204: Procurement Practices

Disclosure 204-1 Proportion of spending on local suppliers

PwC		2016		2017
Percentage of the procurement budget used for significant locations of operation that is spent on suppliers local to that operation		85.70%		87.40%

PwC	2015	2016	2017
RM Procurement according to regions (in CHF m)	2 252	2 221	2674
Of which with local suppliers	1 931	1 904	2337
Number of suppliers	5 431	5 222	6991
Asia/Pacific	480	510	627
Of which with local suppliers	449	479	591
Number of suppliers	1 704	1 754	2800
Europe	1 097	1 088	1237
Of which with local suppliers	960	959	1 122
Number of suppliers	1 357	1 174	1 690
Latin America	337	276	307
Of which with local suppliers	249	198	209
Number of suppliers	784	802	1092
Middle East & Africa	60	91	109
Of which with local suppliers	32	47	56
Number of suppliers	303	247	407
North America	278	255	395
Of which with local suppliers	241	221	359
Number of suppliers	414	445	1 002

Clariant’s Procurement Department preferentially sources goods and services from within the region in which its respective operations and manufacturing plants are located, as far as qualitatively compatible, technically feasible, and economically viable. This way, Clariant’s activities support the economic development of the regions in which it operates. This is particularly relevant for and encouraged in key emerging markets such as Brazil, China, and India.