8 July 2016

EU framework aims to prevent funding of warlords and criminals

Following thorough discussion and debate between the European Commission, the European Parliament, and the European Council, the EU has agreed on a new framework to prevent the purchase of materials that could be used to fund armed groups. Mobile phones, electronics, cars and jewelry are among the products most likely to include so-called conflict materials, such as tin, tungsten, and gold.

The new framework tackles companies early in the supply chain, ensuring they procure materials responsibly. The majority of metals and minerals imported to the EU will be covered by the framework, with small suppliers exempt. The EU will further develop reporting tools for companies to ensure that they are abiding by supply chain standards.

Speaking to Supply Management magazine, Bernd Lange, Chairman of the European Parliament’s INTA committee, said: “We need to step up to our responsibilities and finally break the vicious cycle between the trade in minerals and the financing of conflict.” A full regulation will be adopted in the coming months.

For more information, visit Supply Management.