2019-2020
The Sustainable Development Goals (SDGs) set out a clear vision for a sustainable future and call for urgent action to achieve goals such as tackling climate change, reducing inequality, and eliminating poverty by 2030. Over time, we have realised high benefits from aligning our business strategy and decision-making with the SDGs. It enables our organisation to better manage risk, anticipate consumer demand, manage costs grow and strengthen supply chains while moving towards a better future. Our Core SDG is 9 but we also have a focus on eight others.
Welcome to our sustainability report for the period March 2019 to December 2020, on disclosure of our business responsibilities and activities. The report focuses on the Ten Principles of Business Ethics as prescribed by United Nations Global Compact (UNGC). The reporting format is guided by the Global Reporting Initiative considering the broader perspective of our business operations and the impact we create to the community around us.
To manufacture healthy and quality products that promote a healthy lifestyle and contribute towards longevity of life for a sustainable future.
The scope of the report covers the progress Kapa has made in addressing the ten principles of the UN Global Compact applicable to the particular business activities carried out in the aforementioned period. This report further considers our engagement in realizing the SDGs that affect our business.
Dear Stakeholder,
We, at Kapa Oil Refineries Limited are proudly committed to the United Nations Global Compact Ten Principles and the Code of Ethics for Business in Kenya.
In 2019, we celebrated our 50th Anniversary of the founding of our company in 1969. Our founders were three young but determined brothers. They started a small salt packaging business called Karania Packers. Karania Packers went on to manufacture baking powder, creating our iconic blue-and-yellow Chapa Mandashi brand. But in the 1970s, we decided to venture into making quality household products for our region. And we started with edible oil. The rest is history. Today, Kapa Oil Refineries is a leading manufacturer of edible oils, baking powder, soap, tissue, detergents, noodles and kitchen towels in Eastern Africa.
This idea of quality products for our households in Africa remains at the core of our business. Our promise to the users of our products is found in our tagline “Bright Ideas. Better Products”. We have invested in top-notch plants and machinery to ensure that we are efficient in creating quality. Our raw materials are sourced from vetted suppliers and tested to ensure that our inputs meet or exceed expectations. Our manufacturing process is certified by SGS for meeting the stringent ISO 22000:2005. And our people are continuously learning and innovating. As a corporate citizen, we are pleased to contribute to the development of Kenya and Africa by creating employment, providing products that promote the well-being of our communities and embedding sustainable processes that protect the environment, uphold human rights and promote ethical business and behaviour.
The UN Global Compact’s Ten Principles, the Code of Ethics for Business in Kenya and UN Sustainable Development Goals are therefore ingrained in our business model. By providing quality and fortified food products as well as sanitation products, we help ensure healthy lives (SDG 3). Our specific range of affordable food products helps to reduce hunger (SDG 2). Through our investment in modern manufacturing plants, we build industry, innovation and infrastructure (SDG 9). In creating employment and monitoring our labour practices, as well as those of our contractors, we provide decent work (SDG 8). Through our investment in 1.5 MW solar installation, Kapa ensures access to clean energy (SDG 7). Our decision to use the biomass by-products of other manufacturers to fire our steam boiler has reduced emissions and is geared toward climate action (SDG 13). Our processes designed to ensure zero tolerance for anti-corruption and bribery, including a hotline, robust training and top management commitment to this promotes our region’s justice and institutions (SDG 16). And we are proud to partner with other, through the Kenya Association of Manufacturing and the UN Global Compact to help achieve these ambitious yet desperately needed goals (SDG 17).
The Covid-19 pandemic has not deterred us in our commitments. It has been a challenge but we have risen to meet as our communities have. We have instituted a Covid-19 policy with several protocols to ensure that we continue to operate safely. We have put in place social distancing mechanisms in our factories and cafeterias. Handwashing stations have been erected across our campus. All persons on our premises have their temperature checked at the gate and are required wear masks properly and at all times. We have also availed testing for our staff. Despite a difficult year, we retained all our staff and have not instituted any pay cuts.
Whenever we report to work, we with a mind to provide to a Better Product. A product that is good for you, good for our people, good for our economy, good for our environment and good for our future.
Nitin Shah
Chief Executive Officer
| Team | Responsibilities |
|---|---|
| The Board of Directors | Fiduciaries who steer the organization towards a sustainable future by adopting sound, ethical, and legal governance and financial management policies |
| The Executive | Implement the Board's strategic, and generative plans, policies, and decisions consistent with the organization's Vision, Mission, and the Guiding Principles |
| Corporate Affairs and Business Ethics | Drives the UNGC program in the organization Advocates for and monitors ethics and compliance with the Company’s policies and the Guiding Principles |
| Finance & Accounts | Ensuring the adherence to integrity in the finance and accounting processes |
| Sales & Marketing | Deliver quality products and services to our customers with the aim of meeting and exceeding customers’ expectations |
| Production | Constantly innovates and ensures production is in line with the commitments to the UNGC principles and the SDGs |
| Quality Management | Ensure safe and high quality of products |
| Human Resource |
Ensure that high level of staff are sourced and developed. Ensure compliance to labour laws and regulations. Engage and create good working conditions |
Kapa Oil Refineries is an East African Manufacturer producing edible oils and household products. We aim at providing our customers with premium quality consumer goods at competitive prices while operating in an environmentally sensitive and socially responsible manner.
We respect human rights. We have not received any report of a supplier, subcontractor or staff member involved in the abuse of human rights in the year 2019 and 2020.
In the spirit of integrity and accountability in the quest to fight corruption, we ensure that all gifts and entertainment offers are recorded, reviewed and accounted for. In 2019 and 2020, we recorded a number of gifts received by staff. No entertainment or hospitality offers were recorded for this period. The gifts were reviewed and found to be in order.
We strive to engage our customers through various forums including social media platforms. We introduce products based on our customer engagement. In 2020 we introduced the following new products: