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CORPORATE SUSTAINABILITY REPORT
2011-12
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Table of Contents
THE CEO’S CORNER ......................................................................................................................... 4
About the Report ............................................................................................................................................. 6
About Polyplex ................................................................................................................................................ 7
OUR SUSTAINABILITY CONTEXT ............................................................................................. 16
Our Impact on Environment, Society, Health & Safety ................................................................................... 17
Engaging with our Stakeholders ..................................................................................................................... 21
Our Sustainability Strategy ............................................................................................................................ 22
OUR ECONOMIC PERFORMANCE .............................................................................................. 24
OUR ENVIRONMENTAL PERFORMANCE ................................................................................ 30
Our Environmental Context ........................................................................................................................... 31
Improving Process Efficiencies; Reducing Environmental Impact ................................................................... 32
Our Impact on Climate Change & Air Pollution .............................................................................................. 39
Our Impact on Water ..................................................................................................................................... 42
Solid Waste .................................................................................................................................................... 44
OUR SOCIAL PERFORMANCE ..................................................................................................... 46
Labor Practices and Decent Work .................................................................................................................. 48
Human Rights ................................................................................................................................................ 56
Engaging with Society .................................................................................................................................... 57
Product Responsibility ................................................................................................................................... 60
GRI INDEX......................................................................................................................................... 63


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Polyplex Corporation Limited
Corporate office
Polyplex Corporation Limited
B-37, Sector - 1, Noida - 201 301
Gautam Budh Nagar, Uttar Pradesh,
India
Tel: +91-120-2443716 to 19
Fax: +91-120-2443723
Registered office
Lohia Head Road,
Khatima-262308
Distt. Udham Singh Nagar,
Uttarakhand
Factory Address 1:
Lohia Head Road
Khatima
Distt. Udhamsingh Nagar
Uttaranchal
Tel: +91-5943-250285,86,
Fax: +91-5943-250069
Factory Address 2:
Plot no. 227MI-228MI
Vikrampur,Bannakhera Road
Bazpur-262401,District - Udham Singh
Nagar
Uttaranchal, India
Polyplex (Thailand) Public Company Limited
75/26 Ocean Tower - II, 18C Floor
Sukhumvit Road
Kwaeng North Klongtoey
KhetWattana
Bangkok - 10110
Thailand
Tel: +66-2-6652706-8,
Fax: +66-2-6652705
Factory Address:
Siam Eastern Industrial Park 60/24
Moo 3, Tambol Mabyangporn,
Amphur Pluakdaeng, Rayong 21140
Thailand
Tel: +66-38-891352-4
Fax: +66-38-891358
Polyplex Europa Polyester Film San. ve Tic. A.S.
Avrupa Serbest Bolgesi
132 Ada, 11 Parsel,
VelimiseMevkii,
Çorlu, Tekirdag
Turkey
Tel:+90-282-6911241,44,
Fax:+90-282-6911052

Polyplex USA LLC
3001, Mallard Fox Drive N W
Decatur, Alabama – 35601
USA
Tel: +1-256-686-2950
Fax: +1-256-686-2951



Our Vision
Continuously grow and
create value in all
businesses and establish
global leadership in the
plastic film business.


Our Mission
Creating value for
stakeholders (Investors,
Customers, Employees,
Community) through
delivering profitable
value to customers and
maximizing their
satisfaction.

Our locations
4

THE CEO’S CORNER
It is my pleasure to introduce to you our first sustainability report. The report is
our attempt to disclose to our stakeholders the management philosophy, the
initiatives, and the sustainability performance of our company.
The polyester and plastic film industry has been a ubiquitous part of the modern
economy. We touch the lives of nearly every person on the planet due to the wide
variety of applications of our products across diverse operations and functions.
Although a young company, Polyplex has grown from a single unit operation in
Khatima, India to having operations across the world. Driven by the rising demand for flexible
packaging materials, we have incorporated a product line that offers plastic substrates ranging from
standard plain films to value-added coated and metallized films. Approximately 80% of our products
are used in the packaging industry. As the global economy grows, the demand for our products will
only increase. While this is good news for our shareholders, we do recognize that our responsibility
towards the environment also needs to keep pace.
As we develop world class packaging materials, we have been conscious of the manner in which
environmental and social parameters will shape our company and industry. Our focus has been to
reduce the impact of our raw materials on the environment. We have initiated programs to look at
substitutes that will reduce our dependence on petro-chemicals. Efforts are underway to introduce
our sustainable range of products with bio-ethanol-based input materials. We are also working with
our customers to down-gauge our films so that we use lesser input material for the same function.
In our efforts to improve the efficiency of our operations, we are targeting a reduction of our specific
energy consumption; thereby bringing down our greenhouse gas (GHG) emissions. Initiatives such as
the switch-over from Furnace Oil to Natural Gas at Polyplex Thailand; and the commissioning of a
rice husk powered oil heating system at our Bazpur plant have helped us lower our consumption of
fossil fuels and reduce our GHG emissions. The Bazpur and the yet to be commissioned rice husk
plant at Khatima have been registered by the UNFCCC as CDM projects with expected production of
more than 21,900 carbon credits annually.
We have been consistently reducing our process waste. About 98% of our process waste is recycled
& reused. The company is also working on a project to recycle non-usable process waste. The
company plans to recycle post-consumer flexible packaging waste in addition to exploring options to
achieve our mid-term goal of zero-discharge to drainage.
We continue to build on providing a dynamic, safe, and humane place to work. We take great pride
in the cordial relations with our workforce and have several programs to support their career and
personal growth. Worker committees at all our locations allow employees to collectively represent
their grievances and suggestions to the management. We work hard to develop a comfortable work-
culture where employees and management can interact with ease. In the past, labour issues have
been successfully and amicably resolved. We will endeavour to continually provide a workplace that
treats our global workforce with respect and dignity.
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Our strong belief that education holds the key to socio-economic development has led to the
formation of the “Polyplex Foundation”. The company supported school in Khatima has entered its
20
th
year of operation and we are proud of the positive impact it has had on the community. We
plan to replicate the success of this school at our Bazpur plant, where work for a new school has
already been started.
I am proud of the manner in which Polyplex has emerged as a global player and the steps it is taking
to become a responsible corporate citizen. I also am aware that much work remains to be done.
Over the next 3-5 years, our efforts will be focussed on improving our operational efficiencies and
expanding the market for our sustainable range of products. The report writing process has also
highlighted areas such as human rights where informal structures exist to ensure compliance, but
work remains to be done before the organization can formally state that it is effectively managing
for those aspects. I am looking forward to being part of the discussion where these aspects are
integrated into the way we do business.
I am certain that the manner in which we adopt sustainable practices within Polyplex will determine
the direction the company takes in the years to come. It is a challenging task given the current
economic environment, but one that we are excited to pursue.


Pranay Kothari
(Chief Executive Officer)

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ABOUT THE REPORT
This is Polyplex’s first sustainability report.
The report discloses aspects related to
Polyplex’s environmental, social and
economic performance in the financial year
2011-12.
Our environmental and social performance
has been reported as per the Global Reporting
Initiative (GRI) 3.1 guidelines and covers all
operating units that are owned by Polyplex
during the year. The report does not cover
performance data from Polyplex USA, which
will start operations in 2012-13 and other
diversified businesses of the company For the
Head Office and R&D centre only energy and
manpower data have been reported. The
report discloses information on 67 indicators.
A sustainability committee was appointed
under the Corporate Sustainability Officer to
oversee the development of the report. The
committee consisted of our top management
as well as resources from the plant operations
team.
We plan to update the report on an annual
basis.


For Comments or Questions contact:
Dr Harish Bisht
[email protected]
Corporate Sustainability Officer
B -37, Sector 1, NOIDA, Uttar Pradesh,
India
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ABOUT POLYPLEX
Polyplex, which started its operations in 1988
with a small polyester film line in India, is now
among the world’s largest producers of thin
polyester film. Our manufacturing facilities
are located in India, Thailand and Turkey and
we have sales offices in China and USA. A new
integrated polyester film plant will be
commissioned in USA by year 2012-13. A
publicly traded company listed on the
Mumbai stock exchange, National Stock
Exchange in India and the Stock Exchange of
Thailand, we have gained repute as one of the
most profitable producers of PET Film through
cost efficient operations resulting from high
productivity and low overheads. Our products
have gained wide acceptance in the global
markets, such as USA, Europe, South-East
Asia, South America, and Australia.
Table 1: Scale of operations
Number of employees 1,442 employees worldwide (for manufacturing units
excluding USA, Corporate Office and R&D)
Net sales and other income INR 24,881.9 million (USD 519.2 million)

Breakup:
Revenue from Operations: INR 24,259.3 million
Other Income : INR 622.6 million
Total capitalization broken down in
terms of debt and equity (for
private sector organizations)

Equity – INR 25,235.28 million
Debt – INR 7,232.31 million

Quantity of products or services
provided.
 72% revenues from overseas markets
 79% of Polyplex products are used in food and
consumer goods markets
Total assets as on 31-03-12 INR 35,134.20 million

Our primary products are high performance
plastic films (PET, BOPP& CPP)
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that are
primarily used in the flexible packaging
industry. We also manufacture value-added
films such as Silicone Coated release films and
Extrusion Coated thermal laminates. We are
in the process of expanding our product range
to manufacture Bottle grade PET resins and
have also invested in a Thick PET film line as
well as a Blown PP film line. We are also one
of the world’s leading integrated producers of
Polyester (PET) films and produce our own

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PET – Polyethylene Terephthalate, BOPP- Biaxially-oriented
polyethylene Terephthalate, CPP- Cast Polypropylene
PET resin for captive consumption as well as
for sale.
As a component player in a large supply chain
our primary customers are packaging material
manufacturers who supply to large FMCG
brands such as Frito Lays, Unilever, Nestle,
PepsiCo, and ITC amongst others.
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Figure 1: Our Value Chain
GROUP STRUCTURE
Our manufacturing facilities in the Plastic film
business are located in India, Thailand, and
Turkey, with distribution facilities are in China
and USA.


As on 30-Sep-12
Figure 2: Polyplex Group Structure
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The geographic markets served by our three operations are:
Geographic Markets
Served
Polyplex India Polyplex Thailand Polyplex Turkey
 India
 South America
 Africa
 South East Asia
 Asia Pacific
 China
 Australia
 New Zealand
 Europe
 North America
 CIS/Russian markets
 Middle East (This
actually is covered by
PCL)
 Africa



Figure 3: Region-wise Breakup of Sales (by value) 2011-12

SIGNIFICANT CHANGES IN THE REPORTING PERIOD
In 2011-12, we incorporated new entities in USA and Turkey.
Table 2: Details of incorporation of new entities
Name of Company Country of Incorporation % Shareholding & Voting
Power for Polyplex India
Date of Incorporation
PAR LLC (PAR) USA 51% May 6, 2011
Polyplex Resins Sanayi Ve
Ticaret A S, (PR)
Turkey 67.17% December 1, 2011
Polyplex America Holdings
Inc (PAH)
USA 51% July 18, 2011
Polyplex USA LLC (PU) USA 51% July 18, 2011


23%
27%
3%
18%
3%
8%
15%
3%
Europe
India
Middle East
North America
ROW
Other Asia
SE Asia
South America
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PRODUCT DETAI LS
Polyplex has a diversified portfolio of products
under three brand names. Packaging is our
largest business segment in addition to
manufacturing substrates used in the flexible
packaging industry. Our BOPP and CPP Films
are Polypropylene (PP) based films, which are
pre-dominantly used in packaging and certain
industrial applications like tapes, labels,
thermal lamination and textiles. These
laminates are supplied to consumer product
companies for packaging of a diverse range of
products like food, household goods, and
personal care products among others.



Figure 4 : Our product applications
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Table 3: Polyplex Brands and Product produced
Product Sub types End use
Brand: Sarafil
PET Films


 Transparent thin PET films
 Degradables: Oxo BioPET
 Metallized PET films
Specialty Films
 Coated Films (From offline coater)
● Packaging - Outer and middle layer of the flexible
packaging such as coffee bag, snack bag, softener bag,
detergent bag and general purpose packaging for Oxo-
biodegradeable properties
● Industrial -Hot stamping foils, flexible air-
conditioning ducts, labels/ID cards lamination
● Electrical - Wire and cable wrap
BOPP
 Transparent thin & thick BOPP
Film
 Metallized BOPP Film
 Specialty BOPP Film
 Degradable: Oxo BioBOPP
Packaging - Outer and middle layer of the flexible
packaging such as coffee bag, snack bag, softener bag,
detergent bag and general purpose packaging for Oxo-
biodegradeable properties
 Tape and Textile applications
CPP
 Lamination and Conversion grade
film
 Metallizable CPP film
 Metallized CPP films
 Twist grade film
 Retort grade film
 Degradable: Oxo BioCPP
● Packaging - Inner most layer in food packaging,
Textile, health care products and general purpose
packaging and lamination application for Oxo-
biodegradeable properties
● Industrial - Hot fill bags & liners, Industrial adhesive
tapes, Interior automotive trim panels
Green Film
Products
 Alternates/Replacements:
Antimony Free (Eco PET), PVC
Replacements (GW), PVDC
Replacements (BT160)
- Alu-Foil Replacements: MT5000
 Renewables/Recyclables: BioPET,
BioPET Plus, RPET
 Source Reduction: Down gauged
products upto 8 micron, 3/2 layer
replacements
 Packaging – General purpose packaging and
lamination application with lower environmental
foot prints for twist, high barrier and foil
replacement


 Packaging – General purpose packaging and
lamination application with lower environmental
foot prints and renewable or/ and PCR inputs
Brand: Saralam
Thermal
Lamination
film
 Gloss PET Thermal Film
 MATTE PET Thermal Film
 BOPP Thermal Film
 Metallized Thermal Film
● Thermal Lamination of documents or printed media
● Reflective Insulation
● Flexible packaging
● Rigid packing using printed corrugated carton board
Brand: Saracote
Silicone
Coated
Film
 Silicone Coated BOPET Film



 Silicone Coated Polypropylene
 Shingle roofing tapes
 Release liner in pressure sensitive labels
 Release liner in pressure sensitive adhesive tapes
 Release liner in medical and hygiene products
 Tailor-made release liner for ‘Peel & Stick’ water-
proofing underlayment/membrane

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PET films constitute 73% of our total sales followed by BOPP at 13% and coated film at 7%.

