ABOUT THIS REPORT

Reporting period: Financial year 2016 (January 1st, 2016 to December 31st, 2016)
Reporting cycle: Annual
Date of publication of previous report: June 10, 2016
Available versions: Online version is available in English. Pdf version can be accessed from reports.ffc.com.pk
Report content: The contents of this report are based on the results of our engagement with stakeholders, International Integrated Reporting Council (IIRC) Integrated
Reporting (IR) Framework and the Global Reporting Initiative (GRI)
Sustainability Reporting Standards requirements. All material topics, which are of interest to different stakeholders and which reflect significant impacts of our activities on economy, environment and society are included in this report.
Global Reporting Initiative (GRI): This report has been prepared in accordance with the GRI Standards: Comprehensive option. The GRI content index is available on page 70.
Independent external review: The report was externally reviewed by BSD Consulting, an independent reviewer, in compliance with IR Framework, GRI Standards and principles of inclusiveness, materiality and responsiveness. The senior executives were involved in the review process through involvement in selection of the reviewer, discussing and responding to reviewer’s observations and providing management representations. The statement of the independent external reviewer describing the activities carried out and the expression of opinion is provided on the page 66.
Contact for feedback: We value your feedback. Please connect with the sustainability team for questions or suggestions.

Ms. Sadaf Khan
AE – CSR
Phone: +92-51- 111-332-111
Email: [email protected]

DEFINITIONS, SCOPE & METHODOLOGY

The sustainability report, now in its 6th edition, is a voluntary document issued by FFC according to International Integrated Reporting Council (IIRC) Integrate Reporting (IR) framework, Global Reporting Initiative (GRI) GRI Standards, and United Nations Global Compact (UNGC) “Ten Principles” requirements to provide stakeholders a comprehensive picture of the activities carried out, results achieved and commitments made in the economic, environmental and social spheres. This section provides definitions and methodology guide. Unless otherwise specified or required by the context in which they are used:

The terms “FFC” or “the company” refer to the Fauji Fertilizer Company Limited for accounting purposes and does not include its subsidiaries or associated companies.

The term “marketing region” refers to the distinct areas/provinces in which the products of the company are sold out. Unless otherwise indicated or required by the context, the information and data contained in this report relates to financial year 2016 (1st January 2016 to 31st December 2016). The economic and social data presented in the report includes data on FFC’s manufacturing plants, marketing offices and head office, while the environmental data relates to plant sites and does not include the environmental impact of other locations except for the environmental impacts of fuel used in company vehicles. The report does not include information on subsidiaries or associated companies mentioned at page 10 of the report.

The quality of the information contained in the report is in compliance with the following principles:
• Sustainability Context: presenting the performance in wider context of sustainability disclosing our performance in local, national, regional and global context;
• Stakeholder Inclusiveness: involvement of stakeholders in identification, prioritization and validation of material sustainability topics affecting our ability to create value over different time horizons;
• Materiality: inclusion of all information which can substantially influence the decision making of stakeholders and reflect organization’s significant impacts on economy, environment and society;
• Completeness: inclusion of all material topics and performance indicators;
• Balance: coverage of both positive and negative impacts of performance;
• Comparability: ability to compare between time periods and with similar organizations;
• Accuracy: provision of adequate levels of detail;
• Reliability: reporting process subject to independent external review by an independent organization;
• Timeliness: report to be presented within the time frame relevant to stakeholders’ decision making;
• Clarity: the language used addresses all stakeholders.

The compilation of data has been done on the basic scientific measurement and mathematical calculus methods on actual basis, but in some cases where actual data is unavailable due to some reasons; different logical methodologies are used for calculations. The usage of any such method is mentioned at respective places in the report. The data measurement techniques are same as used for previous year.

Quantified values as well as estimated values have been used for representing the data. Standard protocols/ guidelines have been used for calculation of specific data. There has been no change in the reporting period, scope, boundary or measurement methods applied in the report. There are no changes that can significantly affect the comparability of data from period to period. Previous years’ figures have been regrouped/ rearranged wherever found necessary to conform to this year’s classification.

Preparation of the sustainability report is part of annual reporting process subject to independent review, analysis and approval of a number of approving authorities. FFC makes every effort to ensure the accuracy of the sustainability information contained in this report. From time to time, however, figures may be updated. The online pdf version of the sustainability report will be considered the most current version and takes precedence over any previously printed version.

The document is:

• prepared by the FFC sustainability reporting team that coordinates and engages relevant functions;

• examined by the relevant sustainability reporting team;
• approved by the CSR Committee, the highest decision making body headed by CE & MD, consisting of, Chief Financial Officer, Chief
Internal Auditor, General Manager Marketing, General Manager (M&O), Company Secretary, and Senior Manager (CSR);
• subject to an independent review by BSD Consulting an independent reviewer, in compliance with the International Integrated Reporting Council (IIRC) Integrated Reporting
(IR) framework, GRI Sustainability Reporting Standards, and adherence to AA1000 Assurance Standard (2008) principles of inclusivity, materiality and responsiveness;
• published and freely available for download from the publication section of the company website (www.ffc.com.pk).