordisbursementofsubsidiesmayreducetheprofitabilityof thebusiness. However,company iskeepingagoodtrackonthesechangesofpoliciesandpricingetc.

risK due TO prOduCT sTandard COmplianCe

TheCompanyisgovernedbytheFertilizerControlOrder,1985underwhichitrequirestoobtainacertificateofregistrationtosell,offerforsaleorcarryonthebusinessofsellingoffertilizeratanyplaceasawholesaledealerorretaildealer.Further,certainproductsarerequiredtoconformtothestandardsasnotifiedbytheCentralGovernment/StateGovernmentintheOfficialGazette.IftheCompanyisunabletoobtaintherequisiteregistrationsorifitfailstoconformtothenotifiedstandards,thebusinessmaybeadverselyaffected.TheCompanyhasobtainedaCertificateofRegistrationtosellandmaintainthequalityoffertilizerproductsaccordingly.


5.0 Risks and OpportunitiesSimilarly,theSolidPVAandotherperformancepolymersalsorequireasetofqualitynormsforthevariouscustomers.Theseareobtainedasperqualitycontrolprocedures.

ToavoidtheadverseimpactontheCompany’sbusiness,aQualitypolicyhasbeenframedandrobustqualitycontrolandassurancesystemaredevelopedatalltheunitstoconvertthisriskandemergeasaqualityproductprovider.

risK due TO ClimaTe Change TheagriculturaloutputofIndiaissignificantlydependentuponweatherconditionse.g.monsoon,floods,draughtsetc.andmayaffecttheconsumptionoffertilizers.TheriskduetoClimatechangemayresultindecreaseinrainfallandreducedagriculturalproductionorviceversaduetoclimatechange.ThismayultimatelyandadverselyaffectCompany’sbusiness.

LowwoodavailabilityinthefutureduetoClimatechange,ifany,orincreasedusageofpre-laminatedboardsduetomodernconstructionmayresultincrease/decreasetheuseofwoodadhesives,whichmayeitherhaveanadverseeffectoncompany’sbusinessorimprovethebusinessprofitability.

planT shuTdOwn / disrupTiOn / reduCed CapaCiTy uTilizaTiOn risK

TheCompany’sbusinessisdependentonthemanufacturingunits.Thelossduetoshutdownofoperationsatanyofmanufacturingfacilitywillhaveanadverseeffectonthebusiness.ThemanufacturingplantatGajraulaandSamlayadrawtheutilitiesfromJubilantLifeSciences.TheeffluentiseithertreatedordisposedthroughJubilantLifeScienceseffluenttreatmentplantfacilityaspertheregulatoryconditions.AnydisruptioninunitofJubilantLifeSciencesLtd.mayaffectcompany’smanufacturingoperationsattheselocationsalso.However,theregularpreventive / operativemaintenance system followed at the plantswill help tomaintain the infrastructure facilities as per requirement.Further,JubilantLifeSciences,beinganenvironmentalconsciouscompanyalsomaintainstheinfrastructurefacilityandkeeptheregulatorycompliance inplace.Forutility,effluenttreatment,solidwastedisposal,Firefightingetc. Jubilant IndustrieshassignedagreementswithJubilantLifeSciences.Inaddition,adequateinsuranceprotectionhasbeentakenbytheCompanytoensurecontinuityinitsearningcapacity.AtGajraula,presenceofamajorworkforceinJLL’sresidentialcolonyadjoiningplantpremisesensuressustenanceofplantoperationsunderchallengingcircumstances.Duetothis,therewillnotbeanyimpactoncompany’soperation. The operations could also be affected by strikes,work stoppages or increasedwage demands by the employees. The Companymakescontinuouseffortsformaintainingtheharmonytoavertthisrisk.

Thedemandforpolymerproductusedinthemanufactureoftyres isdirectly linkedtotheperformanceoftheautomobile industry.AnyreductionindemandforautomobilesindustryduetoimportoftyresorchangeinGovernmentpolicymayleadtoaconsequentreductionindemand&reducedcapacityutilizationforthesame.

risK due TO prOfessiOnal TalenT

The Company’s dependence on Human Talentmakes it very important that it recruits and retains high quality employees. In case theCompanyfailstohireandretainsufficientnumbersofqualifiedprofessionalsinallfunctionssuchasmanufacturing,finance,marketing&sales,informationtechnology,humanresourcesandmanagement,it’sbusinessoperatingresultsandfinancialconditioncouldbeharmed.

TheCompanyhascommittedsubstantialresourcestothiseffort.Toexecute itsgrowthanddiversificationplans,whileononehand,theCompanycontinuestohirenew,highly-skilledscientificandtechnicalpersonnelattheOperationallevel.TheCompanyattractsthebesttalentinManagementpositionsandLeadershipLevels.TheHumanResourcesPoliciesareemployeefriendlyandsodesignedsoastopositivelyimpacttheEngagementlevelofEmployees.TheRewardRecognitionProgram,theCompany’sEmployeeWellnessProgram,aresomesuchprogramsthattheorganizationgivesduefocusontoimproveTalentRetention.Thejob-rotationandgrowthopportunitiesprovidedwithintheorganizationareagoodwayofengagingtalent.


Astheworldgrappleswiththegrowingimpactofclimatechange,societyisincreasinglyconcernedaboutGreenHouseGases(GHG)emissionsleadingtodroughts,floods,hurricanes&climateextremes.Nocountryorbusinesscanignorethecostof‘no’or‘deferred’actionformitigationofClimatechangeasitwillbehigherthanthe‘right’actiontoday.

TheCompanyisconsciousthattheClimateChangeandGlobalWarmingarechallengesthatneedtobeaddressedindividuallyaswellasatgloballevelforsurvivalandsustenanceofhumanbeing.Livingmoresustainablyisoneofthegreatestcollectivechallengesastheworld’sgrowingpopulationplacesoverevergreaterdemandsonitsnaturalresources.

ThestoichiometricquantitiesofCO2arereleasedforeverytonnesofcoalusedforgenerationofheatenergyintheformofsteamorhotairusedincompany’sprocessplants.CO2isalsogeneratedindirectlybytheuseofelectricityinvariousplants.However,variousinitiativesaretakenbytheCompanytoreduceitscarbonfootprintwhichincludesenergyconservationalso.Theinitiativesatlocationsinclude:

AtGajraula, inSPVAplant,theoperationoftheairblowerduringtheheatingmodeisoptimizedtosavepowerbyswitchingovertoon-offmode from continuousmode. These initiatives have reduced indirect energy consumption and the reduction achieved is in Powerconsumptionisapprox.5500kWh.Also,AirConditioners(Equivalentto120TR)werereplacedwithacentralizedchilledwatersystemthatsavesenergy.Greeneryincreasedbyapprox.1000sq.metersaroundpolymer&Fertilizerplants.Awarenessprogramonclimatechange,itscausativefactors&mitigationwereconductedforemployeesandtheirfamiliesanduseofenergyefficientelectricalappliancessuchasCFLsisencouraged.AtnewcorporateofficeoftheCompany,onlyCFLareinstalledforlightingtoconserveenergy.

6.0 ClimateChange& SustainableBehaviour


6.0 ClimateChange& SustainableBehaviourAtSamlaya,aseparateheaterforbarrelisinstalledformeltingofoneoftherawmaterial,HydrogenatedTelloFattyAcid(HTFA)handledinbarrelswhichnotonlymadetheactivitysaferbutsavedsteamconsumptionby60%whichwasearliermanuallyusedformelting.Inaddition,thishaseliminatedslipperyfloor&likelihoodofburninjuryduetomanualoperation.

Thetotalindirectenergyconsumptionispresentedbelow:

s.no. parameter unit Value

1Electricity Purchased KWh 22316135Energy Peta Joules 0.08

2Steam Purchased MT 13476Energy Peta Joules 0.04TotalIndirectEnergyConsumed Peta Joules 0.12

AtKapasan,VFDdrivesareusedinACmotorsforsavingenergy.Also,naturallightisusedduringdaytimeinoffices&usedpapersareusedasnotepads/writingpads/Internalprintingand&photocopyforconservationofpaper.TheCompanyactivelyparticipatedinGreenRajasthancampaignoftheGovernmentofRajasthanfortreeplantation.Inaddition,saplingsweredistributedtotheSchoolsinthevicinityofplant,VeterinaryhospitalandalsotothecommunityinSinghpur&Narellavillages.

Thetotaldirectenergyconsumptionfromfossilfuelispresentedinthetable.

s.no. parameter unit Value

1Coal MT 5412Energy Peta Joules 0.09

2LDO MT 73Energy Peta Joules 0.003

3HSD MT 233Energy Peta Joules 0.01

4FO MT 806Energy Peta Joules 0.03TotalDirectEnergyConsumed Peta Joules 0.14

before – Practice of Melting HTFA by using steam through loose pipes.

After – Heating unit for Barrel at Samlaya


AtGajraula&Samlaya,powerandsteamisprovidedbytheJubilantLifeSciences.AtGajraula,thepowerisproducedprimarilyfromcoalofwhich0.2%isfromHSD.Duringtheyear,indirectenergyuseis0.04Petajoules.

TheCompanyismakingcontinuouseffortstofurtherreduceitscarbonfootprintthroughvariousinitiativeslike:

ImplementationofClimateChangeMitigationPolicyadoptedonDecember4,2010.

Involvementofemployees tocreateawarenessaboutclimatechangeand inculcateresponsiblebehaviour inday-to-dayactivities like replacementofordinarylampswithCFLsandusingnaturallightduringdaytimeinofficesandathomewhereverfeasible.

CelebratingWorldEnvironmentday,Earthhourandothereventsforcreatingenvironmentalawarenessatalllevels.

Continuetoinvestininformationtechnologytoreducetheneedtotravelforinternalmeetings.

ThrougheachofCompany’slocationhasspecifictransportplans.However,it isencouragedtostafftousethelowestcarbonmodeof travelforbusiness-relatedjourneysandtraveltowork,wherepracticable.

TheGHGemissionsasperScope1andScope2of theCompanyGHGemissionsare12512tCO2eand16819tCO2erespectively.This iscalculatedonthebasisofweightedaverageemissionfactorasperUserGuideVersion6.0ofMinistryofPower,GovernmentofIndia.ThesteamgenerationatGajraulaisfromcoalandatSamlayaisfrombiomass.AtGajraula,theCompany’skeyrawmaterialrockphosphateisreceivedthroughrailwayracksfromJanuary2011onwardswhichwasearlierreceivedthroughtrucks.Thisinitiativeisatestimonyofcompany’scommitmenttowardsmoresustainabletransportthathasreducedindirectGHGemissionthoughnotquantifiedandincludedinthereport.

OntheoccasionofEarthHouronMarch26,2011,CEOandWholeTimeDirectorreleasedamessagewithanappealtoallfortheirparticipationinEarthHourandcontributeformitigationofclimatechangeanddemonstrateresponsibilitytowardsMotherEarth.

Come & join to Commemorate earth hour 2011March 26, 2011, from 8:30 p.m. to 9:30 p.m

AmailonEarthHourwascommunicateddownthelineamongallresidentsandemployeesforawarenessabouttheeventandthiswasalsodisplayedonthenoticeboards.

