Accelerating focussed growth

Integrated Annual Report 2018-19 80th Year Contents

Integrated Report Deep innovation expertise to harness the 01-57 best of science and serve the society. 01 Company Overview A passion to consistently push beyond 06 Our Diversified Science Led Portfolio 08 Performance Highlights for FY 2018-19 existing limits and rise above. 10 Board of Directors Combine innovation and passion with scale 12 Management Team and accelerated growth happens. 13 MD & CEO's Message 14 Integrated Value Chain This is how Tata Chemicals has emerged to be one of the world’s most reputed brands, revolutionising the 16 Business Model Explaining the Interlinkage of Capitals industry segments it has operated in its 18 Our Formula for Accelerating 80-year journey. Focussed Growth As we continue to nurture our inherent strengths, 21 Managing Risks, Maximising Returns we are undertaking many initiatives to accelerate our 24 Listening to and Engaging growth in focussed areas. with the Stakeholders 25 Addressing Material Issues Our multi-pronged strategy of customer-centric 26 Basic Chemistry Business product development and expansion into white spaces in our Consumer Products Business and capacity 32 Consumer Products Business augmentation programmes in our Specialty Products 38 Specialty Chemicals Business Business has laid a strong foundation for growth. 45 Intensifying Focus on Health & Safety Aligning our organisational structure and strategies 46 Innovating for a Better World with the revised segment reporting and the exit from 48 Growing Together non-core businesses has simplified our portfolio and are 50 Our Commitment to driving stronger synergies. Strong innovation drive is Sustainable Growth enabling us to tap the emerging areas and 53 Corporate Social Responsibility nurture the newly-seeded portfolio. 56 Basis of Reporting Moving forward, we will consistently leverage our 57 Results at a Glance understanding of science as a key differentiator as we strengthen the basic chemicals business and aggressively grow the Specialty Products and Consumer Statutory Reports Products Business. We will do this with our relentless 58-152 focus on operational excellence, cost competitiveness, 58 Board’s Report innovation and new product development centred 94 Management Discussion and around customers. Analysis 116 Corporate Governance Report 138 Business Responsibility Report Our way forward

Financial Statements is accelerating 154-310 154 Standalone Financial Statements focussed growth. 223 Consolidated Financial Statements 309 Form AOC-1

311 Notice 323 Financial Statistics 325 Attendance Slip/Proxy Form 327 Glossary To view or download Icon to guide you to this report, please log further details th 80 Annual General Meeting on to Date: Monday, July 8, 2019 www.tatachemicals. Time: 3.00 P. M. com/Investors/ Venue: Birla Matushri Sabhagar, Financial-reports 19, Sir Vithaldas Thackersey Marg, New Marine Lines, Mumbai - 400 020. Accelerating focussed growth with diverse, yet closely integrated businesses Established in 1939, Tata Chemicals Limited (TCL) is a part of US$ 110 billion Tata Group. A global company, we serve customers across 40+ countries in five continents. We bring together our knowledge, expertise and innovation prowess to positively impact industries, consumers and farmers with our science-led products spread across three business verticals. Our market capitalisation as on March 31, 2019 stood at D 15,000 crore. Inspiring our 80 years of growth

Values Mission

S - Safety Serving society through science P - Passion I - Integrity Cultural Pillars C - Care E - Excellence Proactive cost focus Agile execution Vision Collaborative innovation Trusting relationships To be a sustainable Company with deep customer insights and engaging relationship Approach to with all stakeholders in Business industrial chemicals, branded agriculture and consumer products. Delivering high performance for stakeholders Caring for the community Nurturing a committed and passionate workforce Business divisions

Basic Chemistry Products Inorganic chemistry solutions to serve the world’s leading downstream brands

Consumer Products High-quality and branded everyday nourishing food products to positively impact the lives of consumers

Specialty Products Agro Sciences Crop protection and other agricultural inputs to farmers Nutritional Sciences An innovative range of prebiotics and healthier alternatives to regular sugar for consumers Material Sciences Value-added offerings leveraging Soda Ash value chain linkages Energy Sciences* Integrated offerings of cell manufacturing, battery recycling and battery active production

*Potential future endeavour

02 Integrated Annual Report 2018-19

Organisation structure

Key Subsidiaries Tata Chemicals North Tata Chemicals Tata Chemicals Tata Chemicals South America (TCNA) Europe (TCE) Magadi (TCM) Africa (TCSA)

Amongst the world's Amongst Europe's Africa's largest Soda Ash A licensed bulk handling Integrated Report leading producers of leading producers of manufacturer and one of terminal, servicing a large high-quality natural Sodium Bicarbonate, the leading exporters in part of customers' Soda Ash Salt, light Soda Ash Kenya Soda Ash requirements and other products and also a growing third party cargo handling business

Tata Chemicals Rallis India Ncourage Social International Pte. Ltd. Limited (Rallis) Enterprise (TCIPL) Among India’s Foundation Trading of Soda Ash, leading agro Social Enterprise targeting procurement of raw chemicals improvement in social materials and holding companies issues including clean investments of drinking water and international subsidiaries livelihood Statutory Reports Reports Statutory CSR Tata Chemicals Society Okhai Centre Uday Foundation Tata Chemicals Implementors for Rural Development Women Undertakes activities Golden Jubilee (TCSRD) Foundation empowerment to create sustainable Undertakes activities to through livelihood employment Medical and educational address various concerns generation opportunities for youths assistance to of the communities and to in rural areas and assist underprivileged preserve the environment employees in improving and bio-diversity. skills. Financial Statements

03 Key Highlights of FY 2018-19 Our Global Presence

Nearing completion of state-of-the-art C 270 crore greenfield biotechnology manufacturing unit at Nellore, Andhra Pradesh having an installed capacity of 5,000 MT of Fructo-Oligosaccharides (FOS)

Approved capex of C2,400 crore towards 1 debottlenecking and capacity expansion for all products at Mithapur plant

The Board of Rallis has approved a capex of C 800 crore towards expansion of formulation capacity and building technical and associated intermediary products manufacturing capacity for backward integration

Signed Memorandum of Understanding with CSIR-CECRI, Karaikudi, ISRO and C-MET to strengthen lithium strategy

Set-up and dedicated to the Indian nation ‘Centre of Excellence for Coastal and Marine Conservation’ and ‘Centre for Sustainable America Europe Agriculture and Farm Excellence’ in 1. Green River Basin, 2. Winnington, Lostock, commemoration of 150 years of the Tata Group Wyoming, USA Middlewich, UK

Canada, USA, Mexico, Brazil Europe and the UK and Argentina Completed acquisition of precipitated silica business and initiated process improvement initiatives of the silica plant in Cuddalore, Tamil Nadu having an annual Segmental Revenue break-up Segmental Result (EBIT) manufacturing capacity of 900 TPM Consolidated Consolidated D11,296 Cr. D1,790 Cr. Launched ‘Ncourage Social Enterprise Foundation’ targeting to improve social Basic Basic 2,026 172 issues including clean drinking water and Chemistry Chemistry Products Products livelihood 314 1,847 Consumer Consumer Products Products 8,309 1,304 Committed to Science Based Targets Specialty Specialty Initiative (SBTI) and revamping the Products Products sustainability strategy at all geographies for Note: The chart does not take into account the carbon conscious growth unallocated revenue and inter-segment revenue.

04 Integrated Report Statutory Reports Financial Statements 05

Head Office Markets Map not to scale.For illustrative purpose only. Promoter and Promoter Group Promoter Institutional Non-Institutional TCL Innovation Centre, Pune Pune Innovation Centre, TCL Mithapur, R&D Centre, TCL Gujarat Rallis Innovation Chemistry Hub Karnataka(RICH), Bengaluru, Sciences R&D Metahelix Life Karnataka Bengaluru, facility, 1. 2. 3. 4. Innovation Centre Manufacturing facilities 7 8 30.63% 6 12 13 47.97% 3,4 21.40% 9 11 10 1 Our Ownership Structure Shareholding India, Bangladesh, Indonesia, Malaysia, Philippines Thailand, Mumbai, India 2 5 Mithapur, Gujarat Mithapur, Nadu Tamil Cuddalore, Pradesh Andhra Nellore, Nadu Tamil Sriperumbudur, Gujarat (Rallis) Ankleshwar, Gujarat (Rallis)Dahej, Maharashtra (Rallis) Lote, Akola, Maharashtra(Rallis) KarnatakaBengaluru, (Metahelix) 5. 6. 7. 8. 9. 10. 11. 12. 13. Asia Asia India than India) (other Asia Africa America Europe Europe Cr.

47% 4 8% Jorf Hasfar, Morocco (JV), Morocco Jorf Hasfar, North Africa Magadi, Kenya 12% 30% South Africa, and East Sub-Saharan Africa 3. 4. 3% 11,296 Africa Consolidated Consolidated D Revenue Geographical Integrated Annual Report Annual Integrated 2018-19 2 3 Our Diversified Science Led Portfolio

Basic Chemistry Products 3rd largest Category End-user segments Soda Ash Detergent Soda Ash manufacturer in the world Float glass – construction and housing; commercial, office and retail space and the automotive sector, Container Glass - soft drinks, Indian-made foreign liquor, pharmaceuticals, tableware, glass etc., detergent chemicals - Sodium Bicarbonate, sodium silicates, other chemicals, dyes and intermediaries Bicarb Pharma (US Pharmacopoeia and British Pharmacopoeia), Pharmaceutical th (Indian Pharmacopoeia), Food Animal and poultry feed, Foodgrade dust, 6 largest Explosion suppressant, Haemo Dialysis, Flue Gas Treatment Sodium Bicarbonate manufacturer in the world* Cement Construction Salt Food Processing, industrial salt, de-icing, dairy products, water softening and industrial applications Marine Chemicals Agro Chemicals, Pesticides, Pharma Intermediaries, Fire Retardants Crushed Refined Soda Manufacturing of Sodium Silicate, Animal feed additive, Mining applications, Effluent treatment, Flue gas treatment, Compost heap Market treatment, battery manufacturing industry leader Consumer Products in Salt in India (Sales) Category Product profile Salt Vacuum evaporated salt, rock salt, black salt, crystal salt, low sodium salt, double fortified salt, solar salt, cooking soda, flavoured salt, herbal salt1 Pulses and besan Unpolished dals - high protein dals range of 19 variants, Besan - low oil absorb besan, Organic dals range, Jeera Sattu flour1 Ready-to-cook mix Range of mixes2 (khichdi mix, multigrain chilla mix, Low oil absorb st pakoda mix, moong dal chilla mix, multi dal chilla mix) India’s 1 Spices Pure spices, blended spices National pulses brand New products Range of chutneys2 (spicy tomato chutney, chinese chutney and tamarind- date chutney), red rice poha1, bran rich basmati rice1, dal based snacks1, 100% pure natural unrefined cold pressed extra virgin coconut oil1 Home care and fabric care Detergents1

Specialty Products

Category Product profile Tata Salt Food Nutritional solutions, Tata Nx brand, wellness foods, prebiotic products, 2nd most trusted food brand in India** Stevia based sweetener made of all natural ingredients Wellness Prebiotics: Fructo-Oligosaccharide (FOS), Galacto-Oligosaccharide (GOS), Animal feed supplements: FOS-based formulations Agricultural Crop protection solutions (herbicides, fungicides, insecticides), organic manure, seeds, plant growth nutrients (PGNs) and other agri-input solutions through Rallis Pioneer Advanced materials Nano Zinc Oxide, Highly Dispersible Silica in FOS/GOS products in India 1. Pilot stage in select markets and will be scaled up /continued if pilots successful 2. Successfully completed pilots and started scaling up *IHS Chemical Sodium Bicarbonate Chemical Economics Handbook **ET Brand equity results

06 Integrated Report Statutory Reports Financial Statements 07 Indian th

Indian vehicle Indian vehicle th We are present in the biscuits present are We them and make eat you healthy vehicle is made from our Soda Ash our Soda Ash is made from vehicle We provide an innovative range of an innovative provide We of healthier alternatives prebiotics, unpolished dals, high protein sugar, oil absorblow healthy besan and ready-to-cook nutrimixes We cover 80% of India’s districts with 80% of India’s cover We 13 million farmer contacts through our Specialty Products in improving facilitate We nutrition and health We fortify and iodine iron We sufficiency among Indians Every 170 million households in year India and iodine fortified consume iron Salt Tata Our Sodium Bicarbonate and FOS are used India's biggest biscuit manufacturers by farmer prosperity for strive We We are present in every in present are We 5 in every glass window The 5 choice a preferred are We Indian detergent for manufacturers Every month 47 million households use our Soda Ash made from detergents

, Gut Shakti TM , Fossence TM Gossence Tata Nx Tata Nano Zinc Oxide, HighlyNano Zinc Oxide, Dispersible Silica GeoGreen, Tata Metri, Tarak, Tata Panida, Contaf, Contaf Plus, Taqat, Ergon, Tata Master, Sultaf, Sultaf, Master, Tata Ergon, Taqat, Plus, Contaf Contaf, Panida, Tata Tarak, Metri, Tata GeoGreen, Tata Dx Tata Tata Sampann Tata Rilon, Mida, Zeeny, Tata Hunk, Reeva Nagata, Origin, 5, Sedna, Sonic Flo, Takumi, Applaud, Asataf, Tata Surplus Tracel, Glucobita, Solubor, Uphaar, Bahaar, Tata Ralligold, Gr, WP, Anant, Summit, Ralligold Brands/Products Brands/Products Salt Crystal, I Shakti, Flavoritz Tata Salt Plus, Tata Salt Lite, Tata Salt, Tata Liquid Bromine Crushed Refined Soda Tata Shudh Tata Nyama Magadi Moore, and Magadi MaziwaGlacia, Granulite, Moore Pharmakarb, Medikarb, Sodakarb, Alkakarb, Dessikarb, Hemokarb, Briskarb Brands/Products DetMate Dense Soda Light Soda Ash Ash, Integrated Annual Report Annual Integrated 2018-19 Brands/Products Brands/Products Specialty Products Performance Highlights for FY 2018-19

Financial capital# Financial capital represents the pool of funds, including both debt and equity finance, that is available to our organisation. We rely on multiple sources of funds and put them to use for the acquisition of manufactured capital to strengthen the balance sheet.

Market EBITDA PBT PAT capitalisation* D2,095 Cr. D1,742 Cr. D1,395 Cr. D15,000 Cr. D2,191 Cr. D1,620 Cr. D1,560 Cr. D17,251 Cr. FY 2017-18 FY 2017-18 FY 2017-18 FY 2017-18

#For continuing operations only *As on March 31, 2019

Manufactured capital Manufacturing capital represents our plants, warehouses, logistics facilities and all the physical assets that we use for producing basic and agro chemicals, consumer food, nutritional products and seeds. We continue to invest in the manufactured capital to build capacities and enhance operational efficiency.

Soda Ash Sodium Bicarbonate Branded salt Cement production production production* production 3,634 KT 220 KT 1,131 KT 409 KT

* includes I Shakti Salt

Intellectual capital Intellectual capital represents our scientific knowledge, research & development capabilities and innovation quotient which is core to our business. We have put a strong emphasis on R&D to come up with new and better products that enhance our competitiveness.

Investment in R&D Patents filed D38 Cr. 5

08 Integrated Report Statutory Reports Financial Statements 09 C in Cr./ employee Water recycled Water 66% 0.37 Employee Productivity - Employee PBT/Employee *The KPI's of human capital include all subsidiaries*The 1.61 TRIFR*** Recycled and co-processed Recycled and co-processed packaging waste* 75% For *For TCL India Total Recordable Incident Frequency Rate Incident indicating Recordable Frequency Total incidents per million related the number of safety hours worked *** 2,00,000 No. of people No. benefited * 73% Employee Employee score engagement 6,279 GJ Energy generated from from generated Energy sources renewable Natural capital represents all the renewable and non-renewable resources on which our operations are are on which our operations resources and non-renewable all the renewable capital represents Natural extracted among other minerals and limestone from coal (i.e. materials raw includes various This dependent. resources minimise the use of natural is to Our intent our operations. use into we that mines), land and water and the impact on nature. of our operations Natural capital Natural Human capital which enables skills workforce the knowledge, of our strong and experience Human capital represents the ensure to skilling, health and safety engagement, in their welfare, invest We value. create us to sustained outcome. Social capital represents our community engagements and investments in their development. We carry We in their development. investments and our community engagements Social capital represents undertaking by corporate a responsible become activities to and strive Group Tata the ethos of forward the society. to can bring a meaningfulthat difference partners, with the supply and dealers relationships the long-term capital represents Our relationship work We sustainable. make our business more to nurture to these relationships continue We customers. engage closely with our We sharing knowledge for closely with our suppliers and capacity building. and product quality meet their to industries innovation and farmers) and drive (consumers, customers satisfactionneeds and enhance levels. Social and relationship capital Social and relationship

26 Cr. As on March 31, 2019 on March As

73% 4,698 D % of Process water water % of Process Sea supplied by ** Total on-roll on-roll Total employees** CSR Spend Integrated Annual Report Annual Integrated 2018-19 Board of Directors

Mr. Bhaskar Bhat, Non-Executive Director A mechanical engineer from IIT Madras with a post-graduate diploma in management from IIM Ahmedabad, Mr. Bhat joined the Tata Watch Project (initiated at Tata Press) in 1983, which is now Titan Company Limited. He has served as the Managing Director of Titan Company Limited since April 2002. Mr. Bhat has engineered the creation of many brands including pioneering the concept of franchising and retailing in Watches, Jewellery, Eyewear and Precision Engineering. He was awarded the Distinguished Alumnus Award of IIT Madras in 2008. He was appointed as a Director on the Board 2 of Tata Sons in November 2017. He was appointed as the Non-Executive Director of Tata Chemicals in December 2016.

