Transcript of the podcast: How effective is the Supply Chain Act?

Wenden, bitte!“ [All change, please!] The podcast on science and sustainable transitions

Guest in episode 18 is the scientist Dr Peter Gailhofer from the Oeko-Institut

With the Act on Corporate Due Diligence in Supply Chains, which entered into force in January 2023, Germany now has legislation in place which obliges German companies to take responsibility for ensuring compliance with human rights and environmental standards in their supply chains. A supply chain consists of the suppliers of raw materials and inputs needed to manufacture or sell a product.

“Companies must now ensure that their direct suppliers are not violating human and environmental rights,” Dr Peter Gailhofer explains in the new episode of the “All change please!” podcast. They must also prepare reports, which must be publicly available, showing that they have taken appropriate steps to mitigate the risks. In conjunction with the forthcoming EU directive, the German legislation has the potential to have a positive impact on international supply chains. This positive impact will be enhanced if the EU directive covers key aspects of climate-related due diligence obligations.

Read the full podcast transcript of episode 18 “How effective is the Supply Chain Act?”