The Positive Cup BECAUSE COFFEE CAN BE A FORCE FOR GOOD - CREATING SHARED VALUE REPORT 2016 - Mynewsdesk
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The Positive Cup
B EC AUS E CO F F E E C A N B E A FO RC E FO R G O O D
CREATING SHA RE D VA LU E RE PO RT 2016
DRAFT GRI 1.3.2017
NOT FOR DISTRIBUTION
How can
a cup of coffee
deliver greater value
for society and
COMPANY COFFEE ALUMINIUM CLIMATE
the environment?
The terroir of the Nespresso Rosabaya,
Grand Cru, Cauca, Colombia
THE POSITIVE CUP 2016 3
THE POSITIVE CUP
is our conviction to make each cup of Nespresso an extraordinary
coffee experience, creating pleasure for consumers and benefits
for wider society and the environment.
It is a privilege for me, as CEO of Nestlé Nespresso, to present the For us, innovations like this are not to build a competitive advantage
company’s 2016 Creating Shared Value report, setting out the work – quite the opposite – we hope other roasters will follow our lead
we have been doing to drive the sustainability of our business – in addressing these issues.
creating shared value together with and for our partners.
Lastly, we are aware of the changing expectations of citizens and civil
The success of our company is well known, in the coffee industry society regarding the role of business, particularly in the context of
and wider business community. The power of innovation and a the COP21 agreement and the establishment of the UN Sustainable
commitment to excellence has propelled the strong performance Development Goals. Through our engagement, we aim to show the
of Nespresso over the last 30 years. What is less well known, is how important role the private sector can play. That means bringing new
the same level of commitment to innovation and excellence, by our ideas, innovative approaches, resources and a commitment to
11,500 employees in 63 countries, has driven our engagement in addressing issues that ultimately affect us all. In short, being
sustainability. This report addresses that gap by sharing our strategy, pioneers of sustainable consumption.
commitments and achievements – as well as identifying where
progress is still needed. One of the great privileges of my role is the opportunity to partner
with individuals and teams from NGOs and the development sector.
Why is sustainability so important to us? There is not one single I never cease to be inspired by their passion and engagement and
answer to that question, but there are many reasons why sustainability I thank our partners, some of whom have joined us on the Nespresso
is such an important element of our strategy. On one level, it is part of Sustainability Advisory Board, for supporting our journey.
THE QUALITY OF OUR GRANDS CRUS the commitment we make to our Club Members who expect nothing
short of excellence in all that we do and an exceptional quality I am pleased to be able to report that at this half way stage, we are on
IS ROOTED IN SUSTAINABILITY experience cup after cup. For them and us, the quality of our Grands track with the targets we set ourselves for 2020. In fact, I can say with
Crus is rooted in sustainability. On a more operational level, we know some confidence that we are already innovating beyond the formal
we must engage in the sustainable development of coffee producing quantitative objectives that we set.
regions, in particular, to ensure the availability of the unique profiles
of coffee we depend on. The Positive Cup is our multifaceted strategy, embodying the belief
that every cup of coffee can be a force for good. The last couple of
Smallholder coffee farmers are exposed to years have shown the perfect illustration of this and what we mean
by Creating Shared Value. Our Grand Cru Suluja ti South Sudan was
unacceptable levels of uncertainty and risk to launched in a number of markets – the first coffee to be exported from
their livelihoods, stemming chiefly from climate the country, laying the foundations for a revitalised coffee sector and,
change and economic volatility. we hope, contributing to the peaceful development of the country.
In all of this work, we are guided by the purpose of our parent
Through our unique Nespresso AAA Sustainable Quality™ Program, company, Nestlé, to enhance quality of life and contribute to
developed together with the Rainforest Alliance, we lessen these risks, a healthier future.
creating favourable conditions for over 70,000 farmer partners
benefiting from premiums, the expert assistance of agronomists, plus I invite you to discover our strategy in this 2016 report and encourage
a wealth of other pioneering initiatives. One I derive great pride you to share feedback, in the hope that together we can continue to
in is the introduction of the first ever retirement scheme for coffee make positive impacts in the years to come.
farmers, developed together with the Colombian Coffee Growers
Federation, the Colombian Government, and supported by the
cooperative in Caldas and Fair Trade.