Mr. Nasser Munjee, Non-Executive Independent Director With a Master’s Degree from the London School of Economics, Mr. Munjee has held various positions at HDFC for more than 20 years, including serving as an Executive Director. He was the Managing Director of IDFC and served on the Board of various multinational companies and trusts. He was a technical adviser on the World Bank's Public Private Partnership Infrastructure and Advisory Fund. Mr. Munjee has been the chairman of DCB Bank since June 2005 and was appointed as a Non-Executive, Independent Director on the Board of Tata Chemicals in September 2006. 1 2

Dr. Y. S. P. Thorat, Non-Executive Independent Director Dr. Thorat holds a Doctorate in Economics along with Degrees in Political Science and Law. He started his career with the Reserve Bank of India in 1972 and was appointed as its Executive Director in 2003. His major contribution has been in the field of policy support for agriculture finance, supervision and export credit. In the year 2004, he was appointed as the Managing Director of NABARD and later the Chairman. In the past, he has been associated with the Planning Commission, Government of India, for the 10th and 11th five-year plans. Dr. Thorat is also a director of several other companies 1 2 4 and has been serving as a Non-Executive, Independent Director on the Board of Tata Chemicals since January 2010.

Ms. Vibha Paul Rishi, Non-Executive Independent Director Ms. Vibha Paul Rishi holds a BA Degree in Economics from Delhi University and an MBA with specialisation in marketing from the Faculty of Management Studies, New Delhi. She is an experienced business leader who has worked with Titan, PepsiCo, Max India and Future Group with stints in India, the UK and USA. Her last role was as the Executive Director, Brand and Human Capital of Max India. She has worked at senior positions in branding, strategy, innovation and human capital around the world. She serves on the Boards of several reputed companies and is also on the Board of Pratham, 3 5 an NGO that works to provide education to underprivileged children in India and was appointed as a Non-Executive, Independent Director on the Board of Tata Chemicals in September 2014.

Mr. S. Padmanabhan, Non-Executive Director Mr. Padmanabhan is a distinguished alumnus of IIM Bangalore, a Gold Medallist and alumnus from PSG College of Technology, Coimbatore and has also completed the Advanced Management Program at Harvard Business School. During a 26-year stint with Tata Consultancy Services, Mr. Padmanabhan held several senior leadership roles. In the past, he has held the positions of Executive Director of Tata Power as well as the Group Chief Human Resources Officer at Tata Sons. He also serves on the Boards of several other Tata companies. Appointed as a Non-Executive Director of Tata Chemicals since 1 3 4 5 December 2016, he is currently the Executive Chairman, Tata Business Excellence Group (TBExG).

10 Integrated Report Statutory Reports Financial Statements 11 Non-Executive Independent Director Non-Executive Executive Director Executive Managing Director & CEO Chairman Emeritus Chairman 3. CSR, Safety and Sustainability3. CSR, Safety Committee 4. Risk Management Committee 5. Stakeholders Relationship Committee An economics graduate from the University of Madras from with post-graduation in business managementAn economics graduate programmes development advanced executive has also attended Langrana Mr. XLRI, Jamshedpur, from he has led the 30 years, Chemicals of over Tata at Harvard During School. Business his association with functions development and business corporate strategy and headed the global marketing function for heads the currently in April Director 2018, Mr. Langrana an Executive Appointed the chemicals business. Specialty in Business. Global Chemicals Business and the new ventures Mr. R. Mukundan, Mr. Service Administrative in 1990, after Tata R. Mukundan joined the IIT Roorkee, from Mr. An engineer an alumnus of the Harvard He is also Business School. Delhi University. FMS, completing an MBA from the chemical, across he has held various responsibilities Group, Tata with the During his career Chemicals Tata of Director as the Managing and hospitality He was appointed sectors. automotive 2008. in November Zarir Langrana, Mr. Ms. Padmini Khare Kaicker, Kaicker, Khare Padmini Ms. Khare Kaicker Padmini from (USA), a Chartered is a CertifiedMs. Accountant Accountant Public the from the Institute of India of Chartered Accountants holder in Business Finance and a Diploma K. Analysts of India. of B. Institute Partner She is the Managing of Chartered Khare & Co., Financial one of the leading Indian She has a wide and varied of accounting firms. experience in the areas M&A and restructuring. risk management, corporate governance, audit, taxation, corporatefinance, Independent Director She serves companies and has been a Non-Executive, of several on the board Chemicals since April 2018. Tata of on the Board Mr. Ratan N. Tata, Tata, Ratan N. Mr. on December 28, 2012. till his retirement 1991 Sons from Tata Chairman was the of Tata Ratan Mr. Consultancy Tata Steel, Tata Motors, Tata including companies, Tata He was also Chairman of the major Teleservices. Tata Indian and Chemicals, Hotels Tata Global Beverages, Tata Power, Tata Services, US$100 billion in 2011-12. over totalling manifold, grew revenues the Group’s During his tenure, amongst India's oldest, non-sectarian which are philanthropic Trusts Tata He is the Chairman of the of community He is the Chairman development. areas that work in several of the organisations and also serves Research on Institute of Fundamental Tata of ManagementCouncil of the of Cornell University and the University of Southern California. Trustees of the Board Member 5 Chairperson 4 4 1. Audit Committee 1. Audit 2. Nomination and Remuneration Committee Board Committees Board 3 3 1 Integrated Annual Report Annual Integrated 2018-19 Management Team

Mr. R. Mukundan Mr. Shohab Rais Managing Director & CEO Chief Operating Officer, India Chemicals Business

Mr. Zarir Langrana Executive Director Ms. Richa Arora Chief Operating Officer, Consumer Products Business Mr. John Mulhall Chief Financial Officer Mr. Rino Raj Chief Operating Officer, Mr. R. Nanda Energy & Battery Business Chief Human Resources Officer

Mr. Rajiv Chandan General Counsel & Company Secretary Mr. Sanjiv Lal Managing Director & CEO, Rallis India Limited Mr. M. S. S. Rao Chief Safety & Engineering Mr. Scott Ellis Managing Director & CEO, Mr. K. R. Venkatadri Tata Chemicals North America Chief Innovation & Digital Officer

Dr. Martin Ashcroft Ms. Alka Talwar Managing Director, Chief Sustainability & CSR Tata Chemicals Europe

Dr. Richard Lobo Mr. Harish Nair Head - Strategy & Business Excellence Executive Director & COO, Tata Chemicals Magadi

12 Integrated Report Statutory Reports Financial Statements 13 In the Specialty Products Business, the Agri the Agri In Business, the Specialty Products significant Sciences Business is undergoing with an ambitious C 800 transformation plan and a rejuvenated investment crore focussed who are management team The and growth. on driving excellence upcoming plants of Nutrition Science and Material Science will add a new Businesses In Storage the Energy of growth. layer build an plan to we Sciences Business, business that includes cell integrated manufacturing, battery recycling and battery active production. R. Mukundan & CEO Managing Director As we seek to accelerate growth, our focus our focus growth, accelerate seek to we As knowledgeon building a sustainable, driven in futuristic that is anchored organisation key. will be the technologies our efforts our path are in this Leading We and Bengaluru. laboratories in Pune product scale in them to investing are keepingdevelopment in mind our long-term is now technology Digital sustainability focus. at the heart as we of our business operations, up operations and simplify and speed seek to serve better. customers make towards will continue to headway We manufacturing zero responsible ensure to assets and environment harm people, to the business value chain. across In conclusion their for I thank all our shareholders motivated remain We unstinting support. long-term future, build a sustainable, to and Group Values Tata while upholding the our are Engaged employees Purpose. value the passion and we and strength enthusiasm they bring their work. to eight decades together travelled have We continue our journeyand seek to with future. a better optimism and enthusiasm for Best regards, Focus on innovation, digital digital on innovation, Focus thrust and sustainability

forward with new vigour to strengthen forward strengthen with new vigour to its sales and marketing several through and new additions. product operational steps address It in its Dahej facilities to investing is needs of Indian and overseas the growing markets. In the Nutrition Science Business, plant for in the Nellore our investment Oligosaccharide) is nearing FOS (Fructo Incommissioning. the Material Science our acquisition of a silica plant Business, is and subsequent upgrade in Cuddalore will make silica We advancing as planned. at this and HDS rubber (tyre) grade food for Scienceplant. In Business, Storage Energy is players our discussions with automotive advancing on the back of the new EV policy the Government. announced by Business performed Products Consumer The Salt and Tata Our brands, extremely well. We traction. greater Sampann achieved Tata the business launching several strengthened new products like Ready-to-cook nutrimixes, the and expanding Basmati Rice and Red Poha home and fabric to care food portfolio from was year The Dx Detergent. Tata with segments the milestone Salt crossed Tata memorable as of clocking of packet 1 million MT sales. Our financial performance the reflected operational performance.steady On a from our revenue basis, consolidated 9% to by continuing operations grew C 1,959 Net debt stands at C 11,296 crore. was and PAT was C 2,095 crore EBITDA crore, cash equivalents at and Cash C 1,395 crore. at C 1,952 crore. stood the end of the year Our strategy going forward Our strategy be a going forward is to Our strategy science-led focussed chemistry company. will be on strengthening our focus this, With aggressive ensure funnel to the innovative Business. Specialty in the Products growth In Basic Chemistry our Business, Products be most cost-efficient will continue to we Our Bicarbonate and Salt business. Soda Ash, in a Bicarbonate unit in the United investment Kingdom carbon capture using innovative Mithapur and process plant expansion will thrust. significant provide Business will Products Consumer The Sampann Tata under the platform build food Brand further.

FY 2018-19 has been one of the best years Ourin terms of performance holistically. continuing (from standalone operational profit operations) has been the highest ever. to operations delivered India’s TCL While the improve is a need to the plan, there performance are Our teams of subsidiaries. on the task on hand in terms of focussed reliability of operations and more better marketfocussed efforts. Our Basic Chemistry Business had good market conditions globally and maintained We costs. in energy a surge despite margins debottleneck our plans to progressing are We and expand operations in Mithapur plant. our product portfolio also strengthening are in Medikarb investment the through plant for Bicarbonate and the launch grade Pharma of Speckarb, Sodium an industrial grade enabling us products are These Bicarbonate. and expand segments customer tap newer to global operations. Business is Our Specialty Products verticals four have now We well. progressing Sciences Business run by Agri The under it. our subsidiary Rallis market faced tough its exports conditions within India, however, Rallis pace. has moved at an excellent grew Overall business performance Overall

Dear Shareholders, It enthusiasm that I write and with energy is about our performance, you to journey last fiscal The strategy. forward and future and Group Tata markedyear of the 150 years up two set centres this we commemorate to nation - one is the to dedicated of excellence, and Marine Coastal for of Excellence “Centre a for “Centre and the other is Conservation” Excellence”. and Farm Sustainable Agriculture is being Centres these for grant initial The Society Chemical for Tata the contributed by Rural Development with support from Rallis Chemicals and its subsidiary, India. Tata Chemicals Tata is also a landmark as This year of business and 90 years 80 years celebrates Through its birthplace. Works, of the Okha Salt our business navigated have we this time, meet the needs and expectationsto of all stakeholders. Our longevity and continued of strength the inherent epitomises relevance and Purpose. Values our MD & CEO's Message & CEO's MD Integrated Annual Report Annual Integrated 2018-19 Integrated Value Chain

Soda Ash Marketing

Synthetic Soda Ash (ammonia-soda process) Products We use adapted ammonia-soda process to manufacture Soda Ash products Soda Ash Light, Soda Ash Finished products using limestone, coke, coal, natural gas, CO2 and ammonia as raw materials Dense, Granplus and Detmate are packaged Natural Soda Ash (Natural) Products as bags and We use Trona mining process and dredging to manufacture natural soda Soda Ash Dense bulkers and products using coal, natural gas and HFO as raw materials CRS shipped via road, rail or sea route either directly to customers or via channel/supply chain partners.

Salt (Solar evaporation and mining) Products End user industries We use solar evaporation process to manufacture salt from sea water Glacia, Granulite, Magadi Soda Ash: Glass, and lake water. Salt is also manufactured using solution mining process Moore Nyama and Magadi detergents, followed by purification and evaporation process Moore Maziwa silicates, carbonates and chemicals. Sodium Bicarbonate: Food, animal feed, flu gas treatment, Sodium Bicarbonate (ammonia-soda process) Products pharmaceutical, Technical Grade, Refined We use adapted ammonia-soda process to manufacture Sodium Grade, Pharma Grade. Alkakarb, chemical and Bicarbonate using Soda Ash and CO as raw materials 2 Sodakarb, Medikarb, Speckarb, consumer Basic Chemistry Business Briskarb, Dessikarb product.

Nutritional Solutions Marketing NQ Raw material sourcing Packaging and logistics Sugar is the main substrate which is Products are packaged across NQ sourced in bulk from global suppliers multiple SKUs as per customers’ Products are at international parity requirements & end-application and distributed either distributed directly (for large Processing key accounts) or We employ a fermentation-based Products through channels production process using in-house Tata NQ’s prebiotic range developed proprietary cultures in an ISO (Fructo-oligosaccharides, (for rest) to B2B Class 8 facility, in compliance with FSSC Galacto-oligosaccharides), customers across 22000 and FDA, Non-GMO, Kosher & Halal animal feed supplements, FOS- India, North based formulations America, Europe, Middle East and Asia. Nx Packaging and logistics Raw Material Sourcing Products are packaged at our third Lactose, Stevia and other extracts party manufacturer and connected to are sourced from leading suppliers TCL warehouses that in turn service Nx adhering to international standards our customer accounts Products are made available to consumers across Processing Products India using the Synergistic third party manufacturer has TATA Nx Zero Sugar extensive supply been on-boarded. Manufacturing will chain network move in-house in the next financial year of Consumer Products Business. Specialty Products Business

14 Integrated Report Statutory Reports Financial Statements 15 Marketing Salt is to accessible 170 Million and households 19 lakhacross outlets retail our through network of 40 and distributors ~3000 stockists. besan, Pulses, and spices ready-to-cook are mixes made available through modern stores, trade e-commerce and Nutrikart. leverage They the distribution network of salt in the markets they are present. Packaging and logistics Packaging Salt is packaged and distributed 26 Carryingthrough Forwarding and India rail and across through Agents routes road Products Salt Plus, Tata Salt Lite, Tata Salt, Tata Rock Salt Crystal, Flavoritz, Tata Salt, Black Salt, I-Shakti Salt, I-Shakti Cooking Soda, Herbal Salt and logistics Packaging package products and transit We CFAs milling locations to them from via road and logistics Packaging package products and transit We CFAs milling locations to them from via road and logistics Packaging transported are Our products to select markets and modern trade road by stores Products Moong Dal, Dal, Toor Unpolished Low Urad Dal, Chana Dal, Masoor Dal, Besan Oil Absorb Besan, Fine Products Shahi Lal Mirch, Coriander, Turmeric, Chilli, Masala, Tadka Chole Masala, Dal Punjabi Kitchen King Masala, Garam Masala, Meat Masala, Chicken Masala,Masala, Paneer Bhaji Masala Pav Products Moong Chilla, Multi Dal Chilla, Multigrain Mix Oil Absorb Pakoda Dal Chilla and Low Raw material sourcing Raw material besan and spices to pulses, use own We various ready-to-cook the prepare mix for modern consumers to day convenience Raw material sourcing Raw material farms in locations that spices from source We best right cultivate climatic condition to have during harvestspices with 30% procurement freshness ensure to Raw material sourcing Raw material from procured besan are and Pulses farm and mandi with strict quality criteria Raw material sourcing Raw material partially source evaporated We our Mithapur brine from seawater salt from facility and refined Nadu and Tamil Thoothukudi in Gandhidham in Gujarat Processing unpolished pulses and made from Mixes are and packedgrains at third-party or contract manufacturing with stringent sites quality in place controls Processing spices in facilities certified process by We British Retail Consortium (BRC), United Halal, ServiceKingdom Accreditation (UKAS), Sedex, and Standards Safety and Food Spices Board Authority of India (FSSAI) Processing pulses and besan close to process We supply chain efficiencies for source Processing vacuum evaporation use process We

