Summary
Details
- Global
Mandatory obligations include:
reading and complying with the Third-Party Code of Conduct.
pre-registration and supplier approval.
legal and regulatory compliance.
HSE management systems for contracted companies.
safe, healthy and environmentally correct working conditions.
training and qualification of supplier employees.
incident reporting and investigation.
risk assessment and mitigation.
compliance with Braskem procedures and work instructions.
Functionally mandatory obligations include:
Responsible Ethanol Sourcing requirements for ethanol suppliers.
sugarcane supplier management controls.
emissions and feedstock data for high-impact suppliers.
agricultural and land-use data for ethanol chains.
recycled feedstock origin and quality evidence.
lifecycle assessment inputs.
logistics emissions data.
supplier performance data under IDF.
documentation supporting bio-based or recycled product claims.
corrective action evidence.
The strongest obligations apply to:
ethanol suppliers
sugarcane-linked supply chains.
recycled feedstock suppliers.
waste and recycling partners.
fossil feedstock suppliers.
logistics suppliers.
site contractors.
chemical raw-material suppliers.
suppliers supporting I’m green™ or recycled product claims.
suppliers with high Scope 3 Category 1 relevance.
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What’s Required
Braskem’s supplier climate framework is a petrochemical and bio-based materials governance system. It combines conventional supplier approval and conduct rules with highly specific supplier controls for ethanol, biopolymers, recycled resins and circular economy products.
The framework is built around:
Third-Party Code of Conduct.
supplier pre-registration and approval system.
Responsible Ethanol Sourcing programme.
Supplier Code of Conduct for the ethanol chain.
Supplier Performance Index, or IDF.
Supplier Sustainability Recognition.
climate transition planning.
Scope 3 reduction measures.
I’m green™ bio-based polyethene and bio-based product portfolio
circular economy and recycled-content portfolios, including PCR resins.
product lifecycle assessment for bio-based polymers.
chemical safety, HSE and contractor requirements.
logistics, feedstock and raw-material data systems.
Braskem’s supplier portal states that companies seeking to become suppliers must read the Third-Party Code of Conduct, pre-register and await approval, then access the supplier system once credentials are issued. This makes supplier conduct and approval an explicit procurement gate.
1. Third-Party Code of Conduct as baseline procurement control
Braskem’s Code of Conduct for Third Parties is the baseline supplier governance instrument. Braskem’s ESG FAQ states that the Code is aligned with the UN Universal Declaration of Human Rights and ILO recommendations and is also aligned with the company’s Global Sustainable Development Policy and Global Anti-Corruption Policy. It aims to ensure that suppliers and other stakeholders are aligned with Braskem’s principles and practices on social, environmental, compliance, legal, anti-corruption and fair competition requirements.
Supplier obligations include:
compliance with Braskem’s Third-Party Code of Conduct.
legal and regulatory compliance.
social and environmental requirements.
anti-corruption and fair competition controls.
occupational health and safety.
environmentally correct working conditions.
HSE management systems.
training and qualification of employees.
operational risk analysis and mitigation.
immediate reporting of incidents.
incident investigation aligned with Braskem standards.
environmental footprint reduction in line with Braskem’s sustainability goals.
This is significant because the framework applies not only to traditional suppliers but also to contracted companies and other third parties. Braskem’s ESG FAQ states that contracted companies are responsible for maintaining their own HSE management systems, complying with Braskem procedures and work instructions, training employees, identifying operational risks, reporting incidents and reducing environmental impacts.
This creates a strong contractor and supplier enforcement regime. Suppliers are not evaluated only on commercial terms. They must show that their operations are safe, legally compliant, environmentally managed and aligned with Braskem’s sustainability expectations.
2. Supplier approval, pre-registration and procurement eligibility
Braskem’s supplier portal establishes a structured onboarding sequence:
read the Third-Party Code of Conduct.
pre-register the company.
await approval.
access the supplier system.
use the supplier system and quotation platform once approved.
