A sustainable business module is the key to the growth of a business, said Sanjiv Mehta, Chairman and MD, HUL.
Speaking at the 21st World Congress of Accountants in Mumbai on Monday, Mehta said the FMCG major opting for a sustainable business strategy in 2010 helped in the growth of the company’s business profile.
“India is committed to reducing carbon emission of GDP by 45 per cent by 2030. At Unilever, we have believed a responsible sustainable business makes us a stronger business. In 2010, Unilever adopted a sustainable plan and 10 years later, it has been reflected in our business. In India, purposed-led brands are growing faster than the rest of our portfolio. We have reduced costs from sustainable sourcing and eco-efficiency,” he said.
Talking about the survival of businesses, Mehta mentioned that businesses should create value, not just for the shareholders, but for every stakeholder. “We must share the benefit of capitalism in such a way as to take away the misery of the society,” he said.
Sustainability should be ensured in the business strategy along with linking sustainable business measures to value, collaborating across the integrated value chains and communicating the story of sustainability to consumers, he emphasised.
Commenting on product price hikes and commodity prices, Mehta said the issues will be addressed with the de-escalation of the Russia-Ukraine war. “Product pricing depends a lot on different commodity prices. Palm oil prices had reduced but have now increased slightly. The commodity prices are expected to soften and stabilise with the tensions easing between Russia and Ukraine, that will lead to the increase in volume,” Mehta told businessline.