Sustainable Supply Chain

At Ziraat Katilim, supply chain management is based on establishing long term partnerships in line with sustainability principles, preserving ethical values, and considering environmental and social impacts. Within this framework, when evaluating suppliers and forming new collaborations, multi dimensional criteria such as production conditions, working conditions, human rights practices, and the content of materials used are taken into account.

In the first stage of the Bank's supplier evaluation process, it is determined whether the product or service requirement can be met from the existing supplier pool. If the need cannot be met by existing suppliers or if it is decided to work with a new supplier, market research is conducted by taking into consideration the views of the requesting unit and the Demand Center. Based on the nature of the requirement, suppliers that meet the defined criteria are selected and included in the approved supplier list.

In order to address sustainability in the supply chain within an institutional framework and to strengthen its legal basis, the "Sustainable Supply Chain Compliance Agreement" and the "Corporate Sustainability Assessment Questionnaire" were developed in 2025. Under the agreement, suppliers are required to provide commitments regarding human rights and freedoms, labor rights, environmental ethics, and corporate values. In addition, companies are evaluated across four main categories through the Corporate Sustainability Assessment Questionnaire. The evaluation results are taken into consideration as part of the criteria for inclusion in the Approved Supplier List. Through this practice, sustainability performance has been integrated into supplier selection criteria, and a systematic structure has been established to manage environmental and social risks across the supply chain and to enhance the traceability of sustainability performance.

In order to support domestic production and national capital, and to enhance the competitiveness of local suppliers against international firms, priority is given to working with local suppliers. Through this approach, it is aimed to contribute to regional economic development while strengthening the local supplier ecosystem. As of 2025, Ziraat Katilim's supplier ecosystem consists of a total of 356 companies, 345 of which are domestic. Within this structure, 27 suppliers, selected from companies providing support and outsourced services, are classified as critical suppliers.

In 2025, comprehensive contract and questionnaire infrastructures were developed for supplier processes. In this context, digital platforms, applications, and software are utilized for the archiving of contracts, the establishment of the approved supplier list, and the effective management of procurement processes. The digital systems actively used in these processes enhance traceability and facilitate data tracking.

In addition, in the upcoming period, it is aimed to integrate the Sustainable Supply Chain Compliance Agreement and the Corporate Sustainability Assessment Questionnaire into all supplier contracts; to categorize suppliers based on their sustainability performance through a scoring system derived from assessment results; to establish a prioritization of suppliers according to these scores; and to develop joint technical specifications in collaboration with business units to ensure that materials used in procured products comply with sustainability criteria.