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GPP Supporter Questions to Nestle - Responses 2

 

Recently we met with the team at Nestle UK, and they offered to answer some of your questions about how they work. After gathering your suggestions on Facebook, we passed the five most liked questions onto Nestle. These are the answers from Nestle's Corporate Affairs team for questions 3, 4 and 5. The answers to the first two questions are published here. Our thanks to Alison and Sam at Nestle for being open to such dialogue.

3/ Clarice Fell: Hi there, so great what you guys do. I recently took a 4 month trip to Uganda Africa. I saw where coffee is made. Where the beans are grown. Nescafe and other major coffee brands buy their beans from there. They pay next to nothing for it the workers live in extreme poverty. The companies put massive taxes on the coffee and charge us massive prices. I don't know how one of the world’s biggest exports leaves it's workers in poverty. I know that this same senario is like for chocolate the coco beans are sort the same way. If anything ask them to provide better pay and living conditions to the ones who actually grow the coco beans. As without them there wouldn't even be chocolate. Ask them to follow Cadbury’s league and make it fair trade. Thanks any way for all the hard work. Praying for justice for our world. :)

For more than 30 years, we have been working with our coffee suppliers to encourage sustainable farming and improve the living standards of coffee-farming communities. To do this we need to address global issues such as food and water security and work with coffee farmers to improve the quality and quantity of their produce as this is crucial to increasing their income.

In August 2010 Nestlé launched The Nescafé Plan, a global initiative which aims to help guarantee a long term supply of quality coffee produced with a lower environmental impact. The plan will be implemented with the support of Rainforest Alliance, other partners from the Sustainable Agriculture Network (SAN) and the 4C Association (Common Code for the Coffee Community Association).

The plan outlines our commitments in three key areas; coffee farming, coffee production and consumption and is backed by an investment of £213 million until 2020. Similar to The Cocoa Plan, The Nescafé Plan accelerates and expands programmes of support that we have been involved in for decades. We believe it will help us guarantee a long term supply of quality coffee by making coffee farming more attractive to the next generation of farmers and enable them to produce coffee with a lower environmental impact. Information is available for consumers on both www.nestle.com and http://www.nescafe.com/sustainability-uk.

4/ Jenny Jones: I live in Australia and if I see something with Nestle attached to it I deliberately don't buy it. So my question would be: "when will you step up and lead the world in becoming a fair company that puts your fellow humans in front of your massive profit? I'm sure you can afford to do this. That's when I will start supporting your products again."

Nestlé’s basic business principle is that we can only create value for our shareholders if we at the same time create value for society and we have identified three focus areas where, for Nestlé, business and societal value creation can be optimized and these are nutrition, water and rural development. We call this Creating Shared Value (CSV).

About half of our factories are in developing countries and we source about 70% of our raw materials from these rural areas. CSV means that more than just being present in these regions, we are actively leveraging our presence to reduce poverty, improve nutrition and health, and preserve the environment for future generations.

We have recently published a report which outlines over 290 business activities and programmes which support one or more of the United Nations Millennium Development Goals (MDGs) (http://www.community.nestle.com/Pages/mdg-landing.aspx) which you may be interested in looking at. The projects range from supporting female livestock workers in Pakistan to helping farmers in our supply chain reduce the environmental impact of the crops they produce.

5/ Awal Ahmed: I want to know what measures they have in their contract to ensure environmental sustainable production methods at the community level and what they are doing to reduce communities vulnerability to climate change?

Environmental responsibility is a key component of our Corporate Business Principles and Supplier Codes (http://bit.ly/ieh2aB and http://bit.ly/dKZ4TH). As a company our aim is to not just offer products with the lowest environmental impact compared to alternatives but to work throughout our supply chains to reduce the environmental impacts of farming and crop production and promote sustainable agriculture. A key component of our major initiatives such as The Cocoa Plan and The Nescafé Plan is to help farmers produce crops in a way that minimises the environmental impact while maximising yields and to help them deal with challenges such as climate change. For example we supply coffee and cocoa farmers with high potential plantlets which produce earlier and are bred to be disease resistant. We have also highlighted water as a priority issue. Aside from our global commitment as a founding signatory of the CEO Water Mandate an initiative led by the United Nations Global Compact, we are committed to improve our efforts in sustainable water management across the business www.nestle.com/csv/environment. As agriculture uses two thirds of the world’s water we also work with farmers and suppliers to encourage effective water management – in courntries ranging from Italy to Cote d’Ivoire. Our drip irrigation project in Nicaragua is a good example of working collaboratively to develop a low-cost drip irrigation system to be used in plantations where we source coffee as part of a public private partnership between Nestlé, ECOM, the Rainforest Alliance and International Development Enterprises IDE covering 1500 coffee farmers. Through the sustainable use and control of water we can accelerate plant growth and achieve better quality crops even during water-stress periods. You can read more about this and other projects in our MDG Report www.community.nestle.com/mdg7 or on the section on water on www.nestle.com.

Comments

21/12/10 9:32pm - Posted By Mark Properjohn - Reply to this comment
It is heartening to know that Nestle are committed to social and environmental sustainability, though little was mentioned, or asked, about Nestle's stance or commitment to sustainable Palm Oil in their products.
21/12/10 10:11pm - Posted By Davinia Hart - Reply to this comment
I have been boycotting ALL Nestle products for years now and will continue to do so until you go completely FAIR TRADE. From what I can see, you are just skirting around the problem and making excuses. NO more excuses for those living in poverty! People are DYING because you won't pay them a fair price for their Coffee and Cocoa products!!!
Come on!!! Stop making excuses and make a COMMITMENT!!!!!
22/12/10 9:28am - Posted By Kirsten Moon - Reply to this comment
I'd love to see Nestle commited to better envirnmental and living standard outcomes .... but these issues have been a concern for too long to be just moving toward long term goals .... there are other companies to buy our products from that are doing the right thing now and there is no need to buy Nestle so I won't. That shareholders are mentioned at all in the response tells me that the love affair with capitalism will always outweigh the compassion for those less fortunate that ourselves in the minds of the decision makers at Nestle.
22/12/10 1:08pm - Posted By Tam - Reply to this comment
Question 3 and 4 are about wages, not economic, global or environmental impact. It's a complex answer to divert us from the missing one, which is: "We now put more money into the hands of each farmer."

I'm sure they are doing some things for the poor. But if their farmers are living in extreme poverty, then Nestle are still exploiting them.

I'm going to start avoiding Nestle, too. Unless it has a FT logo.
17/05/18 2:10pm - Posted By Armontock - Flag as inappropriate - Reply to this comment
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