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For the production of its main product, potassium chloride, Uralkali purchases materials and equipment from a wide range of suppliers. The majority of suppliers (around 90%) are Russian companies.
Uralkali’s customers purchasing potassium chloride are mainly manufacturers of compound mineral fertilisers, industrial consumers and agricultural producers. A significant proportion of sales go to export.
Uralkali is focused on establishing a responsible supply chain and developing long-term partnerships with suppliers and customers.
Suppliers
Processing industry enterprises
Products
- Mining equipment
- Conveyors
- Reagents
- Pump and compressor equipment
- Fuel and lubricants
Uralkali
One of the leading potash producers
Products
- Standard Pink MOP
- Granular Pink MOP
- White (halurgic) MOP
- Pelletized MOP
- Carnallite
- Halite
Consumers
- Fertiliser producers
- Industrial consumers
- Agricultural producers
Products
- Potash fertilisers
- Compound mineral fertilisers
- Agricultural products
Uralkali’s interactions with suppliers and contractors are regulated by the following internal documents: the Standard for Procurement Activities, the Code of Corporate Culture, the Anti-Fraud and Anti-Corruption Programme.
When choosing a supplier, the Company first analyses the qualifications of its employees (including their experience, knowledge), their reliability, and also carries out an expert and technical assessment of the supplier’s ability to comply with the contractual obligations.
In addition, suppliers are subject to health and safety, environmental and social management requirements. Examples of such criteria include:
- Availability of permits to conduct business, fire safety certificates
- Availability of test reports from an accredited laboratory and product safety data sheets
- Availability of the required qualifications and certification (including industrial safety)
- Written agreement by the supplier to comply with Uralkali’s Cardinal Rules
- Training of counterparties’ employees involved in joint work with Uralkali in labour and industrial safety rules
The risks related to the work of suppliers are included in Uralkali’s risk register. Among them, the risks of late delivery, inadequate quality of goods or services and overpricing have the greatest potential impact on the Company’s operations.
Uralkali strives to build long-term mutually beneficial relationships with its customers, and pays close attention to issues including product quality, supply reliability, competitive pricing and customer advisory on the use of its products.
The Company works with fertiliser consumers in international markets to educate them on the advantages of a balanced fertilisation methodology for crop yields. The proper use of fertilisers ensures higher economic efficiency, quality and quantity of crops yielded.
In recent years, the Company has implemented projects to promote the balanced application of fertilisers in India, Mexico, Argentina and Southeast Asia.
This work has included training workshops for local farmers and studies that demonstrated the positive effects of balanced fertilisation.
The development of a sustainable supply chain in Uralkali includes the following key activities:
Supplier Code of Ethics
Developed in 2022, the document outlines Uralkali’s expectations to ESG aspects of its relations with suppliers
ESG assessment of suppliers
In 2022, development of the assessment system began and a pilot assessment was completed.
Cover 50% of suppliers (in terms of procurement value) with ESG assessment by 2025
By the end of 2022, 12.8% of procurements were covered by ESG evaluation
Download Code of Business Ethics for Suppliers
You can find more detailed information about supplier and customer categories on our ESG Portal:
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