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Home Corporate Social Responsibility

UPL Limited spends 45% of standalone PAT on Corporate Social Responsibility (CSR) in FY20-21

India CSR by India CSR
in Corporate Social Responsibility, Prime
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UPL Limited spends 45% of standalone PAT on Corporate Social Responsibility (CSR) in FY20-21
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UPL Limited has spent the prescribed CSR budget in the financial year 2020-21, spending a total of Rs 100 Crore on its CSR initiatives, which includes Rs. 75 crores contribution to the PM Cares Fund in assisting the government to fight against COVID-19.

For the reviewed year, the total spending on CSR as percentage of profit after tax was 45%. Total Profit after taxes for the year was Rs. 220 crores.

Company claimed that it has benefited 10 lakh people during the year.

The Indian multi-national company which manufactures and markets agro-chemicals, industrial chemicals and also offers products for crop protection had a prescribed CSR budget of Rs 9 Crore for the financial year 2019-20.

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Last year, UPL spent 178% of the prescribed CSR budget, spending a total of Rs 16 Crore on its CSR initiatives. The Mumbai-headquartered company went far beyond the mandatory limit by spending a close to Rs 7 Crore more on its CSR projects.

CSR Spending Trend for the past 5 years

SL No.Amount in Crore RupeesYear/ % of profit after tax
1.1002020-21 (45%)
2.162019-20 (3.5%)
3.182018-19 (4.4%)
4.202017-18 (3.7%)
5.232016-17 (9.7%)
(India CSR Research)

The company spent its CSR funds mainly towards Institutions of Excellence, Sustainable Livelihood, Nature Conservation, Local and National Needs and Disaster Response (including COVID-19).

UPL Strategy for CSR initiatives focus on participation of the stakeholders/ community in all stages of the project cycle. All our interventions emphasize on the needs, strengths and growth of the community, the company said.

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CSR Focus of UPL Limited: Source: Annual Report.

Impact assessment

The Company conducts third-party impact assessment for all the CSR initiatives to measure the long-term impact of the interventions in a period of three years. Lately, the Company has conducted a third party assessment study in 2016 where the results were very inspiring both at the macro and micro level. Additionally, the in-house team conducts a need assessment survey before execution of the programmes/ projects and performs regular internal monitoring to validate the initiative in between.

CSR implementation

The Company has a dedicated in-house experienced CSR team and UPL promoted foundations to make the plans and execute the CSR programmes. Apart from this, UPL also engages with third parties, Government organisations, NGO’s, CBO’s, and PRIs to perform specific programmes/projects considering the community needs and requirements.

CSR Committee

The CSR Committee comprises one Promoter Director, one Independent Director and one Executive Director. The Committee (CSR) currently comprises 3 (three) directors including one independent director:  Vikram Shroff (Chairman), Pradeep Goyal and Arun Ashar. The composition of the Committee is in compliance with the Act. The Company Secretary acts as the Secretary to the Committee.

During the year under review, Sandra Shroff ceased to be the Chairperson of the Committee w.e.f. August 31, 2020. Arun Ashar was appointed as a member and Vikram Shroff was re-designated as Chairman of the Committee w.e.f. October 1, 2020.

Corporate Social Responsibility Policy

The CSR policy of UPL aims to identify and support all projects/programs undertaken as a part of the organisation’s Corporate Social Responsibilities within the framework of Schedule VII of the Companies Act, 2013 and the Companies (Corporate Social Responsibility Policy) Rules, 2014. The policy serves as a guiding document to help identify, execute and monitor CSR projects in keeping with the spirit of the policy.

CSR in India

As per Section 135 of the Indian Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least 2% of its average net profit computed as mandated by the Act for the immediately preceding three financial years on CSR activities. The Act prescribes that every company having a net worth of Rs. 500 crore or more, or turnover of Rs. 1,000 crore or more, or a net profit of Rs. 5 crore or more during any financial year shall ensure that it spends, in every financial year, at least 2% of the average net profits computed as mandated by the Act, in pursuance of its CSR Policy.

(India CSR)


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Tags: Corporate Social Responsibility of UPLCSR of UPL Limited
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India CSR

India CSR is the largest media on CSR and sustainability offering diverse content across multisectoral issues on business responsibility. It covers Sustainable Development, Corporate Social Responsibility (CSR), Sustainability, and related issues in India. Founded in 2009, the organisation aspires to become a globally admired media that offers valuable information to its readers through responsible reporting.

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