Shahi Exports SR FY 2022 23

Moving The
Needle
Sustainability report FY 2022-23
INDEX
About the Report: Moving The

02 Moving the Needle 28 Needle: For Planet
04 Message from Our Chairperson 29 Accelerating Sustainability
05 About Shahi 31 Energy and Emissions
10 Our ‘Responsible for’ Framework 38 Chemical Stewardship
11 FY 2022 Progress 41 Sourcing Raw Materials Sustainably
17 Governance 43 Water Efficiency
19 ESG Governance 46 Waste for Circularity
21 Our Policies 48 Collaboration for Circularity
22 Stakeholder Engagement Approach to Materiality Assessment 49 Innovation for the Planet
24 Materiality Assessment
Moving The Corporate Social
51 Needle: For People 74 Responsibility
52 Investing In the Lives We Touch 76 Migrant Support Center
53 Partnerships for People 77 Samarthanam | Skill Development
55 Fostering a Fair & Respectful Workplace 79 Soukyam | Health
66 Empowered Workforce 82 Shikshanam | Education
70 Employee Health & Wellbeing 84 Swacchatam | Environmental Sustainability
ABOUT THE REPORT
Moving the Needle

The past year has marked significant shifts in the narrative, perspective, and business of sustainability in
fashion. Companies around the world have been focused on re-imagining supply chains, raw materials,
and products while looking closely at processes, people, and governance. Awareness, transition to
circularity, innovation, conscious sourcing practices, and stronger legislation have emerged as areas
for concrete action. While the movement is encouraging to witness, with each step we realize an
even greater responsibility to move the needle in favor of climate and people.
This year, with ‘Moving the Needle,’ Shahi Exports Private Limited (subsequently referred
to as ‘Shahi’ or ‘our company’ or ‘We’) is thrilled to present its second sustainability
report. We use this report to reflect on our work in FY 2022 and shed light on our goals,
accountability, and responsibility in reshaping the global discourse on sustainability.
Furthermore, we highlight the pivotal role manufacturers can play in fostering
sustainable transformations within the textile industry.
We aim to position ourselves to implement positive changes collaboratively in the
realm of sustainability by adopting best practices supported by industry metrics,
goals, and progress.
This comprehensive Environmental, Social, and Governance (ESG) report has been
curated to offer extensive insight into our company’s practices and commitments,
and reflects on the progress we have made. Our report is designed to effectively
encompass our key non-financial performance, governance framework, material
issues assessment, stakeholders’ involvement, social initiatives, organizational
culture, and environmental responsibility. Shahi’s primary goal with this report is
to elucidate our company’s efforts to generate sustainable and enduring practices
while upholding transparency and fostering confidence and community among all
stakeholders.
The report is made in adherence to the reporting principles of the Global Reporting
Initiative (GRI) Standards 2021. It focuses on its principles and approach regarding clarity,
completeness, context, and accuracy. It also showcases our ESG efforts in alignment with
the United Nations Sustainable Development Goals (UNSDGs).
Reporting Scope and Boundary
The scope and boundaries of the disclosures in this ESG report
predominantly pertain to our company’s activities within India. The
present report is for the reporting period of the financial year 2022-
23 (FY 2022) — April 1, 2022 to March 31, 2023.
External Assurance
During the reporting year, we have sought external assurance of the
Sustainability Report. This report is verified under limited assurance
by TUV SÜD South Asia Pvt Ltd. The report was prepared by M/s
Incorp Advisory and competent team members of Shahi Exports
Private Limited as per the internal procedure of sustainability
reporting.
We encourage feedback on our report as part of our commitment
to providing relevant and valuable information for stakeholder’s
decision-making.
For further information, please write to us at

[email protected]
For media queries, please write to us at

[email protected]
Anant Ahuja
Head, ESG
MESSAGE FROM OUR CHAIRPERSON
Dear Valued closer to our goal of 100% renewable electricity by of different forms of harassment and remediation
Stakeholders, 2026. This year, we phased out coal from garment methods among employees.
factories and continue to work on coal elimination
As I present this year’s We made progress toward the FY 2025 targets for
in mills. Our efforts have not gone unnoticed, as
sustainability report, I am our communities in all five focus areas: migrant
we have received several international and national
filled with immense pride support, health, education, skill development,
awards for our commitment to environmental
in our remarkable progress and environmental sustainability. We also set new
stewardship. These endeavors are also reflected
in integrating sustainability ambitious goals to improve infrastructure, access,
in our Higg FEM verified average score of 78.05%,
into the fabric of our delivery, and quality of education for 10,000 children
compared to the global average of 59.67%.
business operations. At and to improve solid waste management practices
Shahi, sustainability is not Shahi joined Fashion for Good and Organic Cotton in communities for 150,000 beneficiaries by 2025.
an afterthought but a key Accelerator to drive innovative and scalable Our commitment to empowering communities is
pillar of our success. solutions. We have always had a strong focus on guided by our founder’s values and strengthened
research and development. Our mills, laboratories, through partnerships with expert regional non-profit
The fashion industry is
and factories serve as testing grounds for organizations.
at a critical crossroads
groundbreaking innovations in materials, chemicals,
in a world grappling with the economic slowdown, We also actively collaborated with international
and even new business models. As an early investor
social inequality, and the looming threat of climate experts and organizations to further our People
in DXM, an on-demand manufacturing platform, we
change. These threats pose a challenge and present objectives. We have partnered with the International
were thrilled to see a successful pilot with Carhartt,
opportunities for innovation to better our planet Organization for Migration (IOM) to support migrant
shipping custom clothing directly to the end
and communities. Shahi recognizes the pivotal role workers and launched the YESS: Yarn Ethically and
consumer from our factories.
manufacturers play in the value chain and seeks to Sustainably Sourced program to mitigate the risk of
actively engage with our stakeholders, including On the People front, we continued to invest in forced labor in our supply chain.
brands, retailers, and employees, to co-create soft skills training for women through the Gap Inc.
As Shahi turns 50 next year, we believe sustainability
solutions to these challenges. P.A.C.E. program, reaching 86,492 women since 2007
efforts will increasingly underpin our success and
and completing 96% of our 2024 training target.
Our sustainability journey is guided by our drive industry-wide transformation. We will continue
Similarly, the number of supervisors enrolled in the
‘Responsible for People and Planet’ framework. this spirit of collaboration, sharing our best practices,
supervisor development program, STITCH, doubled
Last year, we released our first Sustainability Report and advocating for collective action.
in FY 2022. The rollout of Inache, an anonymous and
and set ambitious targets for the future. This year’s Thank you for joining us on this journey. Together,
digital grievance redressal mechanism, reached 74%
report titled ‘Moving the Needle’ demonstrates our let’s move the needle.
of our factories, ensuring our workers have a voice
unwavering commitment to achieving and exceeding
and a platform to address their concerns. We actively Harish Ahuja,
our goals.
sought to identify new areas of work through need Managing Director and Chairperson,
We have moved the needle on our Planet targets, assessments. This resulted in the vision screenings of Shahi Exports
increasing our water recycling capacities and 13,400 employees and the launch of another flagship
renewable energy capacity to 92.5MW, bringing us program, Bsafe, which fosters an understanding
4 Shahi Exports Pvt. Ltd.

ABOUT
SHAHI
Shahi is one of India's leading apparel manufacturers and exporters.
Our vertically integrated operations, diversified product portfolio,
and ethical and sustainable practices make us one of the most trusted
garment manufacturers in the world. We are resolutely committed to
providing a seamless service experience.
In 1974, Sarla Ahuja laid the foundation for Shahi with a powerful
mission to empower women by offering them income and sustenance
through a modest home-based business. The story of Shahi is not just
about business growth but also about the triumph of one woman's
vision and how it has transformed the lives of countless individuals.
Our focus remains on creativity, unparalleled quality, and efficiency in
our services while harboring a conscious responsibility towards people
and our planet.
Shahi has established its presence as a key player globally,
collaborating with some of the world's most renowned brands as a
reliable and influential partner.
OUR PRESENCE
Supplier of Choice for leading global

brands for nearly five decades:
Quality Customer Service
Haryana
Robust Design and
Delhi
Innovation Capability
Uttar
Pradesh Vertical Integration
Responsibility for
People and Planet
Odisha
Telangana
Karnataka Andhra 8 50+

Pradesh States Factories
Tamil
96,000+ 3 143+ million
Full-time employees Processing Mills garments produced annually
Nadu

OUR CAPABILITIES
Shahi stands at the forefront of cutting-edge, vertically integrated textile operations. Our world-class state-of-the-art mills are dedicated to crafting woven and knitted
fabrics, using premium-grade cotton and yarn sourced from our in-house spinning mill and reputable suppliers.
Approximately 80% of our textile mills’ production capacity is channeled into our state-of-the-art garment factories. Here, we produce apparel that reaches customers
worldwide. The synergy between our in-house design, innovation, and laboratory teams allows for a seamless design-to-product process.
These aspects ensure unmatched visibility and an elevated quality standard throughout the production journey, from yarn to fashion.
Spinning Knitting and Weaving and Garmenting

Processing Processing
1
Ladies Specialty Division
Our weaving facilities process
Our Knits Processing Division (KPD)
16
Mill cotton, rayon, linen fabric,
delivers a wide range of knitted
polyester, and blends—ranging
fabrics, including jersey, interlock, Factories
from lightweight tops fabric to
10,134
pique, lacoste, rib, fleece, French
Spinning
tonnes terry, jacquards, and auto stripes.
heavy bottoms fabric in different
weaves, dobbies, double cloth, and
45 million pieces
These are offered in cotton and
high twist fabrics. These facilities
cotton blends, including lycra, using
can produce a variety of finishes.
coarse to fine yarn counts and from Knits Division
2,704 tonnes 100 GSM to 450 GSM.
These include standard finishes
like mercerization, brushing,
Open-end spinning and peaching, as well as highly 16
1
specialized proprietary finishes such Factories
as easy-care, wrinkle-free, PFC-free
Mill DWR, and silky finish. 53 million pieces
1
10,228 tonnes Mill Men, Bottoms & Denim Division
Knitting
63 million meters 19
9,205 tonnes Weaving Factories
Fabric Processing Capacity
91 million meters 45 million pieces
Fabric Processing Capacity
Sustainability Report FY 2022 7

OUR CAPABILITIES
Designing Laboratory
Our design and product Impact Software Shahi’s in-house lab is well-
development infrastructure equipped with calibrated
comprises a dynamic team of Faster Turnround: instruments, machinery, and
over 90 skilled designers. Each Digital sampling has reduced proficient staff. It plays a crucial
of them specializes in various the time required for design role in our production cycle
domains such as CAD (Computer- approvals and production kick- and drives quality, consistency,
Aided Design), 3D draping, 3D offs by up to 50%. This has and customer experience
sampling, textile innovation, allowed us to take on more improvements. Our lab also
and apparel design. Creating a projects and meet tight deadlines conducts rigorous product
digital twin of the same garment with ease. performance and color testing
using 3D and VR technology across raw materials, fabrics,
speeds up the approval process. Environmental Responsibility: garments, and trims. These tests
Augmented reality solutions Our commitment to sustainability adhere to international standards
eliminate the need to travel has been reinforced, and we are set by organizations such as
without compromising quality proud to contribute to a greener, the American Association of
parameters, ensuring we remain more eco-friendly industry. Textile Chemists (AATCC), the
ahead of the curve. Thus, American Society for Testing and
Enhanced Collaboration:
conservation of resources and Materials (ASTM) International,
time is embedded into our Designers, production teams, the International Organization
design process. and clients now collaborate for Standardization (ISO), and the
seamlessly, fostering a culture of British Standard (BS). Additionally,
innovation and creativity within we integrate client-specific in-
the organization. house testing methods to ensure
a comprehensive evaluation.

MEMBERSHIPS
Shahi is a proud member of several key Indian-industry bodies that define excellence. By actively participating in discussions, forums, and initiatives led by the following
organizations, we seek to drive trends while playing a pivotal role in moving the needle in the textile industry:
The Cotton Textiles Export Apparel Export Confederation of FICCI

Promotion Council Promotion Council Indian Industry
ASSOCHAM GEMA Textiles CMAI

Committee
Our collaborative efforts extend further as we work closely with the:
Federation of Indian Export Confederation of Indian Textile

Organisations Industry
Together, we are shaping the textile industry and driving progress.

OUR ‘RESPONSIBLE FOR’
FRAMEWORK
Our ‘Responsible for’ Framework
Sustainability isn't just about doing good – it's about making a real difference for people, the planet, and our prosperity. Our 'Responsible For' framework is more than just a
plan; it's our promise. Shahi is driven by actions that benefit everyone in our value chain, from the environment to the economy.
Responsible for Planet Responsible for People
Aim: To protect the environment Aim: To nurture a growth-oriented

by conserving resources, improving environment for our employees and
efficiency, and enhancing innovation. the communities we operate in.
Energy & Emissions Management: Improve energy efficiency Empowered Workforce: Enhance employees’ technical and
and adopt renewable energy to mitigate emissions. soft skills.
Water Efﬁciency: Reduce dependence on freshwater through Employee Health & Well-being: Ensure safety, create
recycling and reducing our water consumption. awareness, and tackle health issues our people face.
Chemical & Materials Stewardship: Align with global

Fair & Respectful Workplace: Uphold human rights through
standards for zero discharge of hazardous chemicals and source
executed policies and robust grievance management systems.
sustainable alternatives.
Waste Towards Circularity: Manage our waste to reduce, reuse, Corporate Social Responsibility (CSR): Drive impact in health,
recycle, and ultimately close the loop. education, skill development, and environmental management.

