ITC Limited
Sustainability Report 2013
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Social Performance

Product Responsibility

Customer Safety: Our Primary Concern

ITC’s steadfast commitment to providing world-class products and services to its customers is rooted in its concern for the safety of its customers.

Most of our products use internationally recognised safe ingredients and are subjected to the highest standards of safety and performance. The manufacturing facilities adopt stringent hygiene standards, benchmarked manufacturing practices and robust quality assurance systems, which are supported by EHS management systems that are in turn aligned with International Standards like ISO 14001 and OHSAS 18001 and are third-party certified.

With each business having its established systems to deliver on the organisation’s commitment to provide world-class products and services to its customers, the following examples provide a flavour of how it is achieved by the different businesses under the ITC umbrella.

All products in our Education & Stationery Products Business use approved non-hazardous materials, like ECF (Elemental Chlorine Free) paper, ink, dyes, etc

Education & Stationery Products Business uses only approved non-hazardous materials, like ECF (Elemental Chlorine Free) paper, ink, dyes etc. Since the primary consumers of these products are children, stringent processes and quality control measures are in place to ensure that their safety is not compromised.

Personal Care Products Business has a team of highly skilled professionals that have created quality products following extensive research at its state-of-the-art R&D centre as well as consumer engagement at the newly established Consumer Interaction Centre, both located in Bengaluru. The formulations use internationally recognised safe ingredients and meet the highest standards of safety and performance and the manufacturing facilities adopt stringent hygiene standards, benchmarked manufacturing practices and robust quality assurance systems.

Agarbatti Business uses chemicals approved by IFRA (International Fragrance Resource Association, Geneva) to prepare fragrances which are required in the manufacture of Mangaldeep agarbattis with manufacturing processes designed to ensure product safety and consistency. All products conform to the Bureau of Indian Standards IS 2653.

Lifestyle Retailing Business has introduced rigorous process measures through certifications and audits across the entire manufacturing chain. All raw materials and garment styles are tested at the in-house lab for post usage experience and conformance to quality standards. The quality standards and product specifications are periodically validated by international testing agencies. Product quality is monitored through an internal rating system (PQRS) along with the external Acceptable Quality Level (AQL) norm that is followed internationally in apparel businesses.

Foods Business operates predominantly on a model of outsourced manufacturing and the quality performance of each manufacturer is monitored on a daily basis. A total of 47 contract manufacturing units for the Foods Business are HACCP certified and the remaining 9 Units are progressing towards achieving this certification. ITC is working closely with its supply chain partners not only to ensure better EHS performance but to also extend its sustainability practices to them. Product Shelf-life declared on the products are determined after careful and independently validated studies in a multitude of environments to align with the Indian market context.

Cigarettes Business meets its committment to provide world-class products that satisfy its consumers consistently by having state-of-the-art manufacturing facilities, cutting-edge technology and international quality management systems, which are constantly reviewed and upgraded. The Business uses proprietary software to regularly monitor and review stringent product specifications of all raw materials. New product creation in the Business involves consideration of global developments and is supported by comprehensive research and testing facilities at the ITC Life Sciences & Technology Centre, where laboratories conform to ISO/IEC 17025 standards and are certified by NABL.

Leaf Tobacco Business makes use of agri extension services that have have been designed to ensure seed integrity, pesticide residue levels monitor and eliminate Non Tobacco Related Matter (NTRM) to meet product hygiene standards. ITC’s Green Leaf Threshing (GLT) plants at Anaparti and Chirala are ISO 9001, OHSAS 18001, ISO 14001 and SA 8000 certified with the new GLT plant in Mysore also in an advanced stage of obtaining certification for its Quality, Environment, Occupational Health & Safety and Social Accountability management systems.

Paperboards & Specialty Papers Business is the pioneering manufacturer of Elemental Chlorine Free (ECF) pulp in India, which ensures the levels of dioxins and furans in the pulp to be less than 1 PPT (Parts Per Trillion). The global migration test is conducted periodically on all food-grade paper and paperboards for compliance with the US FDA standards and to adhere to prescribed limits for presence of heavy metals. All manufacturing ingredients are procured from reputed suppliers and conform to US FDA and equivalent standards. We ensure that the components of food allergens listed in the EC directive 2003/89/ EC and the US FDA Act are not used in any of the virgin grade boards and papers. The Bollaram Unit, manufacturing food grade board for direct food contact, is ‘third party’ certified in accordance with BRC/IoP (British Retail Consortium/Institute of Packaging) standards. Smithers Pira, a renowned testing and consultancy firm, now certifies our ‘Indobarr’ and ‘Cyber Propac’ brands to be compliant with German BFR standards for Food Packaging.

Packaging & Printing Business uses only safe/approved materials/films and paperboards from either our own Paperboards & Specialty Papers Business or other approved suppliers. The Tiruvottiyur unit is the first in India to achieve IQRS (International Quality Rating System) Level 8 (Certified by DNV), followed by the unit in Munger.

ITC’s Hotels Business has put in place policies to ensure the highest standards of customer health, security and safety. Effective measures are taken to ensure that these policies are implemented and standards continually improved upon.

In our Information Technology Business, quality of the software is assured through well-defined QMS following SEI - CMMi framework and certified to ISO 9001- 2000 IT guidelines. Effective access control and asset management mechanisms are certified under ISO 27001 frameworks.

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