BW Communities

Radico Khaitan Chairman On Liquor Ban, CSR And Modi

Regina Mihindukulasuriya May 15, 2017

For Lalit Khaitan, the driving force in Radico Khaitan becoming one of India’s biggest alcoholic beverage firms, every day is an achievement worth celebrating. The Chairman and Managing Director speaks on the importance of giving back to the community and his thoughts on the future of distilleries industry as the Supreme Court mulls a changed verdict this July on the liquor ban.

Is there anything you would like to say about the Supreme Court ban on selling liquor within 500m of national and state highways?
Not today. But about the distilleries and spirits industry, it is doing well. We always believe in responsible drinking. We also believe in producing the right quality of spirits. If you look internationally, there will be very few countries where liquor is banned or there are too many restrictions on it.

Human beings are social animals and we must live in a society; we have to respect each other’s freedom. Of course there are exceptions, but I feel we don’t find people drunk so frequently. Excess of anything is bad.

What more can companies do to better their CSR contributions?
One thing I’m personally happy about is that the government has made CSR compulsory for profit-making companies. That has helped a lot because this will encourage corporates to start spending money in a planned manner on CSR. If you’re a profit making company, you know what you will spend on for the next 3-5 years; so, now CSR projects can be planned and developed over longer periods and that usually yields much better results.

Each company will have a different CSR strategy and area of interest. Tata built Tatanagar, the cleanest and most state of the art city in India, and made a great contribution to the country.

I feel if corporates start CSR around their plants, factories and establishments, it would make a big difference. Usually, prosperity and prospects lie where there’s such industrialization. Starting CSR in and around your property would make India a whole group of CSR.

The moment Modi became Prime Minister, one of his slogans was to keep India clean. Anywhere you go, you will see that slogan making a difference.

Companies get into CSR not because they really want to give back but because they want to cut down on taxes they pay. What’s your take on this attitude?

I personally don’t advocate it. Secondly, whether right or wrong, even if the company is engaging in CSR activities because they are compelled to do so, ultimately the benefit will go to society. Gradually, they will start appreciating and enjoying their acts of giving.

I have spent my entire lifetime collecting bits of happiness, and still I wasn’t happy, till I realized real happiness lay with those who were not collecting bits of happiness, but giving out happiness.

Writing a cheque is easy. Getting emotionally involved and giving yourself to the service of others is much more difficult.

About 10 years ago, I was on a religious retreat at Sri Sri Ravi Shankar’s centre in Nainital and I was asked to work in the kitchen. I have to say I was not happy with that. After completing the job I realized that no one is big or small. I understood the idea of labour which is very important in its own way. I accepted labour humbly and appreciated what I had done.

How has Modi’s term in office been?
I feel he is doing a brilliant job. And after a very long time, we feel proud to be Indian. We have been so well recognized internationally. I travel abroad a lot and there’s that extra respect for Indians now.

I also feel his concepts are very good. Whether it is industrialization or doing things for the people, especially for the less affluent, I feel he is doing a great job.

Do you think the Modi government can live up to their promises in the next 2 years?
Anything to start showing results takes time. I have been hearing about how road projects are not being completed. I was listening to Nitin Gadkari and the way they are expanding their road projects, with their target of 40km a day against a previous average of 13km a day.