FY 2022 PROGRESS
Responsible For Planet
2021 Performance 2022 Performance

Area Base Year Objective Target Year
(Cumulative) (Cumulative)
To achieve 100% renewable

FY 20181 FY 2026 68% 70%
electricity
FY 2021
To achieve 50% energy
Energy consumption from carbon- FY 2026 31% 36%
neutral sources
To achieve 85% recycled water

usage for industrial purposes in
FY 2021 FY 2024 80% 81%
garment units
Water and To achieve 75% recycled water

Wastewater FY 2021 usage for industrial purposes in FY 2024 68% 71%
textile mills
1
In 2018, 47% of our electricity was from renewable resources

Responsible for People
FY 2018 To have all factories under SLCP FY 2024 79% 84%
FY 2021 To have Inache tool in all factories FY 2024 57% 74%

Governance
To train 90,000 females in Gap Inc. 74,000 86,492

FY 2007 FY 2024
P.A.C.E. (82%) (96%)
FY 2019 To train 100% supervisors in STITCH FY 2024 41% 78%
To enrol 500 leaders in eight-months

FY 2020 of leadership course training under FY 2025 320 (64%) 455 (91%)
PULSE
Training and
Development To train 2,000 people for various
FY 2017 FY 2024 846 (42.3%) 2,495 (124%)
behaviors and soft skills
To train 65,000 women in soft and

FY 2018 FY 2024 44,000 (68%) 53,542 (82%)
technical skills
Skill Training
for Community
Women

Responsible for People
To extend sexual and reproductive 5,123 (25%)

FY 2021 FY 2025 NA
health services to 20,000 beneficiaries
To support 10,000 migrant workers

1,600 3,447
FY 2021 through the expansion of our FY 2025
(16%) (50%)
Migration Support Center
To reach 15,000 beneficiaries

Health care services
(pregnant women, children below
were set up in five
5 years of age, ASHA workers,
rural and four urban 9,348
FY 2021 anganwadi workers, Government FY 2025
communities in (62%)
Women and Health Departments,
Karnataka
and community) under the Maternal
and Child Health Project
To impact 7,000 women under the 4,227

FY 2021 FY 2025 635 (9%)
Corporate Menstrual Hygiene Project (60%)
Social
Responsibility 5 Mini Science
Centers established in
schools
To provide 2,000 children the access 2,050
FY 2021 FY 2023 180 modules made
to STEM labs (102%)
for teacher training in
Science, Engineering,
Technology, and Math
To plant 21,000 trees in the 10,000

3,000 trees planted
FY 2022 communities across NCR under FY 2025 trees planted
(14%)
Ankuram Project (47%)
Our Diversity, Equity and Inclusion goal to deliver unconscious bias training for 300 leaders will be baselined against our progress in FY 2023.

STANDARDS AND
CERTIFICATIONS
Aligning our raw materials, processes, and testing to match global benchmarks is not simply a routine practice but the driving force behind our top-tier quality and mindful
customer interactions. Our certifications are our promises in action.
Materials
Environmental
Management
Compliance

Our Awards and Accolades: FY 2022
Environment
1 2 3 4
Highest Global Exports Award (Gold International Green Apple Environment International Green Apple Environment Giga-Guru Supplier Award by Walmart,
Trophy) by the Apparel Export Promotion Award by The Green Organization, Award by The Green Organization, received for the fourth consecutive year
Council (AEPC). received for carbon reduction. received for water efficiency. for setting SMART goals.
Business and Social
1 Business Transformation
Awards-2022 by Mint and
Techcircle in the category of
‘Competitive Edge’ for the cost
optimization of our Bots RRP
project.
2 Excellence in Performance
Award by The Confederation
of Indian Industry under the
ground-mounted solar category.
3 Best Performance Award

by ORMAS for completing
five Deen Dayal Upadhyaya
Grameen Kaushalya Yojana
(DDU-GKY) projects in Odisha.

REPRESENTING SUPPLIER
VOICE: NEW PARTNERSHIPS
We simultaneously engage with domestic bodies and actively participate in global narratives through collaborations with organizations that
align with our sustainability agenda. This effectively contributes to the vast body of knowledge, experience, innovation, and action that suppliers
like us resonate with the advancement of the industry at large. In FY 2022, we joined several industry-leading forums to scale our impact.
In Partnership With Our Role
Fashion for Shahi became an Affiliate Partner to FFG, a global platform that connects sustainable innovations to
Good (FFG) brands, retailers, manufacturers, and funders to bring new ideas and technologies from niche to norm.
Organic Cotton Shahi became a Contributor to OCA, a multi-stakeholder organization dedicated to convening the
Accelerator (OCA) supply chain towards improving the profitability, integrity, and environmental impact of organic cotton.
Anant Ahuja, Head of ESG, joined the Board of Directors of BBI which has a mission to enable
Better Buying
collaborations between buyers and suppliers with responsible purchasing practices. This helps them
Institute (BBI)
achieve shared goals of profitability and social and environmental sustainability.
Transformers Shahi and a group of suppliers formed a committee with TF to dive into the most significant legislative
Foundation (TF) developments affecting the fashion supply chain.
Asia Garment Shahi joined and takes part in regular exclusive conversations with suppliers organized by AGH to
Hub (AGH) discuss and brainstorm critical sustainability challenges.
Apparel Impact Shahi participated in AII’s Carbon Leadership Project, which focuses on setting carbon reduction
Institute (AII) targets for our textile mills.

GOVERNANCE
At Shahi, sound Corporate Governance is the foundation of our long-
term value creation for our diverse stakeholders. It is based on the
fundamental principles of transparency, accountability, and integrity
at all levels. We place a strong emphasis on adhering to regulatory
compliances, upholding fair business practices, and ethical conduct.
As the highest decision-making body, the Board of Directors ensures
that our business processes align with the highest standards of ethics
and integrity. The Board is responsible for establishing policies,
strategies, and goals while also evaluating ethical performance.
BOARD OF DIRECTORS
Our Board comprises individuals with varying skill sets and experience. Their ESG initiatives within our company and our designated departments for various
collective expertise and dedication towards Shahi’s business operations have ESG projects. The Board defines tasks in collaboration with these departments,
sown seeds of sustainable performance, facilitated growth, and created a which then present their performance against the objectives defined. The policies,
positive impact over the years. The Board’s composition is in accordance with the targets, and main sustainability objectives are reviewed and approved by the
Companies Act 2013. Board. Additionally, the Board thoroughly reviews and grants approvals for the
sustainability report before its public release. The Board convenes annually with
The Board plays a significant role in enhancing Shahi’s ESG practices. It also
various teams to enhance ESG strategies while sharing progress updates on
collaborates with ESG-related committees and teams to steer our sustainability
sustainability.
initiatives, ensuring a positive impact on the environment and all shareholders.
Some of our Board members are also on the Executive Committee that monitors

ESG Governance
Our ESG Governance structure involves various teams and committees working together to ensure responsible and sustainable business practices. The committees convene
regularly to fulfill the responsibilities assigned by the Board. Each committee upholds the highest standards of governance and possesses the necessary expertise to
address matters within their respective domains effectively.
CSR Committee Executive Committee

The Executive Committee (EC) works as a subset of the Board of
The Board has established a CSR Committee in
Directors. Strategizing and providing oversight, it has the authority
compliance with The Companies Act 2013. The roles
to make critical decisions for Shahi and consists of the following
and responsibilities of the CSR Committee include:
Directors and top management:
1
Formulating and recommending to the Board a CSR
policy that indicates the initiatives to be undertaken by the 1 Harish Ahuja, Managing Director & Chairperson
2
Company as specified in Schedule VII of The Act.
Girish Ahuja, Chief Financial Officer
2 Recommending the amount of expenditure to be incurred on
3
the CSR activities to be undertaken by the Company. Ramanujam Venkat Raghavan, CEO Men, Bottoms,
and Denim Division
3 Reviewing the CSR Policy of the Company annually.

4 Ramalingam T., CEO Knits Division
4 Formulating and recommending an Annual Action Plan (AAP)

to the Board annually.
5 Sanjay Tandon, CEO Ladies Specialty Division
6
5
Anant Ahuja, Head ESG; Advisor
Instituting a transparent implementation and monitoring
7
mechanism for the CSR initiatives.
Ananda Padmanabhan P.B, President-Corporate Affairs; Advisor
The EC makes key decisions on ESG performance and

The CSR Committee and the CSR team meet on a monthly
includes Board members in the process. The cross-
basis to discuss CSR project updates, challenges, reviews of
departmental ESG Management Team works closely with
new projects, and CSR expenditures.
the EC to transform its vision into reality.

ESG Management Team Additional departments, including Waste Management, Information Technology,
This team comprises of key members such as the Head of Organizational Marketing, Sourcing and Procurement, and Finance are actively involved in
Development, Head of Environmental Sustainability, Chief Compliance Officer, ensuring that sustainability projects align with Shahi's envisioned goals.
Chief Human Resources Officer, and the Chief Internal auditor, among others.
The EC works in coherence with ESG team leaders to update Shahi’s strategies,
policies, and goals.
There are designated departments for the various ESG projects and focuses.
The Board and departments define the tasks. These departments include the
Environment, CSR, Worker Well-being, Organizational Development, Sustainability
and Innovation, Training, Skill Development, and Communications. They have
levels of management that help them maintain accountability.
Board of Directors
Executive Committee
CSR Committee
Head, ESG
ESG Management Team Sustainability Communication & Innovation
Corporate Social Responsibility
Environmental Sustainability
Training and Development

Social Compliance
Skill Development
Worker Wellbeing
Human Resources
Internal Auditors
Medical
ESG divisional and unit teams

Our Policies
Shahi has developed and incorporated a range of employee-focused policies within the Corporate Governance framework. These policies are crucial in cultivating an
organizational culture characterized by transparency, ethics, and responsibility. To ensure that their concerns are addressed, we have established grievance mechanisms for
employees, customers, and suppliers.
Some of the policies and codes adopted by our company are mentioned below.
ENVIRONMENT SOCIAL GOVERNANCE
Sustainability Policy Health Policy Code of Conduct

Environmental Health and Safety Policy Injury and Illness System Management – Policy and Procedures Anti-Bribery and Anti-Corruption Policy
Climate Change and Energy Policy Policy and Procedures on Occupational Health Management Risk Analysis Policy
Water Policy Prohibition of Child Labour Policy POSH Policy
Chemical Management Policy Anti-Harassment and Anti-Abuse Policy Outsourcing Policy
Chemical Purchase Policy Modern Slavery and Human Trafficking Policy Vendor Code of Conduct Policy
Waste Management Policy Policy on Women Rights Communication Policy
Air Policy Policy on Non-retaliation Against Associates/All Stakeholders Freedom of Association and Right to
Conflict Mineral Policy Policy on Handling of Complaints and Confidential Appeals Collective Bargaining
Creche Policy Anti-discrimination Policy
Policy on Human Rights Quality Policy
Corporate Social Responsibility Policy
At the heart of our business lies a commitment to ethical business practices. This commitment is ingrained in Shahi's policies and Code of Conduct. We ensure its
implementation through robust systems and processes throughout our business operations. We have two Codes of Conduct in place: one for the Board and employees and
the other for suppliers.
The Code of Conduct delineates the operational standards upheld, guiding ethical governance and corporate responsibility. Each year, all Board members and senior
management personnel affirm their commitment to complying with the requirements outlined in the Code of Conduct.

STAKEHOLDER ENGAGEMENT APPROACH
TO MATERIALITY ASSESSMENT
In FY 2021, we conducted a comprehensive materiality assessment in alignment with the approach defined by the Global Reporting Initiative (GRI) Standards 2016. It helped
us identify and prioritize the critical sustainability issues at Shahi and helped incorporate stakeholders’ perspectives through a group of internal stakeholder interviews where
they were asked for in-depth insights on various aspects of sustainability topics. They also represented the external stakeholders’ perspectives. Moving forward, we will
adopt larger stakeholder group meetings for engagement. GRI Standards 2021 (revised) came into effect for reporting in January 2023.
With the advent of the GRI 2021 Standards, our materiality assessment was modified to a systematic materiality approach. This enabled us to determine positive and
negative impacts created across all business activities, operations, and external environment on the economy, environment, and our stakeholders through insights received
from investor surveys, peer-reviewed scientific research, industry reports, consumer insights data, and internal stakeholders representing larger stakeholder groups. The
Board reviewed and approved the topics in October 2022, which have been used to formulate material topics.
Our Key Stakeholder Groups
Employees Supply Chain Partners Customers (B2B)
Government NGOs Communities

Identity and assess impacts on an Determine material topics for
ongoing basis reporting
Engage with relevant Test the material topics

stakeholders and with experts and
experts information users
Material
1 2 3 4 Topics
Identify
Understand the Assess the Prioritize the most
actual and
organization’s significance significant impacts
potential
context of the for reporting
impacts
impacts
Our broad range of stakeholders brings distinct knowledge and viewpoints that contribute to our efforts
in fostering and enhancing long-term sustainability and value creation, respectively. We maintain ongoing
engagements with our stakeholders to ensure that our initiatives consistently reap positive impacts on the
socioeconomic and environmental aspects closely linked to and directly impacting their well-being.

MATERIALITY ASSESSMENT
Local Government Customers NGOs Employees State and National Supply Chain
Communities Government Partners
Shahi’s
Material Topics ‘Responsible for’ Stakeholders Management Approach UN SDGs with Significant Impact GRI
Pillars
Our company reduces its reliance on freshwater GRI

Water
Water Efficiency by using up to 85% recycled water in the 303,
Management
processing of textiles. 3-3
GRI
Our company is adopting renewable energy 302,
Energy and Energy &
sources and using low-GHG emission fuels, like 305,
Emissions Emissions
PNG and biomass. 3-3
Our company is actively tackling its waste by GRI

employing strategies to reduce, manage, and 306,
Waste and Waste for
recycle it. Entering collaborations with partners 3-3
Circularity Circularity
helps minimize waste and create new materials
through recycling.
Our company ensures safety by reducing -

usage of hazardous chemicals and preventing
restricted or banned substances from entering
Chemical
Chemical our manufacturing process. In line with the
& Material
Management latest Zero Discharge of Hazardous Chemicals
Stewardship
(ZDHC) wastewater guidelines, we conduct
regular wastewater testing at our wet processing
facilities.