Jean-Marc Duvoisin
Nespresso CEO, Jean-Marc Duvoisin, and AAA CEO, Nestlé Nespresso
Agronomist, Paul Karanga, visting AAA farmers
Susan Waithira and Patrick Gitau in Kenya
THE POSITIVE CUP 2016 G4-1, EC/EP-G4-DMA 5
GOALS AND AMBITIONS TA B L E O F C O N T E N T S
Throughout 30 years of rapid growth, Nespresso has been continuously learning how to integrate sustainability into its COMPANY 8
activities, seeking to improve its operations and to generate positive impact. This approach, called The Positive Cup, is an
What really matters 10
expression of the Nestlé’ purpose “to enhance quality of life and contribute to a healthier future”. It guides the way in which
Creating shared value 12
we create shared value, ensuring that business activities preserve the environment for future generations, while pursuing
Our value chain 14
economic and social prosperity for all stakeholders.
Our journey 16
Our people 18
The main focus of The Positive Cup strategy is to enhance the consumer experience by integrating sustainable production
Partnerships for impact 20
into our value proposition. This means to ensure sustainable coffee sourcing, contributing to better livelihoods for farmers
Governance 22
and the resilience of their communities, to unlock solutions for the circular use of aluminium and to contribute to global actions
on climate change. Most of all, it means to inspire everyone in our company, our partners in the coffee regions and more widely
our consumers, to an agenda of sustainable consumption and positive impact. The 2020 Goals and Ambitions that we have
COFFEE 24
defined are set out on this page. More details and progress on achievements can be found in the relevant sections of the report.
What really matters 26
The Nespresso AAA Sustainable Quality™ Program 28
TOTAL COMPANY ENGAGEMENT Farmer relationship management 30
Innovation for communities resilience 32
§§ Invest 500 MioCHF to strengthen our sustainable production and
Our approach to natural capital 34
consumption capability and drive positive impact
The AAA Program in East Africa 36
§§ Empower everyone in our company to contribute to our sustainability agenda
Coffee revival 38
§§ Catalyse innovation through the Nespresso Sustainability Innovation Fund
Monitoring and evaluation 40
The scope of the AAA Program 42
RESILIENT COFFEE FARMS AND COMMUNITIES
ALUMINIUM 44
§§ Source towards 100% of our permanent coffees through the What really matters 46
AAA Sustainable Quality™ Program The benefits of aluminium 48
§§ Increase the share of certified coffees in AAA Our approach to aluminium stewardship 50
§§ Expand our value proposition to rare origins and pursue Capsule lifecycle management 52
innovative solutions to better livelihoods for farmers The scope of our recycling actions 54
END TO END SUSTAINABLY MANAGED ALUMINIUM
CLIMATE 56
§§ Offer convenient recycling solutions to all our consumers What really matters 58
§§ Continue to increase our recycling rate and unlock the circular use of aluminium Lifecycle assessment 60
§§ Source “ASI certified” aluminum towards 100% The environmental performance of our operations 62
Sustainable machine design 64
Agroforestry for climate adaptation 66
The scope of our climate actions 68
INTEGRATED ACTIONS ON CLIMATE CHANGE
§§ Continue to reduce the carbon footprint of a cup of Nespresso by 28% vs. 2009
ABOUT THIS REPORT 70
§§ Inset 100% of the company operational carbon footprint Methodology 71
§§ Strengthen coffee landscape resilience through extensive tree planting Bureau Veritas assessment 72
Our partners 74
GRI indicator table 76
Impressum 94
On track In progress
THE POSITIVE CUP 2016 EC/EP-G4-DMA 7
How does Nespresso
take responsibility
C O M PA N Y
for sustainable
consumption?
CREATING SHARED VALUE
IS AT THE HEART OF OUR
CONSUMER PROPOSITION
Efrain Ibañez and Arnoldo Cifuentes,
AAA agronomist and farmer from
Huehuetenango, Guatemala tasting coffee
in the Lausanne boutique, Switzerland
THE POSITIVE CUP 2016 C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 9
LONG TERM SUCCESS “You can not have a sustainable proposition to
REQUIRES ACTION your consumers if you are not implementing
BEYOND CORE sustainability practices in your business.”
