Responsible Contracting Pilot

Supporting the tea industry to embed responsible business practices in contracts.

Developing tea-specific model contract clauses for supply chain due diligence

We are collaborating with the Responsible Contracting Project (RCP) to develop a set of model contract clauses aimed at addressing human rights and environmental issues within the tea industry.

This initiative will support ETP members and their suppliers to embed greater shared responsibility for human rights due diligence within their purchasing agreements.

RCP develops and disseminates practical contractual tools to implement human rights and environmental due diligence in global commercial contracts.

  • 2024
  • Status: On-track

Project overview

We’ve teamed up with the Responsible Contracting Project to create contract clauses addressing human rights and environmental issues in tea.

Project partners

ETP core funding, Ahmad Tea, DAVIDsTEA, Ostfriesische Tee Gesellschaft GmbH & Co. KG, Ringtons Limited, Taylors of Harrogate, and the Responsible Contracting Project

Together with several of our members, we have partnered with The Responsible Contracting Project (RCP) to pilot the development of model contract clauses aimed at addressing human rights and environmental issues in the tea industry.

Our aim is to support our members to embed responsible practices in their company operations by integrating these clauses into their contracts with their tea producers and intermediaries.

RCP works to improve human rights in global supply chains by developing and disseminating practical tools to implement human rights and environmental due diligence in commercial contracts.

To ensure that our pilot is meaningful to the diverse companies in our membership, we are developing model contract clauses underpinned by guiding principles. Companies can tailor these within their supply chain.

These principles facilitate the transition from conventional contracting methods to contracts aligned with greater shared responsibility between the buyer and their supplier for due diligence.

Typically, contracts have put the risk and cost of upholding human rights and environmental standards onto suppliers. Shared responsibility is crucial to effectively manage the complex risks in tea’s dynamic supply chains.

Our model clauses will help members and their suppliers implement their commitment to human rights and environmental due diligence.

Our aim is that these clauses will be used to implement the UN Guiding Principles on Business and Human Rights and OECD Guidelines for Multinational Enterprises on Responsible Business Conduct.

The clauses are also designed to help buyers and suppliers meet evolving legislative requirements.

The initial set of model clauses is due out in May 2024, and will provide a platform for companies to build on.

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