UPM sets specific requirements for its pulp suppliers regarding environmental performance, forestry, wood sourcing, EU Ecolabels and reporting:
UPM Sourcing selects the pulp suppliers together with the paper businesses. Besides economical, legal, ethical and operational factors, the environmental and social responsibility aspects, based on the UPM Supplier Code and Pulp Supplier Requirements, weight in the selection.
Key supplier requirements are also incorporated into contract obligations. Upon signing, contracted suppliers are committed to UPM’s Pulp Supplier Requirements and to promoting the requirements in their own supply chains.
UPM Sourcing monitors and audits its pulp suppliers together with the paper mills. Regular supplier audits have been carried out since the early 2000's.
UPM’s pulp sourcing activities are certified as part of UPM’s global FSC and PEFC Chain of Custody system.
Systematic supplier evaluation and KPI collection are in place. Suppliers are expected to inform UPM about the origin of the wood used and the amount of certified wood as well as the environmental load of the production plants.
Also social indicators such as accident frequency and land tenure rights in case of plantations are followed. Information is stored in the environmental pulp database which was taken into use in 2003.
When benchmarking its own mills and suppliers, UPM uses the indicative emission levels for Best Available Techniques (BAT), issued by the EU Commission.
Pulp suppliers report on their operations and the needed KPIs annually. Some information, like use of certified wood is followed on a monthly basis. Additionally, audits covering environmental and social responsibility issues based on a risk evaluation are conducted by UPM Pulp Sourcing. Also all new major suppliers are audited