AtGajraula,theresidentsinthecolonywererequestedtoswitchoffthelightsandeverybodycametogetherforthisgreatglobaleffort.


6.0 ClimateChange& SustainableBehaviourAmessagewascirculatedtoallconcernedintheCompanybyCEOandWholeTimeDirectoronconservationofpreciousresourcesforourplanetbysettingexamplesforotherstofollow,especiallyourfuturegenerations.Everyonewasrequestedtoconserve:Paper–byviewingonelectronicmedia/PC,etcanddesistingfromtakingprintoutsunnecessarily;Water–bybeingcarefulinusageinhomes,offices,publicplaces,etc.;Power–byswitchingofflights/fans/TV’swheneverleavingaroom,bynotswitchingonanylightduringdaytimewhereverpossible,etc.;

TherearenoemissionsofozonedepletingsubstancefromtheCompany’smanufacturingprocesses.Further,theCompanyneitherusesCFCsinitsoperationsnorusesanyproductswithCFCs.TheCompanydoesnotpurchaseanyCFCdirectlyorequipmentcontainingCFC.UndertheMontrealProtocoltheuseofHCFCispermittedinIndiaandcompanyistopingsomeoftherefrigerationsystemforwhichdataiscurrentlynotmonitoredbecausethisispermittedasperOzoneDepletingSubstances(RegulationsandControl)Rules,2000,MinistryofEnvironment&Forests,GovernmentofIndia.TheuseofHCFCispermittedtill2015andcompanywillmakesuretobuyequipmentwithoutHCFCafter2015.

A Sustainability Council has been constituted at the corporate office of Jubilant Industries under the chairmanship of CEO andWholeTimeDirectortodrivetheSustainabilityinitiativesforintegratingwithbusinesses.ThemembersofthisSustainabilityCouncilarefromHR,Manufacturing,Business,FinanceandCorporateGovernancetostrengthenintegrationofSustainabilityintobusinesses.ThisissupportedbytheCorporateGroupofEHS&CSRofJubilantLifeSciences.Anin-housetrainingsessiononSustainabilitywasorganizedinDecember2010forthemembersofthecommitteeandotherstaffoftheCompany.

ThiscouncilwillworktoattainSustainabilityaspertheMission,Vision,PromiseandPoliciesonClimateChange,Environment,HealthandSafetyandGreenSupplyChain.


7.0 Caringfor EnvironmentAs an environmentally responsible company, continual efforts are made to reduceenvironmental impact through an extension beyond mere statutory compliance. TheCompany follows the 3R approach – Reduce, Reuse and Recycle; to conserve naturalresourcesandminimizeenvironmentalimpact.

TheEnvironment&SafetymanagementisestablishedasalinefunctionandtherespectiveLocationUnitheadsareresponsibleformeetingallEnvironmental&Safetyrequirementsatvariouslocations.However,ateamofcompetentandexperiencedprofessionalsisresponsibleinEHSdepartmentatalllocationsandtheyreporttoChiefofEHS&SustainabilityatCorporateoffice.

waTerThe Company understands business risks and opportunities relating to water scarcity and is committed to promote responsible watermanagement.TheCompanyacknowledgedthefundamentalneedformoredetailedworkonwaterconservation,efficiencyandproductivity.ThestrategyadoptedbytheCompanyistousewaterefficiently,recycleandreusewhereverpossible.

TheCompanymonitorstheamountofwaterusedbyindividualunitstoimprovetheconsumptionnormsbyimplementingvariousconservationefforts.Forminimizingusageofwater,variouseffortssuchasmoppinginplaceofhosingforcleaningoffloors,reusinglowgradedproductsforcleaningtheblendingvessels&reactorsofhighgradedproductsandregularmonitoringofwaterusageetc.arepracticedintheplants.

ThewateratGajraula,NiraandSamlayaunitsaresuppliedbyJubilantLifeSciencesaspertheagreement.

ThewaterconsumedinSPVAplantatGajraulaisreducedbyreductioninnumberofwashingofpolymerfrom3toonewashingandtheconsumptionhascomedownfrom2.5KL/MTto1.5KL/MT.Thishasresulted inTotalwaterreductionofapproximately600KL/Month.

TheCompanyhas also implemented rainwaterharvesting inorder to recharge thegroundwater.Toconservewater,recyclingofcondensatefromtheprocessispracticed.The Company continuously strives to reduce its water consumption and modifyprocessesthroughR&Defforts.

rain waTer harVesTing sTruCTure aT Kapasan

ground water55317 Kl

municipal & Other Utilities Water

194517 Kl

surface water12941 Kl

2010-11


7.0 Caringfor EnvironmentTheeffluentmanagementisonhighpriorityfortheCompanytoreduceitsecologicalimpact.TheCompanyisencouragingandfollowinginnovativeandefficientwaystoreducetheeffluent.Thereisnodischargeofeffluentfromanyofthemanufacturingfacilitiestoanysurfacewater body. The treated effluent is utilizedwithin the plants for horticulture purposes at all locations except Samlaya& Sahibabad. AtSamlayaunit,1781KLeffluentisdischargedthroughthefacilityofJubilantLifeSciencesforfurthertreatment&disposaltocommoneffluenttreatmentfacility.AtSahibabad,thetreatedeffluent240KLisdischargedintomunicipalseweraspertheconditionoftheStatePollutionControl Board.

AmajorachievementhasbeenproductionofSodiumSilicoFluoride(SSF)fromthewastescrubberwaterusedintheproductionprocessoffertilizerSingleSuperPhosphate(SSP)atKapasan.

Regular operations related to Effluent Treatment Plant and other environmental control measures are included in the overall cost ofmanufacturingoperationsofrespectiveunits.Inthereportingyear,theCompany’sexpenditureonenvironmentalprotectionamountedtoapprox. `4.6Million.

air emissiOns TheCompanyconsiderscleanairasanassetandcontinuestoenhancethetechnologyandupgradeprocessestoreduceitsimpactonthequalityofair.Airemissionsourcesaremainlyfluegasandprocessemissions.TheCompanyhasinstalledadequatetreatmentfacilitiestoensurenecessarycompliance.ThefluegasemissionsmainlyfromBoilers,FurnacesandDGsets,etc.areprovidedwiththeadequateheightofstackforeffectivedispersion.Forcontrolofparticulateemissionsmulticyclonesandbagfiltersareprovidedtomeetthestipulatedstandards.Regularmonitoringofallstacksiscarriedoutbythirdpartyalsofortheconcentrationofpollutantsbeingreleasedintotheatmosphere.Theairemissionsarewellwithinthelevelsstipulatedbytheregulatorybodiesandthesereportsaresubmittedtotheregulatoryagenciesperiodicallyasandwhenrequired.

TheCompany’sdirectemissionsofSO2,NOX,andparticulatematteraregeneratedmainlyfromtheusageoffossilfuelandfromtheprocessventsinitsmanufacturinglocations;whileindirectemissionsarethosegeneratedfrompurchasedelectricity.TheCompanymonitorsSO2

as well as NOx emission from its various manufacturinglocations.Thedetailsoftheseemissionsaregivenbelow;

TheCompanyusesthebesttechnologycurrentlyavailableandairpollutioncontrolequipmentatitsvariousmanufacturinglocationstominimizetheadverseenvironmentalimpactsdueto emissions.

Regular monitoring of the environmental parametersas suggested by regulatory agencies is carried out at allmanufacturinglocationsandreportsareregularlysubmittedto the statutory and regulatory authorities. The variousemission analysis confirm that existing emissions complywith the requirements and are well within the limitsspecifiedbytheregulatoryagency,asapplicableatrespectivemanufacturinglocations.ThesesystemsenabletheCompanytotrackemissionperformanceandtherebyreducetherisktocommunitiesandstafflivinginthevicinityofmanufacturinglocations.

2010-11150.00

100.00

50.00

0.00SO2LOAD142

PMLOAD73

NOXLOAD9

mT/

an

nu

m


wasTe uTilizaTiOn TheCompanyiscontinuouslyworkingtowardsWasteMinimizationthroughsystematically“reducingwasteatsource”.Thevariousmeasuresinclude; Preventionandreductionofwastegeneration Efficientuseofrawmaterialsandpackagingmaterials Encouragingre-use,recyclingandrecovery.

TheCompanygeneratesverylowquantityofhazardouswastefromitsoperationsandfollowsmethodologiestoreusethewastegeneratedintheplants.ThesulfurfromsludgeisreusedinthefertilizerplantatGajraulaUnit.AtSahibabad,waterbasedproductsreactorwashings,blenderwashingsandfiltrationwastearereusedinprocessforvariousproductsandmeetsthespecifiedproductquality.ReuseofSilicainSSPisanotherexampleofwasteutilizationinthefertilizerplantsatGajraula&Kapasan.

The hazardous wastes generated from Company’s operation are categorized into incinerable and non-incinerable wastes. At Gajraula,incinerablewastesareincineratedatSolidwasteincineratorofJubilantLifeSciences.However,atotherlocations,incinerableaswellasnon-incinerablewastesaresenttoauthorizedtreatment&disposalfacilityaspertheregulatoryrequirements.

Non-incinerablewastesatGajraulaaredirectlydisposedtoSecuredLandfillFacility(SLF)ofJubilantLifeSciences,whilethewasteoilgeneratedfromtheCompany’soperationissoldtoauthorizedre-processors.Thehazardouswastesduringtheyearweredisposedoffasperrequisiteapprovals.ThehazardouswastegenerationismaintainedinForm3asperprevailinglawsanditsdisposalismentionedbelow:

At Sahibabad, 215 L of used oil was sent to authorized disposal facility. TheCompanyhasalsosoldnon–hazardousmaterialsotherthanflyashduringthereporting year, which falls in the category of scrapmaterial. Thesematerialsincludemetal, plastic scrap, paper, packagingmaterial etc. The total quantitydisposedis42MT.

TheCompanyhasinitiatedproperdisposalofe-wastecomprisingofdiscarded,obsolete, or brokenelectrical or electronic devices. TheCompany’s operationinvolvedlotofchemicals,solventsaswellasotheraqueousmaterialandwastewater.Theoperationsarewellequippedwithstorage,handlingandtreatmentfacilitiestoavoidanyspillage.Nospillagewasreportedfromanyoftheoperationsduringthereportingyear.

The Company has not transported, imported, exported, or treated wastedeemed hazardous under the Basel Convention. During the reporting period,

WastemanagementpracticesareinlinewiththedisposalprocessstipulatedbytheStatePollutionControlBoardsandarewellwithinthepermittedlimits.

AllthemanufacturinglocationsoftheCompanydonotfallinoradjacenttoProtectedArea,Sanctuary,ReserveForestsorareaofimportanceofBiodiversity.Themajorunitsarelocatedinindustrialarea.Duetobetterenvironmentalmanagement,aestheticenvironmentaroundthemanufacturingfacilitieswasobservedtobeconduciveasanaturalhabitatformanybirds.TheCompanyhasalsoconductedAvifaunastudiesearlier.TheCompanydoesnothaveactivities,productsandservicesinprotectedareasandsohasnoimpactonthebiodiversityofsuchareas.

solid waste to slf (mT)

15.8

in-house reuse (mT)

385.5

solid waste incinerated (mT)

35.8

hazardOus wasTe


8.0 ContinualFocuson SafetyTheCompanyaimstoimprovethework-lifequalityofitsemployeesbyprovidingasafeandhealthyworkingenvironment.TheCompany’sapproachtohealthandworkplacesafetyisguidedbyitsEnvironment,HealthandSafetyPolicy.

