Sustainable Supply Chain

At UltraTech, our efforts are concentrated on ensuring that our supply chain keeps evolving into a more responsible and sustainable one. We value our network of suppliers and contractors who carry out their operations in alignment with our vision on Sustainability.

UltraTech’s Supply Chain and Procurement Policy helps build a supply chain that sustains business and is resilient with regard to risks. We work in close collaboration with our suppliers, who play an important role in imparting strength to our supply chain and making it more efficient.

We have a Supplier Code of Conduct in place and all our vendors need to adhere to it. The vendors we work with are selected based on robust criteria to ensure ethical and healthy work practices on their end. We prioritise local vendors over others to encourage responsible sourcing. We assess vendors based on issues such as Child Labour, Forced & Compulsory Labour, Environment Management, Occupational Health & Safety, Working conditions, Statutory compliances among others. monitoring and evaluation is carried out regularly, even after the vendors are onboarded.

We have developed a Sustainable Supply Chain Framework for working with our suppliers and to extend our sustainability efforts and expectations to them. It sets our vision, policy and codes. The framework specifies the steps to be taken to ensure sustainable procurement practices. We have also created a methodology for engagement, evaluation, strengthening and disclosure of supplier's sustainability efforts.

Use of technology in our procurement and logistic practices has enabled us to create a transparent and efficient system. Local sourcing is always given priority to compliment the economic growth of the local community.

We have identified around 128 critical suppliers based on the aforementioned criteria across all categories of procurement (e.g., equipment, fuels, raw material, packaging etc.). These critical suppliers account for 85% of total procurement spent.

The assessments of these critical suppliers were undertaken, and corrective actions were suggested to strengthen their sustainability performance. Periodic sustainable supply chain awareness sessions are conducted to make our suppliers aware of the changes and the best practices to make our supply chain more efficient and sustainable.

LNG-powered vehicles at Awarpur Cement Works in Maharashtra

In partnership with GreenLine Logistics, we have added 10 LNG trucks to our diesel-powered fleet, reducing our carbon emissions by 40% and contributing to a cleaner and greener supply chain. Each LNG truck helps us reduce up to 36 tonnes of carbon emissions annually, reducing our Scope 3 emissions.

In addition to reducing carbon emissions, these LNG trucks significantly reduce other dangerous emissions, with Sox emissions reduced by up to 100% and NOx emissions reduced by up to 59%. The success of the pilot is a testament to our commitment to driving sustainability across the value chain of our operations.

KPIs and Targets for inculcating sustainability in Supply Chain: