Supply Chain Transparency: California SB 657
Effective January 1, 2012, the California Transparency in Supply Chains Act of 2010 (SB 657) will require large manufacturers and retailers that sell goods in California to make certain disclosures regarding their efforts to address slavery and human trafficking. The Act is intended to ensure that retail manufactures and sellers are disclosing their efforts to eradicate slavery and human trafficking from their supply chains.
Azteca Milling, L.P. is committed to observing high ethical standards in the conduct of its business. We are committed to the goals of SB 657 and are committed to compliance with all laws and regulations governing efforts to address slavery and human trafficking. In establishing and maintaining relationships with our suppliers, we ask them to be committed to the same high ethical standards, and that they are not linked to activities that would be considered abusive or exploitive, including human trafficking and slavery.
Azteca Milling does engage in verification of our product supply chain to ensure compliance with laws governing slavery and human trafficking. These verifications do not currently include a certification regarding the materials used in manufacture by each supplier, and do not include use of a third party.
Azteca Milling does conduct extensive audits of its suppliers for food safety, and hence many issues related to safety of workers and their human rights can be discovered and addressed. Azteca Milling also retains third party auditors for most international suppliers. Principally, Azteca Milling employs the services of the American Institute of Baking. The American Institute of Baking conducts unannounced food safety audits at the Azteca Milling manufacturing facilities located in the United States.
Azteca Milling has a rigorous internal accountability system for its suppliers. Suppliers are required to submit detailed information on the materials incorporated in the products they sell Azteca Milling. The materials certifications must include material subcomponents, and raw materials, with all country of origin information and sources detailed. For any raw material or component sourced in China, Azteca Milling requires submittal of a third party audit of the Chinese supplier facility.
As part of its internal accountability system to ensure compliance with all laws and regulations, Azteca Milling can take action upon discovery of violations, including requesting a prompt redress of alleged violations, and corrective actions, as well as the potential for termination of the supplier relationship in the event of violations or failure to adequately remedy violations. Azteca Milling has a robust employee training program that is currently being revised to include training on how to minimize the potential risk of slavery and human trafficking in the supply chain.