At JIL, the challenge is to consistently maintain high safety standards that safeguard the health and wellbeing of employees and thecommunity.TheCompany’ssafetypracticesandoccupationalhealthfacilitiesareofhighstandard&bestpracticesandsubjectedtoongoingupgradation.

TheCompany intends that thebehavioralapproach to riskawarenessandmanagementwillmakeamajor contribution in reducingandimprovinghealthintheworkplaceacrossallthemanufacturinglocations.

a gOOd safeTy reCOrdTheCompanyaccidentrecordisgoodthroughthereportingofunsafeactsandconditionsthatcouldresultinanaccident.TheCompanywillcontinuetocampaignforincreasedawarenessandemployeeengagementatalllevels.TheCompany’sapproachforidentifyingunsafeactsandunsafeconditionsandtakingappropriateactionisessentialtoachieveimprovementinsafetyperformance.

Duringthereportingyear,therewasnoreportableaccident.However,therewasaminoraccident(non-reportable)toamaleemployeeatGajraulaunitresultinginoneman-dayloss.Thetotalaccidentfreeman-hoursoftheCompanywere2.6millionhoursduringthereportingyear.TheCompanywouldcontinueitseffortsonsafeworkpracticesalongwithstrengtheningofSafetysystemsincomingyearstoo.

safeTy mOTiVaTiOnTheCompany’sapproachtohealthandworkplacesafetyisguidedbyitsEnvironment,HealthandSafetyPolicy.“EnsureSafe&HealthyWorkEnvironment”isincorporatedintheCompany’sEHSpolicy,whichiswidelypublicizedandusedacrossalllocations.TheCompanyorganizedvarioussafetycompetitionsandprogramsatvariousmanufacturing locations forcreatingsafetyawarenessonMarch4,2011,beingtheNationalSafetyDay.Onthisoccasion,safetypledgewasalsoadministeredbyrespectiveUnitHeads&EHSheadstoreiteratesafetyoffsiteaswellasintheworkplacebetreatedwithutmostimportance.

Fire drill at Gajraula


safeTy embedded in TrainingThesafetyculture isa suiteof trainingcoursesandworkshops, tailored to theneedsofemployees ranging fromnewrecruits to seniormanagersandaddressingpersonalsafety,systematicfailuresandriskmanagement.

Training initiatives covers process safety, emergency preparedness, use of self-contained breathing apparatus, emergencymanagement,emergencykithandling,firesafetyandprevention,firefighting,generalsafety,materialhandling,first-aidtraining.Regulartrainingiscarriedoutduringtheyeartoraiseawarenessandencouragesafebehaviourinallwork-relatedactivities&alsoextendstotheoffsitesafety.

Employeesacrossranksarealsosentforexternaltrainingprogramsandseminarscoveringsafety,environment,managementdevelopmentandtechnicaltraining,etc.

managing safeTyTheCompany’sEHSpolicyrecognizesthecompliancetoregulatorystandardsonenvironment,healthandsafetyandateachmanufacturinglocationhasEHSExecutive/managerresponsibletooverseeandensurethecomplianceofenvironment,healthandsafetyrequirements.TheCompanyidentifiedandminimizedworkplaceandexternalhealthrisksandpromotedbetterhealth&safetyawarenessthroughthefollowinginitiatives:

In-househealthcarefacilities,first-aidandemergencycareservicesforallemployees

Full-time/Visitingdoctorsattheplantandparamedicalstaffaton-siteclinic

RegularEmployeehealthchecks

Safetycommitteemeetingatvariousmanufacturinglocationsatregularinterval

Conductedregularsafetyaudits

Trainingprogramonawarenessforworkplacesafetywithregularcampaignstospreadthemessageofsafety

Usageofandmonitoredsafetyprotectionequipmentlikesafetyhelmets,glovesandotherPPEsetc

Conductregularmockdrillsinvolvingconcernedpersons

ConductSafetyDaycelebrationsemployeesandcommunityinvolvement

AtGajraula,flammablesolventssuchasAcetone,Xylene&Tolueneetc.arestoredintankstoavoidfugitiveemissions.Earlierthiswasbeingstoredindrums. Further,safetysystemforNitrocellulosestorage isalso improvedby installationofsprinklersystem.InSolidPVAplant,mediumvelocitywatersprinklersystemforprocessareahandlingflammablematerialisinstalled.Afterthedemerger,assemblypointswererelocatedandOnsiteEmergencyPlanrevisedtomeetwiththesafeandquickresponseincaseofanyemergency.Theevacuationdrillisalso

Safety rally during safety day celebration at Gajraula

Safety tool talk in the powder processing room at Gajraula

Safety talk among operating personnel at Gajraula


8.0 ContinualFocuson Safetyconductedregularly.InSulfuricacidplantarea,ecoventilatorsareinstalledandfugitiveemissionsofsulfurreducedintheworkplaceareaofsulfurmeltingsection.

ToimprovisetheresponsesystemandprecautiontoavoidfirethreatatSahibabadunit,automaticfiresprinklersystemhasbeenimplementedinthereportingyear.Underthisexercise,varioussectionsofrawmaterialaswellasfinishedgoodsstoragehavebeencovered.

TheCompanyengageswiththemediaonaregularbasistoapprisethemoftheCompanydevelopmentsbeyondstatutoryrequirements.TheCompanyviewsmediaascriticalstakeholderswhohelptheCompanybuildaneffectivebrandimage.

DuringtheyeartheCompanyheldspecialmediabriefingstoinformabouttheCompany’sEnvironment,Health&SafetypracticesandCSRinitiatives.

emergenCy respOnse aT sahibabad

WATEr SPrInKLEr AT SAHIBABAD (WArEHOUSE)

Location identified for Assembly point in case of emergency. Yellow lines marked for people to stand in queue at the emergency assembly point.


TheCompanyaimstocreateanenvironmentthatcanhelp,nurturetalentandhelppeoplerealise their potential. The Company’s comprehensive people policy is based onmerit-basedrecruitment,impartialperformanceappraisal;training-ledskillsetsupgradation,acompensationstructurebenchmarkedwith thebest industry levels.TheCompany isanequalopportunityemployerandpreferstohirethemiddle/seniormanagementalsofromthelocalcommunityatlocationsofsignificantoperationdependingontheavailability.

TheCompanybelievesinfairnessandtransparency,guaranteeingemployeesequalopportunitiesandamerit-basedstructure.Theresultisaworkplacefreefromdiscriminationorharassmentonthebasisofage,caste,gender,religionorothergrounds.TheCompanyprovidesmaternityleavetoaddressleaverequirementduringpregnancy&childbirthandthisisasperMaternityBenefitAct,1961andemployeereturntoworkafterparentalleave.However,duringthereportingyeartherewasonlyonecasewhereanemployeeavailedmaternityleaveandlaterreturnedtoworki.e.100%retention.TheCompanyhasadopteddefinedbenefitplansfortheemployeesasperthecurrentindustryscenarioaswellasalsointroducedvariablepayplanforseniormanagementtoattractthebestmanpowerandmaintainahighperformanceculture in the Company.

rewarding The effOrT Theemployeesare rewardedandpromotedon thebasisof theirperformance.All employeesareevaluatedaccording toa transparentperformanceappraisalsystem.TheCompanyrewardsthewilltosucceedandthedesiretocompetewiththebestintheworld.Theperformancedrivenculturethat’scalibratedthroughrigorousprocessesisgearedtorewardhighperformingindividualsandteamstoachievechallengingandstretchabletargets.TheCompanyhasReward&Recognitionprogrammetorecognizeindividualsandteams,inatimelyandeffectiveway,fortheirexceptionalcontributionstotheorganization.TheCompanyalsohasfollowingprogramthatsubstantiatethisphilosophy;

Appraisal system

BetterEmployeeEngagementprogram

SalesTalentandAppreciationProgram-STAR

IncentiveProgram

Variable Pay Plan

Sankalp is an employee suggestion scheme underwhich employees are given an opportunity to express their suggestions or ideas forimprovementinanyaspectoftheirworkenvironment.Thisschemepracticesthephilosophyofcontinuousimprovement.Thesesuggestionsarefilteredandevaluatedfortheirfeasibilityofbeingimplemented.Employeesgivingthebestoftheideasareappropriatelyrewarded.

TheGoalSettingProcessisarigorousexercisetakenupeveryyearandfollowsaTop-Downmethodology.Thishelpseachindividualknowwhathisobjectivesfortheyear.TheseGoalsaresetinlinewiththeOrganizationalPrioritiesandBusinessFocusAreas.TheperformanceofthetopexecutiveandmanagementisappraisedthroughafairandtransparentIT-enabledreviewsystemthatcouldbeviewedontheintranet.PerformanceReviewandDialogue-apost-appraisaldialoguetool-helpedsuperiorscommunicatewiththeirsubordinatesabouttheir expectations and guide the latter through individual goals,weaknesses, strengths, correctivemeasures, support and training. Thetrainingimpartedtonumberofemployeecategorywiseisasfollows:

Category Average no. of Employees no. of employee trained man-hours man-hour per employee per year

Executives 504 309 1828 6

Workers 139 171 825 5

Total 643 480 2653 6

9.0 SharingValue withEmployees


9.0 SharingValue withEmployeesThenumberofemployeestrained,traininghoursandaveragehoursoftraininginMan-hourperEmployeeperyeararegivenbelow:

year 2010-11

No.ofEmployeestrained 480

TrainingHours 2653

Averagehoursoftrainingperemployeeperyear 6

Toprovidefairredressalintheeventofanydiscrimination,employeescanseektheservicesofanombudsman.TheCompanydoesnothaveaspecificpolicyonhiringfromthe localcommunity.TheCompany isanequal-opportunityemployer.TheCompanytreatsallemployeesasequalanddoesnotdifferentiateonthebasisofcaste,genderorage.Thecriteriaforselectiontovariouslevelsaretheknowledgeandcompetencyoftheemployee.

Theeconomicbenefitsfortheemployeesarethedirectandindirectwages.TheCompanyensuresthatthecriteriaforminimumwagearemetforallworkersandothercadresrelevanttotherespectivelevelsofrecruitment.Thetotalpersonnelcostin2010-11amountedto`386.03 Million.TheCompany’sdefinedbenefitobligationisthegratuityscheme.

