Radico Khaitan Releases Sustainability Report for FY2025-26, Detailing ESG Commitments and Operational Focus

Radico Khaitan Releases Sustainability Report for FY2025-26, Detailing ESG Commitments and Operational Focus​

Radico Khaitan Limited has released its Business Responsibility and Sustainability Report (BRSR) for the Financial Year 2025-26. The comprehensive report details the company's commitment to environmental stewardship, social responsibility, and robust corporate governance as a leading manufacturer of Indian Made Foreign Liquor (IMFL).

The document outlines how sustainability is integrated into Radico Khaitan’s core business strategy across its entire value chain. This strategic approach aims to create long-term sustainable value for consumers, employees, shareholders, partners, communities, and the environment.

Corporate Governance and Business Focus​

Radico Khaitan maintains a strong governance structure guided by principles of integrity and ethical conduct. The company's ESG Committee—comprising Tushar Jain (Chairman and Non-Executive Independent Director), Abhishek Khaitan (Member and Executive Director), and Sushmita Singha (Member and Non-Executive Independent Director)—is responsible for making decisions on sustainability matters.

In terms of operations, the entity operates 47 plants and 26 offices nationally, serving 30 states and over 100 international markets. While the company's focus is primarily domestic, it has a defined export market share, which stood at 1.56% in FY2026.

The company practices inclusive growth by sourcing an average of 27% of input materials from Micro, Small and Medium Enterprises (MSMEs) or small producers in FY2026, demonstrating a commitment to regional economic development.

Key ESG Performance Indicators​

Radico Khaitan reported steady progress across various key environmental and social priorities during the reporting period:

Environmental Stewardship:
The company maintains a comprehensive focus on resource efficiency and climate resilience. Highlights include:

• Water Management: The facility implements Zero Liquid Discharge (ZLD) systems across all manufacturing units, ensuring that no treated or untreated wastewater is discharged into external water bodies. Initiatives also encompass rainwater harvesting ponds, artificial ponds, and groundwater recharge mechanisms to improve long-term water security.
• Energy Efficiency: The company reports a total energy consumption of 38,36,623 in FY2026. Efforts to reduce the environmental footprint include renewable energy adoption, biomass based captive cogeneration, and process optimization.
• Waste Management: Radico Khaitan operates under a comprehensive waste management framework (Reduce, Reuse, Recycle). In FY2025, 25,083.93 metric tonnes of waste were recovered through recycling or reuse, with the primary focus on recycled and reused materials.

Human Capital and Employee Well-being:
The company prioritizes employee health and safety. In FY2026, Radico Khaitan reported a total workforce of 1,278 employees (98% male) and 1,022 workers (91% male). Key measures include:

• Health & Safety: A comprehensive Occupational Health and Safety Management System (OHSMS), aligned with ISO 45001:2018, covers all facilities.
• Benefits: For FY2026, both permanent employees and workers are covered by the company’s group life insurance. Educational initiatives included training sessions on topics like Food Safety and Hazard Management for 71% of employees.

Products, Stakeholders, and Responsible Consumption​

Radico Khaitan maintains a highly structured approach to consumer engagement and responsible sourcing across its value chain:

• Responsible Consumption: All products carry mandatory health warnings stating that "Consumption of alcohol is injurious to health." Furthermore, 100% of the company's plastic packaging carries the embossed symbol of recyclability.
• Stakeholder Engagement: The company engages with all key stakeholder groups—including customers, investors, and local communities—through continuous communication channels like websites, corporate social responsibility programs, and direct grievance redressal mechanisms.

Independent Assurance Findings​

The Business Responsibility and Sustainability Report has been reviewed by Agile ESG Advisors Private Limited, which provided reasonable assurance on selected core disclosures. The scope of the engagement covered specific metrics across Principles 1 (Governance), 3 (Employee Well-being), 5 (Human Rights), 6 (Environment), 8 (Inclusive Growth), and 9 (Consumer Engagement).

Agile Advisors concluded with reasonable assurance that the sustainability data provided by Radico Khaitan is fairly presented in all material aspects as per the stated reporting criteria. The review encompassed parameters such as days of accounts payable, concentration of sales with dealers, Gross Wages paid to female employees, Scope 1 and Scope 2 emissions intensity, water consumption levels, and total waste generated.

RADICO Stock Price Movement​

On Tuesday, shares of Radico Khaitan Limited edged higher to settle at ₹4059, after achieving a solid gain of 0.34% in the trading session. The stock closed following a volume of 367,386 shares, demonstrating sustained momentum while remaining close to its annual high.