OPERATIONS Arnaud Deschamps, Market Head, Nespresso France
Throughout our company’s 30 years of rapid What really matters
growth we have been learning how to improve The integration of sustainable production
in our consumer value proposition
our impacts. The essence of this approach – in
line with Nestlé’s principle of Creating Shared
97 %
As a leader in portioned coffee our main focus is ensuring the sustainable production of coffee and aluminium
Value – is to “decommoditise” coffee, creating and engaging consumers in the need for, and the value of, sustainable consumption. The fact that our employees
have direct relationships with coffee farmers and our Club Members gives us more opportunity to take action
more value along the value chain from farmers 97% of our Carbon footprint in areas which we do not directly control but where our business has significant dependencies and impacts.
occurs beyond our core
to Nespresso consumers.
operations e.g. on coffee farms,
consumption phase (scope 3 as
Implementing our Positive Cup ambition requires per the GHG protocol definition)
human rights climate change
the involvement of all our people – especially SUSTAINABLE PRODUCTION water stewardship
those working directly with farmers and those Partner long term relationships
resource efficiency & waste
Community economic development
engaging Nespresso Club Members in all that
we do. A diversity of strategic partnerships has
88 % Environmental stewardship
been integral to our progress over the years. community development
& unemployment
Natural Capital
More recently, we have strengthened our 88% of our people would
STAKEHOLDER CONCERN
internal processes and governance to improve recommend Nespresso rural development business ethics OUR BUSINESS PRINCIPLES
as a place of work AND VALUES
decision‑making and build solutions together OUR PEOPLE traceabillity Transparency and responsible practices
Safe, inclusive and rewarding place to work Creating Shared Value
with stakeholders. responsible marketing
People development and empowerment Stakeholder and consumer
Participative engagement relationships
employees relations
women’s empowerment
food safety
safety & health
SIGNIFICANCE OF NESPRESSO IMPACT
Our 2020 goals and ambition
Total company engagement
2016 status
Invest 500 MioCHF in The Positive Cup 197 MCHF
Empower everyone in our company to Strategy in execution,
contribute to our sustainability agenda Employees training rolled out
Catalyse innovation through the Nespresso 2 projects co-funded in the NSIF
Sustainability Innovation Fund 9 MioUSD blended capital
On track In progress
G4-19, G4-27, EC/PSP-G4-DMA, EN/MA-G4-DMA, EN/OV-G4-DMA,
THE POSITIVE CUP 2016 HR/CL-G4-DMA, HR/FAC B-G4‑DMA, HR/FCL-G4-DMA, HR/ND-G4-DMA C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 11
DECOMMODITISATION “ We want each and every consumer OF COFFEE DRIVES OUR to be able to appreciate the quality and CREATING SHARED the authenticity of our Grands Crus.” VALUE APPROACH Alfonso Gonzalez, Chief Customer Officer, Nespresso Our coffees are cultivated in specific terroirs, roasted and blended with meticulous attention to detail and their quality is protected by our aluminium capsules. Harvest after harvest we return to the same places and the same farmers to purchase their coffee for its exceptional quality. The origins of our Grands Crus are unique and not interchangeable, so we cannot and do not buy our coffee as a commodity. Our approach is to support producers to better manage their farms, their businesses and their land. By doing so, we secure the supply of higher quality crops that meet the specific Nespresso quality and aroma requirements. This not only delivers a better in-cup result highly appreciated by our consumers, but it delivers greater income, security and stability for the farmers. We describe this as “de-commoditisation” and it is at the heart of how we create shared value over the long-term for our consumers, farmers and other partners, from every cup to every farm. Chef Theo Randall tasting the new range Daniel Delgado, AAA Agronomist of exclusive selection coffees in a glass from Colombia, during a coffee tasting designed especially for Nespresso by Riedel in Avenches factory, Switzerland THE POSITIVE CUP 2016 EC/EP-G4-DMA C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 13
THE NESPRESSO “Our sustainability investments are
VALUE CHAIN ENABLES US part of the brand experience and
TO CREATE SUSTAINABLE valued by consumers in every cup.”