The Company has mediclaim health insurance (hospitalization) for employees & their dependents. The employees are covered underaccidental insurancepolicyandworkerscompensationpolicies.ApartfromESIcoverageasapplicableunder law,theCompanyfacilitatesprovidinghospitalisation,accidentalandtermlifeinsurancepoliciesforemployeesandworkers.ThecontractualemployeeshavealsobeenprovidedcertainbenefitslikesalariesasperMinimumWagesAct,ProvidentFund,ESIbenefitstomeethospitalizationrequirements.Alltheworkersarecoveredunderthecollectivebargainingthroughformalizegroup/committeeandthisis22%oftheCompany’stotalpermanentemployees asonMarch31, 2011.Nofixednoticeperiod ismentioned in collectiveagreementsbut theCompanygives sufficienttime,whereverrequired.TheminimumnoticeperiodgivenadherestotheprovisionoftheIndustrialDisputeAct,1947.

peOple sTrengThThetotalemployeestrengthinthemanagementandexecutiveis504asonMarch31,2011.Thisincludesemployeesofcorporateofficealso.Theworkersare22%ofthetotalmanpower.

lOCaTiOn Executives Workers Total

Corpoffice/Branches 315 0 315

Gajraula 81 104 185

R&D-I 12 0 12

Samlaya 33 14 47

Sahibabad 33 22 55

Nira 2 0 2

Kapasan 27 0 27

grand Total 503 140 643


Duringtheyear,theaveragenumberofcontractworkerswas730.Thegenderwiseandagewisecategorizationisshownbelow:

Age-Group gender

< 30 30-50 >50 F M

134 441 68 14 629

643 643

Theattritionrate is22.9%during thereportingperiod.Thisattrition ishighduetoyoungergenerationandentry level requirement formarketingoftheconsumerproducts.Infact,theattritionrateforlessthan30yearsofageisapprox.45%asgivenbelow:

yearAge-Group gender grand Total

< 30 30-50 >50 F M

2010-11 44.77 17.69 13.23 7.14 23.21 22.9

Human rightsTheCompanyethicsisgovernedbyaCodeofConductandseveralpolicies.Thesepoliciesencourageintellectualhonesty,employeesconduct,freedomof association etc. in every aspect. The Company advocates fair business practiceswhich are centered on transparency, equalopportunity,lawfulnessandintegrityofrecords.EachandeveryemployeeisgiventrainingontheCompany’spoliciesatthetimeofjoining,duringorientationandas&whenrequired.Thepoliciesareavailableonwebsite,handedovertoemployeesatthetimeofjoiningasEmployeeHandBookaswellasavailableondemand.Presently,allthepoliciesoftheparentcompanyareadoptedbytheJubilantIndustries.

TheCompanyfollowsallrelevant,applicablerulesandregulationsasdescribedbygovernancebodieswithregardtotheinclusionofhumanrights clauses in its variousagreementswith the suppliersandcontractors. TheCompany followsapolicyofnon-discriminationon thegroundsofgender,caste,religionandothers.Noincidenceofdiscriminationandgrievancerelatedtohumanrightswasreportedduringtheyear.TheagewiseandgenderwisenumberofemployeeswholefttheCompanyaregivenbelow:

yearAge-Group gender grand Total

< 30 30-50 >50 F M

2010-11 60 78 9 1 146 147

TherewerenosignificantinvestmentagreementsandcontractsthatincludeclausesincorporatinghumanrightconcernsincetheformationoftheCompanyduringthisyear.

TherearenoareasintheCompany’soperationswhererighttoexercisefreedomofassociationandcollectivebargainingmaybeatrisk.Asapolicy,theCompanydoesnotemploychildorforcedlabordirectlyorindirectlyinitsoperations.ThisisalsogovernedthroughtheGreenSupplyChainPolicyaswellasaddressedduringPartnersinProgressMeet,Individualdiscussionswithsuppliersduringnegotiationandinotherformalways.

AlltheCompany’soperationsarecoveredforhumanrightsreviewsand/orimpactassessmentduringinternalauditbyManagementAssuranceServiceatregularintervals.Therewerenogrievanceswithrespectivehumanrightsduringthereportingyear.


9.0 SharingValue withEmployeesfun aT wOrKTheCompanybelievesthatpeopleperformtothebestoftheirabilitiesinorganizationstowhichtheyfeeltrulyconnected.TheCompanyiscommittedincreatinganinclusiveenvironment-onethatisprogressive,flexible,funandvaluestheindividualcontributionsofallthepeople.TheCompanyisproudtohaveaculturethatbringsoutthebestinindividualsandencouragesthemtopursueexcellence.

TheCompanykeepspeopleintellectuallystimulatedandgivesthemthefreedomtotaketheirowndecisions.Engagementactivitiessuchasbirthdaycelebrations,annualdaycelebrations,departmentalmeetsandget-togethersareapartofwayoflifeintheCompany.Beitafestivecelebrationorindividualacknowledgement,theCompanydoesitallinawaythatinvolvesandconnectstoall.CelebrationsontheeventsofHoli,Diwali,IndependenceDay,NewYearorChristmasareatimetosharejoystogether.Funactivitieslikeplayfulteamgames,Antakshri,passingtheparcel&manymore,improveemployeemoraleandareagoodstressbusterforemployeesoutofroutineworklife.

‘Disha’-TheinitiativeinassociationwithGallupiscompany’scommitmenttowardsacknowledgingtheopinionsofitspeople.

jubilanT wellness prOgramTheCompanyisconcernedaboutthewellbeingandhealthofitsemployeesandbelievesthatawell-designedwellnessprogramcanincreaseproductivity,boostmoraleandvitality,reducestress,reduceabsenteeism,andcontrolpreventablehealthcarecostswithinanorganization.Someofthewellnessinitiativesinclude

Pre employment health check up

MedicalservicesatManufacturingunits

ParttimemedicalconsultationatHO&R&DCenters.

SponsoredannualhealthcheckatHO–HDFCergo

ImprovedMediclaimservicesforemployeesandfamilies

EnhancedbenefitsonPersonalAccidentInsurance&GroupTermInsurance

VarioushealthchecksasrequiredundervariousStatuesatUnits.

HealthAwarenessthroughperiodicaltalks&articles likeonLifeStyleManagement,DietManagement,Respiratoryailments,Cardiac, CancerPrevention,EyeCare,Fitness&Exercise,Yoga&Meditationetc

HealthinitiativesforsurroundingcommunitythroughCSR.

Tieupswithmajorhospitalsinthecity


TheCustomerengagementinshapingabenefitservicehelpstoensurethatitisdeliveredinresponsetoknownneedsratherthanperceptions.Throughimprovedengagementwiththebenefitservice,theCompanydesignedtheapproachwhichgivesimprovementsdirectlyto customer needs.

TheCompanyworkscloselywiththecustomersandsuppliers,sothatservicescanbedevelopedtomeetlocalrequirementsinabalancedmanner.ThisallowscustomerssatisfactionaswellasavaluablecontributiontotheCompany’sgrowth.Theactivitiesidentifiedandpracticedat the Company are:

Measuringcustomersatisfaction

Developingcustomerservicedatasystem

Workingwithcustomers

Helpingstafftoworkwithcustomersatisfaction

The collection of customer feedback from a variety of sources helps to develop a balanced view of the service. The Company collectsinformationaboutcustomersatisfactionfromcomplaintsforms,mysteryshoppingexercisesandsurveysatcustomeraccesspoints.Theseareusedtoidentifyquickwinsandensureimprovementsareresponsivetocustomerneeds.

TheCompanyiscontinuouslyengagedtowardsproductsafetyinlinewiththevisionofnoaccidents,injuriesorharmtothepersonnelandenvironment.TheCompanyprovidescustomerswithproductsandservicesthatmeettheirneedsexactlyandprovidingnecessaryinformationandsupport,sothatcustomerscanusetheproductssafelyandeffectively.TheproductsatallthelocationsaremanufacturedwithhighestqualitystandardsaspertheQualityPolicyframed.Therobustqualitycontrolandassurancesystemarefollowedatalltheunitstodeliverqualityproductstothecustomers.

10.0Workingwith Customers


QUALITY POLICY

Jubilant Industries Limited endeavours to achieve the quality of products and

services that exceeds customer expectation by:

ŸContinuously exploring opportunities to upgrade manufacturing technologies

to achieve quality standards

ŸCreating a cohesive and motivated team through continuous training to

enhance knowledge and skills

ŸEnsuring compliance to the national and international regulatory standards

Ananda MukherjeeCEO and Whole Time Director March 30, 2011



TheCompany’sBusinessdoesnothaveanynon-compliancewithregulationsandvoluntarycodesconcerninghealthandsafetyofitsproductsduringthereportingyear.ThehealthandsafetyimpactsofproductsarestrictlyadheredtoaspertheprovisionsoftheFertilizerControlOrderandPesticideControlOrderfortheagribusiness.

TheSolidPVAproductsaresubject tospecificregulationsof theChinaFoodSafetyLawasper theDepartmentofCustomsand labelingrequirementoftheDepartmentofCustoms,KingdomofSaudiArabia(KSA),withregardtolabelingofSPVAbags,andpallets.TheCompanystrictlyfollowstheselawsandregulations.Therehavebeennoincidentsofnon-compliancewithregardtolabelingrequirementsofspecificCountriesofChinaandKSA.

However,forinformation&labelingonSingleSuperPhosphate(SSP)andAgrochemicalsmarketedbytheCompanystrictlycomplywiththeFertilizerControlOrder(FCO)asenforcedbytheMinistryofFertilizersandChemicals,Govt.ofIndia.Thelabelingregulations,asgovernedbytheaboveacts,stipulatesthedivulgenceofinformationintheprescribedformatoneachoftheparameters,contents,applications,safety,quality,usageetc.TheAgribusinessdivisiondoesnothaveanynon-compliancewithregulationsandvoluntarycodesconcerningproductinformationandlabelingofanyofitsproductsduringreportingyear.

ThecustomersatisfactionsurveysareconductedperiodicallywithcustomersintheIndiaonly.ThedivisionisgovernedwithISO9000:2001certificationandcustomeri.e.dealersatisfactionlevelsaremeasuredandtabulatedaspertheISOmodulethroughastructuredquestionnaire.ISOprocessesinthedivisionareregularlyauditedbyinternalandexternalauditors.

TherearenocodesorstandardspertainingtomarketcommunicationsrelatedtoSolidPolyvinylAcetate,sincethisisanintermediateproductsolddirectlytoendcustomers.However,Agribusinessdivisionconductsitsbusiness,includingmarketingcommunicationandadvertising,inanethicalmannerandnocommunicationisdesignedviolatingthegeneraladvertisinglawsofIndia,beitethical,cultural,privacyintrusionorattemptstoinfluencevulnerableaudiences.ThedivisionkeepsitselfabreastwithanychangesbroughtaboutbytheGovernmentinthisregardandreviews iteveryyear.Althoughthedivision’sbusiness isprimarily limitedtodomesticmarket,noneof theproducts that thedivisiondealsintoisbeingbannedincertainmarkets.

JubilantIndustriesdoesnotsellanyofitsproductstoanycountrywheretheproductisbanned,ortheusageofwhichissubjecttostakeholderquestionsorpublicdebate.Therearenoincidentsofnoncompliancewithregardtovoluntarycodesconcerningmarketingcommunication,includingadvertisingpromotionandsponsorshipduringtheyear.

Therearenocomplaintsagainst theCompany’sbusinesswith regard tobreachof customerprivacyand/or lossesof customerdata.Nosanctions,administrativeor judicial,oranymonetaryfinehasbeen leviedontheCompany’sbusinessfornon-compliancewith lawsandregulationsconcerningtheprovisionanduseofproductsmanufacturedand/ormarketedbyit.

