Sustainable supply chain

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The Grupa Azoty Group’s supply chain is efficiently coordinated by its logistics and procurement departments, which optimise the inbound and outbound transport flows. The Corporate Procurement Department plays a pivotal role in implementing procurement strategies across the Group’s key business areas. To complement our warehouse network, we have established partnerships with over 80 external distributors, expanding the available storage space with third-party facilities. 

Given the unique demands of the chemical industry, particularly in the transport of hazardous substances, we leverage various modes of transport, including railways, specialised road vehicles, and ships for transporting products and raw materials via both sea and inland waterways. Recognising the importance of safety, each of the Grupa Azoty Group’s key companies has implemented guidelines to minimise the risk of accidents during transport. Moreover, all the companies fulfil their obligation to register manufactured substances. They have also prepared and published material safety data sheets (or equivalent documents) in accordance with the REACH Regulation for all products placed on the market. 

The Grupa Azoty Group prioritises rail transport as our preferred mode due to its environmental benefits and cost-effectiveness. With long-standing experience in managing and extensively utilising specialised transport (several areas within the Grupa Azoty Group boast the largest transport fleet in Poland and the CEE region), we are able to further optimise the supervised processes. Maximising transported volumes, especially in trainloads, is a key focus to enhance efficiency. At Grupa Azoty S.A. and Grupa Azoty Puławy, chemical raw materials regulated by RID (Regulations Concerning the International Transport of Dangerous Goods by Rail) are transported in railway tanks with vapour recovery systems for the liquid and gaseous phases. The fittings mounted on railway tanks are aligned with the fittings of loading and unloading stations at customer sites. Railway transport management for the entire Group is the role of Grupa Azoty Koltar, which also owns a state-of-the-art locomotive repair and maintenance facility. 

In cases where road transport is chosen, our emphasis is on ensuring that logistics service providers use vehicles in full working order, tailored to transport specific products according to the relevant safety data sheets. The age of vehicles and their compliance with EURO 5 and EURO 6 emission standards are crucial considerations for the Group. For particularly hazardous materials, transport is arranged in compliance with the European Agreement concerning the International Carriage of Dangerous Goods by Road (ADR).

BEST PRACTICE

In collaboration with transport companies, Grupa Azoty Puławy has established rigorous guidelines covering various aspects, including specifications for transport vehicles and driver training. Additional regulations delineate procedures for loading and unloading goods at customer sites.

When engaging transport providers, Grupa Azoty Kędzierzyn conducts thorough assessments, including verification of their SQAS certificates related to the safe storage, transport and unloading of goods. 

The Group operates its own port assets in Gdynia, Gdańsk, and Police. Product shipments are dispatched using bulk carriers, chemical tankers, and intermodal containers for transporting large volumes. Our cargoes are handled by the container terminals in Gdynia and Gdańsk, along with the majority of shipowners operating on the market. Sea shipments encompass the delivery of fertilizers and chemicals destined for further processing by our customers. Additionally, essential raw materials for production are partly transported to the Grupa Azoty Group via sea routes.

Aligned with our operational excellence strategy, we aim to enhance cargo handling capacities by expanding the warehouse resources of the Group companies. This initiative includes upgrading the logistics infrastructure for fertilizers and plastics, accompanied by an effort to reduce costs associated with utilising third-party storage space and investments to develop warehouse facilities within the strategic feedstock areas.

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We hold our suppliers to high standards, expecting adherence to the Grupa Azoty Group’s principles encompassing human rights, labour rights, environmental protection, integrity, and transparency. These expectations are explicitly outlined in the Trading Partners Code of Conduct, a document that, along with the Grupa Azoty Group Code of Ethical Conduct and the Anti-Corruption Policy, must be accepted by all companies seeking collaboration with the Grupa Azoty Group. To formalise this commitment, we enter into agreements with our trading partners, emphasising mutual cooperation in detecting and combating any instances of misconduct, with a shared responsibility for prompt reporting of any deviations from ethical standards. The Trading Partners Code of Conduct prohibits: 

• use of child labour throughout the supply chain,
• use of forced or slave labour,
• any form of corruption – ‘Zero Tolerance for Corruption’,
• financing of political parties,
• money laundering and terrorist financing,
• contravening of any EU sanctions measures,
• violations of fundamental labour rights and the law, 
• employee discrimination. 

Upon accepting the Code, trading partners pledge to minimise their environmental footprint and refrain from using raw materials sourced from conflict zones.

See our Trading Partners Code of Conduct.