Figure 5: Business Segment-wise Sales (by Value) 2011-12

Figure 6: Application-wise break-up of sales (by Value)
2011-12

79% of Polyplex products are used in the food
and consumer goods markets.
Our range of products finds extensive use in
many sectors where they aid in promoting
efficiencies in various forms.
Table 4: Polyplex product benefits
Industry
Polyplex product
purpose
Benefits from Polyplex product
Food Packaging Increased shelf life of food product
Electrical Insulation tapes Promotes safety and efficiency
Textile Packaging, Yarn Materials Improves product strengths and life
Air-conditioning Insulation Promotes energy efficiency
Others
Roofing
Adhesive tapes, Lamination
Decoration purposes and adhesives application
Weathering protection

CORPORATE GOVERNANCE
At Polyplex, the key elements of Corporate
Governance are fairness, transparency,
accountability and responsibility. The
emphasis is on:

 Enhancement of shareholder value
 Protection of the interest of the public
shareholders
 Long-term financial health of the
company
 Providing customers with quality
products and services
 Environment friendly production
methods
 Providing for fair wage and safe
working condition for employees and
inviting inputs from employees in
decision-making
 Contribution to the socio-economic
development of the local community.

The Board consists of executive and non-
executive directors. In India, five of the
directors are independent whereas three are
73%
13%
7%
4%
2%
1%
PET
BOPP
Coated Film
CPP
Chips
Other sale
79%
20%
1%
Packaging
Industrial
Electrical
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non-independent. Currently, all Board
members are male. The Chairman of the
Board is a non-executive Director of the
company.
In Thailand, out of the eight directors four are
independent directors. All directors are male.
The Chairman of the Board is a non-executive
director.
Board members are selected based on their
experience and the insights that they can
bring to company discussions.
Table 5: Board Sub-Committees at Polyplex
Sub-Committee name Function Composition/ Chair
Chairman of the Board India: Sanjiv Saraf
Thailand: Manu Leopairote
Finance Committee To decide, inter-alia, financial matters of the
Company by way of loans, working capital
facilities and incidental matters.
India: Chairman

Audit Committee  Oversight of financial reporting processes
 Appointment of statutory auditor and
fixing audit fees
 Approval of payments to statutory auditor
 Review of annual and quarterly financial
statements
India: Independent non-
executive director
Thailand: Chairman

The Company Secretary of the
Company acts as Secretary of
the Audit Committee.

Remuneration
Committee
To recommend to the Board the
remuneration for the Whole Time/
Executive
Director(s) of the Company.
India : Chairman
Two independent non-
executive directors


Shareholders/ Investors
Grievance Committee
Looks into the Investors/ Shareholders
Grievances remaining unresolved at the
executive level and issue
of Duplicate/ Fresh Share Certificates in lieu
of original being lost, misplaced, spoiled,
and defaced, split in smaller lots or
rematerialization of shares in demat form.
India: Chief Executive Officer,
Independent non-
executive director

GOVERNANCE FOR SUSTAINABILITY
To drive sustainability related initiatives at
Polyplex, we have formulated a group-level
committee to oversee our sustainability
program:
 Group Sustainability Committee
consists of the Group CEO, Group CFO,
Group HR Head, Profit Centre Heads,
and the Corporate Sustainability officer;
and
All the plant heads assist the group
sustainability committee in formulating the
sustainability program.
The committee seeks to:
 Formulate the sustainable strategy of
Polyplex
 Integrate & Synergize sustainability
related efforts and practices across
Polyplex Group
 Drive adoption of sustainability
practices in our operations and
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initiatives for social equity & local
community development.

PREVENTION OF INSIDER TRADING
We have put mechanisms in place for the
Prevention of Insider Trading as per the
requirements of Securities and Exchange
Board of India (Prohibition of Insider Trading)
Regulations.
As per the code of conduct on Prevention of
Insider Trading, employees, officers and
Directors at Polyplex (all locations) are
expected to maintain confidentiality of all
price sensitive information and to refrain from
dealing with Polyplex securities when in
possession of unpublished price sensitive
information. Directors and employees can
trade in Polyplex securities only during a valid
‘trading window’ with a threshold limit of
10,000 equity shares per financial year (April –
March). We have also defined precise
disclosure requirements for all our
employees, officers and Directors; a copy of
which is also available at www.polyplex.com
2
.
Any compliance failure is suitably dealt with
as defined in the code.
SEEKING SHAREHOLDER AND EMPLOYEE FEEDBACK
The Shareholder/Investors grievance
committee looks into any feedback that the
shareholders/investors may have.
The employees are free to voice their opinion
on matters of concern to them through town
hall meetings and welfare committees. We
follow an open door policy wherein any
employee can provide feedback to the
management.

2
Code of Conduct for Prevention of Insider Trading;
http://contentlinks.dionglobal.in/polyplex/(S(j0aixa55xiffao45z
0l02m3u))/Images/PCL.pdf
COMPENSATION FOR THE BOARD OF DIRECTORS,
EXECUTIVES, AND SENIOR MANAGERS
A remuneration committee has been
constituted to recommend to the Board the
remuneration for the Whole Time/ Executive
Director(s) of the Company. In 2011-12, no
performance linked incentives were paid to
the executive directors. The non-executive
directors get a sitting fee for each
board/committee meeting.
CONFLICTS OF INTEREST
Each member of the Board is required to
disclose to the Board if they may be involved
in transactions or professional associations
that may result in conflicts of interest for the
company. As declared in the annual report,
there were no transactions of material nature
with related parties that had potential conflict
with the interest of the Company at large
during the year.
SHAREHOLDING PATTERN
The shareholding pattern as of 31-Mar-2012 is
as follows:

Figure 7: Shareholding pattern for Polyplex 31st March 2012
Foreign
Promoters
41.30%
Indian
Promoters
5.63%
Indian
Public
21.67%
NRIs/OCBs
10.83%
Mutual
Funds
and UTI
8.61%
Bodies
Corporates
7.44%
Foreign
Institutional
Investors
(FIIs)
4.48%
Banks,
Financial
Institutions,
Insurance
Companies
0.03%
Non
Promoters
53.07%
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LI ST OF AWARDS 2009-12







“Best under a Billion” firms of
Asia by Forbes Asia (2011)
TPM Excellence Award by JIPM (2011)
16


Our Sustainability
Context
17

OUR IMPACT ON ENVIRONMENT, SOCIETY, HEALTH & SAFETY
Flexible plastic films have revolutionalized the
packaging industry. They are light-weight,
non-porous, transparent and have high tensile
strength. Due to their versatile nature and
barrier properties they can be deployed
across multiple applications and are among
the most widely used materials for protection
and storage of food and non-food
applications.
Yet many of our societal stakeholders share
an uneasy relationship with plastic films due
to their non-biodegradability and persistence
in the environment. Since packaging is highly
visible, negative environmental and social
impacts can adversely affect the brand of our
business customers, who tend to be global
FMCG majors.
Our sustainability efforts are directed towards
addressing the immediate concerns of our
customers and external stakeholders as well
as mitigating the negative environmental
impacts from our operations.


Table 6: Polyplex Impact Assessment Matrix
Impact Polyplex Response
Environment
& Society
Air pollution & Climate Change Impact - Improve energy efficiencies and invest in
lower GHG Intensive fuels or
alternate/renewable energy
Depletion of raw materials/natural
resources
- Improving process efficiencies
- Increase recycling/reuse of waste materials
-Reuse of wooden pallets & plastic end-caps
- Ensuring all hazardous waste goes to
government approved agents/processors
Non-biodegradability of our end product;
soil and water pollution
- Encourage recycling of packaging products
- Down-gauge our products so that less
quantities are present in the environment
- Produce films partially made out of bio-based
input material
- Work with our customers to decrease the
environmental impact of our film.
- Develop packaging films with enhanced
biodegradability
Health
Health impacts of ambient air quality
around our plants
- Monitoring of ambient air to ensure
compliance with local air quality norms
Positive impact on life of food products - Our film forms a protective layer in food
packaging, help preserve food quality and
extend the life of the food product
PACKAGING FILM FACTS
Kg CO
2
e Emissions/8 oz
- Glass bottle & metal cap: 0.48
- Plastic PET bottle & cap: 0.13
- Aluminum can: 0.14
- Flexible standup pouch: 0.03

Material weight to pack 60 pounds
of beverage
- Glass: 50 pounds
- Rigid PET: 6 pounds
- Aluminum: 3 pounds
- Flexible plastic: 1.5 pounds
18

- Implementation of management systems
related to food safety like ISO 22000 and
BRC/IOP.
Safety
Impact on safety of our workforce due to
the complex nature of our machinery
- Periodic safety training provided to our
workforce
- Investment in safety equipment for factory
personnel
- Monitoring of safety indicators to ensure our
performance meets our safety targets
- Implementation of OHSAS 18001 at all
locations

OUR SUSTAI NABI LI TY RI SKS AND DRI VERS
Over the last three years, we have formally
begun the process of understanding the
sustainability impacts of our business. Our
efforts have been to establish baselines and
benchmarks for our operations, set targets to
reduce our impact, innovate to develop more
high performance, value-added and
environmentally friendly products and create
systems and policies that will help us
institutionalize best practices across the
organization.
A holistic look at our business model is also
necessitated because there are very strong
risks and drivers in our industry pushing the
packaging material value-chain to become
more sustainable.
Some of the most critical risks and drivers are:


Figure 8 : Key risks & drivers
•A majority of our raw materials comes from the crude oil value chain. This exposes us
to extreme price volatility impacting our cost structures.
Dependence on
Petro-Chemicals
•Our global customers are demanding products that have lower environmental
impacts.
Demand for
Greener Products
•Governments around the world are imposing regulations around the use of
plastic/polyester films that are tied to the products’ environmental impacts.
Regulatory
Pressure on
Plastic Usage
•Disposal of plastic has environmental and social impacts, which are important issues
for our societal stakeholders. The multi-layer nature of flexible films adds futher
complexity to their disposal.
Impacts of Plastic
Disposal
19

MATERI ALI TY
Earlier this year, we undertook an exercise to
understand and prioritize the areas of our
most significant sustainability impact. The
exercise assessed the aspects that were
driving our industry towards sustainability,
the actions taken by our peer companies and
the viewpoint of our employees. In addition to
the drivers and risks identified above, the
topics evaluated were:
Table 7: List of sustainability topics evaluated
Environmental Issues Social Issues
Energy management Workforce management
Materials management Workforce health & safety
Water management Training & education
Waste material management Corporate Social Responsibility
Air emissions management Respect for human rights
Solid waste management

The degree of importance of each factor assessed is shown in the graph below:


Figure 9: Mapping of material sustainability issues
The analysis was conducted by assessing the
sustainability challenges faced by peer
companies such as Mitsubishi Plastics, BASF,
DOW Chemicals, Jindal Plastics, SRF, and Max
Speciality Films. This study helped us
understand the global best practices being
adopted in our industry with regards to
sustainability.
An internal survey of our employees was also
undertaken to solicit their views on the
sustainability challenges facing the
organization. Inputs were sought from 100%
of our top management (CEO, COO, CFO,
Profit Center Heads), 10% of our senior
management (VPs, Executive Directors, etc),
Air emissions
management
Solid waste
management
Water
management
Waste material
management
Materials
management
Energy
management
Corporate Social
Responsibility
Respect for human
rights
Workforce
management
Training &
education
Workforce health &
safety
I
m
p
o
r
t
a
n
c
e

t
o

p
e
e
r
s

Importance to Polyplex
20

10% of our operational managers, and 5% of
our line workers.
The top three environmental challenges
highlighted by our employees were: energy
management, water management, and waste
materials management. The top 3 social
challenges highlighted were: workforce health
and safety, training and education and
workforce management.
The results of the assessment will be used to
align our sustainability strategy with the key
risks and drivers for our industry. However,
we consider these results preliminary in
nature. These findings will be supplemented
by focus group sessions as well as interactions
with our key external stakeholders in order to
fully understand what additional areas we
need to focus on as we refine our
sustainability strategy.

ENGAGING WITH OUR EMPLOYEES ON MATERIALITY
Building internal capacity on sustainability topics is crucial for the long-term success of these
initiatives. We have held capacity-building sessions on sustainability across our locations.
These sessions were conducted to educate our workforce on the broad topics encompassed
under the sustainability umbrella and how those topics related to their jobs.
We also used these sessions to elicit feedback from a sample of our employees on the
environmental and social issues of most concern to them.
Over the course of the next three years, we plan on deepening our interactions with our
employees on sustainability topics and defining unit specific milestones to drive our
sustainability performance.

