Sundrop Brands Limited Releases Sustainability Report for FY2025-26; Highlights Operational Scope and ESG Focus

Sundrop Brands Limited Releases Sustainability Report for FY2025-26; Highlights Operational Scope and ESG Focus​

Sundrop Brands Limited, which operates across diverse segments of the FMCG industry including processed foods, snacks, spreads, and edible oils, has released its Business Responsibility and Sustainability Reporting (BRSR) for the Financial Year 2025-26. The report provides detailed insights into the company's operational footprint, human capital management, and commitment to environmental protection and ethical conduct.

The Company’s primary business activity, accounting for 100% of its turnover, is engaged in foods production, covering both ready-to-cook and ready-to-eat snacks, as well as edible oils. The company serves a broad consumer base, encompassing approximately 4,93,000 retailers and 1,170 distributors through an extensive distribution network.

Operational Footprint and Workforce Details​

As of the close of FY2025-26, Sundrop Brands Limited operates across 10 locations nationally (6 manufacturing plants and 4 offices) and 2 international locations. The company serves national markets across 28 states in India and four countries internationally: Bangladesh, Bhutan, Sri Lanka, and Nepal. Export contribution accounted for 0.04% of the total turnover.

The report detailed significant operational data pertaining to human resource management and governance structure. Total employees stood at 842, with a majority (95.25%) being male across both permanent and other than permanent categories. The company has 1,567 workers, categorized as 805 male and 151 female in the current financial year.

Financial Commitment and CSR Spending​

For FY 2025-26, the Company reported a Paid-up Capital of INR 37,69,68,530/-. The company affirmed that Corporate Social Responsibility (CSR) is applicable as per Section 135 of the Companies Act, 2013, with total turnover reported at 882.17 Crores and net worth recorded at 1,477.65 Crores.

Key Focus Areas: Environment and Operations​

The BRSR highlights multiple material risks and opportunities across environmental, social, and governance matters. Environmental focus areas include GHG Emissions & Climate Change, Water Management, and Energy Management.

Environmental Performance:
Sundrop Brands reported total Scope 1 emissions of 4903.01 Metric tonnes of CO2 equivalent in FY 2025-26, down from 2969 metric tonnes in FY 2024-25. Total Scope 2 emissions stood at 6534.457 Metric tonnes of CO2 equivalent for the same period. The company aims to reduce dependency on diesel and furnace oil by shifting towards cleaner fuels and is implementing energy efficiency measures, including retrofitting high efficiency motors and installing variable frequency drives.

Water and Waste Management:
The company operates a structured approach to water stewardship across its plants located in Gujarat, Telangana, and UP, conducting risk assessments using the WRI Aqueduct tool. In terms of waste management, total plastic waste generated was 2187 metric tonnes in FY 2025-26, with 1038 metric tonnes being recycled. The company also completed 100% EPR compliance for postconsumer plastic waste as per CPCB guidelines.

Social Responsibility and Human Rights​

In terms of social performance, the report showed high levels of engagement in workplace safety and employee development. For FY2025-26, all employees (391 male, 32 female permanent; 411 male, 8 female other than permanent) and workers (553 male, 11 female permanent; 252 male, 140 female other than permanent) received training covering health and safety measures.

The company has established a structured grievance redressal mechanism for all categories of employees and workers. Regarding human rights, the company integrates these principles into its business agreements and contracts, requiring adherence to fair labour practices and prohibiting child or forced labour from value chain partners. The company's procurement strategy is supported by sourcing 25% of inputs directly from MSMEs/small producers.

Governance and Risk Mitigation​

The governance framework emphasizes integrity and transparency, with the Board of Directors holding ultimate responsibility for overseeing all Business Responsibility policies.

Key risk mitigation strategies detailed in the report included:

• Climate Change: Developing a climate adaptation strategy for agricultural supply chains, given that Assam and Gujarat sourcing areas are highly vulnerable to extreme weather.
• Labour Practices: Implementing living wage gap analysis and ensuring compliance with minimum wage notifications across all manufacturing locations.

The company’s adherence to these standards is evidenced by the fact that no instances of fines, penalties, or actions related to corruption or conflict of interest were recorded during the reporting period.

SUNDROP Stock Price Movement​

Sundrop Brands Limited shares slipped by 1.33% on Friday, settling at ₹665.45 in market trading. The stock saw a total traded volume of 11,406 shares after touching a low of ₹663.65 during the session.