Untangling the knots in your chemical manufacturing supply chain keeps you busy around the clock these days. Shortages, shipping delays, and higher prices everywhere make it challenging to keep the overview and end-to-end process visibility. Not to mention meeting the obligation to comply with regulatory standards.
An example of a patchwork of standards that recently added itself to this collection is the Supply Chain Due Diligence Act (or ‘Supply Chain Act’; Lieferkettensorgfaltspflichtengesetz / LkSG) which has already come into force in Germany. e info on the Directive on
The Act has been the topic of conversation for a while now, referring to all-around standards to be adhered to by companies, from human to labor rights as well as sustainability standards.
With this article, we will bring some clarity to you: to whom and when does the Act apply and why has it been introduced? What does it mean for companies like yours in the chemical manufacturing industry in particular? e e (CSDD) for a more international p
Even though the Act has come into force in Germany for now, if your company is in another country, you still may want to read on as the EU is next: With the German Act as a template [1], The European Commission has proposed the Europe-wide directive governing duties of care in the supply chain which is currently in negotiation at the European Parliament. The directive applies to large EU companies and non-EU companies active in the EU and has the purpose to be transposed into national law after reaching an agreement.
Let’s now explore what is in the Act’s pipeline.
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Sources:
[1] Overview of the Supply Chain Act | 5-ht.com
[2] FAQ Initiative-Lieferkettengesetz.de
[3] Due diligence Definition & Meaning | Merriam-Webster
[4] CSR - Background and development | csr-in-deutschland.de
[5] Council adopts position on due diligence rules for large companies | Consilium (europa.eu)
[6] What the Chemical Industry Expects from the German Supply Chain Act | Camelot Group
[7] CHEMonitor 02/2021