Shahi’s
Pillars
Our company prioritizes human rights for -

employees, supply chain, and communities
Fair & Respectful
Human Rights by following and enforcing global standards
Workplace
through audits, assessments, policies, and
training.
Our company empowers human capital with GRI

Human varied resources aimed at their growth. Our 404,
Empowered
Resource training initiatives encompass a range of areas, 3-3
Workforce
Development such as leadership, soft skills, technical skills,
and fostering awareness about human rights.
Our company prioritizes safety through GRI

Occupational
Employee Health thorough Risk Analysis and Environmental 403,
Health and
& Well-being Health and Safety policies. The facilities are 3-3
Safety
equipped with medical centers.
GRI
Our company creates meaningful and positive 413,
transformations by driving impact in the 3-3
Community
CSR areas of health, education, community, and
Development
environmental management, which benefits
society at large.

Shahi’s
Pillars
GRI 2
Our company establishes robust governance
Governance Fair & Respectful
systems and guidelines that improve the
Oversight Workplace
effectiveness of leadership and oversight.
GRI 2
Statutory Fair & Respectful Our company ensures adherence to all the legal
Compliance Workplace compliance and regulators' norms.
Our company actively engages with supply GRI

Supply Chain Fair & Respectful 3-3
chain partners to promote ethical conduct and
Management Workplace
promoting long term relationships partnerships.
GRI
Our company implements policies and practices
406,
Ethics and Fair & Respectful that ensure ethical conduct and monitoring of
408,
Transparency Workplace operations for unethical practices within the
409,
organization.
3-3

Aligning our ‘Responsible For’ Framework with SDGs
Water Energy &

Efficiency Emissions
Employee
Waste for
Health &
Circularity
Well-being
Empowered Chemical &

Workforce Material
Stewardship
Fair &
CSR Respectful
Workplace

MOVING THE
NEEDLE:
FOR PLANET
ACCELERATING SUSTAINABILITY
At Shahi, we believe in responsible business growth by integrating environmental sustainability into the heart of our operations at all stages of production. We improve our
environmental performance through resource conservation and pollution prevention to consistently achieve higher resource efficiency.
We steadfastly aim to operate sustainably across our entire supply chain and understand its pivotal role in generating a positive impact. By moving the needle to sustainable
sourcing, circular production methods, ethical supply chains, and investing in innovation, we reduce our environmental footprint and enhance the well-being of the
communities we engage with.
Key Highlights
8.75 MW B- 0 Coal
of wind energy installed, resulting in a CDP score against global used in generating on-site
total of 92.5 MW renewable capacity average of C energy in garmenting
78.05% Verified Joined Fashion for Good and

Organic Cotton Accelerator
56%
Higg FEM score, against the Global Sustainable fiber used in garmenting
average 59.67%
59.67
Higg Index FEM Module 78.05
Developed by the Sustainable Apparel Coalition, the Higg Facility Environmental Module is recognized Shahi
as a trusted environmental assessment tool for facilities. It plays a vital role in monitoring and guiding Higg Global Industry
Index
actions within the fashion industry. This year, Shahi’s average verified score is 78.05, while the global
Average
average score is 59.67.

HIGG FEM SCORES
Global apparel
Shahi’s average verified Difference between self
FEM Year Self-assessment score (%) No. of facilities verified median (verified)
score (%) and verified (%)
2022 81.1% 78.05% 4% 44 59.67*
2021 80.62% 75.8% 6% 41 53.64
2020 77.53% 73.48% 5% 36 51.08
2019 73.98% 72.79% 2% 15 48.5
*As of September 5, 2023
Higg FEM Training for Enhanced Environmental Awareness

To enhance the environmental awareness of our employees, we organized an exclusive training session for 100 employees from various factories. These sessions were
held with certified trainers from the Sustainable Apparel Coalition. These primarily aimed to develop and strengthen our workforce's comprehension of the Higg Facility
Environmental Module (Higg FEM).
Carbon Disclosure Project (CDP) Global Textile and

Year Shahi Global Average Asia Average
CDP is a non-profit disclosure system that empowers Fabric Industry Average
investors, corporations, cities, and regions to manage
their environmental footprints effectively. The system Climate Change
aids in quantifying, measuring, transparently sharing, and 2022
B- C C B
ultimately reducing greenhouse gas emissions.
Climate Change
2021
B- B- B- C

ENERGY AND EMISSIONS
At Shahi, we are working on expanding our renewable energy share while simultaneously replacing coal used in our operations with carbon-neutral sources such as biomass.
Two of our mills participated in the Carbon Leadership Program

(CLP) in collaboration with two of our customers seeking to reduce
their carbon emissions in the supply chain in association with the
Apparel Impact Institute (AII).
Energy Consumption in Our Operations

Our vertically integrated manufacturing facilities primarily comprise garment factories
and textile mills. It is worth noting that textile manufacturing tends to be more
energy-intensive than the garment production processes within our operations.
We obtain our energy from direct (onsite) and indirect (offsite) sources. Direct energy
primarily consists of thermal energy, while indirect energy sources are predominantly
electrical. This year, our total energy consumption was 1,009,616 MWh. Of this, 71%
was consumed by our mills, and 29% by our garmenting units. Biomass and renewable
electricity contributed to 36% of the total energy demand.
6%
62,484
55%
14%
548,726
29% 144,810
288,119 Conventional Electricity
Renewable Electricity
Mills
Energy Demand
by Operation Energy Demand Biomass
Garmenting Units
by Source
HSD/Diesel
71%
721,503 22% Gas (PNG + LPG)
21,977
Coal
1%
10,630
Note: We have expanded to a new mill amid the reporting period. The data regarding the same will be 2%
mentioned in our ESG Report for FY 2023. 23,195

Direct Energy Sources
As the table above shows, coal is our organization’s major energy source. It is used at mills for steam generation. In Shahi’s efforts to reduce its carbon
This conventional fuel source has been used in Indian industries for decades, given its easy availability. Currently, footprint, it has taken a bold step
we are reducing coal usage in the boilers at our mills and replacing coal with biofuels and natural gas.
toward a greener and cleaner future by
Mills Garmenting Units completely phasing coal out from its
Direct Energy Demand by Source (MWh) Direct Energy Demand by Source (MWh) garmenting units.
548,726 475,185 401,240 0 14,570 20,517

14,961 21,195 19,719 8,234 10,819 8,977
13,870 21,434 8 205,901 156,831 126,480
902 945 993 9,727 8,539 9,844
FY 2022 FY 2021 FY 2020 FY 2022 FY 2021 FY 2020
Diesel Biomass Diesel Biomass
Natural Gas Coal Natural Gas Coal
In the Garmenting units, energy consumption has risen

due to increased production. However, during FY 2022,
we successfully reduced energy consumption from
non-renewable sources and increased our utilization of
renewable energy sources, particularly biomass.

Indirect Energy Sources
In our commitment to using renewable electricity, we have established two solar
plants with capacities of 32MW and 52MW in the Bellary and Bidar districts
of Karnataka, respectively. These solar plants span over a total of 300 acres of
land and are equipped with over 250,000 solar photovoltaic panels, capable
of generating over 130 million KWh of electricity annually under ideal weather
conditions. The robust renewable energy policy framework in Karnataka supported
our substantial investments in solar energy. We also moved our 8.75 MW windmills
from Maharashtra to Karnataka to enhance efficiency for energy generation.
With a solid commitment to harnessing the power of renewable energy, we power
our operations and facilities using grid electricity. Shahi has set an ambitious but
achievable target to completely transition to 100% renewable electricity to meet all
our energy needs by 2026.
In FY 2022
70%
of our electricity requirements were
met through renewable sources.
FY 2022 Recognitions

Mills Garmenting Units
Electricity Consumption (MWh) Electricity Consumption (MWh)
26,004 117,034 29,984 111,080 18,542 99,794 36,480 27,777 35,349 25,139 28,691 20,804
FY 2022 FY 2021 FY 2020 FY 2022 FY 2021 FY 2020
Conventional Electricity Renewable Electricity Conventional Electricity Renewable Electricity
In FY 2022, our total electricity consumption increased due to increased production The overall electricity consumption has risen, but this demand has been met by
demands. Nevertheless, we have effectively decreased energy consumption from combining both conventional and renewable energy sources.
conventional sources, and the heightened electricity demand for the year has been
met through renewable sources.

Managing Our Emissions
The impact of unchecked emissions is becoming increasingly evident across the globe. Rising
temperatures are leading to more climate change impacts on built and natural environments.
Due to these challenges, emission management is crucial to helping mitigate climate change. India
has also pledged to decrease emissions resulting from economic activities by 45% by the year 2030,
measured against the levels observed in 2005 in its new targets. Through our renewable energy
transition, we have mitigated 500,000 MT of carbon dioxide equivalent emissions.
Shahi is reducing carbon emissions by:
Using carbon- Implementing energy- Using renewable Incorporating green design for
neutral fuels efficient processes electricity natural light and ventilation in
production areas
Switching from HSD to Recovering heat from Planting

agro-waste or PNG boilers our operations trees
The consolidation approach for emissions in our organization is based on operational control. This means we consider and report emissions based on our direct influence
and control over the operations that generate these emissions. Gases included in the calculation for our emissions are CO2 (Carbon Dioxide), CH4 (Methane), and N2O
(Nitrous Oxide). We adhere to the GHG Protocol, a widely recognized and accepted greenhouse gas emissions accounting standard.

Mills
In FY 2022, 36% of our energy needs were met through Energy intensity (MWh/MT) and
carbon-neutral sources. We are on track for our goal of 50% Emission Intensity (MT CO2 eq./MT)
carbon-neutral energy by FY 2026.
25.12
23.48
23.2
Scope 1
Unit (MT) Mills Garmenting Units
Year Fuel Emissions Biogenic Fuel Emissions Biogenic 8.26 8.78
8.02
Emissions Emissions
(carbon- (carbon
neutral) neutral) FY 2022 FY 2021 FY 2020
FY 2022 232,752 3,517 4,264 78,294 Conventional Electricity Renewable Electricity
FY 2021 203,013 6,135 10,433 63,974
FY 2020 171,516 0 12,922 51,850
Garmenting Units
Energy intensity (MWh/pc) and
Scope 2 Emission Intensity (g CO2 eq./pc)
292
Unit (MT) Mills Garmenting Units
285
FY 2022 21,323 29,913 242
FY 2021 24,587 28,986
FY 2020 14,759 23,972
Note: 31% reduction in Scope 2 emission as compared to the baseline from 2018-19
2.02
1.83 1.71
FY 2022 FY 2021 FY 2020

Conventional Electricity Renewable Electricity

In our mills division, Scope 1 emissions witnessed an increase during FY 2022 but faced a noticeable reduction in emission intensity. This increase in emissions is clearly
linked to our rise in production. We continue to work on coal phase-out in our mills to reduce Scope 1 emissions. Concurrently, Scope 2 emissions for FY 2022 decreased
significantly. We primarily attribute this to our increased utilization of renewable energy sources.
In our garmenting division, Scope 1 emissions have been reduced. This reduction is primarily a result of our adoption of renewable energy sources, such as Biomass, for
energy generation. Likewise, the emission intensity has decreased, reflecting an overall reduction in emissions.
Both energy and emission intensity are vital metrics for evaluating and enhancing Shahi’s sustainability and environmental performance.
Our measures taken for reducing energy intensity include:
Upgrading to LED lighting from Replacing sewing machine clutch Implementing Variable Frequency
T8 and T5 fluorescent lamps motors with servo motors Drives (VFDs) in equipments
Installing energy-efficient machinery Incorporating occupancy sensors in Adding skylights, rooftop ventilators,
for sewing, washing, and utilities less frequently used spaces and aluminium insulated roofs

CHEMICAL STEWARDSHIP
At Shahi, we are committed to wastewater testing as per applicable
responsible chemical management ZDHC WW guidelines.
practices. We strive to contribute to
Furthermore, we hold the OEKO-TEX®
cleaner ecosystems and ensure the
STANDARD 100 certificate, a globally
safety of our workforce by implementing
recognized and independent testing
well-defined chemical management
and certification system, for 14 facilities,
procedures. We are aligned with the
including all three mills. STANDARD
global requirements of ZDHC MRSL and
100 evaluates the presence of harmful
follow the regularly updated AFIRM/
substances based on the product's
AAFA RSL. Our procedures for handling
intended purpose. They also state
chemicals ensure minimizing the use
stricter human-ecological requirements
of hazardous chemicals and preventing
for products with more intensive skin
them from entering our manufacturing
contact and higher skin sensitivity.
process.
Additionally, chemical storage forms
Our Chemical Management Policy and
a critical component of our safety
Chemical Purchase Policy governs our
protocols. Only authorized personnel
effective chemical management. Shahi’s
are granted access to the storage
well-defined SOPs manage chemical
area, which a designated individual
usage and their storage in alignment
supervises. This area is well-ventilated,
with ZDHC TIG (Technical Industry
sheltered, and equipped with
Guidelines).
essential safety measures, including
Our processes have a single-window fire extinguishers, eye wash showers,
approach for purchasing textile and spill kits. Our chemical and leak
auxiliaries and dyes/pigments. Almost management procedure serves as a
all of them hold ZDHC Chemcheck comprehensive guideline to ensure
certifications (Levels 1-3). the safe and effective management of
chemical leaks and spills. The procedure
This requirement also extends to our
emphasizes safety, environmental
supply chain. We also utilize digital
protection, and compliance. The
platforms like BVE3, BHive, and Clean
responsibility for implementing this
Chain to produce monthly ZDHC in-
procedure falls on the chemical storage
check reports. These help showcase our
area in-charge or the in-charge of the
wet processing facilities' conformance
location where the chemicals are being
to ZDHC MRSL alongside annual
utilized.