InLatexbusiness, labelingonLatexproductscomplywithGlobalHarmonizedSystem(GHS)ofClassificationLabelingandPackaging.Forsupplies toEuropeanUnion(EU)market, theMaterialSafetyDataSheet (MSDS)complywithClassificationLabelingandPackaging (CLP)notificationunderRegistrationEvaluationandAuthorizationandRestrictionofChemicals(REACH)regulationofEU.

TheCompany’sR&Deffortsaretoimprovetheproductyield,reductionintheuseofsolvents,aswellastoreducetheeffluentgeneration.TheCompanybelievesinwasteminimizationandcleanerproduction.AtKapasan,thescrubbersolutionintheSSPplantisutilizedformakingSodiumSilicoFluorideby-producttherebyimprovingthescrubbingefficiencywithleansolutiontoreducefluorideemissiontoatmosphere.Further,SodiumSilicoFluoride issoldasaby-product.This isanexampleofWealth fromWaste.TheCompany’sproductsafety focus isoperationalthroughfocusonsafehandlingofproductsfrompointofproductiontopointofdistribution.StandardOperatingProcedures(SOP)ensuressafehandlingandtransportofproducts.EveryproductconsignmentisdispatchedinaccordancewithSOPformulated.TheCompanydoesnothaveaformalend-useandend-productassessmentmechanisminplaceasaresultofwhichproductlifecycleanalysiswasnotundertaken.TheCompanyactivitiesaretomanufactureconsumableproducts.Thesearenotreclaimable.SomeofthebulkmaterialsuchasLatexissuppliedthroughISOtankerswhichdoesnotinvolveanypackagingmaterial.Theotherconsumergoodandexportedproductsarepackedwithsuitablematerialasrequired.However,thesepackagingmaterialsarenotreclaimedbytheCompany.TheCompanypaidnofinesfornon-compliancewithlawsandregulationsconcerningtheprovisionanduseofproductsandservices.

Duringtheyear,anewproduct“Lamino’waslaunchedintheConsumerProductsDivision.Themainbenefitswere:Costadvantageasitprovides20%extracoverageresultingintosubstantialcostsavings;Applicationadvantageduetobubblefreelaminationandproductivityincreaseduetoquickdryingwhich iscrucial in furnituresegment. Theresponse fromthemarketwasoverwhelmingandtheCompanyreceivedveryencouragingfeedbackfromthedealers.

11.0GrowingwithCommunities forInclusiveGrowthBasically,inclusivegrowthismakingthebenefitsofdevelopmentavailableandaccessibletoall,particularlytheweakersectionofthecommunity.Itisincludingthosewhoaretoooftenexcludedandmarginalizedbyseemingdevelopment,bothingeographicalandsocialterms.Thosewhoareleftbehindorrelegatedtothemargins,geographicallyliveinruralareas,whilethosewhoareexcludedsociallytendtobesmallorlandlessfarmers,womenandindigenousgroups.Growththatisinclusivewouldmeanagrowththatnotonlycreatesopportunities,butmore importantly,ensuresequitableaccess tonatural resourcesandotheropportunities.

TheCompanybelievesinpartneringforvaluecreationforthissegmentofthesocietyinandaroundthemanufacturingunits.Itcarriesoutsocial interventionunder theaegisof JubilantBhartiaFoundation (JBF),which is supportedby JubilantBhartiaGroup.TheactivitiesaremonitoredbyseparatestaffofeveryunitandtheCompanyapprovesthebudgetaryallocationfortheseactivities.Trainingandawarenessprogramsarealsoorganizedonselectedtopicsonregularintervalsandaspertheneedofthecommunity.Takingintoaccounttheimportanceofcommunityasanimportantstakeholder,Jubilantensurescontinuousengagementfortheirbetterment.Theparentcompanystartedwiththephilanthropicapproachatthefirstbutgradually,withthegrowthoftheCompanytheapproachforthecommunitydevelopmentbecameparticipatory.TheCompanydistributeddrinkingwateraroundKapasanunitduringdraught,carrybagsinGajraulatocreateawarenesstosay“NotoPolyBags”andorganizedprogramforenvironment&safetyawarenessforpublicbenefit.TheCompanystrategicallystrengtheneditsSocialResponsibilitytocarryoutsocialactivitiesneededforthebenefitofthecommunitywithneedbasedparticipatoryapproach,withthesamevigourunderthefollowingdomain;

TheCompanyhascarriedoutactivitiesthroughJubilantBhartiaFoundation(JBF)forthesocio-economicdevelopmentinthevicinityofitsplants.TheexpenditurefortheactivitiescarriedoutduringNovember2010toMarch2011isover`1Million.AstheCompanydemergedinNovember2010,theCompanyhasnotpaidseparatelytoJBF.However,companyplanstocontributeseparatelyduringnextyear.

eduCaTiOn: healTh: liVelihOOd:

StrengtheningGovt. PrimaryEducationSystemwith

CommunityInvolvement;

Inculcatinghealthseeking behaviourinthecommunity

throughAwareness;

Creatinginstitutionswithforwardlinkagesforimproving

Employability;


TheCompanyworkstowardsbettermentoftheneedsofthestakeholdersforcommunityaroundthemanufacturingunitsandtheprojectsaremostlyalignedwiththeobjectivesofUnitedNation’sMillenniumDevelopmentGoals(MDGs).TheseGoalswithobjectivesandJubilant’sinitiativesinitalicsfortheMDGsaregivenbelow;

Exposurevisitofsmallfarmerstolearnbetteragriculturepracticesandimproveproductivitytoeradicatepoverty.

Supplement health care servicesrelatedtoMother&Child care.

Preventandeducatethelocalcommunityforcommunicableand other diseases

Ensurebetterinfrastructurelikee.g.drinkingwaterdistributionandpromote biogasplant&solarlights.

WorkwithNGOs,Government,NationalandInternationalorganizationsforruraldevelopmentactivities

Motivatestudentstoattendschoolforqualityeducationandmotivationforsecondaryeducation.

Supporttheinvolvementofwomenforincomegenerationprogram.

SupportingchildrenofprimaryschoolbyNirogBachpanprogramforpreventive health care.


11.0GrowingwithCommunities forInclusiveGrowthTheCompanyvaluetheconcernsofallthestakeholdersassociateddirectlyorindirectlywiththebusinessandspeciallythelocalcommunity.TheCompany is intouchwithcommunityaroundmanufacturingplantsthroughJubilantBhartiaFoundationto implementvarioussocialinitiativesasoutlinedaboveandfewphotographsofengagementwiththecommunityaregivensubsequently.Company’sinterventionsarebringingachangeforbetterlifeofthecommunityandthiswillbeanongoingeffortoftheCompany.Thedetailedinterventionsarewellillustratedinthesocialsectionofthereport.Someoftheconcernsraisedbythecommunityaregivenbelow;

SomeofthesocialinitiativesarewiththeengagementofGovernmentorganizationalsounderPublicPrivatePartnership(PPP)modeforthecommunitybasedprojects.UnderPPPschemeofNationalProjectonManagementofSoilHealthandFertility,Dept.ofAgriculture,Govt.ofRajasthan,theCompanyhastakenresponsibilitytooperatetheMobileSoilTestingVanintheadjoiningdistricts.

Concerns raised by Stakeholders Action Taken

ImmediatescarcityofwaterSinghpurvillageKapasan

Community Waterdistributionthroughtankersownedbylocalcommunity

PoorCattlehealth,Samlaya CommunityandVeterinaryDept. Supportedveterinarycampsinthenearbyvillages

SupportforFamilyPlanningcampaign, Gajraula

HealthDept. Organizedcampandprovidedincentivetothebeneficiaries

TheCompany’s strongVision, Promise,Values, SustainabilityMission andpoliciesare guiding principles that drives conduciveworking environment. The Companyofficialsdealinanethicalmannerandplacecustomersandtheirpersonalinterestabovethoseofemployees.TheCompanyanalysestherisksrelatedtobriberyandcorruptionandthis isgovernedaspertheCompany’sCodeofConduct forseniormanagement.Seniorofficersofallthebusinessesfollowthecodeofconductwhichalso covers issues related to corruption. Heads of different Businesses analysedtheir divisions for risks related to corruption and trained their staff accordingly.TheCompanyemployeecanaccesstheCodeofConductthroughintranetandtheCompanydoesnothaveaseparateanti-corruptionpolicy.TheCompanyemployeesarealso informedforanticorruptionbehaviourduring induction,AnnualHRMeetand informal discussions of HR department. The Company employees were notinvolvedandtherewasnoincidentofcorruptionduringtheyear.

SocialinitiativesoftheCompanyareundertakenatallthelocationsforinclusivegrowthwiththeparticipationofemployees.Theimpactsofthedevelopmentprogramsimplementedareassessedatregularintervalsandcorrectiveactionsaretaken,whereverrequired.

TheCompanyhasimplementedEnvironmentalManagementSystemsatalllocationstominimisetheimpactsarisingoutofitsoperations.Duringtheyear, therewerenosignificant impactsonthesurroundingcommunity.Asmentioned,therearenosignificantenvironmentalimpactsandadequatecontrolmeasuresandsystemsareinplace.ThepreventivemaintenanceandothermeasurestominimisetheimpactofoperationisanongoingexerciseandMaintenance/ProjectDepartmentisinvolvedforcontinuousimprovementinthisarea.

Asapolicydecision,therepresentativesoftheCompanydonotindulgeorparticipateinpolicydevelopmentorlobbyingwhichmayimpacttheCompany. Infact,TheCompanyhasnotcontributedeither incashof inkindtoanypoliticalparties,politiciansandotherassociatedinstitutions.TheCompany’spresenceiswellnoticedinthevicinityofmanufacturingplantsduetosocio-economicdevelopmentactivities.Mostof theseactivitiesareundertakenon thebasisofNeedAssessmentSurveyand for thebenefitof societyat large.However, theseactivitiesmaynotsatisfyhandfulofsocietymembersbuttheactivitiesaremainlytoseetheoverallbenefitstothesociety.Duringthisyear,nosuchunlawfulactivityornonsatisfactionwasreportedfromthesocietyandgovernmentinstitutionsandnosignificantfineofmonetaryvaluewasimposedfornoncompliancewithlawsandregulations.

Drinking water distribution during Draught at Kapasan


TheClimate Change is visible from the changingweather. The staff oftheGajraulaunitdecidedtoworkformitigatingtheclimatechangeanddistributedsolarlanterntoschoolgoingchildreninthevillageschoolsinthevicinityoftheplantinassociationwiththeRotaryclub.Thisinitiativenot only helped and encouraged students to read and write in theabsenceofelectricityindarknightswithanenvironmentfriendlysourceoflightandalsohelpedinreductingGHGemissionindirectly.

