Nestle seeks to improve coffee supply chain

- Last updated on GMT

Related tags: Agriculture, Nestlé

Nestle plans to invest CHF 500m (€385m) to improve its coffee supply chain through closer cooperation with farmers.

Building on the CHF 200m that Nestle has invested over the past 10 years, the Swiss company is putting aside CHF 500m for coffee projects through to 2020.

Nestle plans to link up with coffee association 4C and non-governmental organisations including the Rainforest Alliance and the Sustainable Agriculture Network (SAN) in pursuit of its goals.

One of the key objectives will be to increase the amount of coffee purchased directly from producers. Over the next five years, Nestle said it plans to double its coffee purchases from farmers and their associations to around 180,000 tonnes a year.

In addition, Nestle said all green coffee bought straight from farmers would meet 4C sustainability standards by 2015 and 90,000 tonnes of Nescafe coffee will be sourced in accordance with SAN and Rainforest Alliance principles by 2020.

Other projects to enhance the coffee supply chain include a plan to distribute 220m high yield and disease resistant coffee plantlets to farmers by 2020. Nestle is also expanding its technical assistance programmes to provide advice on farming and post-harvest practices to over 10,000 farmers.

Related topics: Molson Coors, Markets, Tea and Coffee

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