SUSTAINABILITY HIGHLIGHTS AT DILMAH
We are committed to packaging sustainability and circular economy principles derived through national and international collaborations, and our ambition to maintain the highest quality for our products while minimising the impact on our planet inspires innovation and drives more efficient processes and production.
Family business, serving humanity
through kindness to people & nature
THE 8 PILLARS OF OUR
SUSTAINABILITY COMMITMENT
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CORPORATE
GOVERNANCE -
EMPLOYEE
EMPOWERMENT -
RESPONSIBLE
OPERATIONS -
STAKEHOLDER
ENGAGEMENT -
SUPPLY CHAIN
SUSTAINABILIT -
PRODUCT AND
SERVICES -
DISCLOSURE
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ADVOCATING
CHANGE
SUSTAINABILITY AT DILMAH
rooted in our Founder’s wish to serve humanity, with kindness to people and nature.
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We started our sustainability journey in 2000, since then we have eliminated 488,420 Kg of plastics. The biodegradability of our tea bags varies from 98% to 100%
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Our current renewable energy 61% capacity grew by resulting in a total saving of
2508 tCO2e
equivalent to growing 50,164 trees. -
In 2021, we pledged ScienceBased
Targets initiative
displaying our staunch commitment to achieving zero emissions by 2030. -
Our beach cleanups have removed
9800 kg of waste from sensitive ecosystems. -
Empowered 16
eco-innovators through Merrill J. Fernando innovation Awards 2021 a national competition that seeks to identify, mentor and recognise local sustainable innovators. -
We have supported to enhance healthcare facilities
of the island through outreach to hospitals in the Western, Central and Northern provinces.
Our Founder made a commitment to the purpose beyond profit. A minimum 15% of our pretax profits directly benefit people and planet. Until 2019 it was 10%, and in response to the social and environmental challenges the world faces, our founder increased our commitment to humanity, by 50%. These funds generated by Dilmah Tea and our allied business are used by our MJF Foundation and Dilmah Conservation to directly, efficiently and effectively fulfill the philosophy of making business a matter of human service.
Active member of the: Sustainable Supply Chain Working Group Climate Action Working Group
Dilmah is a signatory to the UNGC and our CEO heads the UNGC Sri Lanka Board of Directors.
Our involvement in UNGC Sri Lanka is part of our affirmation of the Sustainable Development Goals and the Ten Principles of the UN Global Compact
A CULTURE OF SUSTAINABILITY SINCE 2000
tea is hygroscopic, adding to the challenge of sourcing eco-friendly substitutes for food grade materials that can maintain barrier properties important for sealing-in the aroma and essence of tea. We continuously engage in closed-loop collaborations allowing us to move forward in sustainable packaging.
Over the last 21 years we have reached significant milestones in our packaging and business sustainability journey, trailblazing packaging innovations within our industry.
- Switched from tin tea caddies to paper canisters in 3 SKU’s of
Dilmah Inspirations Range launched in Australia - Switched from foil envelopes to Paper enveloped
tea bags for 8 variants in Café range - Read more on our packaging sustainability journey
PACKAGING SUSTAINABILITY HIGHLIGHTS
moving towards a circular economy
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Eliminated the plastic overwrap
in 80% of tea packs using
tear-strip design -
75% of kraft paper wrapped inner cartons have switched to
reusable corrugated inner cartons -
Switched from tin tea caddies to
paper canisters
in 3 SKU’s of Dilmah Inspirations Range launched in Australia X1 -
Switched from foil envelopes to
Paper enveloped tea bags for 8 variants in Café range
Replaced costly virgin board materials with low-cost recyclable material board in food service products of Silver Jubilee & VIVID refilled packs
Production lines were 100% PLA based filter paper
converted to use
100% biodegradable tea bags
At present we have the capacity to produce OVER 2.5 MILLION BIODEGRADABLE TEA BAGS per day at Dilmah.
