Nestlé India: CSR Project

Introduction

Corporate Social Responsibility (CSR) has become a crucial part of

sustainable business practices in India, especially after the introduction of
Section 135 of the Companies Act, 2013. This report aims to examine the
CSR initiatives of Nestlé India, particularly focusing on Project Jagriti, from
a financial standpoint. The report analyzes how funds have been allocated
and utilized over the years and how these investments contribute to
corporate accountability and long-term brand equity.

CSR Policy of Nestlé India

Nestlé India's CSR efforts are directed toward areas like nutrition awareness,
clean water, rural development, and women empowerment. Project Jagriti is
a flagship initiative under their nutrition awareness program, focusing on
educating communities, especially women and children, about health and
nutrition practices.

1. Company Overview: Nestlé India

Nestlé India is one of the leading players in the Indian FMCG (Fast-Moving
Consumer Goods) sector. It operates primarily in the food and nutrition
segment and is known for delivering quality products aimed at enhancing the
quality of life and contributing to a healthier future.
- Founded: March 28, 1959
- Headquarters: Gurgaon, Haryana
- Sector: Food Processing
- Key Executives:
• Suresh Narayanan (Chairman and Managing Director)
• David Steven McDaniel (CFO)
• Martin Roemkens (Executive Director - Supply Chain)
- Key Brands: Maggi, Nescafé, Cerelac, KitKat, Milo, Milkybar, Polo,
Nestea
- Manufacturing Units: 9 units across India – Moga (Punjab), Samalkha
(Haryana), Nanjangud (Karnataka), Choladi (Tamil Nadu), Ponda and
Bicholim (Goa), Pantnagar (Uttarakhand), Tahliwal (Himachal Pradesh),
and Sanand (Gujarat)
- Employee Strength: Approximately 7,649 employees
- Parent Company: Nestlé S.A. (Switzerland), holding a 62.76% stake in
Nestlé India

2. CSR Focus Areas of Nestlé India (2023–24)

Nestlé India is committed to corporate social responsibility (CSR) and

undertakes various initiatives aimed at community development,
sustainability, and long-term societal impact. The company ensures
compliance with Section 135 of the Companies Act, 2013.

2.1 Nutrition

Nestlé focuses on spreading awareness about nutrition and reducing

malnutrition in communities, particularly among children and women in
rural and semi-urban areas.
2.2 Water and Sanitation

Recognizing the water scarcity issues in India, Nestlé supports projects that
promote water conservation, provide access to clean drinking water, and
improve sanitation in rural schools and communities.

2.3 Rural Development

The company supports sustainable development in rural areas, especially

focusing on farmer communities by providing technical knowledge and
infrastructure support.

2.4 Livelihood

Nestlé provides skill development programs and training to enhance

employability, especially for youth and women, improving income
opportunities and financial independence.

2.5 Education

Education is a core area for CSR where Nestlé works on improving access to
quality education, infrastructure in schools, and promoting girl child
education.
2.6 Environment

Nestlé India undertakes initiatives focused on sustainability and reducing

environmental impact, including plastic waste management, renewable
energy use, and reducing carbon emissions.

Project Jagriti: Solving the Nutritional Challenges Faced by Women

For millions of individuals in India, especially those who reside in

underprivileged areas, the ability to receive adequate nutrition remains a
faraway dream. In response to this critical need, Project Jagriti and the well-
known Mamta Health Institute have forged a significant partnership that will
herald a new era of empowerment and well-being for women and children
throughout the nation. A revolutionary change's torch-bearer is Project
Jagriti.

The Company launched Project Jagriti in collaboration with the MAMTA

Health Institute for Mother and Child with the united goal of creating
healthier communities. The project specifically targets four groups: young
people, expectant mothers, nursing mothers, and married couples. By
fostering a supportive environment for women, it aims to raise awareness of
family planning, hospital postnatal visits, and institutional deliveries.

The project recognizes the impact of childhood malnutrition on an

individual's health over the course of their lives. It focuses on raising
knowledge about early breastfeeding initiation, exclusive breastfeeding, and
enhancing community breastfeeding practices.

Adolescents are involved by leading workshops on hygiene, health,

menstrual hygiene, and other significant health-related issues. Young
couples are given access to family planning services, educated about gender
equity standards, counseled on preconception care, marital communication,
and issues of preventative mental, sexual, and reproductive health. To help
those who require counselling, there are committed outreach workers who
make door-to-door visits. The outreach workers generally serve as group
facilitators, directing from a distance in order to promote peer-to-peer
learning.

