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Nestle, the Swiss multinational food and beverage company, has been a pioneer in adopting
sustainability practices across its operations. As part of its long-term sustainability strategy, Nestle
has identified adaptation and mitigation as two key areas of focus. The company has implemented a
number of initiatives aimed at reducing its environmental impact and building resilience against
climate change.
Adaptation Strategies:
Adaptation refers to the actions taken to minimize the adverse effects of climate change on businesses
and communities. Nestle has adopted several strategies to build resilience and adapt to the changing
climate.
Water Stewardship:
Water is a key resource for Nestle, as it is a critical ingredient in many of its products. However,
water scarcity and quality issues are increasingly becoming a challenge for the company. To address
this, Nestle has implemented a comprehensive water stewardship program, which includes the
following measures:
Setting water reduction targets: Nestle has set ambitious targets to reduce its water consumption
across its operations. As part of this, the company has adopted innovative technologies to optimize
water use and reduce wastage.
Engaging with stakeholders: Nestle engages with local communities, NGOs, and governments to
understand local water challenges and develop solutions that benefit both the company and the
community.
Protecting water sources: Nestle has implemented measures to protect water sources and ensure their
long-term sustainability. For instance, the company has implemented a water replenishment program,
which aims to return water to the environment in a way that is sustainable and benefits local
communities.
Climate-smart agriculture:
Nestle works with farmers across the world to source high-quality raw materials for its products.
However, climate change is making it increasingly difficult for farmers to grow crops and sustain
their livelihoods. To address this, Nestle has implemented climate-smart agriculture practices, which
include the following measures:
Promoting sustainable farming practices: Nestle works with farmers to promote sustainable
agriculture practices, such as soil conservation, crop diversification, and integrated pest management.
These practices help to reduce the environmental impact of farming and improve the resilience of
farmers to climate change.
Developing climate-resilient crops: Nestle is investing in the development of climate-resilient crops
that can withstand the challenges posed by climate change, such as drought, floods, and extreme
temperatures.
Providing training and support: Nestle provides training and support to farmers to help them adopt
sustainable and climate-resilient farming practices. The company also works with local governments
and NGOs to create an enabling environment for sustainable agriculture.
Mitigation Strategies:
Mitigation refers to the actions taken to reduce greenhouse gas (GHG) emissions and slow down the
rate of climate change. Nestle has implemented several initiatives to reduce its carbon footprint and
mitigate the impact of its operations on the environment.
Renewable energy:
Nestle is committed to reducing its reliance on fossil fuels and transitioning to renewable energy
sources. The company has set a target to source 100% of its electricity from renewable sources by
2025. To achieve this, Nestle has implemented the following measures:
Investing in renewable energy: Nestle is investing in renewable energy projects across the world,
including wind, solar, and hydropower. The company is also working with its suppliers to encourage
them to switch to renewable energy sources.
Improving energy efficiency: Nestle has implemented energy efficiency measures across its
operations to reduce its energy consumption and GHG emissions. This includes measures such as
installing energy-efficient equipment, optimizing processes, and reducing waste.
Sustainable packaging:
Packaging is an essential part of Nestle's operations, as it helps to protect its products and ensure their
safety and quality. However, packaging also has a significant environmental impact, particularly in
terms of GHG emissions and waste.
PACKAGING STRATEGY
- 35 % of plastic packaging by weight at the end of 2021, as a result of product portfolio shifts and
packaging redesigns
> 95 % of our plastic packaging will be designed for recycling systems by 2025, and we are
committed to achieving 100%
Our strategy is structured around five pillars:
1 Reducing our use of plastic packaging material
WATER
2.3 million m3 water use reduction in our factories
98 million m3 total water withdrawals from all areas in 2021
39.03 million m3 total water consumption in 2021
100 % of our factories monitoring water withdrawals
2.39 million water use reduction in factories in 2021 (m3)
500000 farmers Guided on water use and water management practices expected through the Nestlé
Responsible Sourcing Standard
Before the water we use in our operations is reused or discharged back into rivers, lakes and the sea,
we ensure it is safety treated. Our digital compliance assessment and monitoring tool ensures our
factories meet the exacting standards of our Nestlé Environmental Requirements (NER) for water
quality.
The AWS (Alliance for Water Stewardship) Standard is the first global water stewardship standard for
measuring responsible water stewardship across social, environmental and economic criteria. We aim
to certify all our Nestlé Waters sites to the Alliance for Water Stewardship (AWS) by 2025.
In addition, we conduct an annual assessment of current water risk at sourcing locations for key
agricultural commodities including cereals, coffee, dairy and sugar, using a combined water stress
index that combines results for entire sourcing areas from four publicly available tools: WRI
Aqueduct, WWF Water Risk Filter, Pfister Water Stress Index and the Water Depletion dataset by
EarthStat.
Local needs require tailored solutions. Our approach to water management has always been highly
targeted, with detailed action plans to help address key issues.
We are working on projects in several areas, particularly those where water is lacking. We are helping
farmers implement better water management practices to save water in their day-to-day work, using
technology, knowledge sharing and other educational means.
SUSTAINABLE SOURCING
Over a decade ago, we launched a global coffee sustainability initiative called the Nescafé Plan. We
have now defined our sustainability ambition for the next decade. Through the Nescafé Plan 2030, we
are accelerating our action to support a more inclusive and sustainable future for the coffee sector,
using our heritage, scale and reach to help uplift lives and livelihoods from farm to cup. Regenerative
agriculture sits at the heart of the Plan. We will work with farmers to help them adopt regenerative
agriculture practices that will help reduce carbon emissions and help improve farms' productivity,
with the aim of improving farmers' incomes
Nestlé has made the commitment for 100% of its coffee to be produced sustainably by 2025.
Our main sources of meat, poultry and eggs are in North America (the U.S.) and Europe (France,
Germany and Spain). Our Responsible Sourcing Standard sets out basic, non-negotiable standards, as
well as important and urgent sustainability practices that we ask our suppliers and the farmers
involved in our supply chain to adhere to at all times.
We verify compliance with these practices through farm assessments. We also understand that some
actions at farm level require time or industry transformation. Updating animal welfare practices may
require time or financial investments in infrastructural changes on farms, such as switching from
cages to cage-free production systems.
In partnership with the National Fish and Wildlife Federation, Nestlé is enabling the adoption of
practices that improve the productivity of pasturelands, sequester carbon, and restore wildlife habitat.
The partnership will engage ranchers on an individual basis to identify and subsidize the solutions that
make the best sense for their particular lands, including prescribed grazing, invasive weed
management, restoration and management agreements.