Sustainable Procurement Policy

Committed to sustainable development across all our business activities, we take environmental and social factors, alongside financial factors, into considerations in our procurement decisions. We aim to identify, select and purchase products with low environmental impact and positive social outcomes.

This Policy that outlines Elgin’s principles and commitments, accompanying with the Supplier Code of Conduct, reflect our determination to create environmental and social benefits in our procurement activities and also to encourage our suppliers working with us to form a sustainable value chain.

All business units are encouraged to follow this Policy where practicable, and to adopt additional guidelines to suit their specific business and operational needs.

Sustainable Procurement Principles

1. To comply with applicable laws and regulations.


2. To operate with the high standards of our business ethics.


3. To enable our people to adopt sustainability in the procurement processes.


4. To take into account environmental impacts throughout the product and service life cycle.


5. To ensure social aspects are considered and suppliers are encouraged to adopt socially responsible practices.


6. To engage and collaborate with our suppliers to enhance their sustainability performance.

The following factors should be considered by business units throughout the entire procurement process (from defining specifications for procuring products, selection of suppliers, to making decisions on contract awards and monitoring of suppliers' performance), where appropriate.

Environmental Sustainability

Minimizing the environmental impacts of products and services throughout their life cycles (design, production, use and disposal), including:

• Efficient use of resources, including energy and water.


• Reducing or eliminating the use and generation of hazardous substances used in activities.


• Selection of products with natural origin or biodegradable.


• Minimal packaging.


• Giving preference to eco-friendly products with recognized environmental labels or certificates, whenever practicable.


• Giving preference to locally-produced raw materials to reduce transport-related carbon emissions, whenever practicable.

Social Responsibility

Engaging and collaborating with suppliers to adopt socially responsible business practices including but not limited to:

• Operating with ethical, professional and legal standards.


• Respect of human rights.


• Respect of diversity and inclusion.


• Adherence to fair labor practices and standards.


• Provision of safe and healthy working environment.


• Working against corruption in all its forms, including extortion and bribery.

Factors to be considered in engaging suppliers and monitoring suppliers' performance as regards sustainability:

• Including evaluation criteria on suppliers' environmental and social performance in the selection process, such as accreditations and certifications.


• Compliance with Elgin's Supplier Code of Conduct and applicable environmental and social regulations and laws.


• Conducting periodic assessments of suppliers' sustainability performance.

The Policy will be reviewed and updated on a regular basis to maintain relevance and drive continual improvement.