INNOVATION IN CHEMICALS: SUSTAINABLE ALTERNATIVES
TENCELTM MODAL INDIGO PLANT-BASED MOISTURE RECYCROMTM
DOPE DYED MANAGEMENT
Recycrom™ creates a full range
ProTecht® PMM is a moisture of pigment powders using textile
management technology derived fibers from used clothing and
Adding indigo during the pulp manufacturing waste.
from the castor seed. PMM’s raw
stage of fiber saves*
material has a natural tendency Through a sophisticated
to provide wicking, drying, and production process, fabric textile
antistatic performance. When waste fibers are transformed into
80% 99% 99% a product is treated with PMM, an incredibly fine powder that
Chemicals Water Energy a chemical bond is formed that can be used as a pigment dye
allows for reliable and long- for fabrics and garments made
*compared to traditional
indigo dyeing.
lasting performance. of cotton, wool, nylon, or any
natural fiber and blend.
NATURAL DYES NOVANTIC DYE

This process Has a low EIM
utilises score of less than
33
green
Palash Onion
chemistry
Results in
Marigold Haritaki
Even Good-wash Shorter
dyeing down enzyme cycle

Eco-friendly Weaving Testing Microbial Dyes
Process
In FY 2022, we tested an eco-friendly and natural dye made from
microbes by KBCols Sciences Private Limited. This India-based
technology-driven start-up uses microbes as an inexhaustible and
At our Shimoga woven mill, we have adopted an eco-friendly dyeing
autocatalytic feedstock to produce non-GMO, sustainable natural colors.
process that eliminates the use of salt. This has resulted in a valuable
The dyes claim to reduce water usage by upto 60% and COD and BOD
70% reduction in water consumption during the washing process and a
of effluents by 50%. We piloted the dyes in continuous and exhaustive
50% decrease in water use during the dyeing stages. Additionally, we
methods and provided the industrial capacity to the innovator to present
have achieved a 20% reduction in both power and steam consumption,
and prove their novel product to our brands.
contributing to a more sustainable and efficient approach to production.

SOURCING RAW
MATERIALS SUSTAINABLY
Our material sourcing strategy prioritizes acquiring raw materials from partners within sustainable
supply chains, specifically considering environmental and social factors. The material is decided based
on customers’ requirements. However, we continuously work on testing newer sustainable alternatives
to conventional materials and actively market them to our customers.
BCI Organic
Cotton Cotton
Natural Fibers
Sustainable Recycled Lenzing Recycled

Viscose Polyester modal cotton
Human-made
Sustainable
Fibers
56%
of the total fiber content in the fabric utilized in Shahi's garment
manufacturing originates from sustainable sources.

Joining Making Fabric from
Organic Cotton Agricultural Waste
Accelerator
In FY 2022, in collaboration with AltMat, Shahi embarked on a
transformative journey to make fabrics out of agricultural waste and
Shahi has joined forces with the Organic Cotton Accelerator (OCA) as make significant strides toward sustainability. AltMat, an Alternative
a contributor. OCA is a multi-stakeholder organization committed to Materials Science company, specializes in converting agricultural residues
uplifting farmer well-being. It fosters a transparent, adaptable, and into Altag, a natural cellulosic material. Collaborating with them offered
ethical organic cotton supply network. By partnering with OCA, Shahi Shahi a two-fold solution: addressing the industry's requirement for
continues to contribute towards enhancing the lives of farmers, ensuring alternative materials and providing an additional livelihood to farmers
the quality of products, and ensuring a sustainable organic cotton struggling with crop residue disposal.
resource to meet the needs of global consumers.
The partnership between Shahi and AltMat started with a series of
pilots exploring the potential of Altag in woven and knitted fabrics.
As the pilots progressed, it became evident that yarn processing had
significantly improved owing to advancements in yarn quality and
innovative processing techniques developed at Shahi.
Altag by AltMat
Altag is a rich natural material made by

upcycling agricultural residue of food,
medicinal, and other industrial crops. Backed
by circular technology and a regenerative
supply chain, Altag neatly solves the dual
problem of agri-waste and materials pollution.
50% 99% 70%

Carbon Footprint Water Footprint Chemical Footprint
Reduced Reduced Reduced

WATER EFFICIENCY
39%
Our planet has a limited supply of freshwater. It We strive to manage our water demand by:
needs to be conserved as it is a finite resource. With
Reducing our water consumption
growing populations and increasing water demands,
it is essential to use water wisely to ensure enough for Efficiently utilizing water resources
Water Demand
future generations. Optimizing water sources through recycling by Operation
As Shahi, we understand our responsibility towards Type
Our water management policy ensures effective
water consumption. We are a part of the textile usage of water for our operations. The scope of
industry, one of the largest water consumers globally, the policy encompasses:
involving significant water usage for dyeing, finishing, 61%
and washing fabrics. Our water policy guides us to Ensuring compliance with water management laws
minimize our water footprint at every stage of our Treating unfit raw water for potable use
production processes.
Installing effluent treatment plants where necessary Mills Garmenting Units
ontinually monitoring and preventing leakages

C
3,210,054
2,419,954
from operations
3,062,479
2,154,553
aximizing the use of treated effluent water for
M
2,075,703
operations
enchmarking the best global practices in water
B
1,794,507
management
reating employee awareness about water
C
management
This year, our overall water consumption amounted to

5,287,257 kiloliters, with our mills accounting for 61%
of the total consumption and our garmenting units
using 39%.
FY 2022 FY 2021 FY 2020
Mills (Kiloliters) Garmenting Units (Kiloliters)

Water Consumption in
Our Operations
Our operations rely on water from two primary sources:
freshwater, which includes groundwater and surface
water, and third-party sources, such as municipal
supply, tankers, and recycled water.
Our ongoing commitment has been to consistently

decrease our reliance on freshwater by implementing
state-of-the-art effluent and sewage treatment
technologies.
We aim to achieve recycled water usage of 75% for

mills and 85% for garment factories in industrial
processing by FY 2024.
Total Water Consumption of Mills Total Water Consumption of Garmenting Units Water Intensity
1,079,284
1,112,460
1,172,561
110.1
1,168,462
1,075,269
103.3
12.7
12.6
12.3
963,243
2,037,493
1,894,017
92.1
878,865
915,642
1,700,930
719,024
FY 2022 FY 2021 FY 2020 FY 2022 FY 2021 FY 2020 FY 2022 FY 2021 FY 2020
Fresh Water Recycled Water Fresh Water Recycled Water Mills (l/kg) Garmenting (l/pc)
(Kiloliters) (Kiloliters) (Kiloliters) (Kiloliters)
Note: The baseline for monitoring our water consumption is FY 2021.

Managing Our
Effluents
We adhere to the Zero Discharge
of Hazardous Chemicals (ZDHC)
Wastewater guidelines and
meticulously monitor and control
our effluent management. We
also have ETP (Effluent Treatment
Plant) and STP (Sewage Treatment
Plant) operating manuals and
SOPs (Standard Operating
Procedure) available to maintain
the quality standards for effluent
discharge.
We have made significant

investments in water treatment
capacity in our pursuit of self-
sufficiency. Specifically, we have
established capacities of 14,620
KLD for Effluent Treatment
Plants and 3,255 KLD for
Sewage Treatment Plants. Our
discharged water consistently
meets the stringent limits set
by the State Pollution Control
Board (SPCB). To ensure effective
water conservation in our laundry
operations, we continuously
monitor our environmental impact
using our Environmental Impact
Measurement (EIM) tools.

WASTE FOR
CIRCULARITY
We strive to reduce waste generation through careful planning and innovation by treatment of hazardous wastes, we have established a "Procedure for Hazardous
optimizing our production processes, promoting recycling, and fostering circularity. Waste Minimization."
We relentlessly engage in waste stream analysis, establish traceability, and explore
All hazardous waste is directed to an SPCB-authorized recycler or disposer. Non-
circular practices and business models through collaborations with industry
hazardous waste is also sent to approved vendors.
partners.
Our waste management policy ensures our legal compliance with respect to waste Waste Generated in Mills
generation, storage, and disposal. It helps us improve our waste management
Hazardous Waste FY 2022 FY 2021 Units
processes, avoid unnecessary use of raw materials to minimize waste generation,
and reduce hazardous waste within our premises. The scope also encompasses ETP Sludge/MEE salt 10,335 8,555 MT
training employees in effective waste management practices. Waste Oil 10,458 5,920 Liters
In our mills and garmenting units, two distinct categories of waste are generated. Empty Chemical Drums 56,541 47,868 Numbers
These waste streams are classified as hazardous and non-hazardous.
Non-Hazardous Waste FY 2022 FY 2021 Units
Paper/Carton waste 872 777 MT
Plastic Waste 170 171 MT
Hazardous Waste Non-Hazardous Waste
Waste Generated in Garmenting Units
ETP Sludge Waste Fabric
Hazardous Waste FY 2022 FY 2021 Units
Waste Oil Plastic and Paper Waste
ETP Sludge/MEE salt 3,044 2,357 MT
Empty Chemical Drums
Waste Oil 17,736 9,547 Liters
Empty Chemical Drums 54,219 48,121 Numbers
Non-Hazardous Waste FY 2022 FY 2021 Units

Hazardous waste is the type of waste that cannot be safely disposed of directly into
Paper/Carton waste 3,088 3,331 MT
the land, air, or water. It requires specialized and scientifically approved disposal
methods due to potential threats to human health and the environment. Plastic Waste 234 147 MT
To address the environmental challenges associated with the disposal and Fabric Cutting Waste 10,173 10,619 MT

We have been steadily phasing out the use of virgin plastics in favor of recycled
materials. In FY 2022, we successfully reduced virgin plastic usage by 11.5 MT at
Managing Fabric Waste for a Sustainable
our Northern facilities, contributing to the global effort to combat plastic pollution. Future
We are on a mission to weave sustainability into the very fabric of our industry.
On the occasion of World Earth Day 2023, the Shahi CSR and SAAHAS
With a passionate commitment to a greener future, we are taking fresh and
teams organized a robust waste management awareness program at the
creative approaches to tackle the challenge of fabric waste. Our strategy is simple
Shahi campus for the employees of two corporate offices. The event's primary
yet powerful: reduce waste, manage it efficiently, and give it a new life through
purpose was to educate them about waste segregation, management, and
recycling. This is our way of shaping a brighter future for the textile industry and
the consequences of poor waste management. Additionally, we sensitized our
the world we all share.
employees by sending mailers to promote responsible environmental practices,
including reducing their ecological footprint through carpooling, preferring digital
documents over paper, and minimizing plastic usage by adopting alternatives such Reduction Effective Waste
as cloth bags.
Initiatives Management
Digital Sampling: We’ve Mindful Segregation: Our
adopted digital sampling, fabric waste undergoes
eliminating the need for most meticulous segregation
physical samples and thus based on the size of cloth
minimizing waste. pieces.
Precision Cutting: We Rigorous Testing:
continually enhance the Across multiple units, we
efficiency of our cutting markers rigorously test segregation
and patterns, minimizing fabric based on fabric
wastage at the source. composition, guaranteeing
responsible downcycling,
Upcycling End Bits: Every
upcycling, or recycling.
end bit generated during the
cutting process is upcycled, Building Traceability:
ensuring value maximization Our waste management
from each meter of fabric. journey commenced
in FY 2022. Since then,
we have diligently been
building traceability
with a dedicated waste
management team
overseeing these projects
centrally and at our units.

COLLABORATION PARTNERSHIPS
FOR CIRCULARITY
To tackle the fabric waste challenge, we partner with innovators dedicated to recycling fabric waste into new materials, such as viscose and recycled cotton. Notable
recyclers include Birla Cellulose and Usha Yarns. Many of these partners now receive regular orders from Shahi, bringing us a step closer to our goal of minimizing
fabric waste.
Digitization of waste inventory for traceability

We have partnered with a waste digitization platform, Reverse Resources, to share
quantities and characteristics of fabric waste generated transparently. Such digital
libraries help create visibility between waste-generating and recycling bodies. We
are able to avoid added logistics involved in recyclers visiting the site to see the
waste generated. Through Reverse Resources, we have sold 8,528 kgs of waste.
Transforming surplus cotton waste into superior

recycled products
We have delivered 100% knitted cotton waste to Birla Cellulose, enabling the
creation of Liva Reviva—a fiber composed of 80% wood pulp and 20% pre-
consumer fabric. Our efforts have yielded two significant orders, including one
bulk order and one from a sample.
A range of fabrics developed by Shahi Exports

from sustainable viscose fiber developed by
Birla Cellulose, made using 70% of wood pulp
and 30% of industrial fabric.
Low Water Consumption
Recycled Blended Claims Standard
Low Green House Gas Emissions

Innovation for the Planet
As a large, vertically integrated manufacturer, Innovation Process

we recognize our role in supporting early-stage
innovators in making them industry-ready to
scale effectively. Since supply chains are where
the majority of the fashion industry’s climate
impact lies, a large chunk of the opportunities Scout Pilot Scale Support
to innovate exist. Innovators benefit immensely
by working directly with suppliers and getting
real-time insights. At Shahi, we have a four-step
innovation strategy cutting across six focus areas.
Based on our Pilots and testing If the pilot is a We promote

sustainability goals plans are devised in a success, a scale innovators through
Focus Areas and challenges, we phased manner. Lab up plan is devised. internal and external
search for relevant or small scale trials Brand partners dissemination of our
innovators and are conducted with are involved when trials with them.
startups through defined parameters there is a novel
Specialists within
accelerators, for success. With product that can be
the organization
universities, brand each trial, iterations integrated into their
give feedback and
Water Energy Materials partners, and more. and improvements collections.
direction to early
After extensive are made. Based on
Techno-commercial stage innovators.
due diligence, the results, larger
feasibility studies
and evaluation by trials are conducted We have also
are undertaken to
technical teams, to test industrial scale invested financial
generate internal
innovations are viability. resources into pilots
buy-in and financing.
selected for testing. and directly into
Traceability Digitization Processing
startups as well.
and
Chemicals

On-demand Accelerating Innovation
Manufacturing with through Fashion for
DXM Good
In 2019, Shahi invested in DXM, a platform that enables on- In January 2023, Shahi became an Affiliate Member
demand manufacturing, optimized inventory management, of Fashion for Good (FFG), a global platform to
lower lead time, and highly individualized garments inspire change and make fashion a force for good by
at scale. This customization and on-demand approach working directly with the fashion industry to innovate
enhances inventory management, reduces returns, and better solutions for the people and the planet.
cultivates strong customer loyalty, all while minimizing waste and
conserving resources.
The fashion industry rarely sees supply chain partners and brands We are so excited to
coming together to work on long-term solutions. In the case of DXM, welcome Shahi as an
four of the world’s top manufacturers, namely Brandix, Busana Apparel affiliate partner and work
Group, MAS Holdings, Shahi Exports, and a leading brand, Carhartt, collaboratively as we
came together in a pre-competitive, collaborative spirit to co-invest
with the vision of disrupting business as usual.
support new technologies
on their journey to scale.
Between July and August 2022, Shahi, in collaboration with DXM
and Carhartt, conducted a pilot project introducing an on-demand
With their wealth of
production model. This resulted in: expertise and influence
295 pairs of workwear denim and non-denim pants manufactured
in the industry, we can
continue moving the needle
Delivery within 3-8 days directly to end-consumers compared to the
average of 6-8 months in mass manufacturing towards a more sustainable
and circular future.
- Katrin Ley, Managing
Director, Fashion for Good.

