New Delhi, 8 December 2020: India’s largest tyre manufacturer MRF Tyres spent Rs 66.35 crore on its CSR activities in 2019-20 which includes Rs 35 crore from the carry forward amount from previous years. It prioritised healthcare, vocational skills and many others while spending its CSR budget.
Average net profit of the Company for last three financial years stood at Rs 1,560.89 crores, thus, it had to spent Rs 31.22 crores (two per cent of the average net profit of the last three financial years) on its CSR activities. Along with this, the company spent Rs 35 crores, the unspent amount of its CSR commitment from previous years. Here are the details:
Source: Company’s Annual report
It says, "As per Section 135 of the Companies Act,2013, a Company, meeting the applicability threshold, needs to spend at least 2% of its average net profit for the immediately preceeding three financial years on corporate social responsibility (CSR) Activities."
As per it, a CSR Committee has been formed by the Company as per the Act. During the financial year ended 31st March 2020, the Company has incurred an amount of Rs 66.35 crores representing ` 31.22 crores for the current financial year and Rs 35.13 crores towards shortfall in CSR spending of earlier years.
Under its CSR activities, the MRF Tyres prioritised healthcare, education, rural development, provide safe drinking water, skill development, sports training and measures for reducing inequalities faced by socially & economically backward groups, environment protection.
Its CSR committee includes K M Mammen who is the chairman while Arun Mammen, Rahul Mammen Mappillai and Ranjit I Jesudasen serves as member of the committee.
Top five CSR programmes of the company
| Sl No | CSR Project or activity identified | Sector | Amount spent (in Rs crore) |
| 1 | Transfer to the corpus of MRF Foundation for the purpose of setting up a new Driver Development Centre for MRF Institute of Driver Development. | Vocational skills | 53.46 |
| 2 | Providing training for development of pace bowlers through MRF Pace Foundation | Training to promote sports | 4.60 |
| 3 | Setting up a Trauma Operation Theatre at Christian Medical College | Promotion of healthcare | 1.50 |
| 4 | Training for under privileged youngsters to become commercial vehicle drivers through MRF Institute of Driver Development. | Vocational skills | 1.03 |
| 5 | Installation High Mast lights on National High ways NH09(New NH69) at Suraram Village Road adjacent to our factory | Rural Development Projects | 0.87 |