LIGHTInG THE LIFE - SOLAr LIGHTSCase 1

Lantern distribution at Tigri Mela, Gajraula

Thehealthof thepeople isa reflectionof thecommunities inwhichtheylive,play,workandlearn.Communitiesshapethelifestylesthatpeopleadoptandtheirlivelihoodoflivingsafe,fulfillingandproductivelives.Forthose,whoseektounderstandhumanhealth,thecommunityisan importantforcetounderstand.Forthose,whowishto improvethe health of others, the community is an essential factor in theequationofpeople’shealthandwellbeing.Therelationshipbetweenthehealthofpeopleandtheircommunitiesliesatthecoreofnursingwork.Fortunately,thecommunityhealthnursingisnowmovingintoitsrenaissance.Thefastestgrowingcontextfornursingservicesisnowthecommunity.TheCompanyisregularlyorganisingthehealthcheckupsfor a healthy living of people and a similar program was organisedduring the famous Tigri Mela at Brij Ghat, near Gajraula JP Nagar.AwarenessprogramsandcampaignforemployeesandcommunitywereorganizedatvariouslocationsonTheWorldsAIDSDayonDecember1,2010.VariousawarenesscumhealthcheckcampswereorganizedatKapasanandGajraula.During theyear, theCompanyalso supportedFamiliyplanningcampsatboththelocationswhere170familyplanningoperationswereconducted.

awareness On healTh, sOCial & enVirOnmenTCase 2

Health checkup for ladies and kids during Tigri Mela, Brij Ghat, Jyotiba Phule Nagar


TheCompanyisnotonlyinvolvedwiththeSocialactivitiesintheregionbuttheeffortsaretoeducatethepeopleforenvironmental,healthandotherrelatedissues.AsanefforttocreateawarenessamongemployeesandcommunityinthevicinityoftheGajraulaplant,theCompanyactivelyparticipated in “JHOLA ANDOLAN”, a drive to discourage the use ofpolythenebags.TheCompanydistributedmorethan9000CarrybagsatTigriMelaheldinNovember2010.

say nO TO pOly bagsCase 3

Bag distribution at Tigri Mela in Gajraula

TheCompanybelievesthatanemergencyisasituationwhenoperatorsat aplantunit cannot copeupwith apotentially hazardous situationandlossofcontrolofincidentcausestheplanttogobeyonditsnormaloperating conditions thus creating danger. First few minutes after anemergencysituationaremostcriticalandaquick&effectiveresponsepreventscatastropheordisaster.TheCompanyhas improvedresponsein caseof anyemergency arisingout in plant at its Sahibabadunit byupgradationofsafetysystemssuchas:Flashingofemergencylightinhighnoiselevelarea;AutomaticwatersprinklerinWarehouse;FoamMonitorforfirefightinginsolventstoragearea;“Exit”signageatprominentplacesandimprovedheadcountsystem.

imprOVed emergenCy respOnse aT sahibabad uniTCase 4

Improved Emergency response at Sahibabad

11.0GrowingwithCommunities forInclusiveGrowth


Smiling ladies with machines provided by JBF for livelihood generation, at Kapasan

TheCompanyhasbeencontributingtowardseducatingthelocalfarmerson agricultural science so that the yield of crop increases and in turnimprove their income. Programmes are conducted for local farmersonoptimumutilisationof their landand to improve theyieldof crop.JBForganisedvariousprograms toeducate the farmerson thevariousscientificaspectsofagriculturesuchasFarmerEducationalTour,Arrangingscientificinputsonagriculturetofarmers&CattleHealthCamps.

Duringtheyear,anexposurevisitwasorganizedfor14nos.ofprogressiveandprominentfarmersfromSinghpurvillageofChittorgarhDistrict.Themain objective of this program was to learn the cultivation practicessuchassowingtime,varietiesgrownetc.beingfollowedbyfarmersofJaitaran;tocreateawarenessamongthefarmersabouttheprofitabilityofwintervegetablecultivation.Basedonthediscussionandreviewheldafterthevisit,thefarmersgreatlybenefittedfromtheExposureVisitandstartedapplyingnewmeasuresandmethodlearnedintheircultivationpractices.

eXpOsure VisiT fOr farmersCase 6

Discussion with farmers during a visit to farm, Kapasan

sKill deVelOpmenT prOgramCase 5

During the year, various skill development programs were organizedat the Vocational Training Institute approved by National Council forVocationalTrainingatGajraulatoimproveemployabilityofyouth.

Since,statusofwomeninthesocietycontinuestobeoneofdeprivationanddenialinmostpartofIndia,vocationaltrainingprogramsareaimedatcontributingtocorrectingthissituationbygivingasmuchopportunityto women as possible. Vocational Trainings on stitching and tailoringwereorganizedatKapasanandencouragedwomenfolks.


12.0TheWayForward

The leadership Challenges Thebusinessleadersatmanyorganizationslevel,whilstawareofsomeofthechallenges,areoftenillequippedtodealwithfewimportantglobalissues.Somedismissedthemasirrelevanttotheirpersonalresponsibilitiesandaccountabilities.OthersteerclearofquestioningtheeconomicsystemsuponwhichtheCompany’sworkinginenvironmentisbased.TheCompanybelievesthatthereareatleastfoururgentchallengesthatneedtobeaddressed.

Thinking and Acting in Global Context

BesidesFinancial,EnvironmentalandSocialperformance,theCompanyviewsthatglobalissuesareequallyimportant.Today,globalissuessuchasclimatechange,demandsandunderstandingwithinthescopeandmanufacturingfacilitiesoftheCompany.Globalissuesarenotjustachallengeforlargemulti-nationalcorporations.Fewglobalissuesarenotonlyanissuetodiscussbutit’saresponsibilityofeverybusinessorganization.Understandingthis, Jubilant Industriesdevelopedapolicy forClimateChangeMitigationsignedbyoneof theDirectoranddecidedtoactwithafocusedapproachandaddresseditwitharesponsiblebehaviour.

Broadening Corporate Culture

Most organizations are still largely construed in narrow economic terms. Today, corporate activity and responsibility has dominatedmanagementthought.Ithasbeenanassumptionthatrulesandnormsofthesocietyinwhichbusinessoperatesaresufficienttoframetheappropriatefundamentalvaluesofbusinessbehaviour.However,duetomovetoaglobaleconomicsystemandthepeoplelivinginaperiodoftransaction,theCompanydecidedtomoveforwardasperthepolicies.TheVision,Values&PromiseofJubilantBhartiaGroupandtheSustainabilityMissionofJILsignedbytheChairmanforEnvironmentalManagement&Socialinitiativescompetingwiththeeconomicspacewillbeaddressedinapragmaticway.TheCompany’sendeavoristoworkwiththephilosophyofSustainableDevelopmentofJubilantBhartiaGroupandthepromiseofCaring,Sharing,Growing.

Sowing the Seeds of Ethics

ThebusinessethicsandCorporateResponsibilitythoughhaveacquiredthecentreplaceattheJILbuttheCompanywilladoptmoreethicalandresponsiblefocus.TheCompanywillplantoworkontheprinciplesofUnitedNationsGlobalCompact(UNGC)andMillenniumDevelopmentGoals(MDGs)ofUnitedNationsforresponsibleinitiatives.Theseinitiativesforresponsibilitywillbeseenasaninvestment,notacost.

Transforming Business into Education

TheEnvironment,Health,Safety,InitiativesforClimateChange,theSustainabilityandotherrelatedissues,whichareveryimportantforthebusinesstodaywillnotonlybeinculcatedatplantlevelbutatofficesalso.AsperEHSandGreenSupplyChainPolicy,theCompanyeffortswillbetocreateawarenessamongemployees,theirfamilies,customers,partnerinprogress,communityaroundtheplantsaswellasonwidernationalsceneforabetterworldtomorrow.

TheCompany’staskwillbetointegratethisWayForwardintobusinessandmonitortheprogressinyearstocome.Thiswayforwardwillhelpto Involve, Influence, Inspire, Internalize and Interconnect (5i) all at Jubilant Industries Ltd.


GRICONTENTINDEXSTAnDArD DISCLOSUrES PArT I: Profile Disclosures

Profile disclosure

Description reported Cross-reference/direct answer

if applicable, indicate the part not reported

reason for omission Explanation

1. Strategy and Analysis

1.1 Statementfromthemostseniordecision-makeroftheorganization.

Fully 3

1.2 Descriptionofkeyimpacts,risks,andopportunities.

Fully 34

2. Organizational Profile

2.1 Nameoftheorganization. Fully 13

2.2 Primarybrands,products,and/orservices.

Fully 13

2.3 Operationalstructureoftheorganization,includingmaindivisions,operatingcompanies,subsidiaries,andjointventures.

Fully 14,19

2.4 Locationoforganization'sheadquarters.

Fully 13

2.5 Numberofcountrieswheretheorganizationoperates,andnamesofcountrieswitheithermajoroperationsorthatarespecificallyrelevanttothesustainabilityissuescoveredinthereport.

Fully 13

2.6 Natureofownershipandlegalform. Fully 14

2.7 Marketsserved(includinggeographicbreakdown,sectorsserved,andtypesofcustomers/beneficiaries).

Fully 13,20

2.8 Scaleofthereportingorganization. Fully 20,22,13

2.9 Significantchangesduringthereportingperiodregardingsize,structure,orownership.

Fully 10

2.10 Awardsreceivedinthereportingperiod.

Fully 16

3. report parameters

3.1 Reportingperiod(e.g.,fiscal/calendaryear)forinformationprovided.

Fully 10

3.2 Dateofmostrecentpreviousreport(ifany).

Fully 10

3.3 Reportingcycle(annual,biennial,etc.) Fully 10

3.4 Contactpointforquestionsregardingthe report or its contents.

Fully 10

3.5 Processfordefiningreportcontent. Fully 10, 11

3.6 Boundaryofthereport(e.g.,countries,divisions,subsidiaries,leasedfacilities,jointventures,suppliers). See GRI Boundary Protocol forfurtherguidance.

Fully 10

3.7 Stateanyspecificlimitationsonthescopeorboundaryofthereport(seecompletenessprincipleforexplanationofscope).

Fully 10


STAnDArD DISCLOSUrES PArT I: Profile Disclosures

Profile disclosure




3.8 Basisforreportingonjointventures,subsidiaries,leasedfacilities,outsourcedoperations,andotherentitiesthatcansignificantlyaffectcomparabilityfromperiodtoperiodand/orbetweenorganizations.

Fully 14

3.9 Datameasurementtechniquesandthebasesofcalculations,includingassumptionsandtechniquesunderlyingestimationsappliedtothecompilationoftheIndicatorsandotherinformationinthereport.Explain any decisions not to apply, or tosubstantiallydivergefrom,theGRIIndicator Protocols.

Fully 10

3.10 Explanationoftheeffectofanyre-statementsofinformationprovidedin earlier reports, and the reasons forsuchre-statement(e.g.,mergers/acquisitions,changeofbaseyears/periods,natureofbusiness,measurement methods).

Fully 10

3.11 Significantchangesfrompreviousreportingperiodsinthescope,boundary, or measurement methods applied in the report.

Fully 10

3.12 TableidentifyingthelocationoftheStandardDisclosuresinthereport.

Fully 51

3.13 Policyandcurrentpracticewithregardtoseekingexternalassuranceforthereport.

Fully 11

4. Governance, Commitments, and Engagement

4.1 Governancestructureoftheorganization,includingcommitteesunderthehighestgovernancebodyresponsibleforspecifictasks,suchassettingstrategyororganizationaloversight.

