Nestle's Ambitious Climate Intervention in Nigeria

Strategic Insights -

Nestle Nigeria is waging a critical battle against climate change, shifting its approach from philanthropy to a core business survival strategy. The company has enrolled 25,000 smallholder farmers in a three-year program, providing them with the tools to farm smarter, not harder. This initiative, the Strengthening Farmers' and SMEs' Resilience through Climate Smart Grain Production (StreFaS) program, has yielded surprising results, with farmers like Engineer Lawan Abdul witnessing a 100% increase in yields. Nestle's goal is to secure its future supply chain by ensuring the environmental and economic sustainability of the smallholder farmers who feed it.

Key Takeaways:

  • Nestle Nigeria has enrolled 25,000 smallholder farmers in a three-year program, the Strengthening Farmers' and SMEs' Resilience through Climate Smart Grain Production (StreFaS) initiative, in Kaduna and Nasarawa States.
  • The program aims to fundamentally change farming practices by embedding "climate-smart" or "regenerative" agriculture into the grain value chain, training farmers in practices that restore soil health, lower greenhouse gas emissions, and increase biodiversity.
  • The program connects farmers to formal markets, including Nestle's own supply chain, where they can receive premium prices for their climate-smart produce, resulting in a 100% increase in yields for farmers like Engineer Lawan Abdul.
  • Nestle aims to source at least 50% of key ingredients from regenerative agriculture by 2030.
  • The company has made systemic changes to combat plastic waste, including upgrading its packaging to 95% recyclable or reusable, and launching an employee plastics collection scheme.
  • Nestle has set an ambitious target of achieving 100% renewable electricity in its global operations by 2025, and has already implemented water-saving technologies in its factories and installed rainwater harvesting systems.
  • The company is a founding member of the Food and Beverages Recycling Alliance (FBRA), working to build a systemic, sustainable recycling infrastructure in Nigeria.

Statistics:

  • 25,000 smallholder farmers enrolled in the Strengthening Farmers' and SMEs' Resilience through Climate Smart Grain Production (StreFaS) program.
  • 100% increase in yields for farmers like Engineer Lawan Abdul.
  • 50% goal for sourcing key ingredients from regenerative agriculture by 2030.
  • 95% of packaging for Nestle's breakfast cereal, GOLDEN MORN, is now recyclable.
  • 6,660kg of solid waste collected through Nestle's employee plastics collection scheme in 2023.
  • 30% reduction in water consumption in Nestle's factories through water-saving technologies.
  • 97% of energy at Nestle's Nescafe plant in Montes Claros, Brazil, comes from renewable sources.

Sources:

  • "Nestle Nigeria Launches Strengthening Farmers' and SMEs' Resilience through Climate Smart Grain Production (StreFaS) Initiative" (May 2024)
  • Interview with Wassim Elhusseini, CEO of Nestle Nigeria
  • Interview with Victoria Nwadoka, Head of Corporate Affairs for Nestle Nigeria
  • "Food and Beverages Recycling Alliance (FBRA) Press Release" (no date)
  • "Nestle's Nescafe Plant in Montes Claros, Brazil Achieves 'Triple-Zero' Status" (no date)