Ready-to-cook mixes Spices Pulses and besan Pulses Salt

Products Business Business Products Consumer Consumer Integrated Annual Report Annual Integrated 2018-19 Business Model explaining the Interlinkage of Capitals

INPUTS MULTIPLE CAPITALS / KPIs UoM 2018-19 FINANCIAL CAPITAL Total Capital Employed1 C crores 24,317 Capital Expenditure Standalone C crores 589 Governance Key aspects Consolidated C crores 1,082 Mission, Vision, Values, Tata • Stakeholder engagement MANUFACTURED CAPITAL Property, plant and equipment2 C crores 13,551 Code of Conduct, Board and • Risks and opportunities 3 its Committees, Tata Business Assets under construction C crores 774 • External environment Manufacturing name plate capacity: Excellence Model, Quality Soda Ash KT 4,138 Policy, Whistleblower Policy, • Strategy and resource Sodium Bicarbonate KT 236 Code of Corporate Disclosure allocation Branded Salt KT 1,035 Cement KT 440 Practices INTELLECTUAL CAPITAL Investment in Research & Development (standalone) C crores 38 R&D expenditure as % of revenues % 0.9 Patents filed Nos. 5 Inputs Employees in R&D Nos. 224 HUMAN CAPITAL Employees on payroll Nos. 4,698 Employees off payroll Nos. 7,409 Functional Training Coverage (unique employees) % 72 Training days per employee Mandays/ 3.4 employee Principal business activities Employees covered under manager/ leader Nos. 245 development programme Safety Training Mandays / 1.54 employee SOCIAL AND RELATIONSHIP CAPITAL Spent on CSR initiatives C crores 26 Outputs Basic Chemistry Business No. of depots Nos. 23 (TCL India: 13; TCNA: 2; TCSA: 1; TCE: 4; TCML: 3) Consumer Products Business Stockists Nos. 3,282 CFAs Nos. 26 Outcomes Distributors Nos. 42 for stakeholders Specialty Products Business (Nutritional Solutions) Distributors (India and global) Nos. 13 NATURAL CAPITAL Rainwater harvesting capacity installed MCFT 396 OUTPUT Saplings planted Nos. 2.6 lakh Organisation Total 1. Capital Employed = Total Assets less Total Current Liabilities plus Current Borrowings UoM 2018-19 plus Current Maturities from Non Current Borrowings and Finance Lease Obligation less # Investment in Subsidiaries (Other than Rallis India Limited) Branded Salt production KT 1,131 2. It includes Property, plant and equipment, Investment property, Goodwill on Sodium Bicarbonate production KT 220 consolidation, Goodwill and Intangible assets Soda Ash production KT 3,634 3. Assets under construction includes Capital work-in-progress and Intangible assets Cement production KT 409 under development # includes I Shakti Salt 4. Cash and Cash Equivalents (including Deposits with < 12 months maturity and current investments) For deeper insights into our Value Chain, *TCL India please refer to page 14-15

16 Integrated Report Statutory Reports Financial Statements 17

capital

apital capital C

capital capital And anufactured Human Social Relationship Natural M Intellectual FINANCIAL CAPITAL ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) 3 3 1 75 10 3 ( 4 ( 2 ( 0 (-) 89 ( 70 ( 73 ( 90 ( 19 ( 73 ( 82 ( 90 ( 71 ( 17 ( 90 ( 71 ( 96 ( 10 (-) 78 (-) 76 (-) 45.38 12.50 2 lakh 105 ( 170 ( 409 ( 0.79 ( 0.47 ( 25.7 ( 24,800 <28 ( 402 ( 80% ( 0.37 ( 209 ( 0.50 ( 0.93 ( 6,279 ( 3,399 ( 1,876 ( 4,205 ( 2,095 ( 1,395 ( 3,526 ( 1,155 ( 2018-19 24,109 ( 15,000 ( 11,296 ( 12,341 ( /MT /MT 2 3 3 3 Produced UoM C crore C crore Gj Gj Mm % Mm Mm score % mtCO % % C crore C crore C/share C/share C crore C crore Times Times KT KT KT KT Nos. Nos. Nos. Nos. / C crore employee % % Nos. Nos. Nos. Score Nos. Days Score Nos. Days Score Nos. Score Nos. Days Score Nos. Days Score Days Million Lakh Score

4 indicate change over previous year, - means no change) year, previous change over indicate / Tata Salt franchise (Tata Salt, Tata Salt Lite, Tata Salt Tata Salt Lite, Tata Salt franchise (Tata Salt, Tata salt segment marketPlus) in powdered share FINANCIAL CAPITAL Revenue (Consolidated) NATURAL CAPITAL NATURAL (Global) Savings Energy sources* renewable from generated Energy (Global) Consumption Water Total (Global) Consumption Water % of Sea (Global) discharged Water recycled (Global) Water Responsible manufacturing index (Global) utilisation* Solid waste GHG emissions (Global) recycled and co-processed* waste Packaging Consumer Products Business Products Consumer Newproducts launched Specialty Business Chemicals Newproducts launched - NQ Newproducts launched - Nx CAPITAL HUMAN productivity per employee) (PBT Employee Voluntary attrition Engagement scores Employee Incidents of labour unrest CAPITAL SOCIAL AND RELATIONSHIP CSR beneficiaries Basic Chemistry Business Products satisfaction index - Customer TCL of companies) (no. - End user reach TCL time - Grievance resolution TCL satisfaction index - Customer TCNA of companies) (no. - End user reach TCNA time - Grievance resolution TCNA satisfaction index - Customer TCSA of companies) (no. - End user reach TCSA satisfaction index - Customer TCE of companies) (no. - End user reach TCE time - Grievance resolution TCE satisfaction index - Customer TCML of companies) (no. - End user reach TCML time - Grievance resolution TCML Business Products Consumer satisfaction index (retailers) Customer time Grievance resolution Household reach Retail and indirect) Outlets (direct Specialty Business Products Nutritional Solutions satisfaction index Customer Dividend on face value of C10 per share Net worth under educational programme Students covered EBIDTA PAT equivalents and cash Cash continuing and EPS (total discontinued operations) Market31, 2019 as on March Capitalisation Debt : EquityGross Net Debt : EBITDA CAPITAL MANUFACTURED sales Soda Ash Sodium Bicarbonate sales Branded salt sales sales Cement CAPITAL INTELLECTUAL Basic Chemistry Business Newproducts launched MULTIPLE CAPITALS / KPIs CAPITALS MULTIPLE Note: ( Note: OUTCOMES Sustainability & Social Corporate Responsibility Internal & Business Audit Assurance & Corporate Legal Secretarial & Research Development Human Resource & Human Resource Administration Information Technology Services Business Excellence Communications & Strategy Corporate Planning

Finance Corporate • • • • • • • • • • Support functions Integrated Annual Report Annual Integrated 2018-19 Sustainable goal development business Chemicals' Tata are model and outcomes with the United aligned Nations Sustainability Development Goals (SDGs). Our Formula for Accelerating Focussed Growth

Our Strategic Planning Process, rooted in our mission, drives our vision, growth and sustainability. It sets the strategic direction to achieve organisational objectives and deliver long-term value to stakeholders.

Charting strategy process across horizons Long-term horizon Medium-term horizon Short-term horizon (> 5 years) (2-3 years) (1 year) Enterprise level, strategic-oriented and Granular and addresses revenue Tactical and uses annual business plan focussed on the role of innovation and forecasts, growth dimensions and and Strategy Deployment Matrix (SDM) portfolio decisions sustainability planning tools to translate five-year plans into specific actions

Strategy planning process at Tata Chemicals

Step 1 Step 2 Step 3 Step 4

Environment scanning Direction Setting Aligning SBU and Enterprise LTSP and analysis • Review of strategic challenges, functional LTSP • Review of SBU LTSPs by • Analysis of external and internal advantages and core • Devising 5-year horizon Corporate Strategy Team and inputs (marketplace and competencies at the Annual strategic plan articulating financial targets by Corporate regulatory changes, technology Strategy and Long-Term demand/market dynamics, Finance Team shifts, manpower requirement, Strategic Plan (LTSP) workshop supply chain requirements • Provision of inputs to LTSP etc.) by Strategic Business Unit • Assigning strategic direction to and financial, operational and to achieve synergies across (SBU) and Corporate Strategy SBUs by leadership with defined competitor projections businesses teams to develop SWOT targets • Resource allocation and alignment of sustainability goals with the strategic plan • Integrating LTSPs among mutually interdependent SBUs

Step 7 Step 6 Step 5

Evaluation and improvement Strategy review Strategy deployment • Feedback from Board, Senior Leadership and • Pyramid review structure • Development of BSC using Tata Business Excellence Assessment of the Balance Score Cards SDM and project trackers at ('BSCs'), SDMs and projects enterprise level and cascading • Adoption of best practices / action plans at relevant it down to SBU level • Communicating improvements/ forums modifications to strategy team • Review of accelerated growth plans by Board of Directors

18 Integrated Report Statutory Reports Financial Statements 19 Growth in high intensity Growth due to natural sweeteners and awareness increased consumption of dietary foods Push in Soda Ash in Soda Ash Push rising by demand driven glass consumption from sector of the Company’s manufactured Sodium manufactured Bicarbonate of the Company’s rd largest manufacturer of Soda Ash and Sodium of Soda manufacturer Ash largest th and 6 rd Bicarbonate respectively with strong customer relationships relationships customer with strong Bicarbonate respectively World’s 3 World’s supply and assured Unique global supply chain advantage facilitating efficient service prices customers to at competitive in the US (TCNA) vast natural resources to and Kenya (TCML)Access contributing 2/3 to capacity expansion at Mithapurfor plant capex of C 2,400 crore Approved 170 million Indian over households and to Salt portfolio reach Tata its market the enduring trust of brand among leadership exemplifies consumers in branded pulses player Sampann is the first national Tata scaling up in play, a full range FMCG towards movement Focussed in home care products and also piloting spices and foods distribution Pan-India Mithapur salt from securityResource e.g.

• • • • • • • • • Consumer marketConsumer push awareness, growing led by changing accessibility, and need for lifestyles Increasing rural convenience. consumption supported by rising income and aspiration is driving levels demand for Indiabranded products in rural Covers 80% of India’s districts with 13 million farmer contacts subsidiaries through 80% of India’s Covers Rallis and Metahelix 800 crore approved by the Board of Rallis towards expanding formulation expanding formulation of Rallis the Board by towards approved of C 800 crore Capex capacity and associated service global demand and build technical to growing intermediary products manufacturing backward capacity integration for

Enablers of our strategy Enablers of our strategy Agro Sciences Agro • • Established world-class R&D facilities housing experienced scientists at Tata Chemicals’ Chemicals’ Tata Established world-class R&D facilities housing experienced scientists at Rallis Innovation Chemistry in Mithapur, and R&D Centre Hub in Pune Innovation Centre Sciences R&D facilities in Bengaluru(RICH) and Metahelix Life Growing Indian economy, Indian economy, Growing supported continued by and recovery of investment amidst consumption robust an expansionary monetary policy stance and expected fiscal policyimpetus from Global growth is likely to Global growth softened in the remain by followed near-term, in the second a pick-up half of 2019 supported policy significant by major accommodation by central banks Strategic objective (SO) Strategic Aggressively grow through scientific scientific through grow Aggressively of niche and acquisition innovation Material, opportunities in Agro, Sciences Nutritional and Energy Business of the Specialty Products Key market trends trends market Key Integrated Annual Report Annual Integrated 2018-19 Maintain cost leadership and scale the Maintain cost Basic Chemistry Business Products Grow market share of Salt business, of Salt business, market share Grow scale new products and seed new science-led fuelled by categories in the Consumer differentiation Business Products Strategic objectives and enablers Strategic Material Sciences Nutritional Sciences Energy Sciences • Green patented • Strong demand for • Need for new technology for nutrition rich products emission norms manufacture of HDS complaint products/ for tyres • State-of-the- EV revolution in India • Completed the art greenfield acquisition of biotechnology • MoUs signed with precipitated silica manufacturing unit at CSIR-CECRI, Karaikudi, business an investment of ISRO and C-MET to ` 270 crore at Nellore, strengthen our lithium Andhra Pradesh based energy storage commissioning in 2019 solution strategy

FY 2019-20: Key objectives Leverage ‘science’ as the key differentiator to achieve our Strategic Objectives defined above

Strengthening the Gaining stronger Aggressively growing Basic Chemistry foothold in Consumer Specialty Products Products Business Products Business Business

Areas of focus

Leverage technology and digitalisation Invest in digital capabilities to expand Distribution expansion, brand building to improve process efficiency and greater consumer reach, drive operational initiatives and strengthening of supply thrust on sustainability excellence, analytics for faster decision chain in the Consumer Products Business making and enhancement of people skill-set to make the Company future-ready Drivers

Relentless focus Developing engaging Commitment to Robust technology on operational relationships with all sustainability and R&D capabilities excellence and stakeholders customer centricity

20 Integrated Report Statutory Reports Financial Statements 21 environmental impacts thus reducing impacts thus reducing environmental risks operational environmental Taking proactive steps to drive waste drive waste to steps proactive Taking including management initiatives disposal and safe collection, segregation as per Extendedof plastic waste norms responsibility Producer’s We are scaling up recyclable packaging are We capacity Products of our Consumer Chemical the same to and will replicate in a phase-wise manner Products

and prioritisation of risks include scanning and continuous the business environment monitoring of internal risk Risk factors. part an integral management forms of ongoing and is an Management focus with operations. and integrated process • Risk in action management risks exposed to arising out of the are We as as well environment macroeconomic the internal business environment. from the on addressing focus continually We for value creation ensure same as we Informationour stakeholders. regarding Chemicals and their Tata key risks facing as under: are mitigation strategies • The Company has also adopted ISO has also adopted Company The 140001 and is a signatory Responsible to as and which guides the Company Care when required The overall roadmap as well as specific as well roadmap overall The issues of concern including those related change is and climate environment to and in detail at CSR, Safety reviewed of the Board Sustainability Committee regularly Management Plan Environmental mitigating the (EMP) is in place for

Approach to risk management risk to Approach that effective Chemicals recognises Tata risk achieve management is essential to its business objectives and long-term EnterpriseThe Risk sustainable growth. Risk develop aims to Management process to within the Company Intelligent culture business decision- encourage risk informed making. riskThe management policy of the the framework down of lays Company Risk a proactive Management promoting reporting evaluating, in identifying, approach risks with the associated and resolving identification Mechanisms for business. • • •

Failure to respond to sustainability and climate change related risks change related sustainability to and climate respond to Failure wing section discusses various Strategic Risks Strategic

1 On the sustainability front, the On the sustainability front, compliance go beyond objective is to requirements Impact is periodically register keeping it updated for reviewed environmental improving and for performance Continuous monitoringvarious of Continuous with parameters environmental in environment continued investment in plants projects related

Mitigation • • • The Company’s business model is subject business to Company’s The uncertainties that could cause actual results in the reflected those materially from differ to forward-looking Our business’ statements. operational performance and financial results could also be harmed risks by and uncertainties knownnot currently risks or by us we that to Readers are material. are do not believe currently judgement in their own exercise also advised to ny.assessing the risks with the Compa associated The follo The Enterprise Risk Management. TCL’s dimensions of outlined in this information risk-related The information section and is for exhaustive is not contain discussion may The purposes only. be forward-looking which may statements in nature.