MOVING THE
NEEDLE: FOR
PEOPLE
INVESTING IN THE LIVES WE TOUCH
The nature of our business is unique in the way that it impacts lives. The apparel and textile sector in India employs approximately 14-15 million people and even more in
allied services. For many, it marks a stepping stone towards better lives. While the industry indicates a stable and fulfilling source of income for some, for others, it is an
influence that stands the test of time. This past year, we have triumphed toward becoming an empowered workforce, committing to employee health and well-being, and
operating with fair and respectful workplace policies and Corporate Social Responsibility (CSR).
At Shahi, we firmly believe that our people are invaluable assets that drive our successes. Our approach to human resources cultivates a secure and thriving atmosphere for
our employees. While strongly emphasizing equitable employment practices, we also launched numerous initiatives designed to empower our employees. These include
comprehensive training and impactful development programs.
Key Highlights for 2022
96% 1.2 Million Achieved 82% of 4,772

of GAP Inc. P.A.C.E. 2024 training hours our 2024 goal to train women in Supervisors trained
training goals completed conducted communities in sewing skills under STITCH
Screened more than 13,000 Achieved 124% Partnered with the International
Organization for Migration
84%
workers and 480 corporate staff of our behavioral and soft skills of Candidates trained in skill
under Eye health project training goal set for 2024 (IOM) to aid migrant workers development were placed in FY 2022
New Goals
Implement the Captain Program in all three sections, namely cutting, sewing,
Train 100% of our workforce in the first round of BSafe– a training on
and finishing, and in all units of the Knits Division and Men, Bottoms, and
Grievance Redressal Mechanisms by 2025
Denim Division by 2025.

Partnerships for People
Scaling Evidence-based Programs for Worker Partnering with the International

Well-being: Good Business Lab Organization for Migration
Good Business Lab (GBL) is a not-for-profit labor Strengthening Our Framework for Migrant Well-being
research organization that was incubated at Shahi Exports In September 2022, the International Organization for Migration (IOM)
in 2017. GBL leads the private sector by building evidence-based signed an MoU with Shahi to support and assist migrant workers
worker wellbeing interventions that also contribute to business growth. through the institutional framework of Migrant Support Centers (MSC).
GBL believes that improving opportunities and wellbeing for workers is Shahi has run the MSC since 2021. We aim to support migrants working
not only good corporate citizenship, but also good for the bottom line. in various industries across Bengaluru. Currently, the MSC serves
nearly 4,000 migrants. IOM provides technical and advisory support to
We want to leverage our expertise and knowledge of the apparel
strengthen and operationalize the Shahi-run MSC.
industry to support GBL’s mission to scale learnings from their projects.
Good Business Lab (GBL) came on board as the project’s design
Over 5 Years, GBL has created an impact and reach of:
partner, conducting visits to existing MSCs to understand the provisions
57 Partners including 26 Funders through 34 Research
of specific services and identify disconnects between migrant
Projects in 50+ Factories.
experiences and the support offered. IOM, a critical Knowledge Partner
At Shahi, we believe in Good Business Lab’s mission to lead businesses for the intervention, will support in unraveling the complex issues
in improving the lives of all workers by supporting their research, experienced by inter- and intra-state migrant workers in urban settings.
piloting solutions, and scaling them up.
The goal is to empower migrant workers and improve their welfare,
including working conditions, access to legal entitlements, social
security, health, education, and vocational skills.

Shahi has collaborated with customers to drive impact for our people for
Collaborating with Our Customers decades. While the Gap Inc. P.A.C.E. program has been the longest-running
program at Shahi, we have partnered with many of our customers to build a
fair, respectful, safe, healthy, and empowering workplace over the years.
BSR’s HERproject®
Business for Social Responsibility’s HERproject® is a collaborative initiative
1,151
Total peer educators trained
empowering low-income women in global supply chains. Their model brings
together global brands, manufacturers, and local partners to create and implement
workplace-based interventions on health, financial inclusion, and gender equality. 13,375
Women workers participate in training, become peer educators, and share Total workers trained
7
information with colleagues, friends, family, and community members.
With BSR’s insights and a keen interest from other brands, we have run modules of
Number of factories
the HERProject with five of our customers in seven factories.
Implementation partners:
Swasti NGO St John’s National Academy of Health Sciences HERproject
3
BSR's HERproject® is now RISE: Reimagining Industry to Support Equality, an initiative that brings together the four largest women’s empowerment programs in the apparel industry—BSR’s HERproject, Gap
Inc. P.A.C.E, CARE International, and Better Work—to build upwards from proven approaches, scale impact, and improve efficiency.
Work Place
The program is run in partnership with Better Work, a
joint initiative of the International Labour Organization
11
Number of factories
Cooperation and the International Finance Corporation. It is
Program designed to amplify workers’ voices and bring factory Number of committee representatives trained
Powered by managers and workers together in elected bipartite
Better Work committees, i.e., worker committees, to identify and 272 101
solve shared problems. Workers Management staff

FOSTERING A FAIR &
RESPECTFUL WORKPLACE
Our company's recruitment and talent management approach strategically
places individuals in roles that match their skills to drive growth.
Recruitment We are dedicated to assembling a team of top-tier professionals across

various domains, including Operations, Marketing, Design, Industrial
and Talent Engineering, Organizational Development, Business Intelligence,
Sustainability, Human Resources, Finance, and IT. Recognizing that long-term
Management relationships with our employees are essential, we align their responsibilities
with their career aspirations. This approach lays the foundation for nurturing
beneficial partnerships, employee satisfaction, and organizational success.
Our commitment to equality is embedded in our Compensation Our Employee Induction Policy is a cornerstone in seamlessly
Management Policy, which governs our pay structure. This policy is integrating recruits into our company. We assess employee
meticulously designed to ensure that compensation scales are aligned performance through our performance management policy. It
with internal equity and industry benchmarks. This approach reflects establishes a transparent performance review system that aids
our ethos of upholding the principle of equal pay, and fostering a employees in generating continuous feedback while achieving
culture of fairness and inclusion. tangible results.
We also have a Training and Development Wing for our employees.

Employee Training is vital as it enhances skills, improves performance,
All employees have the right to collective bargaining.
and keeps employees adaptable in dynamic work environments.
A training calendar is created and shared with respective plants
annually, and training sessions are conducted at the worker training
center within each unit. Skilled training faculty facilitate these
sessions. The training encompasses various categories, including
awareness programs conducted by internal and external resources We also actively listen to our employees' concerns through
on health and safety, company policies, committee engagement, our grievance redressal channels. This mechanism resolves
grievance redressal, workplace harassment prevention, chemical conflicts, fosters a balanced work environment, supports
handling, employee well-being, and more. employee well-being, and fuels organizational progress.

Our Diverse Workforce
Our workforce comprises 96,090 dedicated employees, spanning management,
non-management, and worker roles, ensuring a dynamic blend of skills and
perspectives. In FY 2022, due to a volatile retail environment, we experienced a
contraction in orders; thus, recruitment did not keep the same pace.
Remarkably, 92% of Shahi’s workforce consists of factory workers. Furthermore,
70% of our employees are women, underscoring our dedication to the well-being
and progression of our female workforce.
At Shahi, 40%4 of our factory supervisors are women.
4
In FY 2021, the percentage of women in supervisory roles was 46%.
The reduction caused is due to attrition.
Employee Profile
96,090
Number of Employees
Employee Bifurcation by Gender (Position-wise)

Category Male Female Total
Board of Directors 8 - 8
Senior Management 164 17 181
Manager 1,858 236 2,094
Non-manager5 4,103 1,001 5,104
Worker 22,700 66,011 88,711
These include 53 male and 15 female temporary staff

5

Celebrating Women
This International Women’s Day, we launched the #EmbracingEquity campaign
at Shahi to celebrate a fair and equal workplace. We shared tips for supporting
fairness and highlighted inspiring stories of women leaders at Shahi.
The day was filled with exciting activities, including talks by guest speakers on
various subjects beneficial to women. Women received gifts, played games, and
enjoyed refreshments. Our Founder also conveyed a powerful message to Indian
women, garnering substantial media coverage.
Work. It’s your right. You’re free. Don’t

be afraid to voice your opinion. Even
the might of all the reasons not to
do so should never douse your spirit.
Have faith.
- Sarla Ahuja, Founder & Promoter,
Shahi Exports
Employee Bifurcation by Age (Position-wise)

<30 30 to 50 >50 Total
Board of Directors 8 8
Senior Management 0 122 59 181
Manager 42 1,810 242 2,094
Non-manager 6
1,420 3,425 259 5,104
Worker 35,147 50,775 2,789 88,711
In the age groups of <30, 30-50 and >50 from the age group include 7, 7 and 50 temporary staff
6
members, respectively.

Developing Talent Pipeline through Community Training
Skill development is a potent instrument for personal and societal advancement, Program Description Locations Candidates
equipping individuals with the skills needed to excel in diverse industries while Trained in
fostering self-reliance and economic independence. As a project implementation FY 2022
partner for the Government of India, we offer training programs to underprivileged
youth and women.
Deen Dayal DDU-GKY is a skilling and Odisha, 2,273
MOBILIZATION: Upadhyaya placement initiative by the Jharkhand,
Through door-to-door visits, we connect with potential Grameen Ministry of Rural Development Chhattisgarh,
candidates and families, informing them about the skill Kaushalya (MoRD), Government of India. The Punjab, and
development schemes and the benefits of training and Yojana scheme focuses on catering to the Karnataka
employment in the garment sector. (DDU-GKY) occupational aspirations of rural
youth and enhancing their skills for
wage employment.
COUNSELING:
Candidates and their parents are counseled to understand the
training process, job opportunities, and benefits.
TRAINING: SAMARTH SAMARTH is a flagship skill Karnataka, 7,269

After the candidates enroll at the nearest center, they are trained (Scheme For development scheme by the Jharkhand,
for skills in demand, increasing their potential for employment. Capacity Cabinet Committee of Economic Haryana,
Building Affairs. The objectives of the Uttar Pradesh,
In Textile scheme are to provide demand- Odisha,
PLACEMENT LIFE-CYCLE SUPPORT: Sector) driven, placement-oriented skilling Jharkhand,
Candidates are placed in factories based on opportunity. Many programs to incentivize the efforts Chhattisgarh,
are placed at Shahi. We have dedicated post-placement teams of the industry in creating jobs in Bihar, Madhya
in Bangalore, Odisha, Hyderabad, and Noida to support the organized textile and promote Pradesh, West
candidates as they transition into their work lives and help livelihood in India. Bengal, and
alleviate their grievances Assam
After completing the course, individuals receive certifications from the Sector Skill
Council and NSDC, followed by job opportunities at Shahi.

Goal: FY 2022 Recognitions
1
Train 65,000 women
in soft and technical skills by 2024
Best Performance Award by
I come from a family of four
ORMAS for the successful, siblings, and after completing
80+ time-bound completion of five my 12th grade, I had to
Total training centers DDU-GKY projects in Odisha. embrace the responsibility
of supporting my husband
18 and mother. But finding the
Total states covered
right job was challenging
9,542 until I was introduced to the
Total candidates trained in FY 2022: SAMARTH Scheme by a Shahi
2
mobilizer. The training was not
53,542 just a learning experience; it
Best Employer Award by the
Total candidates trained in FY 2019: was truly transformational,
(82% goal achieved) Jharkhand State Livelihood
Promotion Society, Rural equipping me with valuable
Development Department skills and boosting my
award for providing job confidence. I've been working
opportunities under DDU-GKY.
at Shahi Unit-F1, Faridabad,
for about 1.5 years. I couldn't
be more grateful for the
opportunities this scheme
has brought. I believe in the
transformative power of this
program, and I recommend it
Trained Placed Placement Percentage
to all my friends. Their success
Target By 2024 65,000 50,000 75.0% stories, too, inspire and
Cumulative Progress 53,542 40,577 75.8% empower more individuals to
FY 2022 9,542 8,017 84.0% achieve financial independence
FY 2021 (since 2014) 44,000 32,560 74.0% and pursue their dreams.
Goal Achieved 82.4% 81.1%
- Kavita, SAMARTH (Entry-Level)

Upholding Human Rights
Dignity, equality, and justice for every individual is a primary responsibility at Our Human Rights policy extends to all our affiliates and fully-owned subsidiaries
Shahi. We are committed to safeguarding the human rights of our employees, and individuals across all levels, from Directors and Senior Executives to temporary
communities, and supply chain. staff, trainees, and contractors. We encourage our suppliers and subcontractors to
adopt these principles and policies.
Our Human Rights Policy is crucial in reducing the adverse impact on the people
we touch throughout our value chain. The policy closely aligns with:
Local and National

legal mandates
The Bonded Labour System (Abolition) Act, 1976

Child Labour (Prohibition and Regulation) Act, 1986
Minimum Wages Act, 1948
Immoral Traffic (Prevention) Act, 1956
The Factories Act, 1948, and other laws.
International Labor and Buyers’ Code of

Human Rights Standards Conduct
Driving Due Diligence
Our dedication to human rights is exemplified through our rigorous due diligence,
Universal Declaration of Human Rights designed to identify and prevent human rights risks within our operations.
Global Compact Each of our factories undergo numerous audits in alignment with our customers'
Codes of Conduct and relevant certifications. Since 2019, we have proactively
Modern Slavery Act 2015
participated in the Social and Labor Convergence Projects (SLCP). This has
mitigated audit fatigue while establishing a uniform assessment framework for our
factories. In FY 2022, 84% of our factories were covered under SLCP.

