Nagarjuna Fertilizers and Chemicals Ltd. (NFCL) is one of the leading players in the Indian agriculture industry, and it has published its Business Responsibility and Sustainability Report for the fiscal year 2023-24. In essence, this report outlines a commitment toward responsible business conduct with environmental stewardship to achieve sustainable development while complying with the SEBI regulations.
In pursuance of the Securities and Exchange Board of India [SEBI (Listing Obligations and Disclosure Requirements) Regulations], this report outlines the view of NFCL on business responsibility and sustainability. The different facets of the operations of the company about its product portfolio, environmental concerns, and employee welfare are discussed in the report. NFCL is principally involved in the business of manufacturing and marketing fertilizers. The total turnover of the company accrues from urea at over 99%.
Financial Performance and Operations:
NFCL reported a turnover of ₹47.65 billion for FY 2023-24, and its core business activity was urea production. In India, it has two big fertilizer plants, while its dealership network is spread across nine states within the country. However, in the face of economic adversity, NFCL continues to strive for less costly solutions with lesser environmental impact, bringing practices in line with sustainable development goals.
Manufacturing green fertilizers, support of the agricultural sector, and quality assurance are involved in the business model. The products are sold to both institutional and retail customers, with substantial sales made to state marketing federations to ensure the proper flow of agricultural inputs to farmers all over India.
Environmental Initiatives:
NFCL addresses sustainability concerns to leave a minimal environmental footprint. Its commitment includes ensuring reductions in water use, energy efficiency, and minimal generation of waste. NFCL operates strictly under the requirements of the relevant environmental legislation and regulations like the Water (Prevention and Control of Pollution) Act and the Environment Protection Act.
On the subject of sustainability, NFCL had recently implemented ZLD technology, wherein no liquid effluent is discharged from manufacturing units. The treated effluents are being recycled and utilized for irrigation in the greenbelt of the company. This has helped reduce wastage of water besides helping in eco-friendly practices.
Employee Welfare and Safety:
NFCL puts employee well-being at the frontline of its operational strategy. The total workforce stands at 716 employees, comprising permanent and contractual workers. It offers full health and safety benefits to all its employees, providing a safe working environment through regular safety audits and training programs. NFCL also holds ISO 9001, ISO 14001, and OHSAS 18001 certifications, which signifies that it operates within globally accepted parameters for health, safety, and environmental management.
The report also mentions that there were no major workplace accidents during FY 2023-24, evidencing the safety culture of NFCL. The firm is engaged in periodic medical checkups for the employees and also in work compatible with standards of safety.
Governance and Corporate Responsibility:
Governance forms an indispensable part of the sustainability framework of NFCL. The company has put in place strong policies that ensure transparency and accountability of its operations. NFCL abides by anti-bribery and whistleblower policies. There is a grievance redress system in place to attend to employee and stakeholder grievances.
NFCL’s sustainability practices are overseen by its Board of Directors, ensuring that the business aligns its long-term vision with the environmental and social dimensions. The report reassures that NFCL continues to be committed to high ethical conduct in all its dealings and helps contribute positively toward the community it serves.
Conclusion:
The 2023-24 Business Responsibility and Sustainability Report epitomizes the steadfast commitments of Nagarjuna Fertilizers and Chemicals Ltd. to responsible business. In the direction of long-term sustainability goals, NFCL continues to make strides by focusing on environmental sustainability and welfare through good governance. The company’s policies for waste reduction, resource use optimization, and employee welfare have helped it a great deal in maintaining its status as a responsible corporate entity in the agricultural domain.
Source: BRSR
Credit: Nagarjuna Fertilizers and Chemicals Ltd.