Project Jagriti promotes healthy eating and feeding habits, enhancing

nutrition and health at crucial life phases, from adolescence to caregivers, in
collaboration with Mamta Health Institute for Mother and Child (MAMTA).
Jagriti works with community stakeholders and the healthcare system to
create an environment that supports the best health outcomes.

The program's main goals include encouraging early breastfeeding initiation,

exclusive breastfeeding, enhancing breastfeeding habits, and promoting the
use of public health services. It also focuses on building peer mentor support
groups for counselling on good nutrition for pregnant and nursing mothers.
The strategy incorporates the healthcare system and community partners in
order to foster an environment that promotes the best health outcomes.

The goal of this effort is to improve the continuum of care for health,
nutrition, and hygiene behaviours among adolescents, young couples, and
caretakers in order to increase the uptake of health services.

A division of the Swiss company Nestle S.A. is Nestle India. Nestle India is
a thriving firm that offers consumers in India products of international
standards and is dedicated to long-term sustainable growth. Nestle India has
eight plants and a sizable number of co-packers.

Impact of Project Jagriti in Empowering Lives Through Nutrition

Over 9.7 million beneficiaries—3.1 million direct and 6.6 million indirect—
in 10 States and Union Territories have been served by the initiative as of
2022. Nestlé India and MAMTA Health Institute for Mother and Child's
seven-year Project Jagriti, which impacted 8.4 million people directly and
indirectly through 8 states and union territories, has ended.
Since the program's launch in 2015, it has been reaching out to at-risk
groups to raise awareness of good cleanliness, nutrition, and health habits.
MAMTA executed Project Jagriti in the slums of Nagpur city in 2017,
serving a population of 20,000 there.

In the Rajasthan districts of Churu and Sri Ganganagar, Project Jagriti has
benefited more than two million people in both direct and indirect ways. The
use of mobile applications by adolescents, wall paintings on breastfeeding
and maternal nutrition, and weekly training sessions on iron and folic acid
supplementation for teachers are just a few of the local efforts that have been
implemented to have an impact. The initiative now covers the districts of
Dholpur and Hanumangarh in Rajasthan.
PROJECT JAGRITI - for the year 2025-2026

The budgeted amount for 2025-2026 in millions is 100.8 (as per Nestle India
Corporate Social Responsibility Policy Report)

Financial Overview of CSR Investments

Nestlé India adopted an extended financial year from January 2023 to March
2024, spending ₹68.58 crore on CSR activities, surpassing the prescribed
threshold of ₹59.76 crore. This expenditure reflects a robust increase from
the previous year’s spend of ₹56.32 crore, highlighting a proactive approach
to community engagement and development.

Breakdown of Expenditure

 Project Implementation: A major portion, ₹64.37 crore, was allocated

to ongoing and new projects focusing on nutrition, water, sanitation,
and rural development.

 Administrative Overheads: ₹3.43 crore was directed towards

administrative costs associated with these projects.

 Impact Assessment: To ensure effectiveness and transparency, ₹0.78

crore was spent on assessing the impact of various initiatives.
Financial Impact and Analysis

Nestlé India has consistently met or exceeded the mandated 2% net profit
allocation for CSR under the Companies Act, 2013. Project Jagriti alone
accounted for a significant portion of CSR expenditure from 2017 to 2020,
totaling ₹90 crore. The long-term financial implications include improved
brand equity, customer loyalty, and regulatory goodwill.

Compliance with CSR Law

Nestlé India has been compliant with CSR regulations. The company has
consistently allocated the required 2% of average net profit for CSR
activities. For the FY 2023-24 (15-month period), ₹68.58 crore was spent,
which is more than the prescribed requirement.
Conclusion
Nestlé India’s financial commitment to CSR, especially through initiatives
like Project Jagriti, highlights its integrated approach to sustainability. The
investment of ₹90 crore in nutrition awareness demonstrates how financial
resources can be strategically utilized for community development and brand
positioning. This report establishes the importance of tracking CSR from a
finance perspective to assess its real impact and sustainability.

9. References

• Nestlé India Annual Reports (2020-2024)

• Business Standard article (2017) – ₹90 crore investment in Project Jagriti

• India CSR (2024) – CSR overview

• Nestlé India Official Website: www.nestle.in