Risks are inherent to business and we are committed to effectively managing them managing effectively to committed are business and we to Risks inherent are enhancing and business objectives aimed at strategic achieve to in our pursuit dealing with business uncertainties on Our is focus sustainably. value stakeholders’ attain to the upside potential maximise striving to while the downside minimise to growth. sustainable long-term our business objectives and ensure Managing Risks, Maximising Returns Integrated Annual Report Annual Integrated 2018-19 2 Missing the opportunity to embrace digitalisation pace supporting business growth

Mitigation • Various digitisation initiatives are taken analytics tools to support business • Plans are underway to make digital by the Company to focus on improving decision-making is also underway technology a core part of the Company's efficiency, enhancing customer • New-age systems to enable the operations engagement and having better analytics next level of digitalisation are being • Using technology to make processes to make informed decisions implemented in operations simpler for customers and internal • Enhancement of the business stakeholders in the digital age intelligence platform with visual

3 Failure to have a robust and flexible succession planning process

Mitigation leaders. We have talent management • We have leveraged technology • The Company invests on internal talent strategies in place for attracting and to enable continuous learning via and nurtures them through the culture retaining talent e-platforms such as e-learnings and of continuous learning and career • Succession planning for Senior mobile app based courses path development initiatives, thereby Management to ensure continuity in building capabilities for creating future business is in place

Operational Risks

4 Cyber Security Risk

Mitigation awareness programme, benchmarking • Steps taken by the Management • Regular security compliance check, against ISO 27001 (global standard to address cyber security risks is periodic third-party assessment, for Information Security Management periodically reviewed by the Risk upgrading fire walls, having threat System) Management Committee of the Board monitoring systems, regular patch • Cyber security war room exercise for updates, periodic cyber security Senior Leadership team

5 Failure to retain market leadership and miss growth opportunities

Mitigation through brownfield expansion and B. Consumer Products A. Basic Chemistry Products debottlenecking and supplying in India • Continuous brand building initiatives, through cost efficient supply chain • We are maintaining cost leadership micro market interventions and • Cost control initiatives, creating a innovative offerings for nutritional needs • Scaling capacity both in India and portfolio of value-added products, of the consumer at Global Chemistry Business units continued focus on R&D

Financial Risks

Disciplined capital allocation and cost effective financing structure inability to secure sufficient, 6 cost effective funding

Mitigation Business planning with special focus on cash flow and liquidity management

22 Integrated Report Statutory Reports Financial Statements 23 Unsafe conditions and hazards are are conditions and hazards Unsafe reported in an e-enabled portal For product safety and transportation and safety product of For installed have we chemicals, hazardous We tanker. in bromine GPS system support doing safety by our customers handling of for audits in their premises chlorine

• Government policy which could change Government operation impact Company’s the 8 Continuous dialogue with regulatory authorities for greater clarity regulatory dialogue with greater Continuous authorities for seminars, and ministries, Advocacy governments meetings with membership in regulatory membership in affairs bodies, industrybodies

Mitigation • • High Hazards are identified using techniques identified using techniques are Hazards and Operability Study such as Hazard Identification and Risk Hazard (HAZOP), Failure What-if-Analysis, Analysis (HIRA), Mode Analysis and addressed Effect of risk control. hierarchy following by afety improvement initiatives initiatives improvement safety Various structural safety, behavioural covering safety and process safety and equipment management and benchmarking with business best in the companies that are continuously in place and are are effectiveness for evaluated

• • 9 8 4 7 1 2 5A Probability 6 5B 3 Failure to ensure Containment of Safety Hazards - Employee Safety (Behaviour issues), Workplace Safety Workplace issues), Safety (Behaviour - Employee of Safety Hazards Containment ensure to Failure Transportation – Chemicals Safety Hazard Safety & Product Process Integrity), Asset Safety, (Fire Frequent amendment of statutory amendment rules Frequent and regulations

Low

Reputational RisksReputational Impact

Regulatory Risks Compliance and

Risk Mapping Low 9 7 We are driven by voluntary driven by are standards We such as OHSAS 18001, Responsible Care guidelines and the British Council Safety High Safety is periodically reviewed by by is periodicallySafety reviewed and Sustainabilitythe CSR, Safety as Risk as well Management Committee of the Board Committee Health and Safety Corporate TCL’s is the overarching Policy Environment with the subsidiaries aligning policy, the local regulatoryit to and safety directorates Deployment of comprehensive digital-enabled compliance Deployment of comprehensive monitoring compliances framework for forums of compliances at leadership review Periodic

Integrated Annual Report Annual Integrated 2018-19 Mitigation Mitigation • • • • • Listening to and Engaging with the Stakeholders

We engage with our stakeholders continually across different mediums, which helps us understand and cater to their requirements and build a rich network of relationships. With this, we support the values on which we were founded and build a sustainable business.

Shareholders and investors Engagement method Relevant matters To provide accurate, transparent and timely information to enable them Annual General Meeting, Report to shareholders, Appreciation in share price and growth in take informed investment decisions Investor/analysts meet, Quarterly results, Media dividends, Business profitability and sustainability, and ensure business decisions are releases, Company website, Report to stock High-level of corporate governance taken considering their interests exchange

Suppliers and partners Supplier pre-qualication/vetting, Supplier Timely payment and delivery, Sustained To develop mutually-beneficial, plant visits, MoUs, Trade association meets/ business and growth, Vendor selection process, long-term relationships seminars, Professional networks, Bhagidhari Safety, health and wellbeing and human rights Sabha, Contract management/review, Product of employees of contracting companies/ workshops/ on site presentations, Framework suppliers agreements

Community Community meetings/visits, Local authority and Legal compliance, especially on safety, health To uplift the quality of all town council meetings, Location head’s meet, and environmental performance, creating communities impacted by our Strength, Weakness, Opportunities and Threat jobs, sustained contribution to community business Committee meetings, Community projects, development, progress on implementation of Seminar/conferences, Partnership with local social and labour plans charities, Volunteerism

Customers Distributor/retailer/direct customer meets, Consistent quality, Responsiveness to needs, To execute our commitment to the Senior leader customer meets/visits, customer After sales service Tata Group’s ethos of Customer plant visits, Chief Operating Officer's club, promise achievers meet, KAM workshops, focus group discussion, membership in trade organisation/ associations, complaints management, helpdesk, conferences, information on packaging, complaints management, Joint business development plans, customer surveys

Employees Senior leaders' communication/talk, Senior Engagement, Training and development, Career To have fully-engaged and committed leadership forum, Town hall briefing, Goal progression, Health and safety workforce to drive organisation’s setting and performance appraisal meetings/ growth, while providing them performance review, Exit interviews, Arbitration/ professional growth opportunities union meetings, Wellness initiatives, Focus on workplace safety, Employee engagement survey, Email updates, intranet, flat screens, websites, poster campaigns, house magazines, confluence, circulars, quarterly publication, intranet, theatre workshops (Oorja), newsletters

Government and Advocacy meetings with local/state/national Timely contribution to exchequer, Proactive regulatory bodies government and ministries, Seminars, media engagement, Contribution to local infrastructure, To ensure proactive approach releases, conferences, Membership in local Skill and capacity building, Sustainable livelihood, towards compliance and regulatory enterprise partnership, Membership industry clean and safe environment requirements, setting industry bodies such as ICC, BCCI, CII, CIA, ESAPA, benchmarks and engaging with EU Salt Association authorities in policy-making

24 Integrated Annual Report 2018-19

Addressing Material Issues Integrated Report Material matters are the issues with the capability to substantially impact our business outcomes and competitiveness. These issues affect our ability to create value in the short, medium or long term, if not addressed strategically.

Materiality process at Tata Chemicals

Identifying critical and Identifying Evaluating present status Mapping ambitions key action areas based material issues of material issues against materiality issues on gaps to be covered

Materiality matrix Identifying and mapping material issues At Tata Chemicals, we identify material issues by engaging Safety and health Energy with multiple stakeholders – investors, shareholders, media, government, global employees, suppliers, Climate change Employee engagement contractors, customers and the community. These Ethics engagements are conducted through meetings, tele and Community Water video conferencing, interviews of top management and Reports Statutory engagement external stakeholder surveys across geographies. Customer Product stewardship Waste Performance standards We review whether these issues are aligned with our for contractors/suppliers Employee benefits Biodiversity vision, brand portfolio and geographical footprint and map them against key stakeholder priorities and internal Diversity Importance to Tata Chemicals Tata Importance to business priorities. We then review the business goals and Logistics Spills challenges to finalise the materiality matrix. This exercise is carried out every alternate year. We work on all the issues highlighted in the materiality matrix and focus additionally Low to high to Low on the issues in the top 4 quadrant. Low to high Importance to stakeholders Financial Statements

Addressing materiality We have taken a strategic call to revisit these material aspects on a periodical basis to track their current status. Our long-term strategy roadmaps are developed keeping these aspects. These initiatives, while accelerating our business growth, are also strengthening our fundamentals and our value creation ability.

25 Basic Chemistry Business

Trusted global partner Industrial concerns globally are increasingly wanting to partner trusted manufacturers for their essential input requirements. We are leveraging the strong foundation of our Chemicals Business built over eight decades to cater to these clients and propel growth. We understand the unique needs of customers to deliver pioneering products of outstanding quality and value and delight them with great experiences.

Business overview Business environment 6% over the last year. Addition of new We are a leading global chemical player Soda Ash and Sodium Bicarbonate are key Sodium Bicarbonate capacities in India led with over 4,138 KT of Soda Ash and 236 products for the global chemicals business, to reduced imports. KT of Sodium Bicarbonate capacities. being consumed by many downstream With operations spread across India (Tata companies as raw materials for diverse The present global Soda Ash and Sodium Chemicals), US (Tata Chemicals North industrial and consumer applications. Bicarbonate demand-supply scenario America), UK (Tata Chemicals Europe), The global markets for these products are are moderately balanced. Their prices Kenya (Tata Chemicals Magadi) and characterised by worldwide trading with are expected to move in a narrow band customer base across the globe, we manufacturing concentrated in China, US, globally. The CAGR for Soda Ash demand are one of the most geographically European Union, Turkey and India. growth is expected to be 1.9% between diversified players. 2018 and 2028 and that of Sodium In FY 2018-19, the world Soda Ash demand Bicarbonate volume growth is expected to Our business model is underlined by a was almost flat for the year, however, the be above GDP levels. In India, the demand continuous focus on cost optimisation, demand grew 2.8% over the last year for for both the products is expected to be lean supply chain practices and markets excluding China, on the back of healthier with forecasts of strengthening enhancement of portfolio with strong growth in Western Europe, South economic activity and their significantly value added and branded products America, South East Asia, Africa and the low per capita consumption. We expect a targeted at specific customer needs. Indian subcontinent. The Chinese and CIS stable market both in India and globally This, complimented by continuous markets experienced negative growth. The with little capacity additions. enhancement in service offerings, ensures demand of Sodium Bicarbonate remained our business sustainability and profitability. high, with the Indian market growing by

26 Integrated Report Statutory Reports Financial Statements 27 Our manufacturing facilities have of in terms advantage a strategic security material good and a raw mix of manufacturing processes in carbon footprint, with lower line with our long-term sustainability target. capacity70% of our Soda Ash is natural manufactured through in the US our plants at sources lower which ensures and Kenya, manufacturing along with costs and environment lesser energy have Both these plants footprint. materials huge raw to access is in US plant – the resources which has the world’s Wyoming and deposits of trona largest is near Magadi plant Lake Kenya lake. which is a regenerating Our Mithapur in India plant and Northwich in the UK plant Sodamanufacture synthetic Ash This and Sodium Bicarbonate. salt/brine (salt uses raw process as key raw and limestone water) the UK plant While materials. of natural has the availability Mithapursalt, uses salt plant manufactured heat. using solar Tata Chemicals advantage Chemicals Tata Strong performanceStrong of associated good business generated energy the income and contributed to BU performanceSoda Ash/energy Successfully scaled animal feed grade grade Successfully scaled animal feed soda marketcrushed refined in the US while exploring new markets in India, and the far east Africa, Europe Undertook major marketing activities, and 14 including radio campaigns boost sales to farmer training forums, in higher of fortified salt resulting salt sales distribution Fortified and trials. 25% by in FY 2018-19 increased Soda Ash production slightly below par below slightly production Soda Ash in the operational issues due to largely first quarter of the year Undertook marketing extensive efforts markets stabilise existing productsto for – Magadi Nyama Moore salt and Magadi soda, Mazawi crushed refined Moore in the previous introduced which were year Commenced project MAP for plant-wide plant-wide for MAP project Commenced the modernisation over of DCS systems next years five Undertook studies to engineering of solution mining potential investigate bed 14 in existing trona Re-established corporate office in with synergy improve Utah to Sandy, Wyoming manufacturing River in Green Rationalised sales of imported Soda Ash plans in line with the margin Implemented DSI (Dry project Sorbent a SOx as Injection) trona ground use to emission compliance sorbent for

• • • • TCML • • • • TCE • TCNA • Recorded highest-ever sales of bromine highest-everRecorded sales of bromine shipped in ISO with ~99% volumes in bulk tankers increase and ~100% of Soda Ash movement Our online customer portalOur online customer and app – Chem Connect – launched in 98% over FY 2017-18 has recorded engagement customer Achieved highest ever production and production highest ever Achieved sale of Bicarb an encouraging led by market of our new foray response specialtyinto Bicarb pharma grade – Medikarb customer leveraged – as we connect and market knowledge Launched new – cement products Shudh OPC with the enhanced Tata of veryvalue proposition high one-day Shudh PPC Tata and strength Successfully established Medikarb, first branded pharmaceutical India’s is now which Sodium Bicarbonate, grade companies Pharma many used by Entered the niche segment of industrial the niche segment Entered Sodium Bicarbonate with the grade launch of Speckarb, which is high in purity and sulphate chloride, on and low heavy metal content Executed operational excellence operational excellence Executed optimisation and throughput initiatives of all key products within prevailing achieve to operational constraints cost control greater

• • • • • • TCL • Key business developments across our our across Key business developments include: global companies Performance highlights FY 2018-19 highlights Performance continued servicing we on manufacturing and continuous globally with our focus excellence our customers Duringthe year, quality at the most products edge in terms of providing competitive our retain We Six Sigma. as Lean such with processes improvement prices with world-class along competitive management. service, relationship solutions and customer customised Integrated Annual Report Annual Integrated 2018-19 Risks

Profitability risk • Stringent health & safety norms and Macro-economic risk • Impact on Kenyan operations due to competitive pricing threats in Europe • High energy price volatility and increased royalty rates, possibility of Environmental risk uncertain economic times in the UK shorter lease period and disruption • UK exiting EU without a deal in rail logistics due to unviability of • Rising stringency in environmental • Impact on global demand-supply Rift Valley Railways. A proposed land regulations in India balance and price fluctuation driven rate increase may further impact • Implementation of EU-Emission by the addition of new Soda Ash and profitability Trading System Phase 4 bicarb capacities by domestic players in India and uncertainty in Chinese production

Magadi plant

28 Integrated Report Statutory Reports Financial Statements 29 For deeper insights into into deeper insights For portfolio, our product page 06-07 to please refer Picture Credit: Abbey Logistic Group Logistic Abbey Credit: Picture the statutory permissions of which are in an advanced or are either received meet rising will enable us to This stage. (Project team A dedicated demand. the same for been formed has Pragati) timebound execution ensure to and the awareness increasing to on air pollution legislations anticipated Invest in capacities to pursue value- in capacities to Invest opportunity driven growth in food, and pharma variants animal feed

• Manage variable salt costs like fuel, material raw through and limestone securitisation Exploit new opportunities in Sodium Bicarbonate and sesquicarbonate Build a market the newly developed for specialised industrial variants for applications and flue gas treatment, due area which is an emerging Key strengthen ongoing projects will station, – salt power competitiveness and recoverycarbon plant capture optimise to at coal handling plant operations and new warehousing and enhance customer to proposals demand satisfaction, cost and safety capacityPlanned expansion programme at Mithapur all products for facility,

• • • • • Bulk transportation of salt in UK Opportunities Strategies Strategies Grow volume of subsidiaries volume Grow ongoing operation Continue and improvement optimisation initiative programmes Execute LEAP (Lead, Engage, Aspire Aspire Engage, LEAP (Lead, Execute strengthen to strategy and Perform) risks and leadership position, address exploit opportunities Initiated Projects to grow grow to Initiated Projects Sodium Bicarbonate and Salt sales opportunities in Asia Our strong pipeline of investment of investment pipeline Our strong projects in salt and Sodium Bicarbonate/ will sustain the Soda Ash/energy and FY 2019-20 momentum into driving cost competitiveness beyond, serviceand enhanced customer

Optimise costs Optimise costs • • • Grow leadership position leadership position Grow • • Integrated Annual Report Annual Integrated 2018-19 By successfully tapping Kenya’s abundant sales have grown significantly from 19,813 growth story salt resource, Tata Chemicals Magadi tonnes in FY 2016-17 to 42,174 tonnes in (TCML), has created a new growth FY 2018-19 with a total of 8,000 tonnes vertical with its CRS that caters to the shipment to the US. More importantly, our livestock as a rumen buffer leading to high product has received positive customer Nurturing crushed production in dairy animals. While the feedback with a high rating. Potential refined soda product was widely popular in Kenya, we customers are completing necessary due leveraged its effectiveness to create export diligence and our plant has received Good (CRS) portfolio, opportunities. Manufacturing Practices (GMP) certification exploring for animal feed imports into Europe, international Establishing the US market providing scope to explore new markets. After a successful pilot study in the US, opportunities we were faced with the challenge of Growing the US market meeting product quality and specification While the addressable opportunity for requirement and logistics management. low-fluoride CRS is tremendous in the These were tackled by our cross-functional US market, we faced constraints on the teams who undertook intensive planning production side due to bottlenecks in to develop sustainable solutions to meet the grinding and screening process. To customer requirements and ensure overcome this, we held consultations with business profitability. We undertook our customers to arrive at an agreement to shallow trona mining to meet low fluoride supply unscreened standard fluoride CRS. content specification and revived part The move shall help us enhance shipment of the mothballed premium ash plant to to the US while opening access to other attain desired particle size. The supply international markets as well. chain was optimised by creating new storage spaces in redundant silos and in Exploring new market Mombasa, along with reviving the We see significant potential for growth trans-shipment facility at Kajiado to going forward as we explore markets enable the parallel transfer of product in Africa, India, Europe and the far east. by both rail and trucks. We have already received enquiries from Indian, European and other international These efforts paid-off and we have markets, where samples for trial use have received several orders in the US. Our CRS been despatched.

