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Heritage Foods is emerging as a benchmark for ethical governance in India’s rapidly growing food and dairy space, according to a recent Economic Times report. As consumer scrutiny intensifies, the company’s governance practices — centered on transparency, fairness, and farmer welfare — are increasingly seen as a model for responsible business in food.
At the core of Heritage’s governance philosophy is a belief that accountability should be embedded across its entire value chain, not just in boardrooms. As Bhuvaneshwari Nara, Vice Chairperson & Managing Director, puts it: governance is “a foundational principle that shapes every decision, from boardroom strategy to village-level procurement.”
Here are the key features of Heritage Foods’ governance model and what they signal for the food sector:
Fast and Transparent Payments: The company operates on a 10-day payment cycle for farmers, which is notably short in an industry where payment delays are common. Payments are made via direct bank transfer, reducing intermediaries and boosting trust.
Farmer Empowerment & Inclusion: Nearly 40% of Heritage’s village-level procurement centers are women-led, a deliberate strategy to offer more meaningful economic opportunities in rural areas.
Digital & Real-Time Support: Heritage offers a digital platform for veterinary support, giving farmers access to timely animal health assistance.
Credit for Farmers: The company provides about ₹200 crore in easy-term credit every year to its farmer network.
Quality & Testing Infrastructure: Heritage maintains rigorous quality control — it has over 400 quality-assurance professionals who conduct 25+ daily tests across 9,000 procurement centres and 18 processing facilities.
Capacity for Scale: The company reports a handling capacity of 2.65 million litres per day, demonstrating its scale in procurement and processing.
Board & Governance Structure: Heritage’s board structure is designed for independent oversight, with clarity around executive pay, committee structures, and internal controls that exceed statutory norms.
Sustainability & ESG Commitment: Its 2024–25 annual report highlights strong ESG practices — including renewable energy deployment (solar + wind), waste management, and social programs for farmer welfare.
Award-Winning Model: In 2025, Heritage Foods won the Golden Peacock Award for Excellence in Corporate Governance, a major industry recognition of its “governance-first” philosophy.
Why This Matters for the Food Sector:
Heritage’s model shows that in India’s food and dairy sector, good governance isn’t just about compliance — it’s a competitive advantage.
With 300,000+ farmer-partners, the way Heritage manages its procurement underscores that business growth and social responsibility can go hand in hand.
The approach also reflects a shift: companies are no longer judged just on profits, but also on how ethically they treat their suppliers and communities.
As more food companies grow, governance frameworks like Heritage’s could become an industry standard — especially in a sector where trust, food safety, and farmer welfare are becoming central to long-term success.