21

ENGAGING WITH OUR STAKEHOLDERS
Much of our understanding of how
sustainability issues will begin to impact our
organization comes from our stakeholders.
We regularly interact with stakeholders for
our day-to-day business operations and it is
through these interactions that our
understanding of key sustainability challenges
has emerged.
Table 8: Stakeholder Engagement at Polyplex
Stakeholder Expectations from Polyplex Means of
Engagement
Polyplex Response
Governments &
Regulators
- Influence standards related to
quality, specifications, and
environmental impact
- Concerned about adequate
implementation of regulation
Through regulatory
bodies
- Product & process
certifications,
- Product innovation
Customers - Influence development of new
product range/ product
applications
- Concerned about competitive
pricing and implementation of
environmental and social
standards
- Timely delivery of products
- Customer meetings,
visits, seminars
- Trade fairs and
exhibitions

- Product innovation,
- Joint innovation with
customers
- New applications
- Product cost reduction
- Adoption of EMS and
OHSAS standards
- Locating manufacturing
plants close to customers
Investors - Concerned about robust financial
performance and good
governance practices within the
company
- Annual General
Meetings
- Improve cost
efficiencies,
- Business expansion
- Improved financial
returns
- Good Corporate
Governance
Vendors &
Suppliers
- Influence quality of final product
– Concerned about timely
payment for goods & services
received

- Vendor meets - Improved inventory
management
- Long-term relationships
with vendors/suppliers
Employees - Influence quality of final product
- Influence brand image
- Concerned about fair wages, safe
work environment and career
growth
- Safety trainings
- Employee
development
programs
- Performance
reviews
- Welfare committees
- Competitive salaries &
benefits package
- Emphasis on
professional training
- Awareness on values
and beliefs of the
organization
Contract Workers - Influence quality of final product
- Concerned about On-time
payments and safe work
conditions
- Training - Ensure regulatory
compliance by service
providers

22

Since this is the first year that we are looking
at sustainability in a holistic manner (our
previous initiatives focused on energy
efficiency and GHG reduction), we are still in
the process of determining how to engage
with our stakeholders pro-actively on relevant
sustainability topics.

OUR SUSTAINABILITY STRATEGY
Our sustainability strategy has been
developed in response to stakeholder
feedback and a growing market need for
environmentally friendly products. This
strategy will complement our existing
corporate strategy and help us drive
innovation, efficiency and market presence.
Our focus is two-fold; improve resource
efficiencies and develop products that have a
lower environmental footprint.
Table 9: Our approach to sustainability
Sustainable Process Sustainable Product
Material usage Source material reduction
Energy usage Lower GHG emissions
Water consumption Bio-degradable
Emissions, Effluents, Waste Reduction in raw material through down gauging
Transportation
Compliances



Over the next 5 years we plan to take several
steps to improve our sustainability
performance and are currently in the process
of formulating area-specific strategies,
piloting projects and setting targets that will
reduce our overall environmental footprint. .
Specific targets will be disclosed in our second
sustainability report.

Figure 10: Areas for Sustainability Impact
23


OUR SHORT-TERM GOALS
Polyplex is currently in the process of developing targets in the areas of energy consumption, GHG
intensity, water use intensity, packing material reduction, increasing recycling and reuse of
materials, and reducing reportable safety incidents. Specific targets will be disclosed in our second
sustainability report.
Polyplex Sustainability Policy
Our sustainability policy is an extension of our commitment to be a total
packaging solutions provider for our customers while providing the highest
standards of health and safety for our workforce, and developing products with
minimal environmental impact.
As an organization, we will continually strive to:
 Improve production and operational efficiencies to have optimal
consumption of resources like electricity, water and raw materials
 Minimize our impact on the environment by reduction and better
management of emissions, waste and effluents from our operations
 Develop and promote green products in our portfolio
 Be the preferred employers for our valued workforce
 Engage with all stakeholders in our value chain to encourage and promote
sustainable business practices.
The commitment to sustainability at Polyplex will be reflected across all
departments and functions of the organization. This includes corporate
governance, operations, resource management, products and services,
communications, public disclosure, employee management and community
involvement.
24


Our Economic
Performance
25


THE GLOBAL SCENARI O
In the financial year 2010-11, despite the poor
global economic conditions, the PET film
business experienced high levels of
profitability and operational cash flows. This
was due to robust demand, leading to a
demand supply mismatch and consequent
increase in prices. We were successful in
leveraging these favourable market conditions
due to our company strategy and leadership
position in key markets.
In 2011-12 however, the rush of new capacity
additions, concentrated mostly in Asia,
created surplus capacity, leading to a fall in
prices. This has impacted our margins and
subsequently our profits as well.
THE FI NANCI AL I MPACT OF CLI MATE CHANGE
PHYSICAL RISKS
Climate change has the potential to
impact crop production due to volatile
weather patterns. Our Bazpur plant
depends on rice husk to fuel our oil
heating plant. A disruption in local rice
production due to weather changes will
result in us having to revert to
conventional fuel, increasing the GHG
intensity of our product and our fuel
costs.
REGULATORY RISKS
We generate most of our revenue from
the sale of manufactured products that
are used in a wide variety of fast moving
consumer and industrial applications and
the potential of product liability exposure
could be significant. The role of and laws
on extended producer responsibility may
lead to major hit in our business. Analysis
of GHG inventories in past indicate that
our energy consumptions and associated
GHG emissions are relatively low. Any
new regulation, which can add
transportation-related carbon tax in
terms of raw material procurements and
export, could raise the cost of our
operations significantly.
OPPORTUNITIES RELATED TO CLIMATE
CHANGE
Our innovation and operations group is
spearheading efforts to transition to
renewable raw materials, low emission
direct energy and improved water
consumption for our conversion
processes by selection and introduction
of energy-efficient state-of-the-art
machines. We are working to improve the
carbon foot print of the organisation by
monitoring it.
OUR MANAGEMENT APPROACH
At Polyplex, we seek to maximize long-term
returns to our shareholders by following a
differentiated approach and proactively
responding to anticipated changes in the
business and environment. The key elements
of this strategy have been:
 Manufacturing or distribution presence
in the key regional markets for an
“Maintaining profitability through product differentiation, integrated
manufacturing, and market presence”
26

efficient delivery model. Setting up of a
new PET film line in USA is a significant
step in continuation of this strategy.
 Integrated manufacturing facilities with
high productivity assets to ensure cost
competitiveness
 Increasing the proportion of specialty
product revenues.
 Accelerate investment in niche
downstream products and related films
to exploit synergies in operations, broad
base product portfolio and provide a
platform for further growth. Setting up
of the extrusion coating project, the
CPP line & Silicone Coating line in
Thailand, BOPP line in India & offline
coating for specialty coating in Turkey
are recent steps taken in this direction.
 Diversification in a new segment by
setting up a manufacturing unit for
Bottle Grade PET Resin having a high
capital turnover ratio.
 Strong global delivery capabilities with a
combination of near-shore and on-
shore production base and efficient
onward distribution network.
Acquisition of the distribution company
in the USA in early 2006 has been a
strategic move of the Company in this
direction, which has created the base
for investing into a manufacturing
operation.
 Supplementing the trend of continuous
organic growth, the Company has
acquired the plastics metalizing assets
of Vacumet Corporation, based in
Georgia, USA, a fully owned subsidiary
of Scholle Corporation, USA in July,
2012.
 Setting up of the Trading Company in
China in FY 2009-10 was another
strategic decision to establish the
Company’s presence in one of the
largest and fastest growing markets for
its products. The Company is also
evaluating similar initiatives in other key
regional markets like Africa and Europe
where its presence is limited.
 Increased emphasis on upgrading
technical service and development of
new product by exploiting in-house
R&D capabilities.
 Continuous improvements in all aspects
of the operations and cost optimization
through various initiatives viz; use of
rice husk boiler for heating the plant
instead of costly furnace oil.

27

OUR FI NANCI AL I MPACT
Our revenue in 2011-12 was flat as compared
to the previous year, and the profit (before
tax and exceptional items) lower by about
61% as compared to preceding year reflecting
the reduced margins and higher depreciation
charge. Prices of our key raw materials – PTA
and MEG – have also been higher in 2011-12.

Table 10: Our Financial Performance
In INR Million 2011-12 2010-11 2009-10
Revenues 24,881.56 24,601.87 12,428.29
PAT 2,080.90 13,365.36 1,373.33
Payments to Government 119.84 585.70 164.61
Community Investments 1.86 3.64 0.696
Employee Wages and Benefits 1,229.25 1,126.47 741.35


Despite the sharp decline in profits, we are
optimistic about the polyester film industry
and believe that the commencement of
operations of several of our projects over the
next twelve months, together with steps
taken to diversify risks associated with the
cyclical nature of polyester industry would
contribute to maintaining the momentum of
growth and profitability.
Measures that will contribute to improved
financial performance over the next years
include:
 Focusing on more environmentally
sustainable operations through a
combination of strategies like use of
cost effective bio-fuel and
development of environmental
friendly products and processes.
 Investment in recycling of post
consumer flexible packaging waste in
Thailand as another initiative. This
would ensure improvement in the
recyclability of our industrial waste.
 Continued progress on the following
projects will help:
o Thick polyester film, blown
polypropylene and expansion
of extrusion coating in
Thailand.
o New thin polyester film line in
USA with backward and
forward integration.
o Bottle grade PET resin
manufacturing plant in
Turkey.

Employee Benefit Plans & Wage Rates
It is in our best interest to ensure that our
employees are looked after. We have robust
employee benefit plans at all of our locations.

In India, in addition to the employee
provident fund, we also have a 20 year
superannuation scheme for select employees.
28


In Thailand and Turkey, our employee benefit
plans include contribution to provident fund
as well as social security fund.
Our entry-level wage rates are on-par with
Government mandated norms for minimum
wages.
Figure 11 : Residential quarters at Bazpur
Table 11: Range of ratios of standard entry level wage to local minimum wage (in INR)
Location Level /
Period
Local
minimum
wage as per
legal
requirements(I
NR)
Polyplex's
entry level
wage (INR)
Ratio of the
entry level
wage to the
local minimum
wage
PCL - India Highly
Skilled
4,862 4,862 1:1
Skilled 4,477 4,477 1:1
Semiskilled 4,247 4,247 1:1
Unskilled 4,017 4,500 1:1
PTL - Rayong 13,464 13,464 1:1
PE - Corlu Jan – June

July - Dec
26,423 26,423 1:1
28,032 28,032 1:1
Monthly minimum wage , Conversion Rate: 1 TBH = 1.7 INR and 1 YTL = 30 INR,


Financial Assistance from the Government
Polyplex India (PCL) has received Investment
subsidies from the Government of India for
making capital investment in Backward
Region’s. In 2009-10, we received INR 3
million as investment subsidy for Saracote.
In 2011-12, PCL booked investment subsidy
for INR 6 million (3 million each for the Chips
and Film plant)


Figure 12: Financial Assistance from the Government –
Consolidated Data (INR Million)
3.00
-
6.00
FY 2009-10 FY 2010-11 FY 2011-12
Investment Subsidy
29

Spending on Local Suppliers
At Polyplex, the first preference is always
given to local suppliers, after giving due
consideration to all the factors such as cost,
quality, lead time and service. At all our
locations, ‘local’ refers to the national
boundary of the country where the Polyplex
unit operates. The factors influencing supplier
selection are quality, acceptability,
consistency, cost, customer service and social
performance.

Figure 13: Share of expense on local suppliers

Local Hiring
At all locations, during the start-up years, the
core management team comprises of persons
previously employed by Polyplex Corporation
Limited. These experienced professionals help
in establishing operations on schedule and in
a cost effective manner while maintaining
quality. Once the company operations are
stabilized, the dependence on expatriates is
reduced by increasing the proportion of local
operational and managerial staff.

Figure 14: Proportion of local managers (%) 2011-12

OUR I NDI RECT ECONOMI C I MPACT
We recognize that our operations have an
indirect economic impact on the environment
and community. Our initiatives are designed
to maximize the positive impact and minimize
the negative consequences. Some of our
initiatives include:
 In 2011, we replaced fuel oil with rice
husk as an energy saving measure. Husk
usage improves the local agriculture
economy.
 We source packaging material locally.
Vendors supplying the packaging
material employ local labourers and train
them in carpentry skills required for
making packaging material.
 Our products are primarily used in the
food packaging industry and help
increase the shelf life of the food and
reduce the wastages.
 We have established a public school –
The Saraf Public School – in Khatima,
India. We also make annual donations to
NGOs for community development.
 We have set up a Polyplex Foundation in
Bazpur to establish and run a private
unaided CBSE affiliated school and work
on the school has already been started.
19.8%
72.7%
90.8%
17.5%
80.4%
82.1%
14.0%
91.5% 93.5%
Turkey India Thailand
FY 2009-10 FY2010-11 FY 2011-12
74%
100%
34%
43%
26%
0%
66%
57%
Overall Polyplex India PTL, Thailand PE, Turkey
Local Managers Non-Local Managers
30


Our Environmental
Performance
31

OUR ENVIRONMENTAL CONTEXT
We are conscious that as we are growing with
operations spread out at multi locations, we
have increasing environmental impacts. Few
of the initiatives taken by our operations to
manage the impacts, include decrease their
energy consumption and improve their waste
management. Our plants in Turkey and
Thailand are located within government
approved industrial zones and our operations
adhere to their common emissions and waste
disposal standards. At both locations, our
effluents are sent to common Effluent
Treatment Plants set up by the respective
industrial zone authorities.
We predict that over the next 5 years there
will be an 8-10% annual rise in the demand for
flexible packaging and our attempt will be to
ensure that the net environmental impact of
such an increase is minimized.
To ensure that we meet our aim of managing
our environmental impact, much of our
efforts are directed towards decreasing the
consumption of natural resources (material
and energy) in our production process.
All of our plants have implemented and are
certified to Environmental Management
Systems (ISO 14001) allowing us to track and
manage our environmental performance. Our
overall management systems have also
integrated ISO 9001 Quality Management
System, the ISO 22000 Food Management
System, and the BRC/IOP Global Standards for
Packaging and Packaging Materials.
Since our business operates in the B2B
segment, we have almost no control on how
our customers choose to dispose the films
once their utility is exhausted. To decrease
the environmental impact of our products we
are working to:
1. Down gauge film so that smaller
quantities of natural resources are
required to meet the same
functionality and less waste is
generated at the end of the products
life.
2. Develop new uses for our film to
allow them to replace materials of
higher environmental impact
3. Develop products with low
environmental impact at the end of
their life cycle.
We will continue to track our progress on key
environmental indicators in order to meet our
sustainability goals.

