SHUJOG IMPACT ASSESSMENT Fibroin Weave Fibroin Weave overview Founded: 2011 Sector: Textiles Website: Address: Varanasi, India Vision: Fibroin Weave is a manufacturer of Indian ethnic apparels that provides employment opportunities to underserved power loom artisans and tailors in Varanasi, Uttar Pradesh Products and Services Indian ethnic garments Headline Social Metrics Social Focus Local employment opportunities to artisans and tailors in order to provide financial stability and improved livelihoods Social return on investment Shujog projects that every dollar spent on Fibroin Weave activities in 2015 will yield a $0.48 of social return. Social performance highlights (2015) Increased income for over 600 artisans Increased income for 40 tailors. Impact Investment Shujog Limited (Shujog) #02-01 Hui Seng Building, 38 Carpenter Street, Singapore | | twitter.com/shujog Fibroin Weave’s Current Theory of Change To Tailors: Provide local employment opportunities. Outputs (measurable results) Activities (what we do) Outcomes (What change takes place?) To Artisans: Provide employment to artisans on a contractual basis. Number of artisans contracted Number of tailors employed Increased income Empowering artisans with regular income opportunities through direct transaction. Provide artisans with access to better technology and training(*) Number of artisans using new machinery(*) (*) Increased Knowledge Gain skills and experience in new technology(*) Increased income Reduces migration for work by providing regular income through local employment To End Customers: Create awareness amongst customers by promoting artisanal work(*). Growth in number of customers (*) (*)Increased awareness Learning about social issues of the artisan community(*) 1 (*) projected Fibroin Weave manufactures Indian ethnic clothing with a team of artisans in Varanasi, Uttar Pradesh. The company helps artisans revive their craft and improve their livelihoods. Artisans belong to the poorest socio-economic groups in India and lack appropriate access to markets. Fibroin Weave partners with artisans to manufacture Indian ethnic garments and sells them under its own brands by tapping into the growing e-commerce market in India. In 2011, the company started by engaging with 4 artisans and producing 16 designs and now works with more than 120 artisans and has produced more than 4000 designs. Fibroin Weave aims to work with over 1000 artisans in the next five years and is developing plans to provide them with access to better machinery and training that will enhance their skills and help them to generate even more income. In addition, Fibroin Weave provides local employment opportunities to tailors, thereby providing a platform to earn better incomes and reduce the need to migrate to tier I cities in search of steady work. This impact assessment focuses on Fibroin Weave’s activities that generate social impact to two beneficiary groups: (1) artisans and (2) tailors.

Shujog estimates that by 2017, Fibroin Weave will generate $0.57 of social value for every dollar they spend on their activities. Fibroin Weave’s main beneficiaries are the artisans, who benefit from increased income after working with the company, and make up for 94.94% of the total impact. In addition, Fibroin Weave also impacts tailors who experience an increase in income through stable employment and fair wages. While there is a fluctuating SROI, which can be attributed to the company’s cost of operations, Fibroin Weave will definitely make a strong impact on artisans and tailors in terms of increased income. Impact Framework – Impact Summary Impact Investment Shujog Limited (Shujog) #02-01 Hui Seng Building, 38 Carpenter Street, Singapore | | twitter.com/shujog 2 Impact Projections (net) Cost of operations $ 304, $ 785, $ 3,666, $ 6,187, $ 9,349, Social value creation $ 333, $ 406, $ 1,771, $ 3,009, $ 5,310, Social Return on Investment (SROI) ** Based on historic data from and interviews with Fibroin Weave’s staff and suppliers Shujog estimates that the main impact of Fibroin Weave is the increase in income of its artisans which is in line with the company’s mission. The artisans engaged by Fibroin Weave are expected to nearly double their income. In addition, Fibroin Weave impacts tailors by providing them local employment opportunities. Through this the tailors are expected to increase their income by up to 150%. Key Performance Indicators (KPIs)Impact on Social Return Number of Artisans experiencing increased income Number of Tailors experiencing increased income Very High Low By working with Fibroin Weave, artisans have the opportunity to earn greater income from a more reliable source. This is achieved in two ways: by ensuring that the artisans are paid fair market price for their products; and by ensuring that all of their production is purchased by Fibroin Weave and not returned to artisans who are forced to sell at significantly lower prices later on to other markets. In the long-term, Fibroin Weave intends to provide training to artisans, thereby increasing their knowledge and further increasing their income. In order to have even greater impact, Fibroin Weave also intends to set up an artisan management facility that would help artisans with options for accessing finance, savings and healthcare services, thereby impacting other aspects of their lives. The impact of these activities has not yet been factored in to the estimations above, as they are still in early stages of planning – but they will continue to enhance the impact on artisans. Fibroin Weave provides better paid and more stable employment opportunities to tailors, providing them with increased incomes and reducing their need to migrate in search of steady work. Tailors will benefit from consistent employment in their native cities and save on the financial and social costs of migration. This will help them increase their income and savings over time. In addition, by adopting appropriate marketing strategies, Fibroin Weave aims to increase awareness amongst its customer base about the plight of artisans and the impact that is created by buying their products. This is expected to have further positive impacts as consumers purchase more products produced by artisans and are encouraged to act upon issues which benefit artisans. **In following a standard application of the SROI principles, the quantifiable value of social and environmental impacts appears to be lower than the investment by the company; however this is because of the supplier-buyer relationship between the beneficiaries and the social enterprise. Part of the investment on behalf of the company is direct payment for goods provided by the beneficiaries, of which only a portion is captured as increase in income through application of SROI.