As global tea markets move from volume-driven sourcing to traceability, verified ESG performance and stricter compliance, plantation companies face growing pressure from climate volatility, labour constraints and heightened buyer scrutiny. Bogawantalawa Tea Estates PLC has responded by embedding sustainability into its strategy as a driver of resilience, premium market access and investor confidence.
Through structured governance, climate-positive operations, renewable energy self-sufficiency, regenerative land management and workforce-focused social programmes, the company is building a future-ready plantation platform with measurable impact and credible assurance.
Echelon sat down with Mr Lalith Munasinghe, Executive Director and Board Director at Bogawantalawa Tea Estates PLC, and Dr Thusitha Bandara, Director – Low Country Operations, Sustainability and R&D at Bogawantalawa Tea Estates PLC, to explore this transformation.
How do you evaluate sustainability investments internally: as risk mitigation, growth drivers, or both? How has that framing changed board level decision-making?
Lalith: At Bogawantalawa, sustainability is embedded into corporate culture and operations, not treated as a standalone initiative. Begun over a decade ago to future-proof the plantation business, it is now guided by a formal governance structure and a Sustainability Policy centred on People, Planet and Governance.
This framework is executed through 45 impact drivers and 126 KPIs applied across estates, factories, supply chains, energy systems, biodiversity programmes and community development, ensuring that every investment is evaluated systematically. Sustainability investments are treated as both risk mitigation measures and long-term growth drivers, reducing exposure to climate volatility, water stress, soil degradation, labour constraints and tightening regulation.
Renewable energy, climate-positive operations, soil restoration and worker welfare strengthen productivity, cost stability and business continuity. Climate-neutral and climate-positive certifications, a 100% renewable energy transition and global recognition enhance market access, buyer confidence and brand differentiation. As a result, the Board assesses sustainability as a strategic capital investment that builds resilience, competitiveness and long-term enterprise value.
How has your sustainability positioning influenced conversations with investors, lenders, and global buyers in terms of risk perception, financing, or long-term contracts?
Lalith: Bogawantalawa has positioned itself as a global sustainability leader by becoming the world’s first uncompensated Climate Neutral tea producer, achieving Climate Positive certification and transitioning to 100% renewable energy. This reflects a Board-led transformation since 2010 to build a future-ready plantation model focused on responsible production, environmental stewardship, workforce wellbeing and premium quality.
Verified credentials, audited data, strong governance and transparent reporting have strengthened investor and lender confidence by demonstrating active management of climate, energy, regulatory, labour and reputational risks. Financing discussions now support longer tenures, structured solutions and sustainability-linked instruments.
Sustainability has also shifted buyer relationships from short-term sourcing to strategic partnerships, supported by traceability, carbon transparency, ethical labour practices and supply chain resilience. This enables longer contracts, stronger demand visibility and better access to premium markets, strengthening resilience and competitiveness.
How has responsible sourcing and estate-level innovation helped Bogawantalawa move beyond volume-driven growth towards value-led differentiation in global markets?
Thusitha: Global tea sourcing is rapidly shifting from volume-driven procurement towards traceability, transparency and verified responsible production, driven by tightening regulations and rising consumer expectations. Buyers now require demonstrable, independently verified performance rather than paper compliance alone.
Bogawantalawa’s estate-owned operating model and disciplined sustainability governance provide a structural advantage, enabling full traceability, consistent quality, ethical labour practices and transparent environmental performance. Its sustainability platform is embedded through robust field-level KPIs across People, Planet and Governance, supported by internal audit discipline and third-party verification. This strengthens operational resilience, productivity and regulatory readiness while reducing long-term risk exposure.
This integrated model enables Bogawantalawa to differentiate beyond commodity volume through provenance, reliability, sustainability assurance and consistent origin performance. As buyers increasingly prioritise ESG credibility, low regulatory risk and dependable supply, the company benefits from premium positioning, stronger long-term partnerships and access to higher-value markets. Responsible sourcing and estate-led innovation have therefore repositioned Bogawantalawa as a value-led origin brand, competing globally on trust, resilience and sustainability leadership.
Tea is a labour-intensive industry. How has embedding ESG principles reshaped workforce productivity, retention, and leadership accountability?
Thusitha: Bogawantalawa views tea as a people-driven industry and has repositioned its workforce from a cost centre to a strategic human capital asset. By embedding ESG into daily operations, the company has strengthened workforce wellbeing, skills, safety, inclusion and long-term employability, delivering higher productivity, retention and operational stability across estates.
Bogawantalawa has expanded social initiatives such as housing, healthcare, nutrition, education, water and sanitation, women’s empowerment, disability inclusion, financial literacy and community development. These investments have improved morale, reduced absenteeism and turnover, and strengthened skills and engagement amid labour shortages.
A key milestone was becoming Sri Lanka’s first tea company to operationalise a Living Wage pilot with IDH and international buyers, with wage gap-bridging contributions starting in 2023. ESG integration also strengthens accountability, with leaders assessed on social and safety performance alongside productivity, making ESG a productivity engine and a long-term value driver.
Where will sustainability create the next strategic advantage for Bogawantalawa Tea Estates PLC: capital, premium markets, talent, or resilience?
Thusitha: Sustainability has already strengthened Bogawantalawa’s access to capital, premium buyer relationships and market credibility. Looking ahead, its greatest strategic advantage will increasingly be long-term resilience—both operational and human. Plantation businesses face multi-decade asset cycles and rising exposure to climate volatility, biological risk, regulatory pressure and input cost inflation.
Bogawantalawa’s investments in climate-positive operations, renewable energy, soil regeneration, biodiversity protection, water stewardship and integrated agronomy create a structurally more resilient production platform. This improves yield stability, reduces resource dependency and safeguards asset value and long-term cash flow durability.
Equally critical is human capital resilience. Future plantation leadership requires multidisciplinary capabilities across agronomy, digital traceability, climate risk management, ESG compliance and community engagement. Organisations with credible sustainability purpose and measurable impact are best positioned to attract and retain this scarce talent.
As premium market access becomes a baseline expectation rather than a differentiator, Bogawantalawa’s sustainability leadership strengthens leadership depth, workforce continuity and long-term investor confidence—positioning sustainability as the company’s enduring strategic engine for adaptive growth and resilience.