Sumitomo Chemical is committed to building sound mutual relations with business partners based on the Basic Procurement Principles. In addition to ensuring fairness, equitability, and transparency in our transactions with business partners, we are also encouraging business partners to promote their CSR activities through our responsible procurement activities.

• Responsible Procurement Overview
• Initiatives in Fiscal 2010
• Fiscal 2011 Tasks

Clarifying regulations within the Company

Sumitomo Chemical clearly states the following basic principle of responsible procurement in its Basic Procurement Policies (shown below):
“4. In its procurement, the Procurement Section shall give preference to those suppliers that are active in CSR initiatives, with the aim of fulfilling its corporate social responsibilities and building sound relationships with suppliers.”
In addition, we clearly state our basic responsible procurement policy in the Group Business Standards of Procurement, which apply to Group companies both in Japan and overseas.

Basic Procurement Policies

1. The Procurement Section shall strive to conduct procurement transactions on the basis of fair, equitable, transparent and free competition without involving personal interests or arbitrary considerations.
2. The Procurement Section shall strive to select suppliers to transact with in accordance with the most appropriate and economically rational methods and shall pursue the maintenance of sound business relationships with suppliers, aiming for mutual growth and development.
3. The Procurement Section shall strive to provide corporate services globally throughout the entire Group.
4. In its procurement, the Procurement Section shall give preference to those suppliers that are active in CSR initiatives, with the aim of fulfilling its corporate social responsibilities and building sound relationships with suppliers.
5. The Procurement Section shall strive always to meet quality requirements of Sumitomo Chemical's internal sections that request purchase of Goods and Services.
6. In performing Procurement Operations, the highest priority shall be given to safe and stable operation in order to achieve zero-accident and zero-injury operations.
7. In performing Procurement Operations, the highest consideration shall be given to customer satisfaction.
8. The Procurement Section shall ensure the transparency of Procurement Operations.

System for Responsible Procurement

Using the Sumitomo Chemical Supply-Chain CSR Deployment Check Sheet

Sumitomo Chemical has created the Sumitomo Chemical Supply-Chain CSR Deployment Guidebook, which explains CSR items to be focused on by suppliers. Sumitomo Chemical aims to help its suppliers address their issues by monitoring and providing feedback on the results of their self evaluation using the Sumitomo Chemical Supply-Chain CSR Deployment Check Sheets and helping them promote CSR activities by repeating the PDCA cycle.

Sumitomo Chemical has a CSR Procurement webpage, which allows suppliers to download the Sumitomo Chemical Supply-Chain CSR Deployment Guidebook and the Sumitomo Chemical Supply-Chain CSR Deployment Check Sheets.

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