May 31st. 2025

LAW S-211

Sustainable Procurement Policy

Canlak strives to properly assess, treat and control its environmental impact, stakeholder relations and corporate governance initiatives. The company’s choice of and relationship with its suppliers is a key aspect influenced by the company’s overall sustainability objectives.

This Sustainable Procurement Policy (“Policy”) is intended to provide a general framework for the integration of ESG considerations into the selection of its suppliers.

Scope of application

The content of this policy is addressed to Canlak’s purchasing team, as well as to all employees responsible for purchasing on behalf of the company. It applies to all sites.

Guiding Procurement Principles

Canlak is committed to incorporating the following principles into its purchasing and supplier selection process, in order to integrate ESG practices into its procurement:

  1. Select suppliers who comply with applicable laws, rules and regulations.
  2. Ensure that suppliers respect fair labor standards for their employees, i.e. that they offer decent working conditions, have a health & safety management system in place, and promote diversity, equity and inclusion.
  3. Favor suppliers who demonstrate transparency and due diligence throughout their supply chain by sharing their ESG compliance reports.
  4. Prioritize suppliers who implement practices aimed at reducing GHG emissions, water use and waste production.
  5. Give preference to suppliers offering products made from renewable, recycled or certified raw materials.
  6. Reduce the carbon footprint of supplies by purchasing local products.
  7. Implement end-of-life product return programs with our suppliers to limit waste.