Mithapur plant

30 Integrated Report Statutory Reports Financial Statements 31 Picture Credit: Chirag Parmar Chirag Credit: Picture es, leather, metallurgy, electronics. electronics. metallurgy, leather, es, Tata Shudh PPC marks our entry a new into Tata Tata is witnessing growth. which segment, the is a newShudh OPC variant offers that the of having proposition additional value Along with the strength. highest one day enhanced our service have we launches, strengthening by significantly levels infrastructure. channel and supply chain dy the superior to adheres product The quality specifications of IS 2124: Sodium of Indian Bicarbonate: Bureau Standards applications, for and is not intended human to related directly or indirectly, consumption. Speckarb in the niche marks our presence Sodium of industrial grade segment us with Bicarbonate and will provide demand opportunitiessignificant in both the domestic and export markets. We started manufacturing the cement We intent 1993 with the strategic business in in generated solid waste of consuming restricting plant, the Soda to sales Ash and central Gujarat. Saurashtra, Kutch availability enhance cement and To in the value chain, expanding our presence launched new namely products have we Shudh OPC. Tata PPC and Shudh Tata Industries globally have a need for Industries a need for globally have high-purity Sodium industrial grade sulphate chloride, Bicarbonate with low product This and heavy metal content. meets stringent quality and regulatory of a high level requiring standards, expertise them. Our manufacture to is our ‘Speckarb’ newly launched product A these industrial customers. solution for it is specialty Sodium Bicarbonate, grade alkali powder pure intended a versatile specialised industrial applications likefor high-qualityspecialty chemical synthesis, growth story growth story Expanding Sodium Bicarbonate areas application Reinforcing Reinforcing business, cement the up moving chain value Integrated Annual Report Annual Integrated 2018-19 Consumer Products Business

Reaching more households, improving everyday experiences Household stories in India are changing. Millions of consumers are increasingly demanding high- quality products that are safer, healthier, tastier and more convenient. We are building our Consumer Products Business (CPB) around these aspirations with innovation, branding and distribution capabilities to cater to the new age Indian consumers.

Business overview Business environment largest producers and consumer of Our CPB houses a range of high-quality, Salt pulses. But, the industry is largely daily use products that bring goodness The Indian salt industry is one of the unbranded and there is a need for high to the lives of consumers. Beginning with largest in the world with several producers quality, hygienically packed products. the iconic Tata Salt that pioneered the and a complex delivery network. Taking This presents a significant business crusade for iodisation in India and has now this as an opportunity, the Government opportunity. become one of the most trusted food promotes iodisation of salt under the brands, we have extended our portfolio to National Iodine Deficiency Disorders Besan is India’s leading snack food include salt variants, nourishing food items Control Programme (NIDDCP) to reduce ingredient. But, the industry is largely and detergents. prevalence of iodine deficiency disorders unbranded with consumers seeking (IDD) in the country. The Government is healthier options. Our salt portfolio, including specialty salt further exploring the possibility of using products, is marketed under the Spices double fortified salt with iron and iodine in Tata Salt brand and addresses the various nutritional programs to combat the twin India is globally recognised as the home nutritional needs of consumers. We challenge of IDD and anaemia. of spices. However, the industry is highly market our food products including fragmented and regional in nature pulses, spices, besan, chutneys, basmati This regulatory support along with with consumer taste changing across rice, red rice poha, snacks and ready to rising health awareness is resulting in an markets. The industry is also largely cook nutrimixes under the Tata Sampann dominated by regional and unbranded brand. With this portfolio, we bring the increased shift towards branded packaged products that are suspect in terms of traditional wisdom of Indian foods in a salt, with the segment growing by ~5% in quality, consistency and purity. This contemporary package to deliver the best FY 2018-19 and branded salt accounting opens opportunities for brands that of taste, nutrition and convenience. for 88% of the total edible salt market. can address these gaps. In FY 2018-19, we ventured into the fabric Pulses and besan care segment with the pilot launch of Pulses, having high-protein content, are Tata Dx Detergents to touch the lives of an important food crop globally and customers with differentiated offerings an indispensable constituent of India’s across the FMCG landscape. daily diet. India is also one of the world’s

32 Integrated Annual Report 2018-19

Performance and Tata Chemicals advantage business highlights FY 2018-19 Salt Spices

We have one of the largest salt Tata Sampann offers a range of Overall Branded salt Integrated Report production capacities. This scale high-quality, pure Spices and sales volume of production when combined innovative blends. Our pure with our diverse salt portfolio, high Spices, sourced from locations 1,154,601 MT quality and purity, wide distribution where climatic conditions 1,058,772 MT network and brand equity gives us and terrain benefit its natural FY 2017-18 immense strategic advantages and flavour, are 100% pure and have capabilities to grow the business a higher percentage of active and cater to the requirements of a ingredients as we never use large section of Indian households. ‘Spent’ ingredients. Our blends Tata Salt are developed with pure, fresh Outlet reach Pulses and authentic ingredients with Tata Sampann is India’s first recipes designed by renowned 19 lakh national pulses brand, offering a celebrity chef, Padma Shri Sanjeev 17.8 lakh variety of high-quality, unpolished Kapoor. Additionally, we offer the FY 2017-18 and nutritious dals apart from an value proposition of unique 5-in-1 organic range. We also provide sachets packaging that retains the Customer (retailer) high-quality, low-oil absorb besan freshness of spices. Our unique satisfaction index that ensures homogeneous batter and value-added offerings as and makes food healthier. Our well as our robust marketing and differentiation of quality and unique distribution make us the brand 76 Reports Statutory offerings makes us a preferred of choice. 76 brand for consumers. FY 2017-18 Financial Statements

Tata Salt enjoys leadership with 25.2%* market share in overall packaged powdered salt market. It continues to be India’s largest distributed salt brand reaching out to 170 million households through 19 lakh retail outlets. For deeper insights into our product portfolio, *Moving Annual Total March '19 please refer to page 06-07

33 Strengthening portfolio, bringing goodness to consumers We continued with our efforts to respond to the consumers’ needs by launching several products focussed on improving their everyday experiences across wider facets.

Nutrimixes Chutneys Organic Pulses (Moong Dal Chilla, Multigrain Chilla, Multi (Spicy Tomato, Tamarind-Date and (Toor Dal, Chana Dal, Masoor Dal, Dal Chilla and Low Oil Absorb Pakoda Mix) Chinese Chutney) Moong Dal, Urad Dal, Urad Dal Whole) Made from unpolished pulses and Natural with no preservatives and 100% Organic unpolished dals, grains, rich in protein and fibre artificial colours and a shelf life of adhering to India Organic and 6 months USDA standards

Basmati Rice Red Rice Poha Jeera Sattu Goodness of rice bran, a source of Naturally rich with high fibre Made with unpolished Chana, High in Gamma Oryzanol and Dietary Zinc protein, iron, dietary fibre, zinc and phosphorous

My Gudness, a Dalicious Snack Herbal Salt Tata Dx Detergent (Toofani Tamatar, Masala Dhamaka and (Amla Coriander Chilli, Rosemary Thyme ‘Quick Wash’ – Needs only 15 minutes Sassy Salsa) Basil Oregano, Lemon Mint Ginger) of soaking Baked snacks made of 62% dal (moong, Adds taste, flavour and goodness urad, chana) with 2X protein and 40% of herbs in everyday meals Virgin Coconut Oil less fat* 100% pure, natural, unrefined, cold pressed, extra virgin coconut oil

*compared to ordinary extruded (packaged) snacks available in the market

34 Integrated Report Statutory Reports Financial Statements 35 Continue building a future-ready Continue distribution network and scale up e-commerceand modernretail channels and platforms digital Leverage connect to and engage technologies product share with customers, our presence knowledge improve and the value chain across Increasing competition from the Increasing from competition players market,unorganised regional and private labels Leveraging digital technology across the across technology digital Leveraging value chain Cost optimisation and service-levelCost that helps us deliver improvement to value proposition an unmatched and channel partnerscustomers

Wider reach and efficient and efficient reach Wider operations • • Competition risks risks Competition • • • Continue delivering pure and authentic pure delivering Continue that products with natural ingredients nourishing and in keeping with tasty, are consumer needs various food across Expand offerings to formats categories in innovative the and elevate enhance convenience cookingconsumer’s experience Scale-up drive rapid new products to growth Rising fuel and labour costs commodity in pricesVolatility Expanding our footprint along with Expanding our footprint on scaling-up portfolio with a focus various across offerings differentiated more reach will enable us to segments regional diverse to homes and cater needs

Grow Tata Sampann portfolio Tata Grow • • • Profitability risks Profitability • • • Business risks Opportunities Strategies Strategies Leverage interesting new formats like new formats interesting Leverage Herbal Salt, Rock Salt and Black Salt to specific consumer needs address Undertake and brand campaigns market-specific activities Nurture offer thought leadership to Salt Lite Tata like products innovative consumer address to Plus Salt Tata and nutritional needs Changes in regulatory and norms environmental Increasing awareness of health and Increasing awareness and among consumers wellness quality consistent pure, their need for choices is leading to and convenient expanding market of trusted share brands like ours

• • • Consolidate position in Tata Salt Tata position in Consolidate share market and strengthen Environmental risks Environmental • Integrated Annual Report Annual Integrated 2018-19 • Delivering the goodness of pulses and besan

Our products are differentiated from other products in the market due to our expertise in pulses and spices, the right choice of ingredients and authenticity in taste.

Tata Sampann Moong Chilla Mix is a Pakoda Mix is a unique formulation of dry spiced mix which can be made into Low Oil Absorb Besan for low oil uptake a batter with the addition of water, to retain healthiness, while delivering thus eliminating all the other steps authentic taste and crispiness. and be ready to be served in less than 15 minutes

The Multigrain Chilla Mix is a high Multidal Chilla Mix has the goodness of protein ready-to-cook convenient mix multiple common pulses consumed by offering a fast way to boost body with a Indian population and is a rich source of good 20% of calories coming from the protein and fiber. protein and not the sugars.

36 Integrated Annual Report 2018-19 Integrated Report

Pulses and besan have an important delivering the authentic taste and place in the traditional Indian cuisine crispiness. and are omnipresent in Indian kitchens. While besan is used in multiple snack Chillas made out of besan or moong dishes, pulses are consumed daily paste is a very popular dish in north and reputed for their health benefits. India. Compared to traditional laborious They provide adequate energy supply method of chilla preparation, Tata from proteins, complex carbohydrates, Sampann Moong Chilla Mix is a dry fiber and minerals for meeting various spiced mix which can be made into a dietary needs. batter with the addition of water, thus eliminating all the other steps. It is

Good as it may sound, the fact is that ready to be cooked and served in less Reports Statutory many traditional Indian foods prepared than 15 minutes. from besan are considered unhealthy and some pulses-based dishes have The Multigrain Chilla Mix is a high lengthy cooking methods. This is far protein, ready-to-cook, convenient mix from what today’s convenience and offering a fast way to boost body with health seeking consumers want. Two a good 20% of calories coming from such famous snacks are Chillas and the protein and not the sugars. It has Pakodas. Deep frying pakodas leads the goodness of multigrain and extra to significant oil absorption making it protein content in comparison to the unhealthy. Chilla requires significant besan chilla mix. preparation time and prior planning as the recipe demands overnight soaking The Multidal Chilla Mix combines the of pulses followed by grinding goodness of the multiple common growth story and cooking. pulses consumed by the Indian population and is again a rich source The Tata Sampann Nutrimixes value of the protein and fiber. proposition is aimed at key consumer Ready-to-cook needs like convenience, authenticity Our products are differentiated from Financial Statements and nutrition through a differentiated other products in the market due to nutrimixes product range. The proposition is based our expertise in pulses and spices, on traditional Indian wisdom presented the right choice of ingredients and Packaging, taste, in a contemporary format. Our portfolio authenticity in taste. We have ensured includes Pakoda (Bhajji Bonda) Mix, none of our products have artificial nutrition and Moong Dal Chilla Mix, Multigrain Chilla colours or preservatives and remain convenience Mix and Multi Dal Chilla Mix. true to the promise of being “Sarvagun Sampann” and bringing traditional for modern-day Tata Sampann Pakoda Mix is made nutrition into everyday meals. Our focus consumers with our unique formulation of Low going forward, will be to capitalise on Oil Absorb Besan which reduces the our differentiators and grow the Tata oil uptake to retain healthiness while Sampann mixes portfolio.

37 Specialty Chemicals Business Nutritional solutions

Innovating to nourish everyday life The Nutraceuticals space is booming. Products that supplement the diet with vital nutritional values, essential for healthy and active life, are in demand. This is more so in India’s case where traditional diets lack such nutritional values and irregular eating habits and lifestyle of modern-day consumers are causing health problems. We are leveraging our food science knowledge and strength in consumer products to reimagine the dietary and nutritional needs with innovative natural products specific to Indian consumers.

Business overview and partnering 2P Manufacturers for It is expected that India’s nutraceuticals We entered into the nutritional solutions sweeteners and functional foods. market, valued at C 26,000 crore in 2017, business with our brand – Tata Nx that will expand sharply at a CAGR of ~17% targets new-age Indians demanding food Business environment to reach C 80,800 crore by 2023. The that provides nourishment. The Nutraceutical and dietary supplements subsegment of High-Intensity Sweeteners market is still at a nascent stage in India, ('HIS') market currently is about C 500 crore We leveraged the intellectual expertise of accounting for ~2% of the global share. and expected to grow at 6% driven by the the scientists and food technologists at our Dietary supplements dominate the market growing population of overweight, obese Innovation Centre in Pune to gain better with a 65% share and functional food and and diabetic patients. On an average 5% of insights into the human body and develop beverages account for 35% of the overall the Indian population is obese, but in the solutions for addressing health-related nutraceuticals market. urban context, the numbers are incredibly problems from a nutritional standpoint high. HIS is the fastest growing segment rather than medicinal. We utilise the However, the use of nutraceutical products due to the rising health concerns with innovative bio-easy format as a delivery is growing fast in India, especially in the aspartame and sucralose being the most mechanism which enables optimal urban areas where the youth are keen famous sweeteners. absorption and assimilation of nutrition. to maintain fitness and build a stronger physique, resulting in a penetration of In recent years, stevia has witnessed major We have a young and energetic team nutraceutical products at 22.15% in the demand due to the advantage of being with deep market understanding. We urban areas, higher than the 6.32% in rural a natural sweetener, making it an ideal have maintained a lean and agile business areas. The segment’s growth is further alternative of high sugar consuming nation. model by capitalising on the Consumer reinforced by an increase in the purchasing Besides, stevia’s natural make provides it Products Business’ extensive supply chain power and rising disposable income with the advantage of not falling under the network for faster and deeper penetration of Indians. product category as ‘artificial sweetener’.

38 Integrated Annual Report 2018-19

Risks

Competitive risk Dynamic regulatory environment institutes ICT (Mumbai) and CFTRI (Mysore) and appropriate FICCI and CII • Increasing competitive intensity with • With Nutraceuticals being an networks. We continue to work closely domestic and global players who are emerging category, it is critical that Integrated Report with regulatory authorities to ensure introducing stevia-based products the authorities understand the efficacy our products meet all compliances • Stringent health & safety norms and and effectiveness of the product by and we remain abreast of incoming competitive pricing threats in Europe leveraging the expertise of academic regulatory changes

Opportunities

• With increasing disposable incomes and is expected to provide immense growth recommended for children and other rising awareness for health and dietary potential immunocompromised adults provides needs, the consumers are increasingly • FSSAI’s notification to products unique positioning to our product, Zero adopting Nutraceuticals. The segment using artificial sweeteners (excluding Sugar - a stevia-based sweetener, which is witnessing significant investment and stevia) be labelled as not safe / not is made from 100% natural ingredients

Strategies

Target IP protected and Strengthen pipeline margins and loyalty and the emergence of differentiated offerings • With rampant protein deficiency in new points of sale that integrates with daily Reports Statutory With more F&B companies resorting to new Indians and increasing consumption experience, our strategy will be to: technologies to reduce sugar content in their of gummy vitamins, we will target • Explore new and unconventional products, our strategy is to: strengthening pipeline with functional channels to supplement existing • Maintain a competitive advantage by foods, probiotics and gummy vitamins distribution network developing science-based IP protected • Engage with end-users in new and offerings in nourishment, correction and Enhance distribution and customer personal ways such as digital media, replacement domains engagement at schools, offices, etc. • Launch stevia-based formulations With the trend of retailers increasingly labelled as low sugar/low calorie investing in own private labels to drive

Tata Nx Zero Sugar is a one-of-its-kind offering growth story made from non-artificial sugar substitute – lactose (natural milk sugar), steviol glycosides (extracted from stevia herb) and a fruit extract. Accelerating 100% natural, with no sugar, this product has

a low Glycaemic Index as compared to regular Financial Statements growth by scaling sugar, making it appropriate for people who Zero Sugar have been advised to avoid or reduce their sugar intake.