Fully 18

4.2 IndicatewhethertheChairofthehighestgovernancebodyisalsoanexecutiveofficer.

Fully 19,28

4.3 Fororganizationsthathaveaunitaryboard structure, state the number andgenderofmembersofthehighestgovernancebodythatareindependentand/ornon-executivemembers.

Fully 19

4.4 Mechanismsforshareholdersandemployeestoproviderecommendationsordirectiontothehighestgovernancebody.

Fully 20

4.5 Linkagebetweencompensationformembersofthehighestgovernancebody,seniormanagers,andexecutives(includingdeparturearrangements),andtheorganization'sperformance(includingsocialandenvironmentalperformance).

Fully 18

4.6 Processesinplaceforthehighestgovernancebodytoensureconflictsofinterestareavoided.

Fully 19


STAnDArD DISCLOSUrES PArT I: Profile Disclosures

Profile disclosure




4.7 Processfordeterminingthecomposition,qualifications,andexpertiseofthemembersofthehighestgovernancebodyanditscommittees,includinganyconsiderationofgenderandotherindicatorsofdiversity.

Fully 18

4.8 Internallydevelopedstatementsofmissionorvalues,codesofconduct,andprinciplesrelevanttoeconomic,environmental,andsocialperformanceandthestatusoftheirimplementation.

Fully 6

4.9 Proceduresofthehighestgovernancebodyforoverseeingtheorganization'sidentificationandmanagementofeconomic,environmental,andsocialperformance,includingrelevantrisksandopportunities,andadherenceorcompliancewithinternationallyagreedstandards,codesofconduct,and principles.

Fully 19

4.10 Processesforevaluatingthehighestgovernancebody'sownperformance,particularlywithrespecttoeconomic,environmental,andsocialperformance.

Fully 18

4.11 Explanationofwhetherandhowtheprecautionaryapproachorprincipleisaddressedbytheorganization.

Fully 24,25,35,43

4.12 Externallydevelopedeconomic,environmental,andsocialcharters,principles,orotherinitiativestowhichtheorganizationsubscribesorendorses.

Fully 25,45

4.13 Membershipsinassociations(suchasindustryassociations)and/ornational/internationaladvocacyorganizationsinwhichtheorganization:*Haspositionsingovernancebodies;*Participatesinprojectsorcommittees;*Providessubstantivefundingbeyondroutinemembershipdues;or*Viewsmembershipasstrategic.

Fully 13

4.14 Listofstakeholdergroupsengagedbytheorganization.

Fully 20,25,26,34,36,41,44

4.15 Basisforidentificationandselectionofstakeholderswithwhomtoengage.

Fully 20,25,26,34,36,41,40,44

4.16 Approaches to stakeholder engagement,includingfrequencyofengagementbytypeandbystakeholdergroup.

Fully 20,25,26,34,36,41,37,44

4.17 Keytopicsandconcernsthathavebeenraisedthroughstakeholderengagement,andhowtheorganizationhasrespondedtothosekeytopicsandconcerns,includingthroughitsreporting.

Fully 34,40,41,37,44


STAnDArD DISCLOSUrES PArT II: Disclosures on Management Approach (DMAs)

g3 dma Description reported Cross-reference/direct answer


reason for omission Explanation To be reported in

DMAEC DisclosureonManagementApproachEC

Fully 6,7,20

Aspects Economicperformance Fully 20

Market presence Fully 38

Indirect economic impacts Fully 46

DMAEN DisclosureonManagementApproachEN

Fully 6,7,20

Aspects Materials Fully 21

Energy Fully 28

Water Fully 31

Biodiversity Partially 33 Notmaterial We do not report on this issue since the disclosure as prescribed by the GRI Guidelines is not applicable to our business because noneofthemanufacturingfacilityofthecompanyislocated in the protected areaorareasofhighbiodiversityvalue.

Emissions,effluentsandwaste Fully 29

Productsandservices Fully 31

Compliance Fully 43

Transport Not

Overall Fully 32

DMALA DisclosureonManagementApproachLA

Fully 6,7,20

Aspects Employment Fully 38

Labor/managementrelations Fully 38

Occupationalhealthandsafety Fully 34

Trainingandeducation Fully 38

Diversityandequalopportunity Fully 38

Equalremunerationforwomenandmen

Fully 38

DMAHR DisclosureonManagementApproachHR

Fully 6,7,20

Aspects Investmentandprocurementpractices

Fully 39

Non-discrimination Fully 37

Freedomofassociationandcollectivebargaining

Fully 39

Child labor Fully 39

Preventionofforcedandcompulsorylabor

Fully 39

Securitypractices Not

Indigenousrights Fully 20

Assessment Fully 39

Remediation Fully 39

DMASO DisclosureonManagementApproachSO

Fully 6,7,20

Aspects Localcommunities Fully 46


sTandard disClOsures parT iii: performance indicators

economic

PerformanceIndicator

Description Reported Cross-reference/Directanswer

Ifapplicable,indicatethe part not reported

ReasonforOmission Explanation To be reported in

Public policy Fully 46

Anti-competitivebehavior Fully 46

Compliance Fully 46

DMAPR DisclosureonManagementApproachPR

Fully 6,7,20

Aspects Customerhealthandsafety Fully 43

Productandservicelabelling Fully 43

Marketingcommunications Fully 43

Customerprivacy Fully 43

Compliance Fully 43

Economicperformance

EC1 Directeconomicvaluegeneratedanddistributed,includingrevenues,operatingcosts,employeecompensation,donationsandothercommunityinvestments,retainedearnings,andpaymentstocapitalprovidersandgovernments.

Fully 20,21,22

EC2 Financialimplicationsandotherrisksandopportunitiesfortheorganization'sactivitiesduetoclimatechange.

Fully 26

EC3 Coverageoftheorganization'sdefinedbenefitplanobligations.

Fully 37

EC4 Significantfinancialassistancereceivedfromgovernment.

Fully 22

Market presence

EC5 Rangeofratiosofstandardentrylevelwagebygendercomparedtolocalminimumwageatsignificantlocationsofoperation.

Fully 38

EC6 Policy,practices,andproportionofspendingonlocally-basedsuppliersatsignificantlocationsofoperation.

Fully 21

EC7 Proceduresforlocalhiringandproportionofseniormanagementhiredfromthelocalcommunityatsignificantlocationsofoperation.

Fully 37

Indirect economic impacts

EC8 Developmentandimpactofinfrastructureinvestmentsandservicesprovidedprimarilyforpublicbenefitthroughcommercial,in-kind,orprobonoengagement.

Fully 46

EC9 Understandinganddescribingsignificantindirecteconomicimpacts,includingtheextentofimpacts.

Fully 48

environmental

Materials

EN1 Materialsusedbyweightorvolume. Fully 21



environmental





Energy

EN2 Percentageofmaterialsusedthatarerecycled input materials.

Fully 33

EN3 Directenergyconsumptionbyprimaryenergysource.

Fully 28

EN4 Indirectenergyconsumptionbyprimary source.

Fully 28

EN5 Energysavedduetoconservationandefficiencyimprovements.

Fully 27

EN6 Initiativestoprovideenergy-efficientorrenewableenergybasedproductsandservices,andreductionsinenergyrequirementsasaresultoftheseinitiatives.

Not Notavailable We do not report on this yet aswehavethusfarbeenunabletogatherthedatabeingthefirstreportingyear,butwewillbeabletoreportinfuture.

EN7 Initiativestoreduceindirectenergyconsumptionandreductionsachieved.

Fully 27,28

Water

EN8 Totalwaterwithdrawalbysource. Fully 31

EN9 Watersourcessignificantlyaffectedbywithdrawalofwater.

Not Notmaterial We do not report on this issue as the disclosure is not material to our business. Themajorityofthewaterissupplied by the third party, howeverCompanyisalsoconscious and installed rainwaterstructureforrechargingofgroundwater.ThewaterquantityinCompany'soperationsis21%fromgroundwater.

EN10 Percentageandtotalvolumeofwaterrecycled and reused.

Not Notavailable We do not report on this yet aswehavethusfarbeenunabletogatherthedatabeingthefirstreportingyear,butwewillreportinfuture.

Biodiversity

EN11 Locationandsizeoflandowned,leased,managedin,oradjacentto,protectedareasandareasofhighbiodiversityvalueoutsideprotectedareas.

Fully 33

EN12 Descriptionofsignificantimpactsofactivities,products,andservicesonbiodiversityinprotectedareasandareasofhighbiodiversityvalueoutside protected areas.

Fully 33

EN13 Habitats protected or restored. Not Notmaterial We do not report on this issue since the disclosure as prescribed by the GRI Guidelines is not applicable to our business because noneofthemanufacturingfacilityofthecompanyislocated in the protected areaorareasofhighbiodiversityvalue.



environmental





EN14 Strategies,currentactions,andfutureplansformanagingimpactsonbiodiversity.

Not Notmaterial We do not report on this issue since the disclosure as prescribed by the GRI Guidelines is not applicable to our business because noneofthemanufacturingfacilityofthecompanyislocated in the protected areaorareasofhighbiodiversityvalue.

EN15 NumberofIUCNRedListspeciesandnationalconservationlistspecieswithhabitatsinareasaffectedbyoperations,bylevelofextinctionrisk.


Emissions,effluentsandwasteEN16 Totaldirectandindirectgreenhouse

gasemissionsbyweight.Fully 29

EN17 Otherrelevantindirectgreenhousegasemissionsbyweight.

Fully 29

EN18 Initiativestoreducegreenhousegasemissionsandreductionsachieved.

Fully 29

EN19 Emissionsofozone-depletingsubstancesbyweight.

Fully 30

EN20 NOx,SOx,andothersignificantairemissionsbytypeandweight.

Fully 32

EN21 Totalwaterdischargebyqualityanddestination.

Fully 32

EN22 Totalweightofwastebytypeanddisposal method.

Fully 33

EN23 Totalnumberandvolumeofsignificantspills.

Fully 33

EN24 Weightoftransported,imported,exported,ortreatedwastedeemedhazardousunderthetermsoftheBaselConventionAnnexI,II,III,andVIII,andpercentageoftransportedwasteshippedinternationally.

Fully 33

EN25 Identity,size,protectedstatus,andbiodiversityvalueofwaterbodiesandrelatedhabitatssignificantlyaffectedbythereportingorganization'sdischargesofwaterandrunoff.


ProductsandservicesEN26 Initiativestomitigateenvironmental

impactsofproductsandservices,andextentofimpactmitigation.

Fully 31,43

EN27 Percentageofproductssoldandtheirpackagingmaterialsthatarereclaimedbycategory.

Fully 43



Social: Labor Practices and Decent Work





ComplianceEN28 Monetaryvalueofsignificantfines

andtotalnumberofnon-monetarysanctionsfornon-compliancewithenvironmentallawsandregulations.

Fully 43

TransportEN29 Significantenvironmentalimpacts

oftransportingproductsandothergoodsandmaterialsusedfortheorganization'soperations,andtransportingmembersoftheworkforce.


OverallEN30 Totalenvironmentalprotection

expendituresandinvestmentsbytype.

Fully 32

Employment

LA1 Totalworkforcebyemploymenttype,employmentcontract,andregion,brokendownbygender.

