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California Transparency Statement

DISCLOSURE IN COMPLIANCE WITH CALIFORNIA TRANSPARENCY IN SUPPLY CHAINS ACT OF 2010 (SB 657)

The Tata Group’s philosophy of management has always been, and is today more than ever, that corporate enterprises must be managed not merely in the interests of their owners, but equally in those of their employees, of the consumers of their products, of the local community and finally of the countries in which the Tata Group companies do business.¹

The California Transparency in Supply Chains Act of 2010 (SB 657) (the “Act”) requires large retailers and manufacturers doing business in California to disclose their efforts to eradicate slavery and human trafficking from their direct supply chains for tangible goods offered for sale.

Tata Consumer Products is committed to sustainable beverage production and consumption. The Tata Code of Conduct (“TCoC”) guides us in how we purchase raw materials for our manufacturing units. Our Natural Food and Beverages Policy and sustainable sourcing strategy are focused on sustainable agricultural practices providing guidelines to suppliers on sustainable sourcing. Our Natural Food and Beverages Policy also sets minimum requirements for food safety, social and working conditions, occupational health & safety and environmental demands, and agricultural practices at suppliers.

 

Tata Consumer Products’’ sustainable sourcing strategy has been established in order to make Tata Consumer Products' position clear to suppliers and their colleagues, as well as any other parties involved in our supply chain. It is based on the eight core conventions defined in the ILO Declaration on Fundamental Principles and Rights at Work (June 1998 and the Rio Declaration on Environment and Development 1992. Further, Tata Consumer Products recognizes the fundamental principles of human rights as described in the United Nations Universal Declaration of Human Rights (1948) and the TCoC. Tata Consumer Products has also adopted a longterm sustainability strategy that its business shall have an overall positive impact on people and the environment.

 

Regarding the Act, Tata Consumer Products, which has a zero-tolerance policy regarding slavery and trafficking in the Company’s supply chain, performs a preliminary risk assessment of suppliers of its products to determine the level of risk associated with slavery and human trafficking in their supply chains. In addition, Tata Consumer Products is a founding member of Ethical Tea Partnership UK and selectively brands products with the Rain Forest Alliance and Trustea marks that have been audited by third parties for compliance with sustainable agricultural standards regarding wages and working conditions, ecosystem, soil, water & waste, occupational health & safety, traceability and other sustainable agricultural requirements.

In compliance with the Act, Tata Consumer Products ensures extensive third-party audits of all food and beverage product suppliers which audits include food safety, environmental and social responsibility. Tata Consumer Products requires high risk suppliers of its products to provide the Company with independent third-party audits specific to social accountability, including slavery and human trafficking.

Tata Consumer Products is committed to providing safe and best quality foods and beverages to its consumers that will enhance their satisfaction. The Company’s Tetley® tea brand sold in United States of America is 100% sustainably sourced. Further, Tata Consumer Products’ Rooted in Responsibility™ program is partnering with different coffee organizations to support research and coffee farming communities globally.  Our goal is environ mental preservation and to help educate and improve quality of life.

 As part of the Tata Group’s commitment to good corporate citizenship and actively assisting in the improvement of the quality of life of the people in the communities in which we operate, Tata Consumer Products: (i) partners with the United Nations Children Emergency Fund (UNICEF) and the Ethical Tea Partnership to promote child rights and child protection in its supply chain and (ii) on an ongoing basis reviews and when necessary amends its programs and policies to address the subject matter of the Act.

The Company is also one of the funding partners of the UNICEF ‘Improving Lives’ Project in the Assam region of India that works to improve the lives of children, young people, and women living in the region’s tea communities. The program exceeded initial targets at the end of the first phase, equipping 33,000 adolescent girls with the knowledge, skills, and confidence to protect themselves, increase the options open to them, and make informed decisions. Through meetings and awareness drives, approximately 30,000 community members have been trained to protect children from violence, abuse, and exploitation through meetings and awareness drives. The second phase of the program looks to expand its benefits to 250,000 women and children in eight districts of Assam.

Tata Consumer Products is committed to the TCoC, which represents the values and core principles that guide the conduct of every Tata Group business. The Company is committed to ethical and socially responsible conduct in the workplace.  The TCOC states that, “We shall respect the human rights and dignity of all our stakeholders.” The TCoC further states that, “We do not employ children at our workplaces. We do not use forced labor in any form.”

At the commencement of employment, all Tata Consumer Products employees are required to acknowledge that they have received and read the TCoC and certify that they will comply with the provisions at all times during their employment.  All Tata Consumer Products employees are required to recertify compliance with the TCoC as amendments are periodically made to it by management.  Violations of the TCoC by employees may result in disciplinary action up to discharge. Violations by contractors may result in their dismissal.

Tata Consumer Products’ training program educates its team members responsible for buying, blending and supply chain management about the principles underlining its standards relating to social issues including slavery, forced labor and human trafficking, and provides education on how to identify and respond to supply chain issues, such as slavery, forced labor and human trafficking. The company has established a Global Cross Functional Working Group on supply chain transparency with the objective of creating a structured process for demonstrating compliance, identifying challenges, finding solutions, sharing knowledge, expertise and best practices while developing training modules, due diligence and action plans.

To learn more about Tata Consumer Products responsible business practices, please visit https://www.tataconsumer products.com/sustainability which details our various social sustainability initiatives.  It is Tata Consumer Products’ intent to inform its customers and other interested consumers of our initiatives to ensure that our supply chain is free of forced or trafficked labor.

¹J.R.D. Tata – Chairman, Tata Sons (1938-1991)