Post its successful pilot run in FY 2017-18, we relaunched the product in July 2018, exclusively on Amazon and at select stores in Bengaluru, Chennai and Hyderabad. Vital for individuals seeking health or fighting ailments, the product Tata Nx Zero Sugar has been recognised For deeper insights into with the Ayush Kamal Ratna for India’s Best has been well-received. We are now focussing our product portfolio, Natural Sweetener in Swadeshi National on scaling-up distribution and supplying it on a please refer to page 06-07 Award ceremony in April 2017 pan-India basis.

39 Bringing wellness to life Consumers globally are increasingly demanding natural, convenient and safe foods and supplements that can support their lifestyle, while delivering adequate nutrition. We are bringing our knowledge in fermentation, food technology and biogenomics to offer solutions for such needs supported by our dedicated Research & Innovation Centre and greenfield manufacturing facilities.

40 Integrated Report Statutory Reports Financial Statements 41 ts drove growth as we focussed on focussed as we growth ts drove We have been developing broad- been developing have We and food- based application integrate capabilities to technology F&B formats. in various prebiotics leverage will be to now Our focus know-how, technical our strong portfolio (11 patents and credibility papers globally) to and 9 research approach adopt a solutions-provider and support with curated customers development. application collaborating and co-creating with them maintained a track We mode. in a project injury of zero and incident record sites. across Our Fructo-Oligosaccharide (FOS), a FOS and manufactured mix of own garnered complementary ingredients, food dietary wider acceptance as a prebiotic in dairy, sweetener and healthy fibre bakery and confectionery sectors. a global distribution established We network customer and initiated China and engagement in South East Asia, gain insights on their qualifications USA to needed and regulatoryprocess approvals Our Animal Nutrition sales. begin to with startedsegment footing on a strong finding customer FOS-led formulations acceptance in aqua and poultry space. produc We have undertaken have extensive We in the bio-informatics field as work huge databases developing well, are We with millions of data-points. linking them with other available globally and using databases techniques computational advanced and machine learning algorithms for which can gaining critical insights healthcare be used in preventive nutrition. practices and customised come an intensely studied research studied research has become an intensely modern finding solutions to day theme for challenges. health and lifestyle global a growing is there a result, As entering products the of wellness trend segment The consumer sector. mainstream in new product is witnessing surge Itslaunches and new entrants. application widened in the niche fields of have areas skin, surface oral, and in sugar microbiome healthier consumer’s by reduction driven choices and regulatory push. highlights Performance FY 2018-19 FY 2018-19 has been an encouraging marked operational year positive by to in revenues and growth development plant operations and Strong C 41 crore. on new responses customer encouraging Tata Chemicals advantage Chemicals Tata Tata Chemicals has expertise in the Tata its human nutrition field backed by is This near decade of R&D experience. of in our commissioning exemplified 1,000 cohort Indian study mapping of the a first of its scale effort gut microbiome, insights in India. interesting It provided about Indian gut and its similarities and We with global counterparts. differences on furthering focussed are our knowledge and their health impact prebiotics around partnering and by institutes research globally. universities The human gut has more human gut has more The than the brain and neurotransmitters has an that microbes trillions of residing health impact system, on our digestive psychology aspects, and immunity related its by Driven well-being. and overall gut health importance human body, to Business environment Business environment Tata NQ, our Nutritional Solutions brand, NQ, Tata natural and science-backed innovative, offers health and sugar reduction gut prebiotics, health benefits. extensive having ingredients multipleOur solutions find application across ('F&B') and beverages categories of food amongst the few are We and nutraceuticals. dietarymanufacturers of prebiotic fibres route. fermentation inspired using a nature North spans across Our presence America, Middle East and Asia. Europe, Australia, Business overview Integrated Annual Report Annual Integrated 2018-19 Risks

Capacity risk Regulatory risk Competition risk • Unavailability of FOS powder for seeding in • Delays in regulatory approval • Cheaper competing products in sugar international markets • Differing health-related regulations across reduction and fibre fortification Raw material risk different countries • Pricing fluctuations and supply risk for cocoa

Opportunities

• Completion of ongoing greenfield facility • Initiation of clinical research to understand customers and building a formulation at Nellore plant to enhance FOS powder mechanism and pathway through which portfolio targeted at improving gut and and FOS liquid capacity and help meet FOS and GOS improves human health immunity health through preventive global demand will facilitate in converting international measures

Strategies Explore new business opportunities Target international opportunities and application-based sales in food, • Nutraceuticals, herbals, health formulations • Initiate technical qualification process for beverages and nutrition segment and confectionery in India replacement opportunity and new product Scale new product • FOS in animal feed segment for aqua and development • Undertake techno-commercial feasibility poultry customers in India and Asia and • Establish distribution network for driving and scale-up of yeast and its derivatives at pet food customers in European Union demand through customer engagements Sriperumbudur for utilising fermentation facility

42 Integrated Annual Report 2018-19

Designed to be the best • Sustainable: The plant will have zero growth story fossil fuel usage and carbon emission. • Global quality compliance: ISO Class 8 It is equipped with adequate solar facility complying with FSSC 22000, FDA, power capacity to meet daily needs. It Non-GMO, Kosher and Halal standards Mambattu has deployed measures like MVR / TVR • Best-in-class technologies: It employs Evaporation and installation of rainwater Integrated Report plant becomes one of the best purification technologies harvesting structures (45,000 KL capacity) a reality! SSMB (Sequential Simulated Moving Bed) to achieve sustainable water availability and state-of-the-art equipment and reduce ETP load • Automation and digitisation: It is fully • Safety: The plant’s safety systems and FY 2018-19 became a milestone year towards automated and digitised with minimal procedures to be aligned with the Tata incremental investments in infrastructure manual interference, eliminating chances Group’s standards to achieve ‘Target Zero and capabilities. With a committed outlay of of errors. Its best-in-class IT systems and Harm’ through a well-defined safety road C 270 crores, we are nearing completion of quality control processes ensure high map. It will focus on various safety training our world-class 5,000 MTPA (expandable up quality control, product traceability and programs, safety initiatives and seminars to 20,000 MTPA) FOS manufacturing plant paperless tracking. Its system is designed along with carrying out BBS and HIRA near Nellore, Andhra Pradesh. This plant to leverage innovative content formats and studies. Further, the plant shall practise reflects our vision and aspirations to service technologies to establish the brand's social tracking of all the incidents and give demanding global customers. presence and to reach customers globally special thrust to road safety Statutory Reports Reports Statutory Financial Statements

3D rendition of Mambattu plant

43 Low agricultural productivity is a challenge agronomy practices. It analyses crop growth story for India. The problem is about knowing growth pattern and forecasts crop health the right way of using the agricultural to provide right plant growth nutrients to inputs, adopting productive farming enhance health. It determines plant stress Rallis pursues big methods and having access to necessary and likely pest and disease impacts to ideas to solve for expert support services. provide right crop protection products. It thus provides them necessary agriculture Gathering the knowledge gained through intervention initiatives across the crop life years of R&D and farmer engagement, cycle. Further, post-harvest, the farmers are Digital solutions to Rallis has developed a holistic approach provided with market price information for support farmers for this – Rallis Samrudh Krishi® (RSK). With selling their produce optimally efforts directed to addressing farmer needs Samadhan App in a programmed manner, RSK facilitates This kind of intervention and hand Provides farmers direct access to Rallis' in enhancing farm productivity and farmer holding has benefited several farmers by product details, Package of Practices income. enhancing their productivity and income developed by R&D and real-time levels. Our focus now is to systematise this weather and mandi prices. With RSK, Rallis engages with a select set initiative and deliver the gains consistently Drishti of farmers at an individual level. It assists across geographies. Provides weather forecast, crop and crop them in determining their soil quality stage, forecast the current and projected based on geography and provides right crop health, soil moisture, nutrient index, soil health enhancing products, high- plant stress and likely pest and disease. quality seeds and helps them adopt right

Metahelix being a relatively late across various product demonstration growth story entrant in the ~` 3,000 crore cotton and pre-season activities. It enabled seed market was a small player in the team to reach out to about 6 lakh Metahelix the segment. However, with efforts farmers and 4,000 retailers and create to understand farmer requirements, top of the mind recall. The campaigns delivers growth develop right products and take were accentuated by outdoor media and and prosperity with it to farmers through innovative hoardings, point of sales communication Maha-Sambhav means, it emerged as a key player in and WhatsApp videos. All these efforts Maharashtra. The Company developed paid rich dividends and the Company a new cotton hybrid seed, Aatish, that was able to grow the ‘Aatish’ brand by Metahelix, a wholly-owned subsidiary of delivers the attributes of early yield’, more than six times last year, making Rallis, has significant presence in hybrid ‘big boll’ and ‘easy picking’ which are ‘Maha-Sambhav’ possible. seeds and in the biotech space. It has the most favoured requirements of benefited millions of farmers across India cotton farmers today. This product with its innovative hybrid seeds and gives handsome yields in lesser time, outreach programme. enabling farmers to have the produce for sales by Diwali (the festival of wealth) ‘Maha-Sambhav’ was the rallying call taken and also avoid problems relating to low in 2018 which helped it in expanding rainfall and pest & disease incidence. volumes of its new flagship cotton hybrid ‘Aatish’ in Maharashtra and catapulted it Communication messaging based into the million-packet league. on the hybrid’s key attributes was consistently undertaken through the campaign – “Aatish Yani Khushiyo Ka Aasman” (“Aatish stands for Happiness”)

44 Integrated Report Statutory Reports Financial Statements 45 Systematic implementation of Process implementation of Process Systematic & RiskSafety Management Sensitisation aspects on softer safety ‘Suraksha through Samvad’ projects under LASER workshop Safety near for engagement drives Employee miss identification, reporting and closure Integration risk of dynamic assessment with work permits Analysis and CDM of Protection Layer and Management) Design (Construction implementation Introduced Golden Rules Safety Articulationcritical policies of life Hazard Identification Tours Cross-site safety audits and offsite safety Cross-site Online Safe Work Implementation of sites across third-partyDedicated packaging centres and communication rounds Daily safety observationsof safety management to improvements safety for CFTs

• • • • • • • • • forward Way on focus aim to During FY 2019-20, we Management Safety at Mithapur Process our safety strengthen is to This plant. deployment and horizontal systems risk revisit and to of improvements and mitigation management processes global sites. plans across Global • • • • • United Nations’ Sustainable Sustainable Nations’ United Goals Development Key safety initiatives FY 2018-19 initiatives safety Key Magadi TCE TCNA Mithapur 0.87 0.46 0.55 1.61 0.88 1.09 worked) (No. of (No. TRI/million man-hours (1-day away from work) from (1-day away 2018-19 2017-18 2016-17 ugh root cause analysis and ugh root miss thro actions. in implementing preventive conditions identify unsafe Employees and report them on an e-enabled portal tracked is regularly which to WSO, – carryWe out internal risk control. ensure / external inspections, surprise audits, checks and engage experts identify to and areas lapses and improvement implementation of safety effective ensure to constantly strive Although we systems. in working safety we conditions, improve faced two unfortunate fatal incidents in corrective implemented We FY 2018-19. and such recurrences actions prevent to also supported the family of the deceased a financial under the Suraksha Scheme, also targeting are We assistance scheme. solutions in implementation of IoT FY 2019-20. TRIFR* 2018-19 2017-18 2016-17 * LTIFR Emergency and crisis preparedness Our operations encompass comprehensive emergency preparedness, for processes We and crisis management. response undertake identify to measures proactive possible emergency scenarios and prevent is to This riskcalculate quantum. and controls them with engineering supported practices, maintenance a by and also inspectionsystematic regime in responding assists us in being prepared situations. in real-time emergencies to *The above numbers include all subsidiaries above *The

ta Chemicals, health and safety ta Chemicals, Incident / Near-miss management Incident / Near-miss identifies criticalThis contributing factors near- in an incident or high potential We are constantly working are towards We our safety and upgrading evolving periodic and reviews through processes Harm the Zero benchmark them towards risks safety and identify top We goal. the by reviewed their mitigation plans are and SustainabilityCSR, Safety Committee and Risk Management Committee. Considering our use of hazardous implemented have we chemicals, Riskstructured and Assessment mitigation and Management processes engage We high risk areas. plans across identifying trained functional for teams and non- in routine hazards and managing activities. routine asset annual plans for prepare We management, besides workplace and programmes. improvement safety process also identify training needs at various We Safety processes. structured through levels partis an inherent all stages of the across cycle through and is ensured project life processes implementation of systematic trained personnel. through and executed managing and Assessing risks safety lth and safety management Health and safety At Ta a key are agenda. Specially formed initiatives safety reinforcing work towards committees Committees Board dedicated Our standards. and Sustainabilityon CSR, Safety periodically and drive safety organisational review the Apex Safety Besides, direction. strategic and Office at sites Committees Safety and health at offices review Committees aspects safety of the employees, safety and implementation of new policies and guidelines. Safety is an important part of our value system. We are relentlessly improving improving relentlessly are We Safety is an important part system. value of our of leadership, foundation performanceour world-class safety on a strong based and environment. assets people, for target Harm’ ‘Zero our by strengthened Intensifying Focus on Health & Safety & Safety Health on Focus Intensifying Integrated Annual Report Annual Integrated 2018-19 Innovating for a Better World

Innovation at Tata Chemicals encompasses multiple facets of business, communities and environment to develop solutions for a better world and ensure sustainable value creation for stakeholders. Innovation lies at the core of our businesses as the key differentiator in a competitive market.

Tata Chemicals’ R&D activities are undertaken at three state-of-the-art centres – Tata Chemicals Innovation Centre (IC) in Pune, Rallis Innovation Chemistry Hub (RICH) and Metahelix Life Sciences in Bengaluru.

R&D focus areas and key developments IC Pune RICH Metahelix Undertakes multi-disciplinary research A DSIR recognised centre undertaking Undertakes research in agricultural in applied sciences to seed new research in Agri Sciences for developing biotechnology. businesses, support the existing ones solutions aimed at enhancing farm and facilitate development of products productivity and farmer income. and services.