This converts sustainability and compliance into supplier eligibility. A supplier cannot simply transact with Braskem without entering the approval system.
Supplier approval may involve:
corporate registration.
documentation review.
compliance screening.
integrity checks.
HSE documentation.
technical qualification.
procurement system registration.
quote and contract governance.
supplier performance monitoring.
For high-risk suppliers, especially contractors, logistics providers, chemical suppliers and site-service providers, approval likely requires stronger evidence of safety, environmental and operational controls. In a petrochemical environment, supplier approval is a risk-control mechanism because suppliers can directly affect industrial safety, emissions, waste, chemical handling and operational reliability.
3. Responsible Ethanol Sourcing as a commodity-specific supplier regulation
The most distinctive part of Braskem’s supplier framework is its Responsible Ethanol Sourcing programme. Braskem’s I’m green™ bio-based platform states that the Responsible Ethanol Sourcing process was established in 2010, alongside the inauguration of the Renewable Ethylene Plant and life cycle analysis for biopolymers.
Braskem Europe explains that the ethanol purchasing programme is supported by two pillars: Compliance and Excellence. The Compliance pillar includes the Braskem Supplier Code of Conduct, drafted specifically for the ethanol chain, establishing operational standards required to be a Braskem partner. These standards cover business integrity, environment, workers and communities, and sugarcane supplier management.
Ethanol suppliers may need to support:
legal and environmental compliance.
responsible labour practices.
prohibition of unacceptable labour conditions.
environmental management.
land-use and agricultural practice controls.
sugarcane supplier management.
community impact management.
quality and efficiency standards.
monitoring of violations.
continuous improvement under Excellence criteria.
This is a strong example of private regulation. Ethanol is not simply a commodity feedstock. For Braskem’s I’m green™ bio-based polyethene, ethanol sourcing determines the credibility of the product’s climate and sustainability claims. Supplier conduct in agriculture, land use, labour, water and communities therefore becomes part of the polymer market access.
4. Scope 3 emissions and supplier data requirements
Braskem’s climate transition plan identifies Scope 3 as a material supplier and value-chain issue. It states that, to reinforce ESG performance and reduce Scope 3 Category 1 emissions, Braskem established the Responsible Ethanol Sourcing programme. The same climate transition plan links bio-based feedstocks to carbon neutrality and circular economy objectives.
Suppliers may need to provide:
feedstock carbon intensity data.
ethanol sourcing data.
agricultural emissions information.
energy use and process emissions data.
Scope 1 and Scope 2 data for supplier operations.
logistics emissions data.
raw-material emissions factors.
recycled feedstock data.
waste and recycling chain information.
lifecycle assessment inputs.
product-specific emissions information.
certification or traceability evidence.
For petrochemical and polymer supply chains, Scope 3 governance is technically complex. Braskem’s emissions profile is shaped by fossil feedstocks, bio-based feedstocks, recycled feedstocks, purchased goods, logistics, downstream product use and end-of-life impacts. Suppliers, therefore, need data systems that support product-level and category-level emissions accounting.
5. Bio-based polymers and I’m green™ product claims
Braskem describes I’m green™ bio-based as a plant-based plastic solution that creates sustainable carbon cycles to support a circular economy. The company states that its bio-based products are linked to climate mitigation because the biogenic carbon absorbed through photosynthesis remains stored in the product rather than being released immediately through fuel combustion.
This creates supplier obligations for the bio-based polymer value chain.
Suppliers may need to provide:
ethanol origin data.
sugarcane supply-chain information.
agricultural practice documentation.
land-use risk information.
feedstock sustainability evidence.
production energy data.
lifecycle assessment inputs.
chain-of-custody documentation.
quality and purity data.
records supporting bio-based product claims.
The governance issue is claim integrity. Customers purchasing bio-based polyethene or other I’m green™ products rely on Braskem’s ability to substantiate feedstock origin, lifecycle performance and sustainability standards. Ethanol suppliers, therefore, become climate data and traceability providers.