32

IMPROVING PROCESS EFFICIENCIES; REDUCING ENVIRONMENTAL IMPACT
MATERI AL CONSUMPTI ON
MATERIAL USE ACROSS OUR OPERATIONS
Our primary products are BOPET, BOPP and
CPP films. BOPET films are manufactured from
a PET resin that consists of two basic raw
materials – Purified Terephthalic Acid (PTA)
and Mono Ethylene Glycol (MEG). PTA and
MEG are subjected to melt polymerization
along with other chemicals, additives and
catalysts to form the resin for polyester film.
For BOPP and CPP films we purchase Poly
Propylene (PP) resins and additives from
external sources. We also produce value-
added metalized and silicon coated films
where an additional layer of aluminium or
silicon is coated on the base film.
In our operations, MEG, PTA & PP resin form
over 99% of our total direct material
consumption.
Our films are transported to our customers
packed with wooden pallets, paper cores, PVC
cups and ply fitments that constitute more
than 90% of overall packaging material by
weight.

Table 12: Our Primary Materials




DIRECT MATERIALS
Polymers form the bulk of our consumed
direct materials. These materials are resource
intensive to produce and have a significant
impact on the environment. Therefore a key
component of our sustainability strategy is
the reduction in source (direct) materials. We
continually evolve our practices to improve
material-use efficiencies and reduce material
wastage. Our initiatives to reuse over 99% of
the process waste generated have ensured
optimal utilization of materials consumed.
Additionally, we have also been working to
reduce the thickness of flexible film (down-
gauging) without compromising on the utility
and quality of our product thereby reducing
our source material consumption.
Direct Materials Associate Materials Packaging Materials
PTA Process Consumables Wooden Pallets
MEG Lubricants Ply Fitments
Resins – All Types Utility Chemicals Paper Core
PVC Cups
33


Figure 15: Trend for Key direct materials used (MT) - consolidated Figure 14 : Total Direct Material (MT) used

ASSOCIATE AND PACKAGING MATERIALS
Most of our packaging materials like wooden
pallets and paper cores are derived from
forest products. Reducing our consumption of
packaging materials can have a tremendous
positive impact on the environment. Where
feasible, we have discontinued the use of
wooden pallets and ply-fitments for most of
our domestic customers in India. Additionally,
all our paper cores and one third of PVC cups
being used are made from recycled material.

Figure 16: Total Packaging Material (MT) - All Plants
For our exports, we cannot discontinue the
packaging with wooden pallets; however, we
have taken initiatives to reduce the use of
packaging material.
Process consumables, lubricants and utility
chemicals form less than 1% of our total
material consumption.

COUNTRY-WI SE I NI TI ATI VES TO REDUCE MATERI AL CONSUMPTI ON
INDIA
In India, much of our material reduction
efforts have focused on reducing our
packaging materials. In our current initiatives:
 Approximately 5% of our ply is
purchased back from our customers.
 100% of the paper cores are made of
recycled material, resulting in savings
of 1,071 MT of virgin materials
annually
 Change of the band pinning system
during the casting process has
resulted in the reduction of process
waste.
We are also evaluating several options for
reducing our wood pallet consumption.
This will help us save approximate 8.80
MT of pallet wood & 72 MT plywood per
annum. Additionally, we have conducted
an in-house trial to reduce the weight of
122,136
124,419
97,917
47,863 48,781
38,271
40,063
30,708
9,941
2011-12 2010-11 2009-10
PTA
MEG
Resins + Others
86,326 83,435
24,482
65,892
59,223
63,936
57,844
61,250
57,711
2011-12 2010-11 2009-10
India Thailand Turkey
3,911 3,889
1,634
4,967 4,952
3,858
8,383
9,689
8,856
2011-12 2010-11 2009-10
India Thailand Turkey
34

PVC cups used in packaging. This will save
4.92 MT of HDPE cups per annum.
THAILAND
In Thailand:
 Approximately 1 % of our wooden
pallets are reclaimed from customers
resulting in savings of 19.10 MT
annually
 Approximately 3.25% of total end
fitment is reclaimed, resulting in
savings of 51.40 MT annually
 Approximately 1.25 % of total PVC
cups are reclaimed, resulting in
savings of 1.10 MT annually
 100% of our paper cores are made
from recycled material, resulting in
savings of 1,044.76 MT of virgin
materials annually
TURKEY
In Turkey, material reduction measures have
resulted in:
 Approximately 72% of total PVC cups
used are made of recycled material,
resulting in savings of 58.5 MT
annually
 100% of the paper cores used in
packaging are made of recycled
material, resulting in savings of 837
MT annually



OUR ENERGY CONSUMPTI ON
Optimal energy usage has been the backbone
of our sustainability strategy. Across our
operations, about 70% of the energy is
generated internally while the rest is procured
from national electricity grids. Fossil fuels
such as Natural Gas, Husk (Biomass), Furnace
oil and High Speed Diesel (HSD) are used to
generate primary energy, which is mainly
used for captive power generation and
heating requirements.
In India, electricity is either purchased from
the State Electricity Board or produced
internally from Diesel Generator sets. Fuel oil
and rice husk is used for generating heat
energy. For year 2011-12, around 57% of our
energy requirement was met by internal
resources whereas 43% was from energy
purchased from the State Electricity Board.
In Thailand, 100% of the electricity purchased
from national authorities is used for running
Our Energy Policy
POLYPLEX commits itself to reduce the specific energy consumption for the production of Polyester Chips,
Polyester Film and other value added downstream production/conversion units.”
This would be achieved by:
- Measuring and monitoring the specific power and fuel consumption.
- Carrying out Internal and external Energy Audits at least once a year.
- Benchmarking the specific Power and Fuel consumptions against the best achieved in similar industry. -
Adopting technological changes and renewable energy sources wherever applicable.
- Training and motivating employees to ensure minimum wastage of Energy.
- Replacement of less efficient equipment with energy efficient equipment.
35

our equipment, whereas natural gas is used
for heating. We also purchase chilled water
for cooling operations.
In Turkey, natural gas is our primary energy
source, used for meeting electricity, heating &
cooling requirements of the plant. 99.9% of
our electrical energy requirements are
fulfilled from our natural gas based captive
power plant.
Energy consumption trends have been steady
at our Thailand and Turkey plants, but have
seen a jump at our India operations. This rise
was due to the addition of the Bazpur plant in
2010-11 and the spike was the result of
construction related activities. Energy
consumption has come down in 2011-12 as
operations in Bazpur have stabilized and
construction activities have ceased.


Figure 17: Husk Based Oil Heating unit at Bazpur

Figure 18 : Energy Consumption Trend - Country wise breakup (‘000 GJ)

358
723
161
237 235
255
804 806 817
271
111
93
355
331 307
0 1
0
2011-12 2010-11 2009-10 2011-12 2010-11 2009-10 2011-12 2010-11 2009-10
India Thailand Turkey
Direct Indirect
36

Table 13: Direct Energy Consumption (GJ) - Consolidated
Direct Energy ( GJ) 2011-12 2010-11 2009-10
Fuel Oil 291,033 309,049 120,467
Natural Gas 1,033,029 1,032,662 1,067,235
HSD 40,296 407,457* 36,150
Petrol 3,080 3,427 1,723
LPG 11,256 10,943 7,731
Husk 19,995 - -
Total 1,398,689 1,763,537 1,233,305
* Bazpur unit was operating on DG set through most of the year, in the absence of grid power connection.
Table 14: Indirect Energy Consumption (GJ) - Consolidated
Indirect Energy ( GJ) 2011-12 2010-11 2009-10
Purchased Electricity 495,838 319,914 274,792
Chilled water 130,566 122,630 124,706
Total 626,404 442,544 399,498



Figure 19: Total Fuel Consumption Break-up (%) in 2011-12

OPTI MI ZI NG OUR ENERGY CONSUMPTI ON
We are constantly evaluating and adopting
measures to reduce our energy consumption,
and the cumulative impact of our energy
conservation activities has grown
exponentially over time.
Our measures can be broadly divided in two
categories: redesigning of process & systems
and retrofitting of existing equipment.
Retrofitting activities have allowed us to save
71,563 GJ of energy since 2009. However,
shifting our focus to process redesign – an
approach that requires greater capital
expenditure and has a longer payback period
– has allowed us to nearly double the impact
of our cumulative energy savings.
In the year 2011-12, we saved 41,888 GJ of
energy, with nearly 86% of the energy savings
resulting from process redesign initiatives.
To improve our energy performance further,
we plan to implement the ISO 50001 Energy
51%
25%
14%
6%
4%
Natural Gas
Purchased
Electricity
Fuel Oil
Chilled water
37

Management System standard at our Turkey
plant. We plan to further implement the ISO
50001 standard across all our locations in the
near future.



Figure 20: Cumulative Energy conserved from Retrofit & Redesign (GJ)

35,868
381 243
6,020
18,910
9,241
2011-12 2010-11 2009-10
Process Redesign Retrofitting 108,946
38,275
9,492
Cumulative Savings (GJ)
2011-12
2010-11
2009-10
38

COUNTRY-WI SE I NI TI ATI VES TO REDUCE ENERGY CONSUMPTI ON
INDIA
RETROFITTING
 Insulation of the thermic fluid
circulation pumps to reduce heat loss.
 Installation of temperature controller
to reduce electricity consumption.
PROCESS REDESIGN
 Reduction in the consumption of over
30 MT of steam in coating solution
preparation led to annual savings of
88 GJ of energy.
 Process optimization of the supply set
point temperature from 290
o
C to
287
o
C to reduce the plant heat load.
 Installation of photo cell sensor or
time switch to control all lighting
fixtures in the Bazpur plant led to
annual energy savings of 154 GJ.
 Diversion of artisan water being
withdrawn from bore wells at the
Bazpur plant to the raw material tank
has reduced the time of running the
bore well and led to savings of annual
savings of 200 GJ of energy.
 Maintaining the power factor of grid
to near unity helped us save over 100
GJ of energy annually.
 Installation of level switch in the Chips
Silo for the auto-control of EREMA
chips supply blower running saved
115 GJ of energy annually.

THAILAND
RETROFITTING
 Installation of Variable Frequency
Drives at all major pumps.
 Installation of heat recovery systems
and pre heaters at oil heating
systems.
 Installation of LED lights

PROCESS REDESIGN
 Replacement of catalyst type filters to
save heating energy requirements.
 Installation of energy wheel to
recover heat loss at Transverse
Directional Orientation (TDO).

TURKEY
RETROFITTING
 Installation of energy wheel and
variable speed drives in plant helped
us save around 20,000 GJ annually.
 Replacement of Fluorescent lamps
with LED lamps.
PROCESS REDESIGN
 Use of normal water instead of chilled
water reduced energy consumed in
chillers.
 Conversion of catalyst tank heating
system from electrical heating to
steam heating.
 In house design and installation of
energy monitoring system (AHU
SCADA system).
We also organized employee awareness
sessions on energy conservation. However, it
is difficult to quantify energy savings from
changes in personnel behaviour.



39

OUR IMPACT ON CLIMATE CHANGE & AIR POLLUTION
Burning of fossil fuels for energy production
leads to the emission of greenhouse gases
(GHG). Our efforts to reduce our energy
consumption will lead to a reduction in our
GHG emissions.
We follow the Greenhouse Gas Protocol
(Corporate Accounting) to measure and
report our direct & indirect GHG emissions.
Direct emissions arise from consuming fuel for
internal electricity generation, generating
heat energy, and the use of refrigerants and
fire extinguishers. Indirect emissions come
from the electricity purchased from national
bodies as well as purchased chilled water.
For the year 2011-12 our emissions are
171,882 tonnes of Carbon-Di-Oxide Equivalent
(tCO
2
e). Emissions from rice husk used in
heating are 2,070 tCO
2
e. As per the GHG
Protocol, biomass emissions are not included
in the overall carbon footprint of a company.
Table 15: GHG Emissions (toneCO2e) - Consolidated
Emissions (Tonnes
CO
2
e)
2011-12 2010-11 2009-10
Direct Emissions
(Scope 1)
79,015 107,764 67,118
Indirect Emissions
(Scope 2)
92,866 59,044 52,690
Total Emissions 171,882 166,808 119,808
Biomass Emissions 2,070 0 0
The rise in direct GHG emissions in 2010-11 is
a result of the start of operations at our
Bazpur plant. In its first year of operations,
the plant was not connected to the state grid
and all energy requirements were being met
by generating electricity from High Speed
Diesel – a fuel with a high emissions factor.
From 2011-12, the plant got grid-connectivity
and most of its energy is now purchased from
the state electricity board. This switch-over
has resulted in the increase of indirect
emissions by nearly 50% in 2011-12 and a
decrease of our direct emissions.
Additionally, the rice husk biomass based oil
heating system installed at Bazpur, has
decreased our demand for furnace oil –
further decreasing our direct emissions.

SWITCHING TO CLEANER FUELS

We are trying to reduce our carbon
footprint by switching to less
carbon intensive fuels. Over 50% of
our total energy comes from
natural gas, which is a significantly
cleaner fuel than Furnace Oil, High
Speed Diesel or petrol.