OUR JOURNEY TO PERFECT PACKAGING SUSTAINABILITY
investment in research, development and adoption of the most environmentally friendly packaging technology for our products since 2000
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#5 PP - Polypropylene
#3 PVC - Polyvinyl chloride
#20 PAP - Corrugated fibberboard (cardboard)
#21 PAP - Non-corrugated fiberboard (paperboard
#90 C/LDPE - Plastics/Aluminium) -
#22 PAP – Paper
#40 FE - Steel
#81 C/PAP - Paper + plastic
#84 C/PAP - Paper and cardboard/plastic/aluminium -
ST - String & Tag
E - Envelopes
P - Pot bags
LLTBs - Luxury Leaf Tea Bags
WHERE WE STAND
Corporate Social Responsibility | Sustainable Procurement |
Sustainable Packaging
Positioned among the top 7 percentile of all companies rated by ECOVADIS.
Rating of 80% in the APCO Annual Survey on Packaging Sustainability.
GREEN ENERGY - CIRCULAR ECONOMY - RESPONSIBLE OPERATIONS
our efforts benefitting people and planet have contributed to Dilmah becoming a 100% carbon neutral product since 2019.
EVERY YEAR WE IMPROVED ON OUR CARBON NEUTRAL JOURNEY.
In 2020
Dilmah achieves carbon neutrality for the facility and all products up to the destination ports of all overseas markets
SO 14067:2018 - ISO 14064-1:2018
Carbon Footprint Calculation mode was digitalized
BEING A COMPLETELY CARBON NEUTRAL PRODUCT WE ARE COMMITTED TO REDUCING OUR EMISSIONS, AND PLEDGE TO BE CARBON NEGATIVE BY 2030!
OUR COMMITMENT:
Dilmah is an active member of the Climate Emergency Taskforce of the UNGC Sri Lanka.
In 2021, Dilmah has committed to UNGC Science Based Targets initiative (SBTi) further committing to align the Company’s voluntary greenhouse gas reduction targets with climate science.
Our renewable energy is the major focus of our transformation. Our current renewable energy capacity grew by 61% resulting in a total saving of 2508 tCO2e
We will meet our energy demand with 100% renewable energy by 2030
2021/2022 HIGHLIGHTS
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EMPOWERING ECO INNOVATORS
Merrill J Fernando Innovation Awards is about identifying, empowering and rewarding sustainable inventors
This year’s focus for the innovations:- Waste management
- Sustainable packaging
- Resource efficiency
A key feature are the knowledge-sharing mentoring sessions giving contestants a pathway beyond product creation.
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THE GENESIS PROJECT – A SPACE FOR COLLABORATION AND IDEATION ON NATURE-BASED SOLUTIONS (NBS)
A collaborative space to:
- Support sustainable initiatives
- Promote and educate about Nature-based Solutions to address climate change
The structure to be completed in 2023 will include:
- An eco-business space
- An innovations lab
- A rooftop mushroom project
- Co-working spaces.
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CLIMATE SMART AGRICULTURE
A pilot model to educate and create sector and community awareness on hydroponics and vertical farming models
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SAFEGUARDING OUR SUPPLY CHAIN
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RAINWATER HARVESTING AT KAHAWATTE PLANTATIONS
Kahawatte Plantations, a subsidiary of the MJF Group, uses rainwater harvesting to fulfill part of its water requirement.
Collective capacity of 129,799 m3.
Different techniques were used to get the maximum out of rainwater harvesting in different estates:
- Gravitational dam
- Earthen dam
- Rooftop collection methods
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One Earth Climate Change Centre
The first private sector initiative to research climate change and guide planters and farmers in building resilience to the extreme weather that is becoming commonplace. Currently 08 national and 03 international researches are among its body of work.
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One Earth Arboretum
A mini urban forest home to around 500 different types of plants and trees, located at the Dilmah Sustainable Agricultural Farm in Moratuwa educates city-dwellers about the value of trees for society and our future.
