Hayleys Fabric PLC Recognized for Excellence in Sustainability Reporting at ACCA Sustainability Reporting Awards 2024

(From L to R) British High Commissioner Mr. Andrew Patrick, Hayleys Fabrics PLC MD/CEO – Mr. Rohan Goonetilleke, Executive Director – Finance and ESG – Mr. Rohitha Bandara, Chairman ACCA Sri Lanka Mr. Chaaminda Kumarasiri, and Head of ACCA South Asia Cluster Ms. Nilusha Ranasinghe

Hayleys Fabric PLC has been honored as a joint runner-up in the Manufacturing sector at the prestigious ACCA Sustainability Reporting Awards 2024. This recognition underscores the company’s commitment to integrating sustainability into its core business practices while setting industry benchmarks for environmental, social, and governance (ESG) standards.

ACCA Sustainability Reporting Awards 2024: A Milestone Celebration

Marking two decades of championing excellence in sustainability reporting, the ACCA Sustainability Reporting Awards 2024 was a momentous occasion. Held at the Cinnamon Grand Colombo, the event celebrated organizations that have demonstrated remarkable efforts in embedding sustainability into their business strategies. The awards reaffirmed ACCA’s commitment to the United Nations Sustainable Development Goals (UNSDGs), recognizing businesses that go beyond compliance to create meaningful impact.

Hayleys Fabric PLC: Pioneering Sustainable Textile Manufacturing

Established in 1993, Hayleys Fabric PLC has cemented its position as Sri Lanka’s largest and most innovative knit fabric manufacturer. Supplying premium fabrics to global brands such as Nike, Victoria’s Secret, Calzedonia, Decathlon, PVH, and Gymshark, the company operates with a clear focus on sustainability, innovation, and ethical business practices.

With an annual production capacity of 16,413 metric tons and a commanding 44% share of the Sri Lankan market, Hayleys Fabric generates an annual group turnover of $155 million. The company’s 2021 acquisition of South Asia Textiles further strengthened its industry leadership, expanding its capabilities to offer end-to-end fabric solutions, from design to delivery, while embracing cutting-edge technologies to enhance efficiency and sustainability.

At the heart of Hayleys Fabric’s operations is a steadfast commitment to ESG principles. The company’s customized ESG framework aligns with the UNSDGs, ensuring a balanced approach to environmental stewardship, social responsibility, and robust governance. Through this framework, Hayleys Fabric sets ambitious sustainability targets, continuously monitors progress, and integrates best practices into its strategic decision-making.

Excellence in ESG: A Multifaceted Approach

Environmental Commitment

Hayleys Fabric places a strong emphasis on environmental conservation, focusing on key areas such as energy and emissions management, water stewardship, and biodiversity preservation. The company has received approval from the Science-Based Targets initiative (SBTi) for its near-term reduction goals, in 2030 as Scope 1 & 2 by 42% and Scope 3 by 25%, while the Net Zero targets for 2050 to reduce Scope 1 & 2 by 95 % and Scope 3 by 90%. A significant contributor to this achievement is Sri Lanka’s largest single rooftop solar installation and the company’s reliance on 71% renewable energy sources. Regular energy-saving initiatives within departments further reinforce Hayleys Fabric’s commitment to sustainability.

Since 2020, the company has been an active participant in the UN CEO Water Mandate, ensuring responsible water management throughout its operations. With in-house water treatment facilities and stringent compliance with both local and international regulations, Hayleys Fabric prioritizes water conservation as a critical aspect of its sustainability strategy.

In biodiversity conservation, Hayleys Fabric maintains a 1:1 green-to-building ratio, operates the “Diyathuru Uyana” biodiversity wetland park, engages in organic farming, and leads efforts to restore the endangered Lagenandra kalugalensis plant species. Through tree-planting initiatives, the company actively contributes to the preservation of natural ecosystems.

Social Responsibility

A strong proponent of social well-being, Hayleys Fabric invests in health, safety, employee development, and community engagement. The company ensures ethical labor practices, holding ISO 45001 certification since 2020. Adhering to global labor standards, Hayleys Fabric strictly prohibits forced labor, child labor, and discrimination while fostering an inclusive workplace. Employee well-being is further reinforced through fair wages, a hygienic work environment, and adherence to national labor laws.

Capacity-building remains a priority, with over 31,000 training hours delivered to employees annually. Additionally, Hayleys Fabric operates Sri Lanka’s only 100% women-exclusive knitting plant in Wagawatta, providing a supportive workplace that includes a dedicated medical room and enhanced sanitary facilities to promote gender equity.

The company also maintains a responsible supply chain, implementing stringent environmental and social compliance measures for its raw material suppliers. By embedding sustainable sourcing practices throughout the supply chain, Hayleys Fabric ensures ethical and environmentally conscious production.

Governance and Transparency

Governance excellence is a hallmark of Hayleys Fabric’s operations. The company has practiced integrated reporting since the 2014/2015 financial year, adhering to global reporting standards such as GRI, SASB, and TCFD, and recently adopting SLFRS S1 and S2. Transparent and accurate sustainability reporting allows Hayleys Fabric to maintain trust with stakeholders while reinforcing its leadership in ethical business practices.

A Future-Forward Vision

Hayleys Fabric PLC’s recognition at the ACCA Sustainability Reporting Awards 2024 and as well as other global and local recognitions, are a testament to its unwavering commitment to sustainability, ethical business conduct, and industry leadership. As the company continues to set benchmarks in ESG excellence, it remains focused on driving meaningful change, fostering sustainable growth, and contributing to a more responsible global textile industry.

With a purpose to strengthen the fabric of the society by knitting a better environment for all, Hayleys Fabric PLC stands as a beacon of innovation and sustainability, shaping the future of textile manufacturing while championing the well-being of people and the planet.