R&D focus • Food science research to enhance • Productivity enhancing Agro • Crop breeding research to develop areas nourishment Chemicals superior hybrids seeds • Inorganic chemicals and material • Eco-friendly formulations • Biotech research for superior trait science research to develop new • Cost-effective processes for development through products/businesses synthesising molecules GM (Genetically Modified) and non-GM methods and enhancing • New products evaluation and seed yield registration • Process improvements for manufacturing

• Low sodium salt, double • Created a strong pipeline • Worked on reducing GOT results, Key fortified salt of products for process and TAT and unwanted inventories and initiatives • Scale-up and range extensions of formulation development increasing accuracy FY 2018-19 extruded snacks, chutney and mixes and bio-efficacy evaluation • Focussed on MDR (Market • Launched new cereals, pulse-based • New collaboration on six projects Development Representatives) and home care products (detergent) • Development of advanced productivity • Undertook research in priority formulations • Village mapping growth areas of Highly Dispersible • Precision agriculture experiments • Robust screening system for salt and Silica (HDS) and pipeline silica (Drone) disease tolerance products for tyres, lithium battery • NABL accreditation application • Strengthening germplasm base for actives and recycling, pharma • Dossiers submitted for new various mandate crops grade NaCl and bicarbonate, food registrations sciences & technology and Fructo- Oligosaccharides (FOS) in areas of microbiome, immunity, gut and metabolic health

46 Integrated Report Statutory Reports Financial Statements 47 Utilisation of genomic resources for smart for Utilisation of genomic resources breeding and on molecular Intensifying focus projects genomic information-based Undertake Rapid Generation Advancement cycles crop completion more achieve to development fast track inbred annually to

TREADSIL™, our HDS brand, is targeted at is targeted TREADSIL™, our HDS brand, & Bus Truck Radial Car (PCR) and Passenger Radial (TBR) efficient energy which are tyres, Our and mileage. safety better and provide products also find application in rubber and TYSIL™, our conventional non-rubber goods – tyres and other rubber goods silica brand for non-rubber for TAVERSIL™ applications and oral detergents, feed, applications like food, chemicals. and agro care undertaking are We R&D with collaborative leading tyre manufacturers in India the for next developed generation of HDS. Having applications of functional nano silica, novel working are we with leading end users on applications. various innovative • • Metahelix • United Nations’ Sustainable Nations’ United Goals Development 4 2 118 Metahelix* 30 14 53 RICH Intensify products new technology up with with R&D geared development long-term vision for investment molecules opportunity off-patented Target filing patent by protection and innovation product pipeline by Strengthen especially research, collaboration and own formulations, in environment-friendly bio-pesticides nutrition products and crop

TPM precipitated silica plant at Cuddalore in silica plant at Cuddalore precipitated TPM which have trials for commercial Nadu, Tamil undertaking are We process commenced. at the plant, to initiatives improvement further for enhance its operational readiness and meeting safety maximising throughput and quality specifications. Targeting attractive global global attractive Targeting opportunity global silica marketThe is pegged at domestic for crore US$ 4.5 billion (C 1,000 are we our silica products, With market). market the high-growth targeting of tyres, tyre made of HDS whose especially the green stringent by demand is being propelled emission norms labelling. and tyre RICH • • • IC 90 22 53 Innovation statistics statistics Innovation Patents filed Patents granted R&D team members Support businesses in launching new/ value-added products and driving quality in priority areas Intensify research growth create to strategy on patent Capitalise areas advantage in focus competitive Innovation Centre, Pune Centre, Innovation

Our venture in the advanced materials Our venture of tightening the trends is driven by segment in the emission standards automotive Ittyre application industry. us to will allow value chain linkages our Sodaleverage Ash for foothold strengthen To value-added offering. the 900 acquired have we in the segment, Advanced materials Advanced IC’s R&D efforts in chemistry-based, nano-IC’s path to the paved material solutions have – advanced materials new business avenues (HDS and Specialty Silica), nano zinc and business areas These lithium-ion batteries. will let us participate in the fast expanding specialty market products and thrust our growth. Creating new growth verticals growth new Creating • • Way forward Way Pune Centre, Innovation • *Plant Variety Protection (PVP) filed since inception is 59. PVP is the provision under Protection of of Protection under (PVP) PVP filed since inception is 59. is the provision Protection Variety *Plant plant varieties. to IP relating Rights protecting Act (PPVFRA) for & Farmers’ Variety Plant Integrated Annual Report Annual Integrated 2018-19 Growing Together

The skills, experience and passion of our people facilitate deeper customer understanding and engaging relationships and strengthen our brand value as a preferred employer. We continue to step up efforts to accelerate our value-based growth strategy and the overall development of human capital. We nurture our people by investing in their empowerment through learning and development, wellness and safety besides providing contemporary workplace facilities.

for undertaking the curated content available on this platform, our employees are empowered to upskill themselves.

Our Board of Directors and the Senior Management jointly participated in a workshop anchored by a senior faculty member from the Harvard Business School.

Empowering employees In line with our ‘Refresh 2020’ theme to enhance our people processes, a Cross- Golden Jubilee celebration of Green River Functional Team (CFT) worked on enhancing our performance management process. This “bottoms up” change management FY 2018-19 has been a milestone year Leadership Development & process included hearing employees’ voice, on “people” front. During the year, we Capability Building conducting one-on-one interviews, making presentations to the management team and successfully managed issues arising out of During the year, we undertook senior communicating changes. organisational restructuring and leadership leadership transitions across businesses transitions. We also tackled the issues on and conducted a series of workshops – Art Ensuring employee engagement acquisition and foray into new segments. of Feedforward. This enabled our managers to coach and guide their teams for superior As a people-centric organisation, we Our teams, within and across business performance and skilling their managerial measure employee engagement through units and functions, accomplished capabilities. our survey, ‘X-prESS’, conducted in high-level collaboration milestones. Some partnership with an external agency to of these were: setting up the Greenfield We are creating an ecosystem of learning ensure confidentiality. Our X-prESS 2019 nutritional solutions plant; acquisition of through accessible mobile driven content, scores, covering over 3,000 white-collared Silica plant; divestment of agri-business; experiential learning and gamification. employees globally, increased from 70% launch of new categories under Tata Last year, we introduced ‘en-rich’, our in the previous cycle to 73% this year, Sampann; recent ventures in Specialty online learning platform offering with a response rate of 95%. Additionally, Chemicals Business; expanding the reach certification courses from the world’s discussion on Manager Score Cards also and presence of Tata Nx; and launch of our best universities. We incentivise certified helped improve work-group engagement first product in the Homecare segment learning on business, functional and digital to sustain and build on the change through Tata Dx Detergent. competencies. With no approvals required momentum.

48 Integrated Report Statutory Reports Financial Statements 49 Total Total 4,698 Design business segment and business segment Design industry people practicesrelevant Adapt to the changing regulations in regulations the changing to Adapt and automation of workforce respect improve to of work processes productivity experience by Enhance employee cloud in an integrated investing HR platform technology United Nations’ Sustainable Nations’ United Goals Development

Enhance HR operational HR operational Enhance effectiveness • • • TCSA 13 Rallis 1,001 Metahelix 473

TCNA 561 TCM 244 TCIPL 3

Align workforce with the new strategic the new with strategic workforce Align agenda thrust and organisation Provide career growth opportunities growth and career Provide meaningful roles Support an create managers to climate team engaging Undertake and recognition reward programmes diversity and on wellness, Focus people-friendly workplace policies Build digital capabilities to minimise the minimise capabilities to Build digital impact on work processes of technology at the individual transformation Promote and mindset change in line with level transformation organisational

On-roll Employee headcount as on March 31, 2019 as on March headcount Employee On-roll India TCL 1,989 Ncourage 17 TCE 397 • • • • • • • Nurture employee and enhance engagement Diwali celebrations at Tata Chemicals Tata at celebrations Diwali Address competency and skillAddress gaps and multi-generationalin a diverse opportunities through workforce re-skilling, for learning, and platforms experimenting and re-inventing themselves Recast the organisation structure in line structure Recast the organisation with our newemphasising on vision – functional expertise, close maintaining a connect and expediting with customer product development Enhance leadership and managerial a rapidly changing capabilities for external environment Retain core values of integrity and ethics Retain core and processes Deploy systems including continuous training and on ethical practices, building awareness regulatory corporate governance, all stakeholders cover compliances to Build a flat, agile and cost competitive and cost competitive Build a flat, agile structure

• Building future capabilities Building future • • • • Evolving organisational structure to structure to organisational Evolving support strategy • Integrated Annual Report Annual Integrated 2018-19 Aligning people with the Organisation's goals with the Organisation's people Aligning as below: of the enterprise, our long-term strategy to perspective is aligned a peoples’ from areas Our key focus Our Commitment to Sustainable Growth

At Tata Chemicals, sustainability goes much beyond the regulatory aspect and the triple bottomline objective of People, Profit and Planet. It exemplifies our acknowledgement of environmental responsibility. It remains at the core of our business strategy as we strive to attain leadership across all aspects of business and return better value to our stakeholders.

At Tata Chemicals, sustainability well-being of employees and the social aspects. These inputs are encompasses stakeholder engagement, communities and product stewardship. combined with PESTLE (Political, corporate governance and ethical We engage with stakeholders to identify Economic, Social, Technological, Legal practices. It also includes responsible opportunities for meeting ‘essential needs’ and Environmental) analysis to have a manufacturing safety, health and relating to economic, environmental and holistic perspective.

Sustainability challenges, advantages and opportunities Strategic challenges Strategic advantages Opportunities • Talent management • Operational excellence • Conducted climate change risk • Energy/raw material security and costs • Access to low cost raw materials in Basic assessment and waste mapping study • Increased stakeholders and community Chemistry Products Business • Revamped energy and emissions expectations • Brand equity roadmap at plant level • Changes in environmental norms like • Robust customer engagement process • Environmental risk assessment to circular economy, recycling plastic and relationship identify operational blind spots waste and other regulations • Leadership in key markets and products • Energy audits to identify energy / carbon saving opportunities Emissions Management We have set challenging internal norms and adhere to all environmental regulations. We monitor stacks as per the ISO 14001 schedule and ensure results are well within limits across geographies. A third-party is engaged bi-annually for measuring and monitoring combustion process emissions and reporting it to the US EPA, UK Environment Agency (EA), IMA/NA and CDP and for Sustainability reporting. We ensure our operations release particulate matter, NOx and SOx emissions in permissible level. Air conditioning systems use is restricted to office.

50 Integrated Report Statutory Reports Financial Statements

51 a monthly SHE Performance Matrix Performance a monthly SHE and track the performance to Audit waste of activitiesminimisation the and audit on site. waste of and segregation storage 12 covered business product Consumer management under plastic waste states along with engaging (PWM) programme Responsibility Producers state respective collection and safe for Organisations we In Punjab, disposal of plastic waste. Waste working Plastic are with Punjab a collaborative Management Society, Control Pollution model with the Punjab for companies, and other FMCG Board Incollecting and recycling plastic waste. collecting are 78% of we these 12 states, in comparison generated, waste the total the regulatory by 20% mandated the to recyclable packagingThe operations body. CFAs more five was scaled to Salt Tata of further plan is to The 32,000 MT. covering states. scale up the PWM more to Mithapur utilisation of plant initiated effluents and fly ash in cement operations. been undertakenInitiatives have make to Incities and communities sustainable. free’ ‘Clean & Plastic Dwarka, a PWM project city was initiated, the Phase 1 of which the Phase city was initiated, in with mapping of waste is completed Okha, Mithapur and Dwarka. phase 2, For management cum waste a 30 MT treat to unit is being set-up shredding plastics collected 100-km in a radius. priorities been Gaps have and strategic and awareness identified accordingly in collaboration with local municipal authorities is being carried out. water to effluent discharges ensures TCE as per permissible are courses and sewers sent to are ash and lime Waste standards. has waste TCM re-usage.third-parties for waste hazardous matrix capture data to electronic batteries, oil, such as waste recycling. sent for that are waste

gy conservation Waste management Waste and non-hazardous Hazardous waste of waste practice segregation on-site We waste All hazardous at all the sites. authorised and is disposed through waste while organic dealers, registered undertakeWe is composted. canteen from Initiatives across geographies across Initiatives Mithapur Installation efficient lights, of 2,504 energy of energy, TJ 1,189 which collectively saved solar panel and co-processing top 5Kw roof plastic utilising facilities in cement plant for and used oil. waste TCE Installed turbine a new steam (£5.5m) nearly generates which, on an average, around saving 12.5 MW of additional power, CHPThis costs. £4.8 million in energy plant has an Heat and Power) (Combined efficiency 80%. Installationoverall over of pumps and compressors new river water energy reduce to was completed consumption. TCM and LEDs lighting Introduced solar street and township the plant premises across oil recycling plant for and installed waste Started HFO usage. PAM fresh reducing and practising processes few plant for sun drying reduce to of crushed Soda Ash cost. energy Ener energy company-wide monitor We and generation through consumption Responsible Manufacturing. Energy Mithapur and TCE for generation sources and coalplant include natural gas along with co-generationrespectively Mithapur plant additionallyfacility. at its wind power from energy generates Its falls under cement production township. TCM, scheme. Trade & Achieve the Perform, and Sriperumbudur plants use TCE TCNA, by supplemented energy for fuels fossil power. grid and will use it in 2 emissions. 2 Winnington emissions. 2 emissions (Scope & 2). 1 2

has put in place the process to capture capture to has put in place the process CHP, part of TCE’s Northwich operations, TCE’s part of CHP, and a Carbonis developing Capture and capturing food Utilisation scheme for CO pharmaceutical grade TCNA rail and 95% by bulk deliveries, Practising of Soda diesel semi-trucks Ash 5% by and use of bag-houses and scrubbers to emissions. fugitive control TCM NOx, SOx and other Ensuring zero air emissions and planting significant tackle to (53,722 planted) dust of trees in Magadi. of Initiatedproblem process acquiring CEMS online monitoring system emissions. reducing for the Sodium Bicarbonate plant. This global This the Sodium Bicarbonate plant. a 40,000 will contribute to first initiative in CO reduction TPA GHG emissions. This year, they have released released they have year, This GHG emissions. 420 tCO Mithapur plant Bed DryerModification of Fluid in Make-up (MUW) system; Water Vacuum plant and and its bypass of flash vessel replacement efficient plant; energy at power system in cement lights; solid effluent utilisation manufacturing; wind energy renewable bicarbonategeneration and scaling plant with production; and equipped the capture to online monitoring system effluent and ambient air quality. stacks, 60% of production Despatching over rail transport through volume and the highly using trucks, road by remaining Bulkers and ISO tankersefficient Lupa along their support for with sensitising customers bulkers. Lupa in unloading products from CPB Initiatives to reduce emissions reduce to Initiatives TCL Integrated Annual Report Annual Integrated 2018-19 TCE in a contemporaryInvested boiler plant at the British Salt plant due for Q1 FY 2019-20. Itcommissioning by an efficiencywill have of almost 94% TPA 8,500 translating to (80% currently), reduction in CO Lesser Flamingos are the smallest flamingo species also spotted Picture Credit: at the Mithapur wetland area Chirag Parmar

Water conservation TCE We have set stringent yearly targets to The British Salt site at Middlewich reduce water consumption and review it harvested rainwater for use within the Emission intensity plant. The Sodium Bicarbonate plant on a weekly basis. TCL India carried out a tCO2q/tonne produced returns water abstracted from the river detailed water footprint and sustainability Weaver for cooling purposes, incurring a 2018-19 0.79 assessment as per Water Footprint Network net zero consumption. 2017-18 0.71 Netherlands methodology post which 2016-17 0.69 direct product and site water footprints TCSRD were established for blue, green and Implemented various water conservation grey water. projects, especially in Mithapur region where quality water availability is a Mithapur plant sustained its efforts for zero concern. Energy consumption dependence on groundwater by adopting TCL India TJ produced TCM in-house water conservation measures, 46,190.62 Water from natural springs used 2018-19 managing rain-fed lakes and innovative 253.78 for washing product spillages from 57,116.31 seawater desalination technologies. 100% 2017-18 conveyors and dissolving soluble salts 374.28 of its industrial process water needs are 57,983.29 in the washery stage is recycled back 2016-17 met by sea water and around 89% of 710.45 untreated to the lake. water utilised which includes spent sea Direct Energy (TJ) Indirect Energy (TJ) water used for dilution of treated waste TCNA water is recycled. TCM maps water right Approximately, 84% of the water that was from the intake to its flow to the Magadi lost to the evaporation ponds as part of town’s water tank station, treatment tailings disposal is now recovered. and distribution to the various areas Water consumption 3 where it is utilised. Plan to install Sewage MM Water Treatment is being tracked for Ground Water 0.03 United Nations’ Sustainable implementation. Total Surface Development Goals Water - Wetlands 28.57 + Lake + River Initiatives across geographies Sea Water 76.44

Mithapur Purchased Water 0.16 Installed 40 rainwater storage structures Rainwater of 12,000 litres each in new housing collected directly 0.09 and stored by development at township. the organisation

52 Integrated Report Statutory Reports Financial Statements 53 radesh, pulses, oil seeds and radesh, pulses, Uttar P help farmers to promoted were vegetables Bengal, West Inenhance their income. the SRI method of paddy cultivation and at as a second crop was promoted vegetable Nadu, Tamil Sriperumbudur in in the kitchen be grown to promoted were partnership in TCSRD Ingarden. Mithapur, is Cell Salinitywith Coastal Prevention implementing the Okhamandal Samriddh which is aimed at doubling Gram Project, years. farmers' income in four Under this programme, we encourage we Under this programme, functional and skills education necessary sustainable socio-economicfor of individuals. development Skill development runs skill programmes development TCL train unemployed locations to in different Livestock management Livestock supported TCL health, livestock improve To programme, Vaccination and HS FMD OPD, deworming camps and animal health West In locations. camps at different it supported 200 families with Bengal, over poultry helping them enhance farming, nearly Duringthe year, their family income. the under 1.30 lakh covered cattle were improvement cattle health and breed initiatives. Infrastructure development supported of a 71 km repair TCL road in Kenya, which helped in improving people. connectivity for and travel and skillLearning development Aspire initiatives: to customers through Okhai through customers website to the Okhai is brand Today, and outlets. as a sustainable and online recognised 1,50,000 online with over fashion brand, and 18,000 online customers. followers with engaged 40 women TCML In Kenya, help them earnbead work to a sustainable livelihood. Agriculture development Agriculture In 4,000 farmers directly FY 2018-19, over visits, exposure our training, from benefited field demonstration and support with seeds and agri-equipment interventions. various cultivation promoted TCL support to Inprogrammes farmers. Promoting livelihood: Enhance Enhance livelihood: Promoting opportunities livelihood promotes TCL income households dependent on for and allied activities, agriculture from along with taking up infrastructure projects. development

Empowering communities: Blossom communities: Empowering Empowerment, Okhai for Through Centre handicraft products with promotes TCSRD sustainable the objective of providing the artisans to livelihoods and keeping Centre The these traditional skills alive. supports nearly 1,500 artisans in India, them with skillproviding enhancement training and facilitating market linkages Our CSR programme is represented as is represented Our CSR programme Aspire, – Blossom, Enhance, BEACoN Conserve and Nurture. It encompasses our enriching enduring commitment towards aspects the touching by the quality of life of health, sanitation, nutrition, livelihood and generation, education, environment is the cross- bio-diversity. Empowerment all our initiatives cutting theme across development towards and targeted weaker sections, of the society’s backward and socially especially women communities. At Tata Chemicals, social development is an important agenda. We touch the lives the lives touch We is an important agenda. social development Chemicals, Tata At social through challenges development pressing and address of millions globally their impact maximise and scalable to and reach. replicable are that programmes Corporate Social Responsibility Integrated Annual Report Annual Integrated 2018-19 Protecting Whale Sharks and Sea Lions The Whale Shark project focusses on its habitat study, research on migratory pattern and breeding biology. During the year, 19 Whale Sharks accidentally caught in the fishing nets along the Saurashtra coast were rescued. We also work with the ECO Clubs in schools at Mithapur to raise awareness on environment conservation.

