Home Our Supplier

Our Suppliers

Our Suppliers

At GAIL, we recognize the pivotal role of our suppliers in driving sustainability, transparency, and responsible business practices across our supply chain. Our commitment to sustainable procurement ensures that our suppliers adhere to the highest environmental, social, and governance (ESG) standards, contributing to a greener and more responsible value chain.

Sustainable Procurement & ESG Integration

GAIL has implemented a Supplier Code of Conduct that mandates compliance with ESG principles, including environmental responsibility, social welfare, and ethical governance. To ensure the effective implementation of ESG programs among our suppliers, we:

  • Encourage suppliers to meet stringent environmental, health & safety, and social responsibility criteria.
  • Conduct frequent assessments and training programs to enhance supplier performance and adherence to ESG guidelines.
  • Align our procurement policies with national and international sustainability regulations, ensuring a responsible supply chain.

Supplier Screening & Due Diligence

GAIL follows a systematic supplier screening process to identify significant suppliers and assess their sustainability risks. This involves:

  • Prequalification and screening of suppliers based on environmental, social, and governance risks.
  • Assessments based on country-specific, sector-specific, and commodity-specific risks to ensure ethical sourcing.
  • Implementation of a purchase preference policy to support local and sustainable suppliers, including Micro & Small Enterprises (MSEs).

Supplier Assessment & Development

To promote supplier growth and sustainability compliance, GAIL has established a Supplier Development & Assessment Program, which includes:

  • Annual sustainability audits to evaluate supplier adherence to ESG standards.
  • Capacity-building initiatives, such as vendor development programs, pre-bid meetings, and training workshops on regulatory compliance and sustainability best practices.
  • Engagement with suppliers to ensure continuous improvement in environmental impact reduction, ethical labour practices, and responsible sourcing.

Monitoring & Reporting Supplier Performance

GAIL actively monitors and reports on supplier performance through various mechanisms, including:

  • A Vendor Grievance Portal (SAMADHAN) to address supplier concerns and enhance transparency.
  • An Online Complaint System to ensure the integrity of procurement processes.
  • Periodic reports and public disclosures on supplier engagement, ESG compliance, and sustainability progress.
  • Environmental Engagement in the Supply Chain

GAIL prioritizes engagement with suppliers on environmental issues by:

  • Setting environmental criteria for procurement, ensuring that suppliers adopt eco-friendly practices. All suppliers must comply with GAIL’s General Conditions of Contracts (GCC), confirming adherence to labour rights, human rights, environmental safeguards, and workplace safety as outlined in the Integrity Pact.
  • Encouraging suppliers to meet environmental requirements as part of our purchasing process.
  • Conducting supplier engagement programs focused on emission reduction, waste management, and energy efficiency.
  • Leveraging the Government e-Marketplace (GeM) and digital platforms to streamline sustainable procurement.

Commitment to Responsible Sourcing

GAIL’s procurement strategy aligns with the Atmanirbhar Bharat Mission, supporting local businesses and reducing environmental footprints through sustainable sourcing initiatives. We work closely with suppliers to ensure compliance with all national and international regulations while fostering long-term, ethical partnerships. For more details on our procurement policies and supplier engagement programs, visit our Vendor Engagement Portal here.

Link: Sustainability Report 2023-24 https://www.gailonline.com/SBReports.html