For the economy of the society to become circular, we need to recover all the resources of a product and move them back into a cycle in which waste is seen as a resource. For this, we need legislation and international agreements to secure the circulation of the most critical raw materials.
The export and import of waste is regulated through comprehensive legislation on an international and a national level. The legislation is followed up within the framework of European cooperation and by national authorities. We warmly welcome the 2019 EU adoption of the Circular Economy Action Plan. However, we still need new quality requirements, so that only products designed for a circular economy may be sold.
We also need legislation and international agreements to secure the circulation of the most critical raw materials. Updated regulations must enable us to move waste across borders, with a legal application where producers have full responsibility for their products.
We want to lead this circular movement and will continue to go beyond compliance to ensure a sustainable value chain where people and planet are respected.
Our treated material are sold on a global market to customers who utilize the materials in their production processes. In the global market, materials may be handled incorrectly by the receiving customer; customers may lack the appropriate permits for performing their operations as well as have insufficient documentation to ensure that the treatment is performed in accordance with the relevant laws and permits.
Deviations may result in increased environmental and health risks in the production process, such as environmental pollution in the local communities, health risks for workers and local residents, as well as risks of negative impact on human rights, if the exported waste is handled in an inappropriate manner by the receiving party. Besides the direct environmental and social effects, this could also result in negative publicity for Ragn-Sells and even legal sanctions and fines. In 2019, we had zero incidents with connections to insufficient sustainability criteria.
To ensure legal compliance and traceability, we have a clear management framework in place to monitor our value chain.
The management system is reviewed by means of extensive evaluation during the yearly Management Review and is adjusted if necessary. During 2019 we also took additional preventative measures to ensure a sustainable value chain. This included a continued implementation of our Supplier Code of Conduct, which was developed during 2018 and covers environmental and social criteria as well as a zero tolerance to any form of corruption or bribery.
Moreover, during 2019 we developed an internal training based on our re-launched internal Code of Conduct. This training is mandatory for all employees and contains elements of business ethics and how we are to act when doing business with partners in our value chain.