Progress on Yarn
Ethically and
Sustainably Sourced
The Yarn Ethically and Sustainably Sourced (YESS) initiative, led by the
Responsible Sourcing Network, strives to eradicate modern slavery from
cotton production at the farm-level. The project aims to track cotton
along supply chains from cotton farms to the finished fabric to identify
modern slavery risks. YESS focuses on enhancing the capabilities of
spinning, weaving, and knitting mills while adhering to the OECD risk-
based due diligence framework. Shahi actively engaged in the YESS pilot
program, gaining valuable insights into combatting forced labor risks
within our supply chain. At the end of FY 2022, we moved towards the
first official assessment under YESS, which will be shared in the FY 2023
report. YESS empowered us to:
Strengthen sourcing practices to curb the entry of forced labor cotton
in our supply chain
Identify, mitigate, and respond to identified red flags

Promoting access to Recourse
In cases where human rights violations stemming from our
business activities are uncovered, we take immediate action by
cooperating and maintaining transparency. Our approach to
remediation is centered around fairness and equity; we ensure
individuals can access remediation through various channels
within our factories and offices. We consistently organize
awareness sessions to foster a deep understanding of human
rights principles.
Our human resources personnel undergo training throughout
induction and employee life cycles. These help prevent bonded
labor, forced labor, human trafficking, indentured labor, and prison
labor.
In instances where child labor violations arise, these cases shall be
investigated, and appropriate remedial and preventive actions will
be undertaken per the appropriate laws.
Listening To Our Employees
Grievance resolution is indispensable at Shahi. It assures

employee well-being, job satisfaction, and mental health. Effective
resolution aids in retaining valued employees and ensures legal
compliance. Furthermore, it upholds the organization's reputation
and provides feedback for improvement.
At Shahi, standard operating procedures facilitate the
implementation of the Grievance Resolution Mechanism (GRM)
across all our units. To assess the efficacy of our factory systems
and drive ongoing enhancements, we introduced Organizational
Development Enabling Officers (EOs), who conduct monthly visits
to our factories. To strengthen GRM understanding, we conduct
specialized training sessions for workers and staff, particularly in
HR, compliance, and production teams. These teams are crucial in
ensuring seamless GRM across our entire workforce.

WE HAVE ESTABLISHED VARIOUS CHANNELS FOR HEARING FROM OUR EMPLOYEES.
Suggestion Boxes Across Factories:

Open Channels with Welfare and
Workers can share suggestions and
HR Personnel: Workers can approach
complaints by dropping them into
welfare and HR officers and the factory
designated boxes throughout the
head to voice concerns and feedback.
factory. HR and OD teams thoroughly
review these submissions and take
appropriate action.
Engaging with Organizational

Development (OD) Professionals: Dedicated Hotline for Each Business
Within the factories, Organizational Division: Each business division
Development (OD) members provide maintains its dedicated hotline number.
support. They actively monitor Workers can use these hotlines to
grievances and facilitate training discuss their issues. These hotlines are
sessions for workers. managed independently by the OD
team.
Mandatory Worker-Management Utilizing the Inache Digital Tool:

Committees: As required by law, Our digital platform, Inache, provides
five elected worker-management an innovative solution for workers to
committees are operational in all communicate directly with HR. Through
factories. These committees serve as Inache, workers can send voice and
formal avenues for addressing worker text messages. This tool is monitored
concerns. Training equips members by the OD team to ensure efficient
to conduct productive meetings and handling of worker communications.
facilitate meaningful dialogue.

Impact of Digital & Anonymous
Inache is a tool that integrates into existing channels of
Grievance Redressal grievance management communication while creating
more transparency. The data is recorded digitally, and the
Realizing that digital mechanisms facilitate quick and transparent interaction,
we collaborated with Good Business Lab (GBL) to study the impact of a worker management can see the issues and take steps to resolve
communication tool. GBL developed Inache, a two way, multilingual and anonymous them timely.
communications tool. This is currently running in 74% of our factories with 80,000
workers. Shahi is on track to achieve 100% accessibility by FY 2024. To measure its - HR Manager
impacts, they conducted a randomized control trial where the treatment group
received dedicated training, and the grievance management team was incentivized
to resolve cases with due quality. While all workers had access to the tool, only the
treatment group was given training on how to use the tool.
As part of the evaluation that concluded in July 2021, GBL also assessed the impact
of incentivizing timely and accurate resolutions for the management.
95% of the cases received during

the pilot were resolved, and 90%
received a satisfactory rating.
12.65% 4%
Reduction in Absenteeism Increase in Productivity
The benefit of this tool is that uneducated people can record

their voice and share their concerns. Also, it has the option
to record in your mother tongue. Some people can’t speak
Hindi, English, or Kannada well, but there is an option to
choose the Oriya language. So they can share their problems
comfortably using that option.
- Line Worker
Encouraging Communication:
I was aware of the company’s
Launching BSafe commitment to addressing
workplace issues. Through
The second crucial component of workers’ voice is building their ability to
understand their voice’s journey in a mammoth-like organization like ours. BSafe, I learned how the “Works
Committee” played a crucial role.
A typical factory floor at Shahi has multiple communication channels for workers
to air concerns and build a healthy culture. Supervisors, Floor Managers, and HR Being able to directly approach
managers play a vital role here. HR or the relevant committee
In FY 2022, we launched BSafe, a two-hour per-worker per-month participatory members extensively trained to
awareness program developed in collaboration with A&F as a knowledge partner, assist promptly is reassuring.
and training partner Kshitij, an NGO. These modules were vetted by the Garment
Labor Union. - Shiva Linga, Unit 31.
This initiative empowers employees by fostering a deeper understanding of
different forms of harassment and remediation methods. This subsequently:
Improved their understanding of violence
Enhanced their capacity to understand various grievance redressal mechanisms
Encouraged them to use the grievance redressal mechanism effectively
Increased their awareness about gender and gender-based violence in the
workplace
Enhanced their awareness about mental health, suicide prevention and
awareness, and cybercrime and its prevention
37 54,726 27,363
Factories covered Hours of training given Workers trained
(68% of our factories)
Goal
Train 100% of our workforce in the first round of BSafe by 2025

EMPOWERED WORKFORCE
At Shahi, workforce empowerment involves a strategic approach emphasizing
soft and technical skills. It also concentrates on enhancing employees’ skills, Training Data (FY 2022) Training data (FY 2021)
knowledge, and capabilities. We create a more competent and adaptable Category of Total Total Training Total Total Training
workforce, contributing to Shahi’s overall competitiveness. Employees Attendees Hours Attendees Hours
Workers 188,5677 1,247,218.75 207,422 933,695
Employees 9,595 82,924.75 7,971 46,508

Our training programs encompass leadership training, soft skills development,
technical training, and education on human rights awareness, to name a few.
7
The number of attendees is higher than Shahi's total workforce because each employee undergoes
multiple trainings.
NURTURING EFFECTIVE MANAGERS AND INSPIRING LEADERSHIP
Management STITCH: Supervisors’ PULSE: Promoting Captain

Development Transformation Into Change Upcoming Leadership Program
Program (MDP) Holders at Shahi Exports
A program designed for new Leadership Program tailored for An 8-month immersive curriculum An upskilling program designed to
managers and emerging leaders who supervisors to enhance their soft skills in leadership through personal and elevate the work environment by
are ascending to higher tiers of the and proficiency in both people interpersonal growth. This program promoting holistic skills in candidates
organizational structure. management and operational equips participants to embody Shahi's chosen from those in line to become
excellence. vision and cultivate a positive and Captains. Candidates undergo
productive work environment. comprehensive training to manage
sewing lines.
15,309 78% 91% 837 Captains

hours of training conducted supervisors trained in STITCH of our goal to train senior appointed and leading the
management was achieved lines across two divisions
13,637
hours of training delivered

PULSE testimonial Cultivating Leaders on the Shopfloor:
Captain Program
Since the training in PULSE, I have been Under the Captain Program, factory lines are led by two high-performing
individuals known as the ‘Captain,’ unanimously selected by the team.
able to implement numerous strategies and
Captains largely tend to be women, given that most workers are women.
techniques, which have positively impacted
Captains are upskilled with soft and technical skills. The system was
my team’s collaboration, productivity, and
first introduced at Unit 37 in Mysore, Karnataka. After successful
morale. One of my key takeaways from implementation, it was scaled to the Men, Bottoms, and Denim Division
the program was “CARRY YOUR OWN and Knits Division.
WEATHER,” which has proven to be an Captain Selection Procedures: Captains are selected by
incredibly powerful statement. It has assessing educational qualifications, language proficiency, tailor
allowed me to be self-reliant and maintain experience, and specific performance achievements.
a positive attitude regardless of external Observations as Batch Monitors: Before promoting an
factors. By staying optimistic and focused individual to the role of Captain, they undergo a monitoring
on solutions, even during challenging period to assess their behavioral and technical competencies.
times, I can inspire my team to do the same Captain Empowerment: Once promoted, Captains are upskilled
and work towards our goals together. in achieving targets and quality, workforce handling, WIP control,
technical knowledge of machines, work SOPs, leadership, and more.
- Garima Sharma, AGM - Marketing, Support and Sustenance: A support team comprising senior
Ladies Specialty Division executives prepares Captains to take responsibility for the team.
Impact:
837 Captains appointed and leading the lines across two divisions
Goal:
To implement the “Captain System” in all cutting, sewing, and finishing

departments of the Knits and Men, Bottoms & Denim Division by 2025.

Upskilling Our Employees
Reinforcing Policies Gap Inc. Business and Personal Development
P.A.C.E. Soft Skills Trainings
The training strengthens
policy commitments A comprehensive life The training We also offer stand-alone
regarding group skills training crafted for encompasses a range modules tailored to the
medical insurance, IT female garment workers, of areas, including email needs of individuals as
training, cybersecurity, encompassing modules etiquette, business well as teams:
environmental on communication, time protocols, effective
Conflict management
sustainability, and and stress management, communication, conflict
orientation training. legal awareness, resolution, relationship Effective
execution excellence, building, interpersonal communication
and more. skill enhancement, Effective leadership
employee engagement, habits
talent oversight, adept
513,357 hours planning, organization, Emotional bank
of training conducted and delegation account
techniques. Emotional intelligence
96% of 2024 goal Giving and receiving

feedback
achieved
Team building
Team engagement
Essential Workplace Trainings

Organizational Health and Safety (OH&S) Prevention of Sexual Harassment (POSH)
Providing education about the significance of Personal Protective Equipment (PPE) Conducting informative sessions about Shahi’s Prevention of Sexual Harassment
within the workplace, alongside comprehensive fire safety training and drills. (POSH) policy, grievance redressal mechanisms, and associated procedures.
66,611 hours
of training conducted

From Stitching
In 2021, Rathnamma became Captain in the cutting department. She proudly
says, “It was recognized that I possessed leadership qualities and the ability
to manage and lead a group of people effectively.”
Threads to But, her desire to learn led her to sign up for STITCH. A takeaway for
Rathnamma was how to motivate her colleagues on a fast-paced factory
Weaving Success floor. Her approach is “grounded and empathetic.”

“Before they begin working on the machine, I make it a point to call them in
advance,” she explains. Her proactive guidance ensures smooth transitions
for her team from one style to another.
Rathnamma’s incredible story of training under almost all of Shahi’s
Her dedication to her work and community is evident in her election as a
programs to leading a line of her own and striving for a better workplace.
committee member. Currently, she serves as an EHS committee member,
“There was a school in my village, Chiknallie, opposite my house. For focusing on the well-being and safety of her fellow workers.
almost seven years, I served as a teacher there,” Rathnamma said; her
“If I could speak to my younger self, I would convey a message of resilience
eyes sparkled, and a wide smile embraced her face.
and pride. I would tell my younger self that she once may have felt confined
Rathnamma, a resilient and determined individual hailing from like a frog in a well but broke free of those limitations.” Rathnamma pursued
Pandavapura, Mysore, has a story that embodies perseverance and her dreams, acquired new skills through hard work, and emerged as a leader,
adaptability within the backdrop of a close-knit, rural community. She has all while remaining deeply committed to her family and community.
remained a valued member at Shahi in Mysore for four years.
The sparkle turned into a determined fire when asked why she moved to
Srirangapatna. She has a singular goal, “So that my children can have a
good education. I am passionate about ensuring my kids receive a good
education.”
She joined Shahi as a tailor and was enrolled in the Gap Inc. P.A.C.E.
Program.
“When I was first introduced to the Gap Inc. P.A.C.E. program, a group of
us humorously mistook it as the FACE program. I was puzzled, wondering
what they would teach us about faces and related topics,” she chuckled.
However, designed to support career and personal life development, the
program unveiled new perspectives and insights. “It helped me see things
from a different perspective and highlighted areas where improvements
could be made. I also learned how to approach my responsibilities at work
and within my family.” Rathnamma’s growth, adaptability, and pride are
evident.