Fully 38

LA2 Totalnumberandrateofnewemployee hires and employee turnoverbyagegroup,gender,andregion.

Fully 39

LA3 Benefitsprovidedtofull-timeemployeesthatarenotprovidedtotemporaryorpart-timeemployees,bymajoroperations.

Fully 38

LA15 Returntoworkandretentionratesafterparentalleave,bygender.

Fully 37

Labor/managementrelations

LA4 Percentageofemployeescoveredbycollectivebargainingagreements.

Fully 38

LA5 Minimumnoticeperiod(s)regardingsignificantoperationalchanges,includingwhetheritisspecifiedincollectiveagreements.

Fully 38

Occupationalhealthandsafety

LA6 Percentageoftotalworkforcerepresentedinformaljointmanagement-workerhealthandsafetycommitteesthathelpmonitorandadviseonoccupationalhealthandsafetyprograms.


LA7 Ratesofinjury,occupationaldiseases,lost days, and absenteeism, and numberofwork-relatedfatalitiesbyregionandbygender.

Fully 34

LA8 Education,training,counseling,prevention,andrisk-controlprogramsinplacetoassistworkforcemembers,theirfamilies,orcommunitymembersregardingseriousdiseases.

Fully 47



Social: Labor Practices and Decent Work





LA9 Healthandsafetytopicscoveredinformalagreementswithtradeunions.

Not Notapplicable We do not report on this point since the disclosure as prescribed by the GRI Guidelines is not applicable to our business because there are no trade unions inanyoftheplantsofthecompany.

Trainingandeducation

LA10 Averagehoursoftrainingperyearperemployeebygender,andbyemployeecategory.

Partially 38 The data as per genderandemployeecategoryhasnotbeenreported.

Notavailable We do not report on this yet aswehavethusfarbeenunabletogatherthedatabeingthefirstreportingyear,sincethecompanywasrecentlydemerged.

2012

LA11 Programsforskillsmanagementandlifelonglearningthatsupportthecontinuedemployabilityofemployeesandassisttheminmanagingcareerendings.


LA12 Percentageofemployeesreceivingregularperformanceandcareerdevelopmentreviews,bygender.


Diversityandequalopportunity

LA13 Compositionofgovernancebodiesandbreakdownofemployeesperemployeecategoryaccordingtogender,agegroup,minoritygroupmembership,andotherindicatorsofdiversity.

Fully 38

Equalremunerationforwomenandmen

LA14 Ratioofbasicsalaryandremunerationofwomentomenbyemployeecategory,bysignificantlocationsofoperation.

Fully 38

Investmentandprocurementpractices

HR1 Percentageandtotalnumberofsignificantinvestmentagreementsand contracts that include clauses incorporatinghumanrightsconcerns,orthathaveundergonehumanrightsscreening.

Fully 39

HR2 Percentageofsignificantsuppliers,contractors and other business partnersthathaveundergonehumanrightsscreening,andactionstaken.

Fully 39



Social: Human rights





HR3 Totalhoursofemployeetrainingonpoliciesandproceduresconcerningaspectsofhumanrightsthatarerelevanttooperations,includingthepercentageofemployeestrained.

Fully 39

Non-discrimination

HR4 Totalnumberofincidentsofdiscriminationandcorrectiveactionstaken.

Fully 37,39

Freedomofassociationandcollectivebargaining

HR5 Operationsandsignificantsuppliersidentifiedinwhichtherighttoexercisefreedomofassociationandcollectivebargainingmaybeviolatedoratsignificantrisk,andactionstakentosupporttheserights.

Fully 39

Child labor

HR6 Operationsandsignificantsuppliersidentifiedashavingsignificantriskforincidentsofchildlabor,andmeasurestakentocontributetotheeffectiveabolitionofchildlabor.

Fully 39

Forced and compulsory labor

HR7 Operationsandsignificantsuppliersidentifiedashavingsignificantriskforincidentsofforcedorcompulsorylabor, and measures to contribute to theeliminationofallformsofforcedor compulsory labor.

Fully 39

Securitypractices

HR8 Percentageofsecuritypersonneltrainedintheorganization'spoliciesorproceduresconcerningaspectsofhumanrightsthatarerelevanttooperations.

Not Notavailable We do not report on this yetaswehavethusfarbeenunabletogatherthedatabeingthefirstreportingyear,butwewillbeabletoreportinfuture.The Company has ensured securityofitsplantsbydeployingalicensedsecurityagencyatallthelocationswhoaretrained.

Indigenousrights

HR9 Totalnumberofincidentsofviolationsinvolvingrightsofindigenouspeopleandactionstaken.

Fully 20

Assessment

HR10 Percentageandtotalnumberofoperationsthathavebeensubjecttohumanrightsreviewsand/orimpactassessments.

Fully 39

Remediation

HR11 "Numberofgrievancesrelatedtohumanrightsfiled,addressedandresolvedthroughformal grievancemechanisms."

Fully 39



social: society





Localcommunities

SO1 Percentageofoperationswithimplemented local community engagement,impactassessments,anddevelopmentprograms.

Fully 46

SO9 Operationswithsignificantpotentialoractualnegativeimpactsonlocalcommunities.

Fully 46

SO10 Preventionandmitigationmeasuresimplementedinoperationswithsignificantpotentialoractualnegativeimpactsonlocalcommunities.

Fully 46

Corruption

SO2 Percentageandtotalnumberofbusinessunitsanalyzedforrisksrelatedtocorruption.

Fully 46

SO3 Percentageofemployeestrainedinorganization'santi-corruptionpoliciesand procedures.

Fully 46

SO4 Actionstakeninresponsetoincidentsofcorruption.

Fully 46

Public policy

SO5 Publicpolicypositionsandparticipationinpublicpolicydevelopmentandlobbying.

Fully 46

SO6 Totalvalueoffinancialandin-kindcontributionstopoliticalparties,politicians,andrelatedinstitutionsby country.

Fully 46

Anti-competitivebehavior

SO7 Totalnumberoflegalactionsforanti-competitivebehavior,anti-trust,andmonopolypracticesandtheiroutcomes.

Fully 46

Compliance

SO8 Monetaryvalueofsignificantfinesandtotalnumberofnon-monetarysanctionsfornon-compliancewithlawsandregulations.

Fully 46

Customerhealthandsafety

PR1 Lifecyclestagesinwhichhealthandsafetyimpactsofproductsandservicesareassessedforimprovement,andpercentageofsignificantproductsandservicescategoriessubjecttosuchprocedures.

Fully 43

PR2 Totalnumberofincidentsofnon-compliancewithregulationsandvoluntarycodesconcerninghealthandsafetyimpactsofproductsandservicesduringtheirlifecycle,bytypeofoutcomes.

Fully 43



social: product responsibility




Reasonforomission Explanation To be reported in

Productandservicelabelling

PR3 Typeofproductandserviceinformationrequiredbyprocedures,andpercentageofsignificantproductsandservicessubjecttosuchinformationrequirements.

Fully 43

PR4 Totalnumberofincidentsofnon-compliancewithregulationsandvoluntarycodesconcerningproductandserviceinformationandlabeling,bytypeofoutcomes.

Fully 43

PR5 Practicesrelatedtocustomersatisfaction,includingresultsofsurveysmeasuringcustomersatisfaction.

Fully 43,41

Marketingcommunications

PR6 Programsforadherencetolaws,standards,andvoluntarycodesrelatedtomarketingcommunications,includingadvertising,promotion,andsponsorship.

Fully 43,41

PR7 Totalnumberofincidentsofnon-compliancewithregulationsandvoluntarycodesconcerningmarketingcommunications,includingadvertising,promotion,andsponsorshipbytypeofoutcomes.

Fully 43

Customerprivacy

PR8 Totalnumberofsubstantiatedcomplaintsregardingbreachesofcustomerprivacyandlossesofcustomer data.

Fully 43

Compliance

PR9 Monetaryvalueofsignificantfinesfornon-compliancewithlawsandregulationsconcerningtheprovisionanduseofproductsandservices.

Fully 43


ListofAbbreviations

AIDA AllIndiaDistillersAssociation

AIDS AcquiredImmuneDeficiencySyndrome

ANU AnimalNutritionUnit

API ActivePharmaceuticalIngredients

APP Agri&PolymerProducts

CCMP ClimateChangeMitigationPolicy

CFC Chloro Fluoro Carbon

CFL CompactFlorescentLight

CII ConfederationofIndianIndustry

CMD Chairman&ManagingDirector

CCMD Co-Chairman&ManagingDirector

CLP ClassificationLabelingandPackaging

CSR Corporate Social Responsibility

ERP EnterpriseResourcePlanning

ESI Employees'StateInsuranceAct

ETP EffluentTreatmentPlant

EU European Union

FICCI FederationofIndianChambersofCommerce&Industry

FO Furnace Oil

FY FinancialYear

GHG Greenhouse Gases

GHS GlobalHarmonizedSystems

GRI GlobalReportingInitiative

GSCM GreenSupplyChainManagement

HAZOP HazardIdentification&ControlsystemthroughHazardOperability

HCFC Hydro Chloro Fluoro Carbons

HIV HumanImmunodeficiencyVirus

HO HeadOffice

HRIS HumanResourceInformationSystem

HSD HighSpeedDiesel

ICC Indian Chemical Council

IMFL Indianmanufacturedforeignliquor

IMS IntegratedManagementSystem

ISO InternationalOrganizationforStandardization

JBF JubilantBhartiaFoundation

KRAs Key Result Areas

KSA KingdomofSaudiArabia

LDO LightDieselOil

MDGs MillenniumDevelopmentGoals

MOC MaterialofConstruction

MSDS MaterialSafetyDataSheet

MT Metric tons

NABARD NationalBankforAgricultureandRuralDevelop-ment

NCVT NationalCouncilforVocationalTraining

NGOs NonGovernmentOrganisations

NOx OxidesofNitrogen

OHSAS OccupationalHealthandSafetyAssessmentSeries

PPEs PersonalProtectiveEquipments

PVA Poly Vinyle Alcohol

RFO Residual Furnace Oil

RO ReverseOsmosis

SLF SecuredLandfillFacility

SO2 SulfurDioxide

SOP StandardOperatingProcedure

SPVA Solid Poly Vinyle Alcohol

SSF Sodium Silico Fluoride

SSP SingleSuperPhosphate

tCO2e TonnesCarbonDioxideEquivalentto

TR TonsofRefrigeration

REACH RegistrationEvaluation&Authorization&Restric-tionofChemicals

UNGC UnitedNationsGlobalCompact

VFD VariableFrequencyDrive

VP Vinyl Pyridine

VTP VocationalTrainingProvider

CFL ChloroFluorescentLight

GHS GloballyHarmonizedSystemofClassificationandLabelingofChemicals

HAZOP HazardIdentification&ControlsystemthroughHazardOperability

HCFCs Hydro Chloro Fluoro Carbons

MT Metric Tonnes

PVA Poly Vinyl Acetate

REACH Registration,Evaluation,Authorization&Restric-tionofChemicals

SPVA Solid Poly Vinyl Acetate

tCO2e TonnesCarbonDioxideEquivalent

TR TonnesofRefrigeration


ApplicationLevel



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Corporate Sustainability Report 2010 11