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Nestlé case study:
Journey towards No Deforestation
Wouter van Tol
Nestlé UK & Ireland
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Nutrition, Health & Wellness
1bn customers per day
120 countries
Sales CHF 83bn
280,000 employees
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Palm oil: a small commodity for Nestlé, but high profile due to the deforestation issue
BiodiversityNestlé’s No Deforestation commitment
• Destruction of tropical rainforests and peatlands to cultivate crops such as palm oil is one of the most serious environmental issues facing us today.
• Estimate: rainforest destruction contributes to around 20% of greenhouse gas emissions. Biofuels are a significant factor.
Action taken in 2010
• Commitment to ensure that our products do not have a deforestation impact
• Partnership with The Forest Trust (TFT) to eliminate deforestation from our supply chain.
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Responsible Sourcing Guidelines
Proactively intervening in the supply chain• Base: RSPO certification• In addition: active intervention with TFT for traceability and protection of
High Carbon Stock and peatlands
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… and Supporting our Suppliers
Supply Chain Mapping
Examples of challenges
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Management Tools Overlaying our supply chain with maps of where deforestationis happening and where it will be going next
Definitions of deforestationE.g. if definition is 30% canopy cover, what action to take when?• If canopy cover 30%29%?• If canopy cover 100% 30%?
In summary
• Deforestation is an important issue for a consumer goods company like Nestlé
• Nestlé actively intervenes in the supply chain based on Responsible Sourcing Guidelines (for cross-cutting issues and specific categories)
• Working closely with suppliers to make them part of the transformation process
• Many challenges ahead, but we are making progress
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