6. Circular economy, recycled feedstocks and waste-chain governance
Braskem’s ESG strategy emphasises circular economy and carbon neutrality. The company states that it is committed to the circular economy and carbon neutrality and invests in innovation as an enabling pillar. Its ESG priorities page states that the company aims to transform people’s lives through sustainable chemical and plastic solutions by analysing value-chain impacts.
Circularity supplier categories include:
mechanical recycling partners.
post-consumer recycled feedstock suppliers.
waste management companies.
collection and sorting partners.
logistics providers for recycled materials.
packaging and resin customers participating in circular loops.
technology providers for recycling and traceability.
certification and quality-testing partners.
Suppliers supporting recycled portfolios may need to provide:
post-consumer waste origin data.
recycled feedstock quality data.
contamination controls.
chain-of-custody records.
recycled-content documentation.
lifecycle emissions data.
waste classification and handling records.
compliance with waste regulations.
logistics emissions data.
material traceability.
Braskem has reported that its PCR resins can reduce CO₂ emissions by up to 15% while supporting plastic waste recovery. This means supplier evidence for recycled feedstock quality, origin and emissions benefit is commercially material.
7. Supplier recognition and performance incentives
Braskem’s climate transition plan references Supplier Sustainability Recognition, with categories including Environment, Sustainable Procurement, Best Socio-Environmental Performance, Labour and Human Rights, and Quality through the Supplier Performance Index, known as IDF. The IDF evaluates suppliers’ corporate performance in the provision of products and services to Braskem.
This is an important procurement incentive mechanism.
Supplier performance may be evaluated across:
environmental performance.
sustainable procurement contribution.
socio-environmental performance.
labour and human rights.
quality.
service delivery.
HSE performance.
compliance with Braskem procedures.
contribution to Scope 3 reduction.
operational reliability.
Recognition systems do not replace penalties, but they create competitive differentiation. Suppliers that perform better on sustainability and quality can gain preferred status, reputational advantage or stronger commercial positioning. Suppliers with weak performance may lose competitiveness.
8. HSE, contractor and petrochemical-site controls
Braskem’s ESG FAQ provides unusually concrete expectations for contracted companies. Contractors must provide safe, healthy and environmentally correct working environments, maintain HSE management systems, comply with Braskem procedures and work instructions, ensure employees are trained and qualified, assess operational risks, report incidents immediately and implement practices that reduce environmental footprint.
High-risk supplier groups include:
site contractors.
maintenance providers.
engineering contractors.
chemical logistics providers.
hazardous waste handlers.
industrial service suppliers.
feedstock suppliers.
equipment suppliers.
environmental monitoring providers.
emergency response service providers.
These suppliers may need to maintain:
HSE management systems.
environmental permits.
worker training records.
risk assessment procedures.
incident reporting processes.
hazardous material controls.
waste and wastewater documentation.
air emissions controls.
contractor safety statistics.
corrective action documentation.
This creates an operational compliance regime. A contractor’s climate and environmental relevance is not limited to emissions. Safety, waste, incident management and environmental footprint reduction are directly tied to procurement eligibility.
9. Data systems and governance architecture
Braskem’s framework requires suppliers to operate data systems capable of supporting procurement, HSE, Scope 3, circularity, bio-based product claims and supplier performance evaluation.
Suppliers may need systems covering:
Third-Party Code compliance.
supplier portal registration.
HSE documentation.
incident management.
training records.
emissions and energy data.
feedstock origin data.
ethanol sourcing data.
agricultural and land-use data.
recycled feedstock traceability.
product quality records.
logistics emissions data.
lifecycle assessment inputs.
Supplier Performance Index evidence.
corrective action records.
The data challenge differs by supplier type. Ethanol suppliers need agricultural, land-use and labour data. Recycling suppliers need waste origin and chain-of-custody data. Contractors need HSE and incident records. Logistics providers need transport emissions and hazardous goods compliance data. Feedstock suppliers need carbon intensity and quality information.
10. Upstream cascade requirements
Braskem’s framework extends upstream, where supplier data depends on deeper value-chain actors.
