Fair Trade

Pressure from consumers on supply chain management is growing, as recent reports detail an increased interest in sustainable and ethical sourcing and supply. Research from Globescan focusing on U.K. shoppers revealed a strong preference that food companies and the government entities be focused on long-term production sustainability.

Suppliers engaged in government contracts or seeking to be a vendor of choice for a company seeking government contracts know the value of being certified under the complex procurement regulations issued by the U.S. government.

Last month, Democratic Republic of Congo (DRC) Mines Minister Martin Kabwelulu issued a formal statement recognizing adverse issues influencing the fraud and smuggling of conflict minerals in South Kivu. Minister Kabwelulu called for a thorough clean-up of the area’s mining sector.

Although industries like to imagine their supply chains as neat and orderly organization charts, the reality is that more often they are tangled, fluid, and full of potential for the unexpected. One way FCA US, a member of the Fiat Chrysler Automobiles N.V. (FCA) family of companies, addresses this uncertainty is through our Supplier Sustainability Panel.

After interviewing 70 leading companies, the UN Global Compact and EY found that companies are overcoming supply chain transparency challenges by leveraging supply chain platforms.

Since the reform of the Toxic Substances Control Act (TSCA) was passed by the Senate and signed into law two months ago, the EPA has received mounting pressure to deliver on promised regulatory improvements and demonstrate their commitment to the spirit of the new law. Industry stakeholders should ensure they are informed about the results of chemical evaluations under the new TSCA law, especially since chemicals that failed to be regulated previously could now become banned. Asbestos, a proven carcinogen, may be one of the first on that list as growing public awareness and civic pressure push the EPA to take action.

Palm oil has become a high profile material as the ethical and environmental consequences of palm oil production have become clear. Widespread and rapid deforestation for palm oil plantations has destroyed endangered species habitat and spurred human rights abuses and social conflict.