Strategic Sustainability Focus Areas
Bayer is dedicated to sustainable procurement, focusing on reducing greenhouse gas emissions, promoting responsible sourcing of raw materials, and respecting human rights across our supply chain. In close collaboration with business partners, we enhance transparency and uphold ethical standards to drive meaningful environmental and social impact throughout all stages of the value chain. Join us in our journey towards sustainability. Learn more about our initiatives and how you can contribute.
Climate protection is a key element of Bayer’s strategy and is embedded in our Supplier Code of Conduct. Since joining the Science Based Targets initiative (SBTi) in 2020, we have committed to significantly reducing our absolute greenhouse gas emissions - both from our own operations (Scopes 1 and 2) as well as those via our supply chain (Scope 3). Following SBTi revalidation in 2024, Bayer updated its 2029 Scope 3 reduction target from 12.3% to 25% versus the 2019 baseline, covering 68% of total Scope 3 emissions.
An internal program launched in 2023 continues to accelerate decarbonization through supplier engagement and improved emissions visibility. In 2024, we made strong progress in collaborating with suppliers and refining our Scope 3 accounting methodology for integration into 2025 inventory reporting.
Four key areas for 2025
- Supplier development: Engage suppliers to reduce emissions, enhance transparency on Scope 1, 2 & 3 and Product Carbon Footprint (PCF) data, and increase renewable electricity use
- Decarbonizing supplier sourcing: Channel procurement spends toward more greener suppliers and solutions
- Integration & performance management: Strengthen Bayer’s GHG accounting to enable emission reductions and safeguard our license-to-operate
- Value chain engagement: Advance joint action through industry initiatives and internal ecosystems to co-develop, promote, and upskill
These measures support Bayer’s continued decarbonization of its value chain. Strategically important suppliers and those representing a major share of Scope 3 emissions are asked to disclose their climate protection programs to Bayer.
Bayer’s net-zero deforestation and human rights commitments extend to sourcing sustainable palm (kernel) oil and soy derivatives. We promote transparent, traceable, and certified value chains aligned with the Accountability Framework. Working closely with partners and suppliers, we aim to reduce our environmental footprint and uphold social and ethical standards.
To conserve renewable resources and cut CO2 emissions, suppliers are expected to apply widely recognized sustainability standards and certifications. In 2024, Bayer disclosed its palm and soy oil activities in the CDP Questionnaire achieving a B rating, and contributed to the WWF Palm Oil Scorecard.
Bayer supports certified sustainable palm oil production, particularly in Southeast Asia and other key regions. As a member of the Roundtable on Sustainable Palm Oil (RSPO), Bayer has purchased RSPO credits since 2017 and began transitioning to the RSPO Mass Balance Certification in 2021. Equivalent standards are also accepted. Despite complex value chains, we target at least 90% of palm oil derivatives to be RSPO Mass Balance–certified by 2027, and we invite all stakeholders to follow and support this goal.
Bayer supports certified sustainable soy production, notably in South America and other key regions. As a member of the Round Table on Responsible Soy (RTRS), we covered 99% of our soy purchases with RTRS credits in 2024. These credits reward farmers who demonstrate compliance with environmental, social, and economic sustainability standards through audited certification. Bayer’s Crop Science division collaborates with RTRS to help Brazilian soybean producers meet these criteria. Further details on our Crop Science food chain partnerships and certification efforts are available here.
Other Plant-Based Materials
In our Pharmaceuticals division, hormones are synthesized based on sterols derived from soy and wood processing byproducts.
We unequivocally promote the realization of human rights. We firmly believe that respect for people is essential to achieving lasting business excellence. Bayer is committed to upholding human rights as a foundation for sustainable business excellence.
We focus on key areas including: 'Child labor Avoidance', 'Free chosen Employment’, 'Freedom of association and collective bargaining’, ‘Freedom of association and collective bargaining', 'Working time, wages & benefits’, ‘Non-discrimination and Fair Treatment', ‘Local communities and vulnerable groups’, ‘Use of security forces in compliance with human and employee rights’ and 'Health and safety'. Further information on Bayer’s human rights approach is available on our Human Rights Website.
Since 2023, Bayer has continued training procurement employees and suppliers on human rights in the supply chain. We are embedding responsible purchasing practices in our category strategies and aligning procurement processes with the German Supply Chain Due Diligence Act (SCDDA). In agriculture, we pay particular attention to potential human rights risks among seed producers and implement preventive and mitigating measures. These efforts will continue to expand through 2025.
Bayer ensures that minerals sourced from conflict-affected regions are procured responsibly to prevent financing of conflicts and human rights violations. We apply the Conflict Minerals Reporting Template to survey relevant suppliers and identify the use and origin of minerals in our supply chain. Insights from regular industry exchanges guide process improvements and support our customers in meeting their own due diligence obligations.
Suppliers are expected to comply with Bayer’s Supplier Code of Conduct and confirm that products do not contain metals sourced from conflict regions that fund or support armed groups. Non-compliant suppliers are notified, and suitable measures are initiated immediately.
Bayer is committed to fostering diversity, equity, and inclusion across its supply base. Through the Responsible Procurement Program, we promote economic development by advocating for small and diverse suppliers and supporting their growth and participation in Bayer’s value chain. The Supplier Code of Conduct encourages engagement with diverse-owned businesses and supports Bayer’s broader Diversity and Inclusion aspirations.