EMPLOYEE HEALTH &
WELLBEING
WE HAVE ESTABLISHED OUR GOALS AND ARE DEDICATED TO:
We strongly emphasize the well-being of our employees. Shahi continuously
implements various measures to ensure the holistic welfare of its workforce.
Complying with all relevant safety laws, regulations, and
Prioritizing Employee Safety at the

requirements
Workplace Implementing process safety and management strategies,

including safety committees, audits, risk assessments, and
The first element of employee well-being is safety. Our organization has a well-
documenting safety-related data
defined occupational health and safety management (OHSM) system per the
Factories Act, 1948. The OHSMS is based on the standards prescribed by the
International Labour Organization. It covers all our employees, activities, and Creating a workplace free from injuries by fostering strong
workplaces. employee engagement
We have dedicated Safety and Well-being Officers at each unit ensuring
Risk Assessment and Safety Preparedness

everyone’s safety. They are the guardians of compliance, ensuring all safety
measures are followed without compromise.
We have established a comprehensive range of policies, from Risk Analysis to
Environment Health and Safety (EHS).
An EHS Committee diligently assesses all functions in each factory, ensures
health and safety performance, and undertakes risk identification. We prioritize
adherence to safety standards and enhance our capabilities in swiftly identifying
and managing potential hazards.

Employee Healthcare Health Camps at Shahi
Within all our facilities, we have established fully equipped medical centers with This year, we organized diverse health camps
skilled medical teams comprising nurses and doctors to address primary injuries for our employees to provide convenient
and provide direct medical care. Furthermore, our employees and workers benefit access to healthcare services. This initiative
from coverage under the Employees’ State Insurance (ESI). helped them undergo vital check-ups and
screenings without taking time off work.
We conduct extensive safety training, health camps, and awareness sessions to
empower our workforce with the knowledge necessary to minimize risks. We Anemia Detection Camps
reduce the likelihood of workplace fatalities by raising consciousness among our
employees. Anemia is a common condition that can
impact an individual's vitality, efficiency, and
overall well-being. To proactively address
this issue, we organized Anemia detection
camps across 13 units. Through this
initiative, in addition to raising awareness
about Anemia, we distributed iron capsules
to enhance their health and vitality.
Audiometry Camps
Our commitment to health led us to host
Audiometry camps, where our employees
could undergo comprehensive hearing
assessments. These camps helped detect
potential hearing issues and raise awareness
about maintaining healthy auditory
functions.
ESIC Camps
To ensure employee security, we organized
an Employee State Insurance Corporation
(ESIC) Camp. This initiative educated
our workforce about the benefits and
provisions available under the ESIC scheme.
By addressing queries and assisting
registrations, we empowered our employees
with the knowledge on how to access their
entitled benefits.

Eye Health Program
In India, 55 million people suffer from presbyopia, the degeneration of An onsite vision screening camp where skilled optometrists conducted
sight related to age. Apart from the enormous negative impact on life diagnosis of vision errors. Following the vision camp, workers in the
quality, untreated visual impairments are estimated to cost the Indian treatment group of the study were given glasses. Our factory supervisors
economy $37 billion in productivity losses annually. The high cost of vision were trained to carry out activities to encourage glasses among the workers
tests, purchase of glasses, follow-up visits, and social costs are all factors and provide simple solutions to glasses-related problems. The preliminary
that deter low-income groups—especially women—from undertaking assessment shows 45% adherence to wearing glasses.
quality eye care.
A 2018 study by VisionSpring on Indian tea pickers showed that the
provision of spectacles improved their productivity by 21.7%—and for
those aged over 50, the increase was 31.6%.
The predominantly female workforce of the Indian garment manufacturing
industry provides solid testing grounds for addressing this. Since 2020,
Shahi has become a site for a similar study led by Good Business Lab,
powered by VisionSpring. The Eye Health Program was born. This is
a low-cost scalable program delivered in garment factories to address
presbyopia and study the impact of providing free spectacles on women
workers’ well-being and firm productivity.
13,369 480
workers screened management staff screened
11 592
factories screened spectacles distributed

Supporting
Postnatal Care
and Crèche
Facility
At Shahi, women constitute 70%
of our workforce. To establish a
work environment that promotes
their well-being and work-
life balance, we established
a crèche facility across all our
units. Our crèche care has been
crafted to offer a secure and
nurturing environment for the
children of our employees aged
below six years. We understand
the challenges associated
with balancing professional
responsibilities and parenting
duties. Significant attention has
been given to ensuring that the
crèche meets the highest hygiene
and child development standards.
Our staff members are trained
to deliver optimal care for the
children.

CORPORATE SOCIAL RESPONSIBILITY
Serve, uplift, and transform communities for a sustainable future.
Corporate Social Responsibility (CSR) is an arm of our Responsible for People mission that extends our learnings from worker well-being initiatives to our
communities. Our purpose to uplift people emerges from our founder’s understanding of the ripple effect triggered by meaningful employment. The transformation
of people’s lives through our employees is a motivation to dedicate our energies toward our focus areas.
Key Highlights
38,276 2,000 9,384

total beneficiaries reached students and teachers reached 90-100% mothers and children
through mini-STEM labs in FY 2022, attendance increased due to
through our CSR programs reached with essential
surpassing our 2025 goal. Our new better school infrastructure
in FY 2022 health services
goal is to reach 6,000 beneficiaries.
Expanded Migrant Support Center 79% 91%

to migrants from Bihar of goal met to distribute of target households are
menstrual cups properly segregating waste
New Goals
Improve solid waste
10,000 Launched Project Swabhiman 573 women management practices
with Know Me India Trust to positively impacted by Soft in communities for
students to be reached in
underserved schools through school help skill380 women at-risk of Skill Training, and aim to reach
150,000
development projects by 2025 trafficking by 2025 1,500 by 2025
beneficiaries by 2025

Our Corporate Social Responsibility Focus Areas
To carry this spirit, our programs address the geographic needs of our communities. Our mission is to:
Focus Area Target Beneficiaries Programs
Women, youth, and low-income, underprivileged

Migrant welfare Migrant Support Center
communities
Samarthanam
Women, youth, and low-income, underprivileged Swabhiman Project*
Promote and provide access to soft and technical
communities Soft Skill Training for Women*
skills and sustained employment
Soukyam
Swasth Parivar: Satellite Clinic
Drive better health and life expectancy for women,
Women, children, migrants, and blue-collar worker Maternal Child Health and Nutrition
children, and low-income and marginalized
Menstrual Cup Awareness
communities
Shikshanam Learners (3-16 years), underdeveloped and

Mini Science Lab: STEM Learning
Elevate access to foundational literacy for school- underfunded schools, universities, and anganwadi
School Development Projects*
going learners centers
All age groups from at-risk communities and Solid Waste Management*
Swacchatam
ecosystems Ankuram: Tree Plantation
Facilitate a better living environment
*New Projects in FY 2022
We have a holistic CSR policy in place that guides our CSR committee in implementing and overseeing our CSR projects. We carefully select, implement,
and monitor our social engagement. We engage with communities directly and through implementation agencies.

Migrant Support Center Expanding Access to MSC Services
In September 2022, we partnered with Bihar Rural Livelihood Promotion Society
Beneficiaries Reached in FY 2022: 4,347 (BRLPS)–JEEViKA to support migrants from Bihar. The center was set up in
Target Segment: Youths and adults, parents from Odisha and Bihar Bengaluru and registered nearly 900 migrants from Bihar in FY 2022.
Partners: Odisha Rural Development and Marketing Society (ORMAS), Bihar We conduct awareness sessions for youth on various topics such as financial and
Rural Livelihood Promotion Society (BRLPS)–JEEViKA legal literacy. Additionally, we organize workshops to address health-related issues
and arrange regular health camps. Furthermore, we offer placement opportunities
Location: Bengaluru, Odisha, and Bihar and maintain a 24-hour helpline for support.
Internal migration in India comes with many challenges. Moving from their
hometowns to a new place is really tough for migrants. Since 2021, we have
operated the Migration Support Center (MSC) for migrants employed in various
industries across Bengaluru. Through this initiative, we assist rural youth from
Odisha and Bihar who have been trained under the Deen Dayal Upadhyaya Impact:
Grameen Kaushalya Yojana (DDU-GKY) and are subsequently placed in
Bengaluru. Placed Odisha youths in Bengaluru companies
successfully
Implemented MSC training and awareness sessions
for empowered youth to secure workplace promotions
978
Youth were promoted at higher
positions through MSC support
3 4
Alumni meets Parents meets

SAMARTHANAM |
SKILL DEVELOPMENT
Swabhiman Project
Impact:
Beneficiaries Reached in FY 2022: 78
Fostering financial independence within the security of their families
Program Partner: Know Me India Trust (KMIT)
Elevating their quality of life as they inspire other survivors
Target Segment: At-risk women and victims of trafficking
Location: Jharsuguda and Odisha
Victims of trafficking often suffer physical, emotional, and psychological trauma. Threads of Change
They can heal and rehabilitate with proper support. Our initiative extends help to Sangita Mahato is a determined 19-year-old girl from Ganganagar, Odisha. She
women victims of trafficking. Through our outreach program, we provide a safe completed her education till 10th grade, but her family’s sole income comes from
space for these women to rebuild their lives. Our efforts provide comprehensive vending panipuri, which is insufficient to manage their expenses and her siblings’
technical and soft skills training and equip them with tools to regain education. Sangita’s life took a turn when she learned about our project through
independence. Beyond training, we remain dedicated to creating meaningful job her friends at the Know Me India Trust. After 45 days of training, she secured a
opportunities, facilitating placements, and extending support for self-employment. placement opportunity. Today, she proudly contributes to her family’s sustenance.
We empower these women to overcome challenges towards a brighter future. Sangita personifies the transformative impact of skill development initiatives.

Soft Skill Training for Women
Program Partner: Kshitij NGO
Target Segment: Women aged between 18 to 50
Location: Rural locations in Karnataka, Tamil Nadu,
and Andhra Pradesh
With the right skills and knowledge, women can

effectively navigate challenges, thrive professionally, and
positively contribute to their communities. Our initiative
improves knowledge, skills, attitudes, and behaviors
through soft skill training. We actively encourage
micro-enterprise activities among women, supporting
their economic empowerment. Furthermore, we hold
interactive sessions in collaboration with the Indian Postal
Department to promote awareness about social security
and insurance schemes. Additionally, we organized
a session with the Karnataka State Police to provide
insights into taking appropriate actions.
Impact:
573 women utilized their training to enhance

their financial condition and health

SOUKYAM |
HEALTH
Threads of Change
Swasth Parivar: Satellite Clinic
Anusha, a 23-year-old resident of Peenya, worked as a tailor in a garment
Program Partner: Family Planning Association of India (FPAI) factory. Over three years, she experienced fatigue, irregular heartbeats,
dizziness, chest pain, and more. Her household responsibilities led her to
Beneficiaries Reached in FY 2022: 5,123
neglect her well-being.
Target Segment: Daily wage earners, women around our factories, hospitality staff
However, her path to improved health began when she became aware
Location: Peenya and Bengaluru of our community awareness program organized by the Satellite Clinic.
During her visit, she discovered that she was suffering from anemia.
To cater to the reproductive and sexual health of individuals seeking non-surgical With the guidance of medical professionals, she received necessary
healthcare, we have established a satellite clinic to extend preventive services. medication and underwent follow-up care for three months. Her health
Through this initiative, we offer comprehensive services that promote reproductive improved to positively change her life.
well-being and provide accessible care to those who might face barriers to
healthcare. Additionally, we collaborated with government health departments to
expand our outreach efforts to nurture their overall well-being.
`
Impact:
Improved community health, especially among anemic women with SRH issues
Fulfilled basic healthcare needs for most patients through satellite clinic
`
Impact:
16 For SRH Services For Non-SRH Services

Outreach Sessions
Community Outreach 1,848 1,125

In-Clinic 1,503 647
Maternal Child Health and Nutrition
Threads of Change
Beneficiaries Reached in FY 2022: 9,348
Kruthi is a three-month-old baby from the Mandya district. Her mom stopped
Program Partner: Bal Raksha Bharat (Save the Children, India) working in the garment factory when she got pregnant. The pregnancy went
Target Segment: Pregnant women, children, ASHA workers, anganwadi well. However, when the baby was two months old, her mom noticed she wasn’t
workers, and CDPO health workers developing like other babies. The baby often got sick, had problems with her skin
and hair, and seemed upset and dizzy.
Location: Mandya, Tumkur, and Bengaluru Rural
The anganwadi workers, ASHA workers, and the health department did not
notice these issues. Then, our team visited their home and saw the baby’s health
problems. We intimated anganwadi workers, ASHA workers, and health officers
Recognizing the significance of maternal and child health and nutrition care, we
about the child’s condition. They took action immediately and informed the
undertook the initiative to enhance these services. Our goal was to effectively
mother about how to care for the baby’s health and nutrition for the first 1,000
diminish the rates of maternal, prenatal, infant, and childhood mortality and
days. Now, her baby is growing and developing like she should be.
morbidity, making a substantial impact on the well-being of both mothers and
children. Through this initiative, we assessed the MCHN needs of the communities
by conducting health screening sessions, check-ups, and counseling. We
conducted capacity-building programs in collaboration with ICDS and health
departments to strengthen expertise in these domains.
Impact:
Detected cases of Severe Acute Malnutrition