QUALITY AT EVERY STAGE Hélène Montcorger, Chief Financial Officer, Nespresso
Grow Retail Experience
Scope: Scope: Classic line:
§§ 12 countries §§ 63 countries, >10,000 employees §§ 24 permanent Grand Crus
§§ >70,000 farmers §§ 25 Customer Relationship Centres §§ 9 limited editions and variations
§§ > 300 Agronomists §§ 600 Boutiques §§ 2 coffee revival Grand Crus
(Cuba, Souh sudan)
External endorsement: External endorsement :
§§ Certification of our coffee volume §§ OHSAS certification certification Vertuo line:
by Rainforest Alliance and Fairtrade §§ 18 permanent Grand Crus
Pro line:
§§ 13 Grands Crus
SUSTAINABLE PRODUCTION RESPONSIBLE OPERATIONS SUSTAINABLE CONSUMPTION
Source Make Remake
Scope: Scope: Scope:
§§ 2 aluminium Tier 1 suppliers §§ 3 production centres in §§ 86% of the capsules sold can be
Switzerland, >1,000 employees collected (collection capacity)
External endorsement:
§§ SMETA compliance External endorsement: External endorsement:
§§ ISO 22000, ISO 14001 §§ Assurance and certification
and OHSAS certification system of the Nespresso
capsules collection and
recycling (available as
from 2017)
THE POSITIVE CUP 2016 G4-4, G4-6, G4-8, G4-9, G4-12, FP2, FP5 C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 15
FOR 30 YEARS, WE HAVE BEEN “We have identified 10 of the 17 Global
LEARNING AND ADAPTING HOW Goals where we can make a contribution.”
TO INTEGRATE SUSTAINABILITY Jérôme Pérez, Global Head of Sustainability, Nespresso
INTO OUR ACTIVITIES
In September 2015, 193 Member States of the UN adopted 1970s
the newly defined 17 Sustainable Development Goals (SDGs) Prototypes of the first system to 1986
as global priorities towards 2030. deliver barista coffee quality at home THE PORTIONED COFFEE 1991
SYSTEM WAS BORN THE FIRST
The Positive cup ambitions seek to contribute to 10 of the RECYCLING SYSTEM
17 Global Goals. Two of these goals (SDG 12, Sustainable dedicated to Nespresso capsules
Consumption and Production, and SDG 8, Decent work and in Switzerland
Inclusive growth) set the direction for the role of a consumer
product company such as ours.
Other goals are also material to our value chain and business
principles. They are outlined on this page with our customised
description as well as referenced with their logos throughout
the report. 2003
2005 THE NESPRESSO
2009 AAA SUSTAINABLE
The lifecycle assessment
2012 THE COMPANY SETS QUALITY™ PROGRAM
highlights the importance
ITS PLAN FOR CREATING 1993
of scope 3
SHARED VALUE Nespresso joins the collective recycling
2014 80% AAA coffee sourcing system in Germany with the support
THE POSITIVE CUP: 75% recycling capsule capacity
The Aluminium Stewardship Initiative of Duales System Deutschland
A 500 MIO CHF INVESTMENT -20% GHG emission/cup
(ASI) for a traceable and responsible
INTO POSITIVE IMPACT
aluminium
100% Sustainably sourced coffee
100% Responsibly managed aluminium
100% Carbon efficient operations
2030
2016 OUR APPLICATION
2015 THE NESPRESSO OF THE SDGs
The South Sudan NESPRESSO BRINGS SUSTAINABILITY SDG 1 End poverty
Grand Cru, SUSTAINABLE CONSUMPTION INNOVATION FUND SDG 2 Promote sustainable agriculture
Suluja Ti TO THE LONG CUP (NSIF) SDG 4 Learning opportunities for all
With the roll out of the Vertuo system USAID and the World Bank are SDG 5 Gender equality
the first partners to join the NSIF SDG 6 Water stewardship
SDG 8 Decent work and inclusive growth
SDG 12 Sustainable consumption and production
SDG 13 Climate change
SDG 15 Natural Capital
SDG 17 Partnerships
2017
The first GRI compliant
Creating Shared Value report
G4-10, G4-12, G4-26, G4-LA9, G4-LA12, LA/DEO-G4-DMA,
THE POSITIVE CUP 2016 LA/ER-G4-DMA, LA/LMR-G4-DMA, LA/OHS-G4-DMA, LA/TE-G4-DMA C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 17
RESPONSIBLE BUSINESS “Each and everyone is involved
IS ESSENTIAL FOR OUR because we consider sustainability
PEOPLE AND A SOURCE as a total company project”.
