KOCHI: Environmental, social and governance principles have moved beyond corporate responsibility to become a business imperative for companies seeking sustainable growth across markets, Malabar Group Chairman MP Ahammed said.

Companies that embed ESG principles into their operations are better positioned to build public trust, expand across diverse markets and create businesses capable of delivering long-term growth, Ahammed said at the Manorama News Conclave in Kochi.

Speaking during a session titled Growth with Purpose at the conclave, being held under the theme Kerala@70, Ahammed said businesses have a responsibility to society alongside their pursuit of commercial growth.

Maintaining the trust of customers and communities is critical to sustainable success, he said, adding that strong governance systems and standard operating procedures can help companies ensure compliance with environmental and social commitments.

“We do not want to align with anything that affects environmental interests,” Ahammed said, referring to concerns surrounding the gold industry.

Malabar Group sources gold directly from responsible mining companies as part of efforts to ensure its supply chain meets social and environmental standards, he said.

The comments come as ESG considerations increasingly influence how companies operate, raise capital and engage with consumers across international markets.

Ahammed said businesses following ESG-oriented practices receive significant support in markets including Europe, Australia and Singapore, where consumers are placing greater emphasis on responsible corporate behaviour.

For Malabar Group, social responsibility is also integrated into its business model, he said. A portion of the group’s profits is earmarked for social initiatives, including programmes aimed at supporting people experiencing financial and other difficulties.

Among those initiatives is a feeding programme operated through the group’s outlets, Ahammed said.

Companies should not view growth and social responsibility as competing objectives, he said. Instead, businesses must support people facing hardship while continuing to expand and create economic value.

Trust, compassion and compliance are among the pillars of a successful enterprise, according to Ahammed, who said companies must ultimately deliver on the promises they make to both customers and society.

The increasing focus on ESG also has implications for Indian companies looking to expand internationally, as environmental standards, governance practices and social responsibility become more important to consumers and markets.

Ahammed said adhering to those principles was essential for companies seeking to grow across different cultures and geographies while retaining public confidence.