Ethical Sourcing


ETHICAL SOURCING POLICY


Ethical Sourcing Requirements

When starting a business partnership with DK Company, we ask suppliers to commit to the following Ethical Sourcing Requirements when sourcing and manufacturing our products. Important to note, the requirements mentioned below will be updated by us on a regular basis, and our suppliers will be informed accordingly in case of any major changes.



Sub-contracting

It is only allowed to subcontract the production of DK Company products in cases where the sub-contracted factory is known to and approved by DK Company. Using sub-contractors, which have not been approved, is not acceptable and will be considered as a serious breach in trust, and future cooperation will be considered.



Sandblasting

The process of sandblasting encompasses a great risk to human health and life, why we have decided to ban this method in all products for DK Company. DK Company commits to working with the supplier to find alternative solution in reaching the same look.



Cotton from Uzbekistan and Turkmenistan

DK Company strongly oppose the use of Child- and Forced Labour. Several reports have documented an extended use of both in the harvest of cotton in Uzbekistan and Turkmenistan. We require that all our suppliers stop sourcing their cotton from Uzbekistan and Turkmenistan, develop policies against sourcing in these countries and enforce the ban throughout the supply chain. To know which cotton traders you should not work with – please refer to this list:

http://www.cottoncampaign.org/



Sourcing from Xuar

We are strongly condemning the use of Child- and Forced Labour in the cotton industry located in in the Xinjiang Uighur Autonomous Region (XUAR). All Vendors in the DK Company Supply Chain are prohibited from sourcing goods made in XUAR or made from materials produced in XUAR. We require our vendors to take adequate precautions and actions ensuring sourcing in XUAR is stopped and enforce the ban throughout the entire Supply Chain.



Sumangali Scheme

Sumangali is a scheme where girls between 11–17 years of age are being hired into, mostly spinning mills in Southern India, to work. They are hired on a contract for three to five years after which they are paid a lump sum, often used as a dowry.

Sumangali is therefore to be considered a form of bonded child labour, which we strongly oppose.

Suppliers to DK Company must ensure that this scheme is not practiced in any facilities throughout the supply chain.



Conflict Minerals

DK Company supports the Dodd-Frank Act Reform and Consumer Protection Act, that was approved on August 22, 2012 by the U.S. Securities and Exchange Commission (SEC). This rule revolves around the sourcing of conflict minerals such as tantalum, tin, tungsten, and gold.

The purpose of this policy is to make sure that we comply with all disclosure and reporting requirements Under rule 13p-1 of the Securities Exchange act, as well as Regulation (EU) 2017/821 of the European Parliament and of the Council of May17th 2017

http://data.europa.eu/eli/reg/2017/821/oj


According to this regulation EU companies are obliged to ensure imports of abovementioned minerals are responsible, do not originate from conflict-affected or high-risk areas, and our Supply Chain do not contribute to the financing of armed groups.

At DK Company we are committed to operating our business with the highest standards of business ethics, and we expect the third parties with whom we work to maintain these same high standards. We expect our supply chain to comply with our requests to provide us with information about the source of some of these materials and perform transparency and due diligence regarding their sourcing of the minerals at issue



Approval

This statement was approved by the Parent Company DK Company A/S and relates to all the companies in the DK Company Group.