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Bunnings Australia and NZ ethical sourcing and product safety

Bunnings continued to work closely with its suppliers to strengthen sourcing practices. While Bunnings direct sourced supplier base increased by 11 per cent, 100 per cent were screened through its Ethical Sourcing Program.

Bunnings also continues to proactively engage with suppliers to ensure adherence to product safety standards. As part of this, Bunnings conducts regular product audits to ensure conformance with relevant mandatory standards, and in addition undertakes independent safety tests on selected product to confirm compliance to safety standards and customer expectations. 

In November 2016, Bunnings became a key signatory to the European DIY Retailer Association (EDRA), linking DIY retailers together to share ideas on best practice in ethical and sustainable sourcing.

During the year, Bunnings commissioned two separate independent risk assessments, the first on timber supply chains and the second on a small selection of key high volume product lines to identify risks and opportunities in primary, secondary and tertiary materials. Further work is now being undertaken on a responsibly sourced program for quarried materials across the group.

Bunnings is confident that more than 99 per cent of timber products are confirmed as originating from low risk sources including plantation, verified legal, or certified responsibly sourced forests. Within that, more than 85 per cent of its total timber products are sourced from independently certified forests or sourced with demonstrated progress towards achieving independent certification, such as that provided by the Forest Stewardship Council (FSC) and the Programme for the Endorsement of Forest Certification (PEFC).

In 2016 Merbau/Kwila timber supplier PT Wijaya Sentosa became the first large scale Indonesian forest operation to achieve FSC certification. Since January 2017 all stores in New Zealand have stocked FSC certified Merbau/Kwila timber decking, with Australian stores beginning to stock FSC certified Merbau/Kwila decking in selected locations.

Bunnings continued to collaborate with environmental non-government organisations on raising awareness of responsibly sourced timber and participated in a case study in the WWF International Report: Responsible Sourcing of Forest Products: The Business Case for Retailers.