FUNDING MEDICAL INFRASTRUCTURE FOR BETTER HEALTH SERVICES
we have supported the enhancement of free, national healthcare facilities in Sri Lanka
STATE OF THE ART RISK MANAGEMENT SYSTEMS
our commitment to Taste, Goodness and Purpose extends to our people and their families
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To safeguard our premises from bacteria and viruses we have Implemented an ionisation system, resulting in enhanced safety of our people, workplace and products. This provides additional safety from COVID-19 as well.
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We abide by the pillars of labour, health and safety, environment and business ethics guidelines laid out in SMETA.
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Our health and safety committee Includes 25% of worker representation
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We have a comprehensive and updated package in place that includes SMETA (Sedex Members Ethical Trade Audit)
THE ASSURANCE OF QUALITY
a commitment to achieving the highest standards for manufacturing, materials and process excellence
THE COMPANY IS CERTIFIED IN COMPLIANCE WITH
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ISO 9001:2015 Quality Management System
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ISO 14001:2015 Environmental Management System
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FSSC 22000 Food Safety Management system
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BRC Global Standard Food Safety
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Rainforest Alliance Chain of Custody
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Organic product certifications – EU
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Organic product certifications USDA NOP
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Organic product certifications – JAS
While complying with other global standards and certifications we abide by the guidelines laid out by SMETA under the pillar of labour; and have the following in place:
- Human rights policy addressing supply chain, community and stakeholder engagement, valuing diversity, freedom of association and collective bargaining, safety and health at the workplace, workplace security, child labour, work hours, wages and benefit and guidance and reporting for employees
- Anti-bribery and corruption policy
- Employee contract/agreements complying with local laws
- Compensation and benefits policy
- Communicating policies and procedures of the facility to all employees
- Training sessions including induction and refresher courses
- Internal audits to monitor level of compliance with social compliance standards
- A compliance officer has been appointed
- Free personal protective equipment for workers
- Formal grievance handling procedures in place
Along with other global standards and certifications
OUR PURPOSE
Fulfilling our Founder’s pledge of kindness to people and nature
to serve the purpose we have a dedicated environmental arm - Dilmah Conservation (DC)
and a dedicated philanthropic arm – MJF Charitable Foundation (MJFCF)
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Safeguarding 16 acres of mangrove forest with an objective to create education and awareness on mangrove conservation
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Supported the Department of Wildlife to gazette Kayernkerni coral reef as a marine sanctuary
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Launched a pioneering app dedicated to support people with disabilities along with a YouTube Channel expanding their services to the most remote parts of Sri Lanka.
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The tuk tuk library – a novel concept to bring knowledge to doorstep - went mobile – reaching children who have been away from school for the past 1.5 years.
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Training and equipping farmers for sustainable beekeeping to bring about bee conservation while uplifting communities socioeconomically.
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Supporting the discovery of solutions to climate change related challenges by facilitating 6 ongoing researches and 12 completed researches.
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Workers at Dilmah's plantation received an upgrade to their sanitation and bathing facilities by constructing over 150 toilets and field restrooms.
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Combatting the pandemic
Donated equipment worth LKR 64 MN, strengthening the healthcare sector during COVID
Dry rations to over 6,000 households including families of staff in Peliyagoda and Plantations donated.
Expanded the hospital Intensive Care Unit for better facilitation of COVID patients benefitting a plantation community of 350,000 individuals -
Ecovation Awards is a national-level programme initiated to identify, empower recognise and build a network of eco-innovators around the country.
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Safeguarding 50 Kms of Sri Lankan coastline through the Beach Caretaker Programme
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We conducted in-depth sessions on developmental disorders to 1241 government ocials from the social services sector, special education units, schools & parents.
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Supporting small-scale women entrepreneurs in the East by providing training, resources and equipment to begin sustainable businesses.
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Creating green jobs in Mannar and strengthening blue carbon sources by training fishermen to farm seaweed.
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Providing care and welfare for over 2,000 children of Dilmah tea garden workers daily through Child Development Centres.