(SAM) and Moderate Acute Malnutrition (MAM)
among children and ensured proper referral
and subsequent monitoring of their treatment
Supplied teaching learning materials to

anganwadi centers and promoted an engaging
learning environment
24 Anganwadis beautified in BLES

activities

Menstrual Cup Awareness
Beneficiaries Reached in FY 2022: 3,592 Threads of Change
Program Partner: Shakthi NGO Usha, a 32-year-old homemaker residing in Nandini Layout, Bengaluru, had
distressing periods. Dealing with heavy bleeding meant she had to use 8-10
Target Segment: Women aged between 25 to 45 pads each cycle, a costly affair given her financial situation. As a Self-Help Group
Location: Karnataka (Bengaluru, Mysuru, Haveri, Mandya, Kolar) and Tamil Nadu (SHG) member in her community, she joined a session organized by Shakthi at
(Hosur, Krishnagiri) the anganwadi center. This session highlighted effective practices for managing
menstrual hygiene.
Menstrual health is a fundamental aspect of womens’ overall well-being. However,
Discovering the menstrual cup during the training, Usha gave it a shot. To her
women from low-income communities often face barriers to accessing proper
delight, she adapted to it effortlessly. She is convinced she won’t resort to any
menstrual hygiene products, which can lead to health issues and discomfort. To
other method. She finds it so comfortable that she often forgets that she is on her
bridge this gap, we raised awareness about sustainable menstrual management
period. It has transformed her menstrual experience. She is now on a mission to
practices, such as using menstrual cups. The women were informed about
spread awareness about the cup’s advantages.
menstrual hygiene best practices and provided with menstrual cups. Two follow-up
sessions were also conducted to ensure usage and collect feedback.
Impact:
Taught 3,592 participants about proper menstrual hygiene practices

Gave 2,854 women menstrual cups, witnessing with a 79% utilization
rate

SHIKSHANAM |
EDUCATION
Threads of Change
Mini Science Lab Shashank O.S. is a student at J.G. High School in Javanagondanahalli-Hiriyur. He
won the first prize in the National STEM Program Cluster-Level Competition. His
Beneficiaries Reached in FY 2022: 2,050 project was a cable car that demonstrated how STEM concepts solve problems.
His creation was chosen amongst 10 students from five different schools. The mini-
Program Partner: STEM Learning science center at his school, made by Shahi in partnership with STEM Learning,
Target Segment: Children, Teachers, and SDMC members helped him implement his knowledge.
Location: Kolar, Kuppam, Krishnagiri, Maddur, Hiriyur, T Narasipura,

Arakere, and Hassan
To encourage students' interest in science, math, and technology through hands- Cable Cars offer a way to travel long
on learning, we delivered 80 models based on 150 science and mathematics distances and ease traffic congestion
concepts to each school. We also trained teachers to effectively utilize these quickly. The STEM lab, sponsored by Shahi
models. The interests of children were raised using DIY activities. The project's
progress is evaluated on a half-yearly basis.
at my school, greatly aided my exploration
of this concept.
Shashank O.S.
Impact:
Established Eight Mini Centers, reached 13 schools so far

Enhanced engagement in school practical sessions
Elevated science and math performance through STEM Lab integration
Stimulated innovation, creativity, and experimentation
Showcased learning through state-level competition participation
Surpassed our target of reaching 2,000 students by 2025

School Development Projects Coaching Classes for SSLC Students
Beneficiaries Reached in FY 2022: 1,004 Beneficiaries Reached in FY 2022: 549
Target Segment: Government schools, Students, and Teachers Program Partner: Kabir Trust
Location: Bengaluru, Mysuru, and Hassan Target Segment: Secondary School Leaving Certificate (SSLC) students from
public and private schools and supplementary students
Realizing the importance of proper learning infrastructure for boosting the Location: RT Nagar, Bengaluru
learning competencies of students, we extended support for improving facilities at
government institutes. We built libraries, and set up benches and Nali Kali tables To enhance accessibility to higher education at the college-level and help students
for comfortable seating. Classrooms were digitized through smart TVs, printers, build solid foundations to clear the SSLC examination, we arranged free-of-charge
computers, and projectors. We also renovated toilets to ensure hygienic conditions early morning classes where well-versed and experienced teachers imparted their
and provided sports materials for physical education and uniforms to children. knowledge. The classes included Kannada, Mathematics, Science, and Social
Science. Students were rewarded for exemplary performance. A valediction
ceremony was organized to praise students and teachers for their efforts.
Impact:
Enhanced aspirations through 90-100% school attendance

Impact:
Fostered innovation via increased state-level competition involvement Enrolled and supported 999 students since the inception of this
Improved annual exam results program in 2021
Witnessed a surge in applications for the 2023-2024 academic year Enhanced self-assurance among students in tackling and
attaining favorable scores in the SSLC examination
Granted access to improved avenues for future educational
opportunities

SWACCHATAM |
ENVIRONMENTAL SUSTAINABILITY
Solid Waste Management in the project by consistently monitoring Bruhat Bengaluru Mahanagara Palike
(BBMP) waste collection vehicles. Additionally, we improved the aesthetics of waste
dumping points and distributed dustbins and bags to households and nearby
Beneficiaries Reached in FY 2022: 13,025 shops. We utilized Information, Education, and Communication (IEC) materials to
enhance communication effectiveness and encourage behavioral changes.
Program Partner: Saahas
Target Segment: Community, schools, markets, households, commercial shops,
vegetable vendors, public Impact:
Location: Arekere, Bengaluru
Promoted waste segregation to 3,623 households
Waste management is crucial for maintaining a healthy environment and
Influenced 91% of households to properly segregate and give waste
safeguarding public health. We established a robust waste management model
to BBMP vehicles
near Arekere Lake and reduced waste dumping into the lake.
Diverted 370 tons of wet and 230 tons of dry waste from landfills for
Our volunteers went door-to-door to raise awareness about household waste
recycling and reuse
disposal and conducted campaigns for shops. We ensured their participation

Ankuram: Tree Plantation
Target Segment: Local Community and Schools
Location: Faridabad, Ghaziabad
Impact:
The significance of trees within our ecosystem and daily existence is immeasurable. A total of 10,000 saplings were planted in 2 years
To address critical issues, such as deforestation and soil erosion, we launched Transformed open areas into lush green spaces, enhancing local air
a tree plantation initiative. To reduce carbon footprint effectively, we planted quality
7,000 trees in communities, schools, temples, and forests. We have fostered
Increased awareness among school students, parents, stakeholders,
a sense of responsibility towards nature by conducting campaigns in schools
and the community regarding the significance of planting trees and
and communities. The initiative was further strengthened by active community
their responsibilities in this regard
participation during the planting process. A gardener monitored all the planted
trees to ensure their safety.

GRI CONTENT INDEX
Statement of Use Shahi Exports Private Limited has reported the information cited in this GRI Content Index for the period between 1st April 2022 to 31st
March 2023 with reference to the GRI Standards.
GRI Used GRI 1: Foundation 2021
GRI Standard and

Reference/In Accordance Section
Disclosure
GRI 2: General Disclosures 2021
See locations on the website

2-1 Organizational details
https://www.shahi.co.in/contact/
2-2 Entities included in the organization’s sustainability reporting About the Report
2-3 Reporting period, frequency, and contact point About the Report
2-4 Restatements of information Available throughout where relevant
2-5 External assurance About the Report, External Assurance
2-6 Activities, value chain, and other business relationships About Shahi
2-7 Employees Our Diverse Workforce
2-8 Workers who are not employees Our Diverse Workforce
2-9 Governance structure and composition Governance
2-10 Nomination and selection of the highest governance body Governance
2-11 Chair of the highest governance body Governance
Role of the highest governance body in overseeing the

2-12 Governance
management of impacts
2-13 Delegation of responsibility for managing impact ESG Governance

GRI Standard and
Disclosure
2-14 Role of the highest governance body in sustainability reporting Governance
2-15 Conflicts of interest Information unavailable
2-16 Communication of critical concerns ESG Governance
2-17 Collective knowledge of the highest governance body Information unavailable
2-18 Evaluation of the performance of the highest governance body Information unavailable
2-19 Remuneration policies Information unavailable
2-20 Process to determine remuneration Information unavailable
2-21 Annual total compensation ratio Information unavailable
2-22 Statement on sustainable development strategy Message from our Chairperson

Our Policies
2-23 Policy commitments
The Policy commitments have been defined in the Sustainability Policy.
FY 2022 Progress,
Our ‘Responsible for’ Framework,
Energy and Emissions, Chemical Stewardship,
Water Efficiency,
Waste for Circularity,
2-24 Embedding policy commitments
Innovation for the Planet,
Fostering a fair and respectful workplace,
Upholding Human Rights,
Empowered Workforce,
Corporate Social Responsibility.

GRI Standard and
Disclosure
Materiality Assessment,
Managing Our Emissions,
Managing Our Effluents,
2-25 Processes to remediate negative impacts Investing in the lives we touch,
Partnerships for People,
Upholding Human Rights,
Employee well being and benefits.
FY 2022 Progress,
Fostering a fair and respectful workplace,
2-26 Mechanisms for seeking advice and raising concerns
Empowered Workforce,
Encouraging Communication:Launching BSafe.
2-27 Compliance with laws and regulations Governance
2-28 Membership associations Memberships
2-29 Approach to stakeholder engagement Stakeholder Engagement Approach to Materiality Assessment
2-30 Collective bargaining agreements Fostering a Fair and Respectful Workplace
GRI 3: Material Topics 2021
3-1 Process to determine material topics Stakeholder Engagement Approach to Materiality Assessment
3-2 List of material topics Materiality Assessment
3-3 Management of material topics Materiality Assessment
Energy
302-1 Energy consumption within the organization Energy Consumptions in Our Operations

GRI Standard and
Disclosure
302-3 Energy intensity Managing Our Emissions
Water and Effluents 2018
303-1 Interactions with water as a shared resource Water Efficiency
303-2 Management of water discharge-related impacts Managing Our Effluents
303-5 Water consumption Water Consumption in Our Operations
Emissions
305-1 Direct (Scope 1) GHG emissions Managing Our Emissions
305-2 Energy indirect (Scope 2) GHG emissions Managing Our Emissions
305- 4 GHG emissions intensity Managing Our Emissions
Waste
306-1 Waste generation and significant waste-related impact Waste for Circularity
306-2 Management of significant waste-related impact Managing Fabric Waste for a Sustainable Future
306-3 Waste generated Waste for Circularity
Occupational Health and Safety 2018
403-1 Occupational health and safety management system Prioritizing employee safety at the workplace
403-2 Hazard identification, risk assessment, and incident investigation Risk Assessment and Safety Preparedness
403-3 Occupational health services Employee Health
403-5 Worker training on occupational health and safety Essential Workplace Training
Workers covered by an occupational health and safety

403-8 Prioritizing employee safety at the workplace
management system

GRI Standard and
Disclosure
Training and Education 2016
FY 2022 Progress
404-1 Average hours of training per year per employee Moving the Needle: For Planet
Moving the Needle: For People
Programs for upgrading employee skills and transition FY 2022 Progress

404-2
assistance programs Responsible for People: recruitment and talent management
Non-discrimination 2016
406-1 Incidents of discrimination and corrective actions taken Upholding human rights
Freedom of Association and Collective Bargaining
Operations in which, and suppliers for whom, the right to Fostering a fair and respectful workplace
407-1
freedom of association and collective bargaining may be at risk Upholding human rights
Child Labour 2016
Operations and suppliers at significant risk of incidents of child

408-1 Upholding human rights
labour
Forced or Compulsory Labour 2016
Operations and suppliers at significant risk for incidents of

409-1 Upholding human rights
forced or compulsory labour
Local Communities
Operations with local community engagement, impact

413-1 Corporate Social Responsibility
assessments, and development programs
Operations with significant actual and potential negative

413-2 Corporate Social Responsibility
impacts on local communities

| Report drafted by: InCorp Advisory | Designed by: SGA Adsvita creation | Assured by: TÜV SÜD South Asia Pvt Ltd. |
| Photos by: Ankit Bannerjee and Rahul Duhan | Edited by: Ragini Anand |
EXPORTS PVT. LTD.
https://www.shahi.co.in/sustainability/
https://www.linkedin.com/company/shahi-exports-pvt-ltd/

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Moving The

About the Report: Moving The

Moving the Needle

For further information, please write to us at

For media queries, please write to us at

4 Shahi Exports Pvt. Ltd.

Supplier of Choice for leading global

Quality Customer Service

Karnataka Andhra 8 50+

6 Shahi Exports Pvt. Ltd.

Spinning Knitting and Weaving and Garmenting

Sustainability Report FY 2022 7

8 Shahi Exports Pvt. Ltd.

The Cotton Textiles Export Apparel Export Confederation of FICCI

ASSOCHAM GEMA Textiles CMAI

Our collaborative efforts extend further as we work closely with the:

Federation of Indian Export Confederation of Indian Textile

Together, we are shaping the textile industry and driving progress.

Sustainability Report FY 2022 9

Responsible for Planet Responsible for People

Aim: To protect the environment Aim: To nurture a growth-oriented

Chemical & Materials Stewardship: Align with global

10 Shahi Exports Pvt. Ltd.

2021 Performance 2022 Performance

To achieve 100% renewable

To achieve 85% recycled water

Water and To achieve 75% recycled water

Sustainability Report FY 2022 11

FY 2018 To have all factories under SLCP FY 2024 79% 84%

FY 2021 To have Inache tool in all factories FY 2024 57% 74%

To train 90,000 females in Gap Inc. 74,000 86,492

FY 2019 To train 100% supervisors in STITCH FY 2024 41% 78%

To enrol 500 leaders in eight-months

To train 65,000 women in soft and

12 Shahi Exports Pvt. Ltd.

To extend sexual and reproductive 5,123 (25%)

To support 10,000 migrant workers

To reach 15,000 beneficiaries

To impact 7,000 women under the 4,227

To plant 21,000 trees in the 10,000

Sustainability Report FY 2022 13

14 Shahi Exports Pvt. Ltd.

Business and Social

3 Best Performance Award

Sustainability Report FY 2022 15

In Partnership With Our Role

16 Shahi Exports Pvt. Ltd.

18 Shahi Exports Pvt. Ltd.

CSR Committee Executive Committee

2 Recommending the amount of expenditure to be incurred on

3 Reviewing the CSR Policy of the Company annually.

4 Formulating and recommending an Annual Action Plan (AAP)

The EC makes key decisions on ESG performance and

Sustainability Report FY 2022 19

Training and Development

ESG divisional and unit teams

20 Shahi Exports Pvt. Ltd.

ENVIRONMENT SOCIAL GOVERNANCE

Sustainability Policy Health Policy Code of Conduct

ontinually monitoring and preventing leakages