We have also switched from using
Furnace Oil to rice husk for our
heating systems at Bazpur.
40


Figure 21 : Emissions Share (in % tCO2e) – Consolidated Figure 22 : Emissions breakup from all fuels (%tCO2e) - Consolidated

EMI SSI ON REDUCTI ON MEASURES
All our products have different energy
requirement and therefore different GHG
emission intensity. Our product mix is
dynamic and keeps changing based on market
demand. As a result, our emission trend also
fluctuates on year-on-year basis. However, we
continue to work towards reducing our
carbon footprint. In addition to all the energy
efficiency and conservation measures, which
also help us reduce emissions, we have
implemented projects to manage our
emissions. Key initiatives among them are:
1. Installation of a Rice husk Based
Thermic Fluid Heater at Bazpur to
replace the furnace oil based thermic
heater. This measure has resulted in
reduction of approximately 16,855
Tonnes of GHG emissions annually.
We are also planning to install husk
based oil heating system at our
Khatima Plant, which will further
reduce our GHG emissions.
2. Use of direct melt technology at
Bazpur for BOPET film production.
Conventionally, a drying and extrusion
system was used to manufacture and
dry chips. These dried chips were re-
melted to make films. However, with
direct melt technology the additional
step of drying and re-melting chips is
eliminated thereby leading to energy
savings of up to 30% and a
corresponding decrease in GHG
emissions.
3. Low Efficiency Oil Heating Unit
Replaced with New High Efficiency
Oil Heating Unit at Khatima. The
replacement of the 20-year old oil
heating unit with a high efficiency
heating unit saves 185 litres of
Furnace Oil every day and reduced
our GHG emissions by 190 tonnes
annually.

46
65
56
53
35
44
1.20
2011-12 2010-11 2009-10
Biomass
emissions
Indirect
Emissions
Direct
Emissions
53%
35%
44%
30%
32%
45%
12%
14%
8%
2%
18%
2% 2%
1%
1%
2011-12 2010-11 2009-10
Indirect Natural Gas Fuel Oil HSD Husk + Others
41

COUNTRY SPECI FI C EMI SSI ONS (%) – 2011-12
INDIA

THAILAND

TURKEY


OTHER AI R POLLUTANTS
We have set strict internal guidelines and
procedures for monitoring emissions like SOx,
NOx, & Particulate Matter. Our emissions are
regularly measured.
We comply to local regulations in all our
plants and maintain emissions of these
pollutants within permissible limits.
Source of Air Emissions Units FY 2011-12 FY 2010-11 FY 2009-10
SOx MT 7.51 10.37 79.53
NOx MT 48.42 51.06 44.97
Particular Matter / TSP /
Dust
MT 12.62 19.51 37.65
Carbon Monoxide MT 0.04 0.06 0.07

Figure 23 : Other emissions – Consolidated
69%
25%
3%
2% 1%
Grid Electricity
Furnace Oil
HSD
Husk (Bio Fuel)
Others
29%
70%
0% 1%
Natural Gas
Grid Electricity
Chilled Water
Others
99%
0%
1%
Natural Gas
Grid
Electricity
Others
69%
25%
3%
2% 1%
Grid Electricity
Furnace Oil
HSD
Husk (Bio Fuel)
Others
28%
69%
2% 1%
Natural Gas
Grid Electricity
Chilled Water
Others
99%
0%
1%
Natural Gas
Grid
Electricity
Others
42

In Khatima, the installation of a new and more
efficient thermic fluid heater has reduced fuel
consumption and stack emissions by 27% over
the last two years.
In Bazpur, the rice husk fired thermic fluid
heater has reduced air pollutant emissions by
about 15% over the last two years.
OZONE DEPLETI NG SUBSTANCES
In accordance with guidelines issued as per
the Montreal Protocol, equipment using the
ozone depleting gases R-22 and R-11 have
been phased out from our operations. We do
not have any Ozone Depleting Substances in
our operations in the current financial year.

OUR IMPACT ON WATER
Water is used in our processes as a cooling
agent, but it is not required in large
quantities. In India most water is recycled and
reused. Our Bazpur plant has zero-discharge
and we are in the process of working on
implementing zero-discharge at Khatima as
well. We do not use surface water at any of
our operations. At our other locations, all
used water is sent to the common Effluent
Treatment Plants (ETP) of the respective
industrial zones.
We also generate water as a by-product in our
captive PET resin plants during the
polymerization process. This by-product water
is either reused or discharged after treatment.

OUR WATER CONSUMPTI ON
Our water consumption in India has increased
from 2010-11 due to the addition of the
Bazpur plant. In India we use groundwater for
our operations. Since the plant is located in a
predominantly agricultural area, we
endeavour to be efficient with our water use.
In our Thailand & Turkey operations, we
purchase water from local municipal bodies.
No groundwater is used in Thailand & Turkey.
Table 16 : Total Water withdrawal by source (M3) – Consolidated
Water Source Units 2011-12 2010-11 2009-10
Groundwater m
3
300,295 386,159 205,419
Municipal Supply m
3
340,492 306,723 289,669
Total m
3
640,787 692,882 495,088

We treat the waste water generated from our
polymer production process. We have
Effluent Treatment Plants (ETP) at all our
operational sites for water treatment. At our
India operations, treated water is primarily
used for landscaping & horticultural purposes.
In Thailand and Turkey, our ETP treats only
the by-product water before discharge. In the
year 2011-12, we reused around 12% of our
water.
43



Figure 24: Water Recycled (M
3
)
I MPROVI NG OUR WATER USAGE BEHAVI OUR
At our Bazpur plant, approximately 15% of the
total water used is recycled and used for
gardening purposes. (24,830 m
3
).
At Khatima, water used for cooling the
thermic fluid circulation pump seal was
previously being released into the drain,
resulting in the wastage of approximately
34m
3
/day. To prevent this wastage we have
installed a tank for recovery and reuse.
Chemical solutions used at our ETP are
prepared using water. In our bid to reduce our
water consumption, we have started using
treated water for preparing the chemical
solution instead of using fresh water at
Khatima plant. This has helped us save
approximate 11 m
3
of water per day.

Waste Water
We follow safe waste water disposal practices
across our operations. In India, we have
achieved zero water discharge at Bazpur
plant. At Khatima plant, all treated waste
water is discharged in rain water drainage
system. There is no untreated water discharge
at any of these locations.

Figure 25: Effluent treatment plant at Bazpur
Our other two plants – Thailand & Turkey falls
in industrial zones with common ETPs. Waste
water from both these plants is sent to their
respective industrial zone ETPs for treatment
according to local regulations.

Figure 26: Sewage Treatment Plant at Bazpur
640,787
692,882
495,088
78210
63557 67964
2011-12 2010-11 2009-10
Total water withdrawn Total water reused
12%
9%
14%
44

Table 17 : Waste Water Discharged (cubic meter) - All plants
Year 2011-12 2010-11 2009-10
Treated
water
discharged
Untreated
water
discharged
Treated
water
discharged
Untreated
water
discharged
Treated
water
discharged
Untreated
water
discharged
India 7,048

0

7,665

0

7,300

0

Thailand* 720

140,846

720

115,695

720

111,415

Turkey* 16,753

64,869

16,696

63,954

19,377 59,362

Total 24,521 205,715 25,081 179,649 27,397 170,777
*Untreated water sent to respective industrial zone ETP for treatment
SOLID WASTE
Our operations primarily generate three types
of waste:
Waste from Direct Material includes wastes
like polyester chip lumps, polyester film
lumps, waste trimmings, contaminated films,
and waste aluminium coated film. 99% of our
raw material related waste is recycled. Waste,
which cannot be used internally, is sold off to
third party contractors. All of this waste is non
hazardous
Waste from Packaging Material includes
wooden pallets, plastics, PVC cups, and paper
cores as packaging material for both incoming
material, as well as finished goods. Most of
this waste is sold off to third parties. This
waste is non-hazardous in nature.
Waste from plant operations: In the normal
course of operations, we generate waste like
sludge from ETP & tank bottom, oil &
lubricants, scrap metal, batteries, chemical
waste, and used drums. Much of this waste is
non-hazardous in nature and is disposed off to
third parties. Hazardous waste, if any, is
disposed off to authorized vendors.


Figure 27 : Total waste generated at all plants (MT)
In the past three years, we have not
transported, imported, exported or treated
waste deemed hazardous under the terms of
the Basel Convention Annex I, II, III, IV.
There were no significant spills reported in
the past three years in any of our location.

5,764
983
378
4,663
905
386
4,015
806
328
Direct -Waste Packaging - Waste Process - Waste
2011-12 2010-11 2009-10
45

I MPACT ON BI ODI VERSI TY
None of our operations are adjacent to
national parks and therefore we do not have
any direct impact on biodiversity. Additionally,
our operations at Thailand & Turkey are in
Special Industrial Zones promoted by the
national authorities and under that purview
all required environment impact assessments
have been undertaken by these national
authorities.
For our Khatima and Bazpur operations in
India, the nearest protected area is a Tiger
reserve – Jim Corbett National Park, which is
around 170 KM & 70 KM away from the
respective plants.
ENVI RONMENTAL EXPENDI TURE & I NVESTMENTS
The total environmental expenditure & investments for the past three years are:
Table 18 : Total environmental expenditure
Categories 2011-12
(Million INR)
2010-11
(Million INR)
2009-10
(Million INR)
Expenses on waste disposal, emissions treatment
and remediation
4.34 3.04 3.53
Expenses on prevention and environmental
management costs
1.25 1.86 1.10
Total Cost 5.59 4.90 4.63


Penalties
At our Turkey Plant, there were two cases of penalties amounting to INR 5,559 & INR 54,978 in the
year 2011-12 for non compliance with ETP effluent discharge norms, which are monitored by the ASB
(European Free Zone) national authority. We have since remedied our processes to ensure that we do
not violate the norms in the future.
There were no other fines at any of our production sites in India & Thailand in last three years.
46

Our Social Performance
47


48

LABOR PRACTICES AND DECENT WORK

OUR MANAGEMENT APPROACH
Polyplex is a “people oriented” company. We
have a robust HR policy and constantly
endeavour to maintain our image of a preferred
employer. The organization enables employees
to pursue excellence and realize their full
potential by consistently recognising and
rewarding exceptional performance.
As a company we place high regard on the
individual, on teamwork, on establishing a
boundary-less culture, and on being socially
responsible. We have created enabling
performance management systems that reward
outstanding performance and fast-track careers
for consistent high performers.
We have also established an open-door policy
across the organization. We encourage
employees to freely discuss problems,
aspirations and challenges with their
supervisors. If issues cannot be resolved by
immediate supervisors, the Human Resources
Department is available for consultation and
guidance.
The Group Head (Human Resources) is the
highest authority for all human resources
related issues and is supported by an HR team
at all our plant locations. A monthly review with
all locations is conducted to discuss HR related
issues. We are currently implementing an
integrated human resource information system
at our India operations. Our HR policies are
communicated and made available to all
employees.
“An exciting workplace that inspires superior people performance”
Polyplex vision and mission statement
OUR VALUE SYSTEM

Designed to create a work culture
that inspires pride and openness
among our employees, ‘The
Polyplex Way’ is a five-principle
approach to running our business.

Seamless: Leverage synergies
across hierarchies, functions and
locations.

Care: Value people and commit to
their development. Be sensitive to
and respect diversity and take a
long-term approach to all our
relationships.

Ownership & Responsibility:
Display ownership and feel
responsible for the organization’s
performance. Trust in the
capabilities of our people and
believe in delegation while
adopting a hands-on approach.

Excellence: Exhibit a passion and
strive to continuously improve the
way we work. Constantly pursue
newer and better ideas, processes,
and practices.
49


Figure 28: Values Grievance Resolution Process

MEETING RISING CAREER GROWTH EXPECTATIONS
We have grown from a single location
business operation to having business
operations across multiple countries. This
growth has created avenues for career growth
for employees at all levels by providing them
newer roles within the company.
However, it is a challenge for us to continually
meet career growth expectations of our
employees. Our current focus is on ensuring
that constructive changes are made to the
organization structure in order to meet
employee expectations.


OUR WORKFORCE
Polyplex has 1,442 employees. We support
diversity, are an equal opportunity employer
and place a high degree of importance in
ensuring that all individuals are treated with
respect and dignity. All our policies and
procedures related to recruitment,
compensation, benefits, and termination
apply equally to all our employees,
irrespective of caste, gender, nationality, age,
differential ability and any other protected
characteristic. The ratio of basic salary and
remuneration of women to men by employee
category is 1:1.
Issue faced /
observed by an
employee
Approach the
Value Champion
The Value
Champion
approaches the
Profit Center
Head/ Group
Head HR
Value ticket &
reference
number issued
to the aggrieved
party
Issue Resolved
•HR planning and forecasting
•Recruitment
•Compensation
•Performance management system
•Promotion
•Learning and development
•Retirement and separation
•Exit interview process
•Employee benefits policies like working hours, leaves and holidays, Gratuity, PF etc, Housing loan
subsidy, Education load assistance etc
• Mediclaim and Health Insurance
•Company accomodation
•Sexual harassment
Our HR policies and processes broadly cover
50

Table 19: Polyplex Workforce FY 2011-12
Employee
Type
By Gender By
Employment
Category
By Region
(India)
By Region
(Thailand)
By Region
(Turkey)
Male Female
M
a
n
a
g
e
m
e
n
t

N
o
n
-
M
a
n
a
g
e
m
e
n
t

L
o
c
a
l


N
o
n
-
L
o
c
a
l

L
o
c
a
l

N
o
n
-
L
o
c
a
l

L
o
c
a
l

N
o
n
-
L
o
c
a
l

Permanent 1,338 104 153 1,289 746 0 405 39 241 11
Contracted 510 42 31 521 384 0 83 0 85 0

*Local refers to employees who are citizens of the country of operations



Figure 29: Internal training programs for employees
(India)

Figure 30: Health awareness session for the local
community (Turkey)

Figure 31: Workforce by Gender Category in FY 2011-12 Figure 32: Consolidated workforce composition (2011-12)
Permanent
Men
67%
Permanent
Women
5%
Contract
Workers
0%
Men
26%
Women
2%
Contract
Workers
28%
Division on the basis of Gender (2011-2012)
Permanent Men Permanent Women Contract Workers
Men Women
Local
permanent
69.81%
Non local
permanent
2.51%
Contract
0.00%
Local
27.68%
Non local
0.00%
Contract
employees
38.59%
Division based on Local and Non-local
Local permanent Non local permanent
Contract Local
Non local
51

Our expansion and growth has translated into
a robust hiring year. We believe that new
talent provides the firm with fresh ideas and
in collaboration with experienced personnel
can result in a dynamic and productive work
environment. Although women form a very
small part of our workforce, there is no
discrimination against women during the
hiring process.
Over the past three years, the employee
turnover rate has remained constant.