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Educating & Empowering 3900+ youth through the Empower Culinary School and vocational training
ADVOCATING CHANGE
for a better environment and livelihoods
Dilmah, together with IUCN and the Ceylon Chamber of Commerce, formed BSL in 2012 to build a coalition for environmental conservation among the corporate sector. As an initiating partner, we advocate for responsible conduct by businesses and encourage information and knowledge sharing in the area of biodiversity conservation.
KEY INITIATIVES WITH BSL
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LIFE: A COMPENDIUM OF BIODIVERSITY STORIES IN HOSPITALITY
A publication consisting of 17 practical environmental conservation best practices successfully adopted by individuals in the tourism and hospitality industry; encouraging others to follow suit.
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KANNELIYA RESTORATION LIFE PROJECT
A groundbreaking public-private effort within the Kanneliya Forest Reserve to restore 10 hectares of degraded fern land while enhancing its ecological functions and capacity to provide ecosystem services
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LIFE TO OUR MANGROVES
Restoring 25 acres of degraded mangrove forest patches in the Anawilundawa Wetland Sanctuary with all members of BSL and the Department of Wildlife Conservation Sri Lanka
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CAVE BIODIVERSITY IN SRI LANKA
In 2017 we surveyed 18 dark caves of Sri Lanka in partnership with BSL and the Lanka Insitute of Cave Science to identify the biodiversity in caves that need protecting.
KINDNESS TO PEOPLE AND NATURE
Our efforts towards benefiting people and the planet have contributed to Dilmah becoming a 100% carbon neutral product since 2018
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WASTE
TO CRAFT- Expanding towards a circular economy.
- Converting factory generated waste into creative objects by applying the principle of designing out waste and pollution.
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RESTORING
ECOSYSTEMS- Organised beach & wetland cleanups around the country.
- Over 10 tonnes of plastic & non-biodegradable waste collected.
- Three cleanups led by Dilmah Tea staff.
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DILMAH
UPCYCLINGLast financial year Dilmah upcycled over 8x more of its packaging into other useful items
3% 2018/2019 25% 2019/2020
PROGRAMME
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Keeping 50kms of the islands coast clean
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Over 50 beach caretakers appointed
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Creating Public Private Partnerships
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Strengthening local coastal communities
PEOPLE...
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Over 1500 women entrepreneurs supported through the Small Entrepreneurship Programme (SEP) and Women’s Development Programme (WDP)
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1506 beneficiaries were trained in FY 2019/20.
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Empowered 1965 small entrepreneurs to date 5307 individuals have received vocational training.
15% forHumanitya minimum 15% of our pretax profits directly benefit people & planet.
PLANET...
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At our One Earth Centers we have educated 25,000+ people
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We established Sri Lanka’s first corporate owned Climate Change Research & Adaptation Centre in 2017, powering 14 national & international research initiatives at present
ALL OUR INITIATIVES COLLECTIVELY CONTRIBUTE TOWARDS
ACHIEVING 11 SUSTAINABLE DEVELOPMENT GOALS (SDGs)
STATE OF THE ART RISK MANAGEMENT SYSTEMS
Our commitment to Taste, Goodness and Purpose extends to our people and their families
CAFÉ RANGE
In 2021, we launched a café range which is fully biodegradable. (Paper envelopes and biodegradable teabags)
The café line can be experienced in 8 variants:
NUMBER OF IMPROVEMENT PROJECTS BEING STUDIED IN FY 2020/2021
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Replaced tin caddies in our Dilmah Inspirations range with paper-based canisters in 3 stock keeping units (SKUs). Launched in Australia this range is available for loose leaf tea
IMPROVING ENVIRONMENTALLY SUSTAINABLE PACKAGING
In our efforts to introduce environmentally sustainable packaging, continuous research is carried out on biodegradability and compostability of packaging in both home and industrial composting environments which aid us in sourcing suitable materials
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Home Composting
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Industrial Composting
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On our Sustainable journey in material source reduction, Dilmah had conducted an in-depth evaluation in DPI values and successfully reduced ink consumed for corrugated outer in-house printing by 45% to 50% per annum.