TCE donated PDV Salt pellets for enhancing water salinity for RSPCA’s Sea Lion rescue centres and Welsh Mountain Zoo’s (WMZ) youths to facilitate in their employment In Kenya, TCML provided infrastructure Sea Lion habitats. TCE also partnered with or entrepreneurial development. In support to schools and scholarship WMZ to help them reduce raw material FY 2018-19, over 2,110 youths were support to more than 100 students at cost for creating the habitat and deliver provided vocational skill training in the various levels. In UK, TCE provided students cost-effective conservation environment/ areas of mobile, computer, air condition opportunities to showcase their talents programme for the Sea Lions. and refrigerator repairing, electrical in science and technology. It also created fittings, tailoring, beautician course and direct connection with the “all-girls” Greening, water conservation and nursing training. TCL also supports the Loreto Grammar School in Altrincham, land reclamation Tata Strive Centre in running the skill Cheshire, providing opportunity to TCL planted 2.25 lakh mangroves in development centre at Aligarh. engage an audience under-represented Dwarka (Gujarat) and Sundarbans in the UK’s manufacturing industry and (West Bengal) and 53,722 trees in Kenya Education help them make important career choices. under the greening programme. Water TCL undertook various need-based TCE is also one of the big sponsors management and conservation initiatives educational programmes across and promoters of STEM education. It like Mission Jal and drip irrigation were locations, focussed on improving the became the headline sponsors of ‘Make carried out at Uttar Pradesh and Gujarat. quality of education and ensuring zero It In Enterprise Challenge Grand Final’ Further, in Uttar Pradesh, more than 2,500 drop-out of students right from at Manchester and its Cheshire specific acres of land was reclaimed with the help pre-primary level. These include e-library, version, giving school-going pupils a of laser levelling and deep ploughing. Learning Enhancement Program (LEP), chance to test skills and knowledge in teacher training, scholarships, child real-world applications. Health and Sanitation: Nurture learning and improvement, adult literacy, TCL undertakes initiatives aimed at improving residential summer camp on spoken Biodiversity protection: Conserve the health and sanitation of people unable English and personality development, At TCNA, we continue to protect the habitat to afford private health services or avail the career resource center, SNDT (Shreemati of the sage grouse under Wyoming State government health services. Nathibai Damodar Thackersey Women's Law. TCL continued with coral reef recovery, University) centre, Shala Pravesh Utsav and whale shark conservation, mangrove Healthcare project for primary school children with Sir plantation, indigenous flora rejuvenation Improving health of rural community is Ratan Tata Trust. A total of 13,500 students and environmental education initiatives an important part of TCL’s overall strategy. benefited from these programmes. at Mithapur. With these initiatives, natural This year, 38,426 people benefited through resources are conserved through a health awareness camps, counselling The Learning & Migration Programme participatory approach for environmental and treatment in Mithapur and Babrala. is focussed on strengthening the sustainability. On the Group’s 150th Further, eye camps were organised at community school management system Anniversary, the Tata Centre of Excellence these locations, in which 1,941 people got and improving the learning capabilities of for Coastal and Marine Biodiversity eye check-ups done and were supported students. Under this, nearly 6,000 children Conservation was inaugurated with spectacles and 252 patients were have been benefited. at Mithapur. supported for cataract operation.

54 Integrated Report Statutory Reports Financial Statements 55 Picture Credit: Credit: Picture of India Trust Wildlife TCL undertakesTCL Action Affirmative on improving which focusses programme, population of the marginalised the lives Employability, its Employment, through Development, Education Entrepreneurship TCL and Essential Amenities initiatives. than a of more the lives has touched its lakh through population marginalised various initiatives. Other initiatives Other initiatives relief provided TCL During the year, Tamil support people in affected disaster to provided We KeralaNadu, and Gujarat. ample opportunities and employees to on different volunteer family members to TCML TCL, issues. social and environmental various programmes organised TCE and bio-diversity, on environment, focussed undertook TCNA health and education. support to programmes single mothers, in need and children senior citizens, veterans. Sustainable Nations’ United Goals Development states in India. states the year, the initiative is vital the initiative during the year, parcels poverty fight to and malnutrition in the UK. Empowerment Empowerment programme empowerment women TCL’s various CSR aims at their inclusion through It than 200 initiatives. works with more and is facilitating self-help groups women economic participationwomen in different KasturiThe is helping initiative activities. farmers in self-leadership, women develop family management and ability serve to as community in Agripreneurship. catalyst In 279 facilitated FY 2018-19, the project 13 institutions led representing women of eight regions farmers across women by two Water and sanitation and sanitation Water tap connection supply to provided TCL 1,254 households and supported to water 350 the construction for of toilets Samriddhi The Swach and households. on use of which focus initiatives, Tarang drinkingclean and safe benefited water regions 2.16 lakh people of different India.across of treated 60,000 litres supplies TCML drinking 18 public to per day water primary 40 ECDE, 7 dispensaries schools, and 17 community points using the water also supplies TCL boozer. water Company drinking of treated 1,50,000 litres water population reach to the hard for per week between Magadi and Singiraine. Tata Chemicals Mithapur coral reef restoration restoration reef Mithapur Chemicals coral Tata ecosystem the marine project is helping strengthen TCML supported of with 15 tonnes TCML 3,000 nurseryunimix for in school children range of food, a large donated TCE Magadi. a foodbank to employees, collected from distribution the needy over to for over With the Christmas period. bank food 1.3 million people receiving Nutrition undertook activitiesTCL like screening anaemia, identification for of women acute and moderately of severely and facilitating malnourished children In than their treatment. FY 2018-19, more were and 6,000 children 9,000 women 300 households were Around benefited. supported kitchen develop to to garden supply of nutritious vegetables ensure the occurrence reducing and fruits for and malnutrition of anaemia in women in children. In Kenya, the Magadi Hospital provided serviceshealthcare 30,000 community to fund-raising organised TCE Inpeople. UK, charity-funded activitiesvolunteering for Hospice and Myeloma. Fund St Luke’s the three included scaling raising initiatives 150 km peaks in Cheshire, Bikelargest Ride and a bake 2 days and clothes sale over Founder's Tata collection celebrate drive to raised through Substantial funds were day. in St. Luke which helped these events delivering high service and support. of care Integrated Annual Report Annual Integrated 2018-19 Basis of Reporting

In recent years, the principles of Integrated Framework for Accountability and the Responsiveness Reporting have come to prominence Integrated Reporting framework of the We reach out to a wide range of stakeholders as a benchmark for global best practice in International Integrated Reporting Council through our reporting. Each group has corporate reporting. In line with this trend, (IIRC). We apply the following principles of its own specific needs and interests. This we have adopted these principles as the AA 1000 AS (2008): report is one element of our interaction and basis for our annual report in an attempt communication. It reacts how we manage towards transparency and disclosures beyond Inclusivity our operations in ways that take account and statutory norms with FY2018-19 being the We are committed to be accountable for respond to stakeholder concerns. fourth year of such reporting. Through , stakeholders who are impacted directly or we intend to enrich our reporting for all indirectly by our organisation. We map our Reporting period and scope stakeholders by providing information on our stakeholders and have processes to ensure value creation process using the interlinkages The Report covers financial and non-financial inclusion of their concerns and expectations. of multiple capitals. information and activities of Tata Chemicals Additionally, we continue to develop our Limited and its subsidiaries during the period stakeholder engagement and sustainability We have prepared this report in accordance April 1, 2018 to March 31, 2019. capacity at corporate and manufacturing with the Companies Act, 2013 (and the levels. Rules made thereunder), Indian Accounting The financial figures of the report have been audited by B S R & Company LLP, Chartered Standards, the SEBI (Listing Obligations and Materiality Disclosure Requirements) Regulations, 2015 Accountants and the non-financial information and the Secretarial Standards. Along with We cover the key material aspects that have been assured by Ernst & Young these, we have followed internationally have been identified through our ongoing Associates LLP. recognised frameworks and guidelines stakeholder engagement and are addressed such as United Nations Global Compact, by various programmes or action points with Global Reporting Initiative (GRI) and AA1000 measurable targets.

Assurance Statement Forward-Looking Statements The non-financial information disclosed Certain statements in this Report regarding Forward-looking statements are necessarily in this Report, on a voluntary basis, is our business operations may constitute dependent on assumptions, data or methods as per the Integrated Reporting forward-looking statements. These include that may be incorrect or imprecise and Framework of the International Integrated all statements other than statements of that may be incapable of being realised Reporting Council (IIRC) and has undergone historical fact, including those regarding and as such, are not intended to be a independent assurance by Ernst & Young the financial position, business strategy, guarantee of future results, but constitute our Associates LLP. This assurance has been management plans and objectives for future current expectations based on reasonable done as per the ‘Limited’ criteria of the operations. Forward-looking statements can assumptions. Actual results could differ ISAE3000 assurance standard (International be identified by words such as 'believes', materially from those projected in any Federation of Accountants’ International 'estimates', 'anticipates', 'expects', 'intends', forward-looking statements due to various Standard for Assurance Engagements 'may', 'will', 'plans', 'outlook' and other words events, risks, uncertainties and other factors. Other than Audits or Reviews of Historical of similar meaning in connection with a We neither assume any obligation nor intend Financial Information) as well as the ‘Type 1, discussion of future operating or financial to update or revise any forward-looking Moderate’ criteria of the AccountAbility performance. statements, whether as a result of new AA1000 AS assurance standard. The specific information, future events or otherwise. environmental and social performance data subjected to this assurance, approach, limitations as well as the assurance conclusion are presented in the Assurance Statement available at https://www. tatachemicals.com/upload/content_pdf/ tata-chemicals-limited-independent- assurance-statement-2018-19-ey.pdf.

56 Integrated Annual Report 2018-19

Glossary

• BBS studies (Behaviour Based Safety) • Fructo-Ogliosaccharides (FOS)

• Bombay Chamber of Commerce and Industry (BCCI) • Galacto-Oligosaccharide (GOS)

• Carbon Disclosure Project (CDP) • Genetically Modified organisms (GMOs)

• Council of Scientific and Industrial Research-Central Electrochemical • Gigajoule (GJ) Research Institute (CSIR-CECRI) • Greenhouse gas (GHG) • Central Food Technologies Research Institute (CFTRI) • Global Reporting Initiative (GRI) • Centre for Materials for Electronics Technology (C-MET) • Good Manufacturing Practices (GMP) • Chemical Industries Association (CIA) • Grow Out Test (GOT) • Construction Design and Management (CDM) • Gross Domestic Product (GDP) • Combined Heat and Power (CHP) • Hazard and Operability Study (HAZOP) • Consumer Products Business (CPB) • Hazard Identification and Risk Analysis (HIRA) • Commonwealth of Independent States (CIS) • Highly Dispersible Silica (HDS) • Compound Annual Growth Rate (CAGR) • High-Intensity Sweeteners (HIS) • Confederation of Indian Industry (CII) • Heavy Fuel Oil (HFO) • Corporate Social Responsibility (CSR) • Haemorrhagic Septicaemia (HS) • Cross Functional Team (CFT) • Industrial Minerals Association - North America (IMA/NA) • Crushed Refined Soda (CRS) Indian Institute of Management (IIM) • Distributed Control Systems (DCS) • Indian Institute of Technology (IIT) • Dry Sorbent Injection (DSI) •

• Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) • Innovation Centre (IC)

• Environmental Management Plan (EMP) • International Chamber of Commerce (ICC)

• Electric Vehicles (EV) • International Integrated Reporting Council (IIRC)

• European Soda Ash Producers Association (ESAPA) • Indian Space Research Organization (ISRO)

• European Union (EU) • Iodine Deficiency Disorders (IDD)

• Federation of Indian Chambers of Commerce & Industry (FICCI) • Thousand Tonne (KT)

• Food & Beverage (F&B) • Know Around Me (KAM)

• Food and Drug Administration (FDA) • Lead, Engage, Aspire and Perform (LEAD)

• Faculty of Management Studies (FMS) • Long-Term Strategic Plan (LTSP)

• FMD (foot-and-mouth disease) • Make-up Water (MUW)

• Food Safety and Standards Authority of India (FSSAI) • Market Development Representative (MDR)

327 • Mechanical Vapor Recompression/Thermal Vapor Recompression • Royal Society for the Prevention of Cruelty to Animals (RSPCA) (MVR/TVR) • Science Based Targets Initiative (SBTI) • Memorandum of Understanding (MOU) • Safety Health and Environment (SHE) • Metahelix Life Sciences Limited (Metahelix) • Securities and Exchange Board of India (SEBI) • Metric Tonnes Per Annum (MTPA) • Sequential Simulated Moving Bed (SSMB) • Metric Tonne (MT) • Strategic Business Unit (SBU) • Million Cubic Feet (MCFT) • Strategy Deployment Matrix (SDM) • Metric Tonne Carbon Dioxide equivalent (mtCO ) 2 • Strategic Objective (SO) • Nitrogen Oxide (NOx) • Strengths, Weaknesses, Opportunity, Threats (SWOT) • National Accreditation Board for Testing and Calibration Laboratories Sulfur Oxide (SOx) (NABL) • • Sustainability Development Goals (SDG) • National Iodine Deficiency Disorders Control Programme (NIDDCP) • Tata Chemicals Europe (TCE) • Ozone Depleting Substances (ODS) • Tata Chemicals International Pte. Ltd (TCIPL) • Ordinary Portland Cement (OPC) • Tata Chemicals Limited (TCL) • Out Patient Department (OPD) • Tata Chemicals North America (TCNA) • Pure Ash Magadi (PAM) • Tata Chemicals Magadi (TCM) • Passenger Car Redial (PCR) • Tata Chemicals South Africa (TCSA) • Political, Economic, Social, Technological, Legal and Environmental (PESTLE) • Tata Chemicals Society for Rural Development (TCSRD)

• Plastic waste management programme (PWM) • Turnaround Time (TAT)

• Portland Pozzolana Cement (PPC) • Environment Agency (EA)

• Profit Before Tax (PBT) • Environmental Protection Agency (EPA)

• Profit After Tax (PAT) • Welsh Mountain Zoo (WMZ)

• Rallis Innovation Chemistry Hub (RICH) • Work Safe Online (WSO)

• Rallis India Limited (Rallis) • Xavier School of Management (XLRI)

328 Integrated Report Statutory Reports Financial Statements 59 The Annual Safety Innovation Annual Safety The at EU Salt Annual Award General Meeting 2018 Tata Chemicals wins Chemicals Tata Trusted Most at Asia's 2018 Awards Companies Sampann recognised Tata at ET Best Brands 2019 Tata Chemicals Mithapur Chemicals Tata bags Best HR practice awards Team Chemicals' Legal Tata In-Housewins 'Compliance Year' of the Team Legal award National th

Tata Chemicals bags the Chemicals bags the Tata CII Most Innovative coveted Knowledge Enterprise 2018 Award

Tata Nx Zero Sugar Nx Zero Tata Ratna Ayush awarded India's Best Natural for Sweeteners Awards Tata Chemicals wins an Chemicals Tata at CII 12 award Integrated Annual Report Annual Integrated 2018-19 Tata Chemicals ranked #1 Tata Sustainability for company & CSR Six Sigma Competition Competition Six Sigma 2018 at Win Salt's Hat-trick Tata Media Abbey Awards Registered Address Bombay House, 24, Homi Mody Street, Fort, Mumbai - 400 001 India. CIN: L24239MH1939PLC002893 Tel: +91 22 6665 8282 Fax: +91 22 6665 8144

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