Table 20: Employee Hires & Turnover (2011-12)

RETAI NI NG OUR WORKFORCE – OUR BENEFI TS AND TRAI NI NG PROGRAMS
BENEFITS
Our experience has taught us that work
culture, employee benefits and career growth
go a long way in helping us retain the best
possible workforce. Our benefit programs are
designed to ensure that the needs of our
employees and their families are adequately
addressed.
From health insurance programs to providing
social security/retirement benefits, our
programs are competitive with the rest of the
industry.



We understand the need of our employees to
take leave from work for certain personal
priorities and few things are as eventful in the
life of an employee as the birth of their child.
The company provides paternal leave for all
male employees and maternal leave for all
women employees in accordance with
national legal requirements. Employees are
allowed to return to their previous positions
upon the completion of this leave.
•Life insurance / Social Security
•Health insurance
•Annual health check up (for employess
more than 30 years) - not sure if it is
applicable at all locations
•Disability/Invalidity Coverage
•Maternity/ Paternity leave
•Retirement Provisions
• Education Assistance
Benefits to full-time employees

•Education Assistance
•Transport allowance/assistance
•Food allowance/assistance
•Housing allowance
•Long service award
•Special leave for marriage
Other benefits in select locations
By Gender By Age Group
Female Male < 30
Years
30-
50
years
> 50
years
Hires 29 346 234 136 5
Turnovers 21 242 127 127 9
52


Table 21: Employee Leaves
Employee Category Number of Employees
(2011-12)
Men Women
Employees Entitled to Parental Leave 28 7
Employees who took Parental Leave 28 7
Employees who returned after Parental Leave 28 7
Employees still working 12 months after returning
from parental leave
25 6
Return to work rate 100% 100%
Retention Rate 89% 86%

TRAINING AND EDUCATION
Our competitive advantage is dependent on
how we can keep pace with growth/change in
business processes and technology. Our
product is very price-sensitive and improving
our productivity allows us to remain
competitive. In this context, training our
employees to do their job better is essential
for our business.
We have an institutionalized process for
managing the development of employees in
the plant and operation areas. All the units
have fully equipped training facilities so that
people development efforts are managed
from within.
To ensure that we maintain high levels of
competency for our technical employees we
constantly monitor the competency level of
employees and provide necessary training
programs to enhance their skill-sets.
Training programs also help facilitate a
seamless transition if vacancies arise due to
employees getting promoted or leaving the
organization.
Responsibility for ensuring that appropriate
and timely training programs are conducted
lies with line managers, supervisors, unit HR
heads, India HR head, and Group HR head.
Our annual training programs are categorized
as follows:
Table 22: Learning & Development Programs at Polyplex
Polyplex Learning & Development Platforms
1. Development of people for new operations
2. Induction training
3. On-the-job training
4. Development for competence gaps
5. Learning and development for future roles

Apart from formal training programs, informal knowledge transfer at a peer level is common at all
our locations.
53

Table 23: Training hours per employee
Employee
Category
Units Employee training
Hours
Training
Hours/Employee
Senior
Management
Number 473.50 11
Middle
Management
Number 544.50 5
Junior
Management
Number 1,439.50 2.50
Workmen Number 8,883.50 12.50
Total 11,341 7.86
By Gender
Female
employees
Number 783.5 7.53
Male
employees
Number 9,700.4 7.25

EMPLOYEE REVI EW AND FEEDBACK MECHANI SMS
Employee performance management is a
critical and effective tool for the development
and optimization of human resources within
the organization. It helps our employees
continuously improve upon their individual
performance and thereby increase the
organization’s effectiveness.
Employees are evaluated based on overall
annual business targets and individual
performance targets. The individual targets
are developed via a consultative process
between the employee and their supervisor.
The performance review discussion takes
place through an annual review of their
performance. Annual compensation and
bonuses are decided based on the
performance review discussions.

Table 24: Percentage of employees receiving appraisal
Data of Formal Performance Appraisal Units FY 2011-12
Total employees as reported in LA1 Male Persons 1,338
Female Persons 104
Employees who received formal appraisal Male Persons 1,063
Female Persons 89
% of employees receiving a formal appraisal Male % 80
Female % 85

In India, some of the workforce is governed by
long term agreements where the evaluation
periodicity is linked to the promotion cycle,
which happens one in every 5-8 years
depending on employees’ level in the
company. Such policies are formally agreed
with employees’ elected representatives. As a
result the annual appraisal rate is not at 100%
across the organization.
54

EMPLOYEE HEALTH & SAFETY
At Polyplex we continuously aspire to provide
a safe and healthy work environment for our
employees. All of our facilities are certified
with OHSAS 18001:2007 certification on
Occupational Health and Safety Management
system. At all of our locations, respective
business heads bear the responsibility of
ensuring that all processes, equipment and
facilities are operated and maintained in a
safe manner. It is also their responsibility to
adhere to national, state, and local
government regulations.
We have appointed a Safety Manager or a
senior safety officer at all of our
manufacturing units to conduct safety audits
and provide training on regular basis to our
employees. We also take support from
external safety experts to conduct
comprehensive safety audits, HAZOP analysis
and thermography analysis.
We also expect employees to follow safe
practices in the workplace. Safe work
practices are widely publicized and employees
are empowered to recognize and correct
unsafe practices. We also rely on them to pro-
actively mentor fellow colleagues on these
practices.
We have formed formal joint management-
worker health and safety committees to
monitor and implement procedures that will
keep our factories safe. These committees
meet on monthly basis to review our
workplace safety and provide
recommendations to management.
Table 25: Polyplex Health & Safety Committees
No. of health & safety committees formed 8
Total members in health & safety committees 107
No. of workmen in health & safety committees 53
% of employees represented in formal joint management-
worker health and safety committees.
50%

Our concern for the general well-being of our
employees has resulted in regular training to
our employees on important health related
subjects such as diabetes, stress management
and other serious ailments along with health
and safety training.
At present, most of these trainings are
available only to employees. However, in
Turkey, we have organised training
programmes for men & women above 40
years of age from the local community on
health related issues. We will make available
such training and counselling to family
members of our employees at other locations
Polyplex
Safety, Health & Environment Policy
We are committed to develop and maintain a
safe, healthy and clean environment to protect
natural & human resources, plant, machinery and
environment by
 Continual improvement in the work practices
and processes for prevention of pollution and
risk minimization through various objectives.
 Compliance with applicable Safety, Health &
Environment statutory requirements and needs
of all interested parties.
 Conservation of natural resources and waste
reduction through involvement of personnel
from all functions and levels in the organization.
55

OUR SAFETY RECORD
Accidents happen despite our active efforts to
improve safety at all our plants. The issue
receives high priority from our management
with the CEO being part of monthly safety
review meetings. Additionally, our safety
measures are also subjected to external safety
audits.

Table 26: Our Safety Record

FY 2011-12 FY 2010-11 FY 2009-10

Health & Safety Metrics
Permanent
Employees
Non Reportable
Near miss cases 44 27 -
Minor Injuries 21 10 17
Reportable
Non-fatal
accidents
1 27 37
Fatal Accidents - 1 -
Occupational Diseases cases - - -
Lost Days 245 324 509
Total No. of man hours worked 2,914,320 2,126,095 926,464
Contract
Workers
Non Reportable
Near miss cases - - -
Minor Injuries 7 3 0
Reportable
Non-fatal
accidents
- 14 19
Fatal Accidents - - -
Occupational Diseases cases - - -
Lost Days 68 110 120
Total No. of man hours worked 1,330,272 742,336 410,400


Figure 33 : Rate of Injury

7.99
9.26
2.54
3.77
0.07 0.00
0
2
4
6
8
10
Permanent employees Contract employees
Rate of injury
2009-10 2010-11 2011-12
56

HUMAN RIGHTS
At Polyplex, we ensure that human rights are
not violated in any of our transactions. It has
been our practice to ensure that the dignity
and rights of our employees, consumers,
vendors and all concerned stakeholders is
respected and maintained. Although at
present, there is no formal mechanism to
ensure that all contracts have human rights
related clauses; we are considering
developing plans to include these clauses in
all future contracts and agreements.
We believe that training our workforce on
their human rights as well establishing
permissible codes of conduct when dealing
with our stakeholders is crucial. We are
considering introduction of formal Human
Rights training sessions for all employees
across all our locations so that the concept
becomes ingrained in our work culture.
NON-DI SCRI MI NATI ON & FREEDOM OF ASSOCI ATI ON
We are an equal opportunity employer and
the effectiveness of the policy can be seen by
the fact that we have not had any reported
case of discrimination in the past 3 years
across any of our locations.
FREEDOM OF ASSOCIATION AND COLLECTIVE
BARGAINING
We believe that employees have a right to
collectively represent themselves in front of
management for certain matters and we are
open to a negotiated process on such topics.
At our operations in Khatima, over a third of
our employees are represented by the union.
We have also formed various “Joint Welfare
Committees” at all locations so that the short
term, medium term and long term needs of all
workers are brought to the attention of the
management and resolved satisfactorily in a
timely manner.
CHILD, FORCED, AND COMPULSORY LABOUR
Our recruitment and security systems ensure
that children do not become part of our
workforce. We strictly adhere to the National
Child Labour (Prohibition and Regulation) laws
of all the countries where we operate. We
also do not support or promote forced or
compulsory labour in any form. There have
been no incidents of child or forced labour
reported at any of our locations. Polyplex
management will continue to conduct routine
checks of all personnel contracted and
employed to ensure that operations continue
to remain free of child and forced labour.


57

ENGAGING WITH SOCIETY

We understand that the nature of our business
impacts the environment and society. We have
therefore always tried to mitigate any negative
impact in a proactive manner. We undertake
various CSR activities throughout the year.
Our social commitment is primarily focused on
education. We have a school in Khatima and have
adopted three government schools in the area. We
are in the process of laying the foundation for
another school in Bazpur and have plans to adopt
two government schools in the area. Our other key
social initiatives are highlighted in the table below.




Figure 34: "Children's day activity at Polyplex Europe"


Figure 35: Tree plantation drive at Polyplex Bazpur

“We believe that growth and excellence must be accompanied by a sense of responsibility towards the
community. Our initiatives in the area of engaging with society are an expression of this ethos.”
SARAF PUBLIC SCHOOL, KHATIMA

Started in 1992 with the goal of
providing quality education to the
children of our employees and of
the nearby community, the school
is now counted among the
premiere institutions in the city.

The school today imparts
education to 1,537 students and
we are committed to replicating
the success of the model at our
Bazpur location.
58

KEY HI GHLI GHTS OF OUR COMMUNI TY ENGAGEMENT

Figure 36 : Our CSR Initiatives
•Seedling plantations on World Environment Day at Khatima.
•Support for Mangrove forest conservation at Klung district Chantaburi province of
Thailand.
•Program support for the release of 100,000 fishes back to the shared water
resource at Nong Pla Lai reservoir in Thailand.
•Program to support sea turtle conservation, in partnership with the Thai Navy.
Promote nature conservation
•Support a school in Khatima over the past two decades. With approximately 1,600
students, the school provides equal educational opportunities to children from all
sections of the society.
•The 'Polyplex Foundation', registered under the Societies Registration Act, 1860,
has been set-up to provide high quality education to children of the local
community at Bazpur.
•Adopted two local schools under a Public Private Partnership model at Bazpur and
Khatima and provide the necessary infrastructure such as furniture and fittings to
the schools.
•Undertaken sports and education sponsorships for school-going children of
deceased employees
Promote education
•Donations to an Orphanage
Charities
•Promotes inter-religious harmony through its support of local religious activities
and celebrations in India, Thailand and Turkey.
•Provided financial assistance for victims of the tsunami in Japan as well as for
victims of flood and landslides in the south of Thailand.
•Hosted Safety Week at Bazpur
•Celebrates events like Womens day, Mothers day, Childrens Day, Teachers day and
other festivals across locations.
•Hosted the 1st District Taekwando Championship at Bazpur.
Society
•Organization of blood-donation drives at all facilities across the world, free Eye
Check-ups and Inoculation Camps in collaboration with local hospitals.
•Installation of potable water coolers in public spaces.
•Active support to flood relief efforts in India and Thailand.
Healthcare
•Energy conservation day conducted at Bazpur to spread awareness among
employees.
•Observed Earth Hour at all locations on 31
st
March 2012.
Energy conservation
59

CSR EXPENSES
Polyplex CSR Expenditure (INR)
Operation 2009-10 2010-11 2011-12
Polyplex India 5,83,383 4,25,436 13,67,541
Polyplex Europa 4,440,005 6,636,868 5,824,300
Polyplex Thailand 689,246 898,950 993,517
TOTAL 45,712,634 10,922,959 8,185,358