IMPLEMENTED AN IONISATION SYSTEM FOR IMPROVED HEALTH AND SAFETY DURING COVID
Bipolar Ionisation system
Our installed Bipolar Ionization units produce Bio–Climate Negative Ions (The Air Vitamin) to proactively destroy any unhealthy microorganism by damaging the cells of the viruses and reacting with protein of the virus, and then deactivate the virus.
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Plasma Air’s ionisers use proactive air purification technologies to safely deactivate airborne viruses.
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Bipolar ionisation creates millions of negative ions, a proven method of virus destruction.
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Recent tests by the Spanish government show that Plasma Air products have been proven to reduce Covid-19 surrogate by 99% airborne and 80% on surfaces.
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ENHANCING CUSTOMER COMMUNICATIONS
on material identification and disposability
VOTED SUSTAINABILITY CHAMPIONS
By independent, expert committees including the International Chamber of Commerce, and Trusted Brands in New Zealand, Australia & Asia
BEST CORPORATE CITIZEN
SUSTAINABILITY AWARDS 2021
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- Best Corporate Citizen Sustainability Awards 2021 Winner - Category B
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- Category Awards Customer Relations
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- Category Awards Environmental Integration
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- Winner - Award for Demonstrated ResilientPractices for COVID-19 Context
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- Emerged as one of the Top 10 Corporate Citizens under both categories A & B
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- Winner - Best Projects Sustainability Award MJF Charitable Foundation (MJFCF) - disABILITY - Supporting Children with Disabilities (CWDs) and their families across Sri Lanka
Top 10 - Most Admired Companies of Sri Lanka
announced by The International Chamber of Commerce of Sri Lanka (ICCSL), the Chartered Institute of Management Accountants (CIMA) and the Daily FT
PRESIDENTIAL EXPORT AWARDS 2021
- Most Globally Outreached Sri Lankan Brand
- Market Diversified Exporter
- Contributor to Sustainable Development in the Export Industry for 2019/20
UNV 50 COUNTRY AWARDS SRI LANKA 2021
In recognition of promoting the value of volunteerism through citizen engagement within the Corporate Sector in Sri Lanka
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Voted Trusted Brand (Tea category) - Reader’s Digest survey
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New Zealanders have voted Dilmah their Most Trusted Tea Brand 7 years in a row, in the Reader’s Digest survey
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In Australia
Voted “Product of the Year 2022” for Dilmah brand Organic Selection Winner Tea Category. Survey of 5,000 people by Nielsen.In Australia
Voted "Product of the Year 2021" for Dilmah brand Inspirations Tea selection Winner Tea Category. Survey of 5,000 people by Nielsen.In Australia
Voted "Product of the Year 2020" for Dilmah brand Natural Infusions Winner Tea Category. Survey of 5,000 people by Nielsen. -
Most Trusted Brand (Tea Category) – Asia
"We come into this world with nothing, we leave with nothing.
The wealth some of us acquire is owed to the efforts and cooperation of many others around us. Let us, therefore, share that wealth, while we are still around, so that, the goodwill and contentment created thereby, may make our world a happier place for others, too.
That is the objective of the MJF Charitable Foundation"
Merrill J. Fernando,
Founder of Dilmah
to learn more about Dilmah Tea, our philosophy and purpose, please visit us at www.dilmahtea.com.
More than anything, at Dilmah, we believe in being kind.
Kindness is at the heart of everything we do.
We spread kindness by doing everything with care and respect.
This means respecting nature - growing only the finest ingredients and protecting the environment. Respecting our workers - providing them with good working conditions and fair wages for their efforts.
Respecting our customers - we do not mix our teas. We uphold the highest standards and do not compromise quality to enhance profit.
We make the best tea in the world and use our earnings to support those that need that little bit of kindness the most.
Merrill J. Fernando,
Founder of Dilmah