Cascade requirements may include:
ethanol suppliers managing sugarcane suppliers.
monitoring agricultural practices and labour conditions.
obtaining recycled feedstock origin data from collection networks.
confirming waste-chain legality.
collecting emissions data from logistics subcontractors.
ensuring contractor employee training.
flowing HSE requirements to subcontractors.
documenting product quality and traceability from upstream sources.
The ethanol chain is the clearest cascade example. Braskem’s ethanol-specific Supplier Code covers sugarcane supplier management, meaning that direct ethanol suppliers must govern their own upstream agricultural suppliers.
Important Deadlines
Key timelines include:
2002: Braskem was founded through the consolidation of Brazilian petrochemical assets.
2010: Responsible Ethanol Sourcing process established, Renewable Ethylene Plant inaugurated and life cycle analysis for biopolymers developed.
2023: Braskem’s I’m green™ bio-based product capacity had increased from 200,000 tons per year in 2010 to 275,000 tons per year, according to Braskem ESG FAQ.
2024: Braskem published its 2024 Integrated Report covering strategy and 2030 actions.
2024 to 2025: Braskem published a Climate Transition Plan for 2024 to 2025, setting out a transition strategy and Scope 3-related measures.
2030: Braskem aims to increase sales of I’m green™ bio-based products to 1 million tons by 2030.
Ongoing: supplier pre-registration and approval through Braskem’s supplier system.
Ongoing: Third-Party Code compliance.
Ongoing: Responsible Ethanol Sourcing compliance and excellence monitoring.
Ongoing: Supplier Sustainability Recognition and IDF-based quality and performance evaluation.
Ongoing: circular economy, recycled resin and Scope 3 data development.
Current Status
The framework is active and evolving. Braskem maintains public supplier onboarding rules, a Third-Party Code governance model, Responsible Ethanol Sourcing, a climate transition plan, I’m green™ bio-based products and circular economy portfolios. The company’s public materials emphasise circular economy, carbon neutrality, value-chain impact analysis and supplier sustainability recognition.
The framework is strongest in:
supplier approval and conduct.
HSE and contractor controls.
ethanol chain governance.
bio-based polymer traceability.
circular and recycled feedstock development.
Scope 3 Category 1 reduction measures.
supplier performance recognition.
lifecycle assessment for biopolymers.
It is less publicly standardised than some European chemical-sector frameworks using TfS assessments, but it is highly distinctive because Braskem’s bio-based polyethene and circular product claims require specific feedstock traceability and supplier governance.
Penalties for Non-Compliance
Enforcement is procurement-driven.
Potential consequences include:
failure to receive supplier approval.
supplier system access denial.
corrective action requirements.
reduced sourcing opportunities.
lower supplier performance evaluation.
loss of eligibility for Supplier Sustainability Recognition.
exclusion from ethanol or I’m green™ supply chains.
exclusion from circular or recycled product value chains.
contract escalation.
suspension or termination for serious non-compliance.
reputational exposure.
site-access restrictions for contractors.
regulatory exposure where supplier failure causes safety or environmental incidents.
The strongest enforcement mechanism is commercial access. A supplier that cannot meet Braskem’s conduct, HSE, ethanol, circularity or data requirements becomes less viable in Braskem’s procurement system.
Examples of Known Violations
This analysis does not identify specific public violations by named Braskem suppliers. Realistic failure modes include:
failure to comply with the Third-Party Code.
incomplete supplier pre-registration documentation.
weak HSE management systems.
failure to report incidents immediately.
inadequate contractor training.
weak operational risk assessments.
ethanol supplier non-compliance with environmental or labour standards.
poor sugarcane supplier management.
unsupported bio-based feedstock claims.
missing recycled feedstock chain-of-custody evidence.
inaccurate Scope 3 feedstock data.
poor logistics emissions data.
hazardous material handling deficiencies.
failure to implement corrective actions.
These failures can affect supplier approval, sourcing continuity, product claims and participation in bio-based or circular value chains.
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