TACKLI NG CORRUPTI ON & COMPLI ANCE WI TH LAW
At Polyplex, we deal with corruption cases
within the organization in an informal process
and take appropriate actions to prevent their
occurrence.
We have an institutionalized process of
periodic internal and external comprehensive
audit. The discrepancies observed are
reviewed at the senior leadership level to
assess the impact of non-compliance.
Practices are then put into place to improve
process effectiveness. To ensure that our high
value procurement transactions remain
corruption free, we have a four member
monitoring committee that approves large
monetary deals.
Training programs specifically designed to
address corruption have not been conducted
at Polyplex. However, the informal channels
within the organization do try to sensitize the
employees to the dangers and consequences
of corruption.
No cases have been found in terms of
workplace discrimination, corruption and
accounting fraud.
ENGAGI NG WI TH PUBLI C POLI CY
Policy-makers have a volatile relationship with
plastic. They are often subject to semi-
informed opinions in the public space about
the negative impacts of the product on the
environment and society. As a result, the
plastic/polyester industry is subject to
‘reactive’ regulation often in the form of
product bans.
While many of the fears surrounding plastic
have a basis in reality, the industry has made
significant strides in developing
environmentally safer products. Progressive
companies such as Polyplex have led the way
in developing better products. However, the
industry as well as our company has not done
a competent job in educating our regulatory
and societal stakeholders on the
improvements made in product attributes. As
a policy, we have not lobbied with the
government on issues concerning our
business.
However, as we look at sustainability in a
comprehensive manner, we recognize that we
need to form constructive partnerships with
government and society that will allow us to
collectively improve upon the negative
environmental and social impacts of our
product. As our thinking on the subject
evolves, we will look for opportunities to push
the sustainability agenda with government
bodies, industry associations and societal
actors.
60

PRODUCT RESPONSIBILITY
Our products form an important layer of
protection in food packaging. We have a
global customer base and it is imperative for
us to ensure that our products are safe to use
and adhere to global packaging material
standards. Our products strictly follow
guidelines and are certified with food safety
management systems. At Turkey, we have
adopted BRC/IOP food safety standards
whereas at all other locations we have
adopted ISO 22000 food safety standards.















THE I MPACT OF REGULATI ONS
Effective national regulations can help drive
the market for “greener” packaging materials.
Having taken the pro-active steps to develop a
robust line of green film products, we are
waiting for regulation to catch-up. We would
like all packaging material to have green
mandates that help drive consumer demand
for such products. Current market trends do
not reward companies with green product
lines, because of the higher marginal costs of
these products. With price being a significant
differentiator in the market, in our opinion,
the tipping point for green products is yet to
arrive.

Polyplex Food Safety and Hygiene Policy
We are committed to provide safe products that comply
with customer requirements and producing legal products
though an effective food safety and hygiene management
system. This shall be achieved by
 Management of processes that ensure hygienic
conditions and minimization of hazards
 Continual improvement in hygiene and product
safety performance by review of objectives and
targets
 Compliance to hygiene and food safety norms
 Enhancement of hygiene and food safety
awareness amongst the employees/ customers/
subcontractors/ visitors through effective
communication and education.
The Food safety and hygiene policy is appropriate to the
nature of our business activities and its goals, and we are
committed to comply with the requirements and
continually improve the effectiveness of the Food Safety
and Hygiene Management System.
61

OUR GREEN PRODUCTS
Despite weak regulation on green packaging
materials, there is a clear concern among our
customers about society’s role in climate
change and understanding the needs to follow
sustainable business practices. We have been
proactive in making changes to our business
strategies to adapt our organization for the
long term. We have made strategic decisions
to improve the environmental performance of
our operations as well as our products.
We have invested in developing many
products that have improved environmental
performance and our Green PET film uses a
significant proportion of bio-sustainable
inputs and recyclates. Bio based inputs
constitute approximately 5% of our entire raw
material by volume in PET film manufacturing.
In addition, all of our existing products are
recyclable.


Figure 37: Sustainable product overview




•Down Gauged
products upto 8
mic
•3/2 layer
replacements
•Oxo BioPET
•OxoBioBOPP
•OxoBioCPP
•BioPET
•BioPET Plus
•RPET
•Antimony Free -EcoPET
•PVC replacements-GW
•PVDC replacements-
BT160
•Alu –Foil Replacements
•MT5000
Alternates/
Replacements
Renewables/
Recyclables
Source
Reduction
Degradables
'Sarafil' Sustainable Product Range
•Sarafil Bio PET/BioPET Plus (Renewable content)
•Sarafil R PET (PCR recycle)
•Sarafil Eco PET (Antimony Free)
•Sarafil GW (Green Wrap) (PVC replacement)
•Sarafil BT160 (PVDC replacement)
•Sarafil MHS (3 to 2 /1 layer Packs)
•Sarafil MT5000 (Alu -foil replacement)
62

HEALTH AND SAFETY OF OUR PRODUCTS
Since our products are used in the food and
healthcare segment among other segments,
we take great care to ensure that the health
and safety impact of our products are suitably
handled. Approximately 80% of our products
are used in the food industry and we ensure
that our products are 100% food grade.
To this end, we carry out a health and safety
assessment of our products from the product
design stage in the Research and
Development, Certification, Manufacturing
and Production and usage instructions of our
products.
We have our food safety policy. All of our
operations are certified with food safety
management systems.
NON COMPLIANCE
No incidents of non-compliance with
regulations and voluntary codes concerning
health and safety impacts of products and
services during their life cycle were reported.
ORGANIZATIONAL PROCEDURES FOR PRODUCTS AND
SERVICES
For our green products range, we check the
fossil carbon content versus the renewable
bio-mass content based on the principles of
radioactive carbon analysis (ASTM-D 6866).
We also check the safe use and disposal of the
product. Our green product range has taken a
lead in ensuring that all the environmental
and social impacts of the products are taken
into account. We plan to extend this practice
to our other products as well.
CUSTOMER FEEDBACK OF OUR PRODUCTS
We conduct periodic customer satisfaction
surveys to gather feedback on delivery,
quality and price of our products. Our quality
management system (ISO 9001) requires an
internal assessment of customer satisfaction.
PRODUCT MARKETING CODES
No codes apply for the marketing of our
products.
Our Technical Services team ensures that all
communications related to our products are
whetted internally. The team checks for
necessary compliances as per respective
national requirements.
NON-COMPLIANCE CONCERNING THE PROVISION
AND USE OF OUR PRODUCTS
We have not found any case of penalty due to
non compliance with the law in the reporting
period of 2011-12.

63

GRI INDEX
G3.1 Content Index

Application Level A Assured by No assurance sought
STANDARD DISCLOSURES PART I: Profile Disclosures
1. Strategy and Analysis
Profile
Disclo
sure
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
omission
Explanation
1.1
Statement from the
most senior decision-
maker of the
organization.
Fully Page 4

1.2
Description of key
impacts, risks, and
opportunities.
Fully Page 17

2. Organizational Profile
Profile
Disclo
sure
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
omission
Explanation
2.1
Name of the
organization.
Fully Page 3

2.2
Primary brands,
products, and/or
services.
Fully Page 10

2.3
Operational structure
of the organization,
including main
divisions, operating
companies,
subsidiaries, and joint
ventures.
Fully Page 8

2.4
Location of
organization's
headquarters.
Fully Page 3

2.5
Number of countries
where the
organization operates,
and names of
countries with either
major operations or
that are specifically
relevant to the
sustainability issues
covered in the report.
Fully Page 3

2.6
Nature of ownership
and legal form.
Fully Page 7

2.7
Markets served
(including geographic
breakdown, sectors
served, and types of
customers/beneficiari
es).
Fully Page 9

2.8
Scale of the reporting
organization.
Fully Page 7

2.9
Significant changes
during the reporting
period regarding size,
structure, or
ownership.
Fully Page 9

2.10
Awards received in
the reporting period.
Fully Page 15


64

3. Report Parameters
Profile
Disclo
sure
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
omission
Explanation
3.1
Reporting period
(e.g., fiscal/calendar
year) for information
provided.
Fully Page 6

3.2
Date of most recent
previous report (if
any).
Fully Page 6

This is the first sustainability
report
3.3
Reporting cycle
(annual, biennial, etc.)
Fully Page 6

3.4
Contact point for
questions regarding
the report or its
contents.
Fully Page 6

3.5
Process for defining
report content.
Fully Page 6

3.6
Boundary of the
report (e.g., countries,
divisions,
subsidiaries, leased
facilities, joint
ventures, suppliers).
See GRI Boundary
Protocol for further
guidance.
Fully Page 6

3.7
State any specific
limitations on the
scope or boundary of
the report (see
completeness
principle for
explanation of scope).
Fully Page 6

3.8
Basis for reporting on
joint ventures,
subsidiaries, leased
facilities, outsourced
operations, and other
entities that can
significantly affect
comparability from
period to period
and/or between
organizations.
Fully Page 6

3.9
Data measurement
techniques and the
bases of calculations,
including assumptions
and techniques
underlying
estimations applied to
the compilation of the
Indicators and other
information in the
report. Explain any
decisions not to apply,
or to substantially
diverge from, the GRI
Indicator Protocols.
Fully
The
indicators
are reported
as per the
guidelines
issued by
GRI 3.1

65

3.10
Explanation of the
effect of any re-
statements of
information provided
in earlier reports, and
the reasons for such
re-statement
(e.g.,mergers/acquisiti
ons, change of base
years/periods, nature
of business,
measurement
methods).
Not
Applicabl
e
This is
Polyplex’s
first report

3.11
Significant changes
from previous
reporting periods in
the scope, boundary,
or measurement
methods applied in
the report.
Not

Does not
exist
This is the first sustainability
report
3.12
Table identifying the
location of the
Standard Disclosures
in the report.
Fully Page 63

3.13
Policy and current
practice with regard to
seeking external
assurance for the
report.

This report
is not
externally
assured

4. Governance, Commitments, and Engagement
Profile
Disclo
sure
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
omission
Explanation
4.1
Governance structure
of the organization,
including committees
under the highest
governance body
responsible for
specific tasks, such
as setting strategy or
organizational
oversight.
Fully Page 12

4.2
Indicate whether the
Chair of the highest
governance body is
also an executive
officer.
Fully Page 12

4.3
For organizations that
have a unitary board
structure, state the
number and gender of
members of the
highest governance
body that are
independent and/or
non-executive
members.
Fully Page 13

4.4
Mechanisms for
shareholders and
employees to provide
recommendations or
direction to the
highest governance
body.
Fully Page 14

66

4.5
Linkage between
compensation for
members of the
highest governance
body, senior
managers, and
executives (including
departure
arrangements), and
the organization's
performance
(including social and
environmental
performance).
Fully Page 14

4.6
Processes in place for
the highest
governance body to
ensure conflicts of
interest are avoided.
Fully Page 14

4.7
Process for
determining the
composition,
qualifications, and
expertise of the
members of the
highest governance
body and its
committees, including
any consideration of
gender and other
indicators of diversity.
Fully Page 14

4.8
Internally developed
statements of mission
or values, codes of
conduct, and
principles relevant to
economic,
environmental, and
social performance
and the status of their
implementation.
Fully Page 3

4.9
Procedures of the
highest governance
body for overseeing
the organization's
identification and
management of
economic,
environmental, and
social performance,
including relevant
risks and
opportunities, and
adherence or
compliance with
internationally agreed
standards, codes of
conduct, and
principles.
Fully Page 13

4.10
Processes for
evaluating the highest
governance body's
own performance,
particularly with
respect to economic,
environmental, and
social performance.
Not

Currently an
evaluation of
the Board’s
performance
on
sustainabilit
y subjects
does not
exist
Group Sustainability
Committee
67

4.11 Explanation of
whether and how the
precautionary
approach or principle
is addressed by the
organization.
Not

The
precautionar
y principle
does not
form an
explicit
decision-
point in our
business
process
currently.
4.12
Externally developed
economic,
environmental, and
social charters,
principles, or other
initiatives to which the
organization
subscribes or
endorses.
Not

Currently
the
organization
does not
subscribe to
any external
environment
al or social
charters
4.13
Memberships in
associations (such as
industry associations)
and/or
national/international
advocacy
organizations in which
the organization: *
Has positions in
governance bodies; *
Participates in
projects or
committees; *
Provides substantive
funding beyond
routine membership
dues; or * Views
membership as
strategic.
Not

4.14
List of stakeholder
groups engaged by
the organization.
Fully Page 21

4.15
Basis for identification
and selection of
stakeholders with
whom to engage.
Fully Page 21

4.16
Approaches to
stakeholder
engagement,
including frequency of
engagement by type
and by stakeholder
group.
Fully Page 21

4.17
Key topics and
concerns that have
been raised through
stakeholder
engagement, and how
the organization has
responded to those
key topics and
concerns, including
through its reporting.
Fully Page 21

STANDARD DISCLOSURES PART II: Disclosures on Management Approach (DMAs)
G3.1
DMAs
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
omission
Explanation To be
reported in
DMA
EC
Disclosure on Management Approach EC
Aspec
ts
Economic
performance
Fully Page 25

Market presence
Fully Page 25

68

Indirect economic
impacts
Fully Page 29

DMA
EN
Disclosure on Management Approach EN
Aspec
ts
Materials
Fully Page 31

Energy
Fully Page 31

Water
Fully Page 42

Biodiversity
Fully Page 45

Emissions, effluents
and waste
Fully Page 31

Products and services
Fully Page 22

Compliance
Fully Page 16

Transport
Fully Page 22

Overall
Fully Page 31

DMA
LA
Disclosure on Management Approach LA
Aspec
ts
Employment
Fully Page 48

Labor/management
relations
Fully Page 48

Occupational health
and safety
Fully Page 48

Training and
education
Fully Page 48

Diversity and equal
opportunity
Fully Page 48

Equal remuneration
for women and men
Fully Page 48

DMA
HR
Disclosure on Management Approach HR
Aspec
ts
Investment and
procurement practices
Partially Page 56

No formal
procedures
exits yet.
But there
are plans to
develop
them in the
future.
Non-discrimination
Fully Page 56

Freedom of
association and
collective bargaining
Fully Page 56

Child labor
Fully Page 56

Prevention of forced
and compulsory labor
Fully Page 56

Security practices
Fully Page 56

DMA
SO
Disclosure on Management Approach SO
Aspec
ts
Local communities
Fully Page 56

Corruption
Fully Page 59

Public policy
Fully Page 59

DMA
PR
Disclosure on Management Approach PR
Aspec
ts
Customer health and
safety
Fully Page 60


STANDARD DISCLOSURES PART III: Performance Indicators
Economic
Perfor
manc
e
Indica
tor
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
Omission
Explanation To be
reported in
Economic performance
69

EC1
Direct economic value
generated and
distributed, including
revenues, operating
costs, employee
compensation,
donations and other
community
investments, retained
earnings, and
payments to capital
providers and
governments.
Fully Page 27

EC2
Financial implications
and other risks and
opportunities for the
organization's
activities due to
climate change.
Fully Page 25

EC3
Coverage of the
organization's defined
benefit plan
obligations.
Fully Page 27

EC4
Significant financial
assistance received
from government.
Fully Page 28


Market presence
EC5
Range of ratios of
standard entry level
wage by gender
compared to local
minimum wage at
significant locations of
operation.
Fully Page 28

EC6
Policy, practices, and
proportion of
spending on locally-
based suppliers at
significant locations of
operation.
Fully Page 29

EC7
Procedures for local
hiring and proportion
of senior
management hired
from the local
community at
significant locations of
operation.
Fully Page 29


Indirect economic impacts
EC8
Development and
impact of
infrastructure
investments and
services provided
primarily for public
benefit through
commercial, in-kind,
or pro bono
engagement.
Fully Page 29

EC9
Understanding and
describing significant
indirect economic
impacts, including the
extent of impacts.
Fully Page 29

Environmental
Perfor
manc
e
Indica
tor
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
Omission
Explanation To be
reported in
Materials
70

EN1
Materials used by
weight or volume.
Fully Page 32

EN2
Percentage of
materials used that
are recycled input
materials.
Fully Page 33

Energy
EN3
Direct energy
consumption by
primary energy
source.
Fully Page 36

EN4
Indirect energy
consumption by
primary source.
Fully Page 36

EN5
Energy saved due to
conservation and
efficiency
improvements.
Fully Page 36

EN6
Initiatives to provide
energy-efficient or
renewable energy
based products and
services, and
reductions in energy
requirements as a
result of these
initiatives.
Fully Page 36

EN7
Initiatives to reduce
indirect energy
consumption and
reductions achieved.
Fully Page 38

Water
EN8
Total water
withdrawal by source.
Fully Page 42

EN9
Water sources
significantly affected
by withdrawal of
water.
Fully


EN10
Percentage and total
volume of water
recycled and reused.
Fully Page 43

Biodiversity
EN11
Location and size of
land owned, leased,
managed in, or
adjacent to, protected
areas and areas of
high biodiversity value
outside protected
areas.
Fully Page 45

EN12
Description of
significant impacts of
activities, products,
and services on
biodiversity in
protected areas and
areas of high
biodiversity value
outside protected
areas.
Not
Not
applicable

EN13
Habitats protected or
restored.
Not
Not
applicable
EN14
Strategies, current
actions, and future
plans for managing
impacts on
biodiversity.
Not
Not
applicable

71

EN15
Number of IUCN Red
List species and
national conservation
list species with
habitats in areas
affected by
operations, by level of
extinction risk.
Not
Not
applicable

Emissions, effluents and waste
EN16
Total direct and
indirect greenhouse
gas emissions by
weight.
Fully Page 39

EN17
Other relevant indirect
greenhouse gas
emissions by weight.
Not


Data not
captured
currently
A decision
on when to
include this
will be
taken by
2015
EN18
Initiatives to reduce
greenhouse gas
emissions and
reductions achieved.
Fully Page 40

EN19
Emissions of ozone-
depleting substances
by weight.
Fully Page 42

EN20
NOx, SOx, and other
significant air
emissions by type and
weight.
Fully Page 41

EN21
Total water discharge
by quality and
destination.
Fully Page 44

EN22
Total weight of waste
by type and disposal
method.
Fully Page 44

EN23
Total number and
volume of significant
spills.
Fully Page 44

EN24
Weight of transported,
imported, exported, or
treated waste deemed
hazardous under the
terms of the Basel
Convention Annex I,
II, III, and VIII, and
percentage of
transported waste
shipped
internationally.
Fully Page 44

EN25
Identity, size,
protected status, and
biodiversity value of
water bodies and
related habitats
significantly affected
by the reporting
organization's
discharges of water
and runoff.
Not
Not
applicable

Products and services
EN26
Initiatives to mitigate
environmental
impacts of products
and services, and
extent of impact
mitigation.
Fully
Page
33,Page
36,Page
40,Page 43

72

EN27
Percentage of
products sold and
their packaging
materials that are
reclaimed by
category.
Partially Page 33
Total
percentage of
waste not
reported;
country-wise
percentage
reported
2013
Compliance
EN28
Monetary value of
significant fines and
total number of non-
monetary sanctions
for non-compliance
with environmental
laws and regulations.
Fully Page 45
Transport
EN29
Significant
environmental
impacts of
transporting products
and other goods and
materials used for the
organization's
operations, and
transporting members
of the workforce.
Not
This number
is not
currently
tracked

A decision
on when to
include this
will be
taken by
2015
Overall
EN30
Total environmental
protection
expenditures and
investments by type.
Fully Page 45
Social: Labor Practices and Decent Work
Perfor
manc
e
Indica
tor
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
Omission
Explanation To be
reported in
Employment
LA1
Total workforce by
employment type,
employment contract,
and region, broken
down by gender.
Fully Page 50
LA2
Total number and rate
of new employee
hires and employee
turnover by age
group, gender, and
region.
Fully Page 51
LA3
Benefits provided to
full-time employees
that are not provided
to temporary or part-
time employees, by
major operations.
Fully Page 51
LA15
Return to work and
retention rates after
parental leave, by
gender.
Fully Page 52
Labor/management relations
LA4
Percentage of
employees covered
by collective
bargaining
agreements.
Fully Page 56
73

LA5
Minimum notice
period(s) regarding
significant operational
changes, including
whether it is specified
in collective
agreements.
Partially
Notice
period
regarding
operational
changes is
decided by
the plant
manager
through a
consultative
process

Occupational health and safety
LA6
Percentage of total
workforce
represented in formal
joint management-
worker health and
safety committees
that help monitor and
advise on
occupational health
and safety programs.
Fully Page 54
LA7
Rates of injury,
occupational
diseases, lost days,
and absenteeism, and
number of work-
related fatalities by
region and by gender.
Fully Page 55
LA8
Education, training,
counseling,
prevention, and risk-
control programs in
place to assist
workforce members,
their families, or
community members
regarding serious
diseases.
Fully Page 54
LA9
Health and safety
topics covered in
formal agreements
with trade unions.
Fully Page 54
Training and education
LA10
Average hours of
training per year per
employee by gender,
and by employee
category.
Fully Page 53
LA11
Programs for skills
management and
lifelong learning that
support the continued
employability of
employees and assist
them in managing
career endings.
Fully Page 52
LA12
Percentage of
employees receiving
regular performance
and career
development reviews,
by gender.
Fully Page 53
Diversity and equal opportunity
74

LA13
Composition of
governance bodies
and breakdown of
employees per
employee category
according to gender,
age group, minority
group membership,
and other indicators of
diversity.
Fully Page 54
Equal remuneration for women and men
LA14
Ratio of basic salary
and remuneration of
women to men by
employee category,
by significant
locations of operation.
Fully Page 49
Social: Human Rights
Perfor
manc
e
Indica
tor
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
Omission
Explanation To be
reported in
Investment and procurement practices
HR1
Percentage and total
number of significant
investment
agreements and
contracts that include
clauses incorporating
human rights
concerns, or that have
undergone human
rights screening.
Partially Page 56
No formal
procedures
exits yet. But
there are
plans to
develop
them in the
future.

HR2
Percentage of
significant suppliers,
contractors and other
business partners that
have undergone
human rights
screening, and
actions taken.
Not
No formal
procedures
exist yet.
2014
HR3
Total hours of
employee training on
policies and
procedures
concerning aspects of
human rights that are
relevant to operations,
including the
percentage of
employees trained.
Partially Page 56
No formal
procedure
exists yet.
2013
Non-discrimination
HR4
Total number of
incidents of
discrimination and
corrective actions
taken.
Fully Page 56
Freedom of association and collective bargaining
HR5
Operations and
significant suppliers
identified in which the
right to exercise
freedom of
association and
collective bargaining
may be violated or at
significant risk, and
actions taken to
support these rights.
Fully Page 56
Child labor
75

HR6
Operations and
significant suppliers
identified as having
significant risk for
incidents of child
labor, and measures
taken to contribute to
the effective abolition
of child labor.
Fully Page 56
Prevention of forced and compulsory labor
HR7
Operations and
significant suppliers
identified as having
significant risk for
incidents of forced or
compulsory labor, and
measures to
contribute to the
elimination of all
forms of forced or
compulsory labor.
Fully Page 56
Security practices
HR8
Percentage of
security personnel
trained in the
organization's policies
or procedures
concerning aspects of
human rights that are
relevant to operations.
Not


There are
no training
programs
underway
currently
2013
Indigenous rights
HR9
Total number of
incidents of violations
involving rights of
indigenous people
and actions taken.
Fully
Not
Applicable

There are no
indigenous
communities
surrounding
our plants

Assessment
HR10
Percentage and total
number of operations
that have been
subject to human
rights reviews and/or
impact assessments.
Not
There are
currently no
formal
programs
underway
2013
Remediation
HR11
Number of grievances
related to human
rights filed, addressed
and resolved through
formal
grievance
mechanisms.
Not
Currently,
no formal
mechanisms
exist
2013
Social: Society
Perfor
manc
e
Indica
tor
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
Omission
Explanation To be
reported in
Local communities
SO1
Percentage of
operations with
implemented local
community
engagement, impact
assessments, and
development
programs.
Partially Page 57
No reporting
on social or
environmental
impact
assessments
and public
disclosure of
impact
Formal
mechanisms
do not exist
2015
76

SO9
Operations with
significant potential or
actual negative
impacts on local
communities.
Partially
Polyplex
operations
do not pose
a significant
risk to local
communitie
s; especially
our plants in
Turkey and
Thailand
that are
located
within
government
notified
industrial
zones

A formal
assessment
of our
impacts will
be
conducted in
the future

2015
SO10
Prevention and
mitigation measures
implemented in
operations with
significant potential or
actual negative
impacts on local
communities.
Not
Not
applicable
as per
response to
SO9

Corruption
SO2
Percentage and total
number of business
units analyzed for
risks related to
corruption.
Fully Page 59
SO3
Percentage of
employees trained in
organization's anti-
corruption policies
and procedures.
Fully Page 59
No formal
training

SO4
Actions taken in
response to incidents
of corruption.
Fully Page 59 No cases.
Public policy
SO5
Public policy positions
and participation in
public policy
development and
lobbying.
Fully Page 59
SO6
Total value of
financial and in-kind
contributions to
political parties,
politicians, and
related institutions by
country.
Not


No monetary
contribution.

Anti-competitive behavior
SO7
Total number of legal
actions for anti-
competitive behavior,
anti-trust, and
monopoly practices
and their outcomes.
Not NIL
Compliance
SO8
Monetary value of
significant fines and
total number of non-
monetary sanctions
for non-compliance
with laws and
regulations.
Fully
No fines
have been
paid
No fines


77

Social: Product Responsibility
Perfor
manc
e
Indica
tor
Description Reported Cross-
reference/D
irect
answer
If applicable,
indicate the
part not
reported
Reason for
omission
Explanation To be
reported in
Customer health and safety
PR1
Life cycle stages in
which health and
safety impacts of
products and services
are assessed for
improvement, and
percentage of
significant products
and services
categories subject to
such procedures.
Fully Page 62
PR2
Total number of
incidents of non-
compliance with
regulations and
voluntary codes
concerning health and
safety impacts of
products and services
during their life cycle,
by type of outcomes.
Fully Page 62 NIL
Product and service labeling
PR3
Type of product and
service information
required by
procedures, and
percentage of
significant products
and services subject
to such information
requirements.
Partially Page 62
Only green
product
range

PR4
Total number of
incidents of non-
compliance with
regulations and
voluntary codes
concerning product
and service
information and
labeling, by type of
outcomes.
Fully Page 62
PR5
Practices related to
customer satisfaction,
including results of
surveys measuring
customer satisfaction.

Marketing communications
PR6
Programs for
adherence to laws,
standards, and
voluntary codes
related to marketing
communications,
including advertising,
promotion, and
sponsorship.
Fully Page 62
No codes
apply for the
marketing of
our
products.

78

PR7
Total number of
incidents of non-
compliance with
regulations and
voluntary codes
concerning marketing
communications,
including advertising,
promotion, and
sponsorship by type
of outcomes.
Fully Page 62
Customer privacy
PR8
Total number of
substantiated
complaints regarding
breaches of customer
privacy and losses of
customer data.
Not Page 62
Compliance
PR9
Monetary value of
significant fines for
non-compliance with
laws and regulations
concerning the
provision and use of
products and
services.
Fully No fines

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