OF INSPIRATION Daniel Weston, Global Head of Creating Shared Value, Nespresso
Our company has grown significantly, now Beyond a shared passion for coffee and the brand, Nespresso Our development programs promote
employing more around 13,000 people.
employees are getting more engaged in the implementation a coffee and sustainability culture
of The Positive Cup strategy. Over the last years, this has led
This brings with it a responsibility for their to consistent operational progress on recycling, coffee sourcing On average, Nespresso employees spend 34.3 hours per annum in
wellbeing and development, as well as a need and environmental performance. More than this, as most of training ( 2016). Coffee know-how and sustainability awareness are
our employees deal with customers everyday, their active the 2 topics on which all employees are trained when they first join
to accommodate the changing expectations
participation in the program enriches the customer experience. the company. Customer facing employees follow a three year
of a future workforce. The more the company curriculum including a specific module on sustainability. As part of
engages in sustainability, the more our people their career path, customer facing employees can develop into the role
Nespresso employees interact with of “coffee ambassador”, disseminating the expertise of sustainable
want to get involved.
customers everyday quality coffee throughout the company.
The vast majority of Nespresso people are based in boutiques or in our
“customer relationship centres”, listening to and helping customers.
This gives them the chance to give direct feedback and ideas on how
we can improve the products and the overall experience of the brand. 85% of our colleagues
Since 2014, our team has generated hundreds of ideas which have
led to concrete changes towards a better quality of service and
85 % feel engaged in the company
(+7pp vs. 2012)
customer satisfaction. The 2016 MBA Challenge winners from Saïd Business School,
University of Oxford
Responsible business is even
more important for the millennials A closer look at
70 %
70% of our employees work
in boutiques or call centres
Nespresso employees have an average age of 34, with customer‑facing
the Nespresso Sustainability MBA Challenge
staff slightly younger. In line with local needs and culture, our Since 2013, the Nespresso Sustainability MBA Challenge has given
market-based teams develop employee engagement programs: us the opportunity to engage with the next generation of business
Our people expect and appreciate from “green week” events generating ideas around social and leaders enrolled in international MBA schools, increasing their
a safe workplace environmental challenges, to volunteering and academic programs awareness of the issues and opportunities of sustainable enterprise.
and origin country experiences. In 2016 Nespresso USA piloted Participation in the Challenge has increased year after year and
Safety is a priority for our company. Given the nature of our business, the Nespresso Coffee Leadership Program, a curriculum with NY we now attract more than 80 schools annually.
boutique managers play an active role in promoting a safe environment University Stern School of Business aimed at empowering
not only for employees but also for the thousands of customers employees on adressing societal challenges through their role Challenges have dealt with topics as wide ranging as climate strategy,
visiting the boutiques every week. What we call “The recordable injury as business managers. the circular economy and consumer engagement in sustainability.
rate” or the log of accidents that occur n the business covers not only Finalists are invited to present their ideas and recommendations to a
our own employees but also extends to the care of our customers. jury of academics as well as to an audience of Nespresso employees.
The winning team travels to a AAA coffee region to see the Program
at work in the field. The MBA challenge is managed together with
We promote greater participation of women the Center for Intelligence in Markets and Sustainability at the INCAE
in the business Business School in Costa Rica
Gender balance is a major focus for the company, above all in
leadership positions. While the global male/female balance is 44/56,
this is not yet reflected in the gender ratios of senior positions (70/30).
Importantly, in the area of coffee field operations, we have learned
that the presence of female agronomists is the guarantee to ensure
participation of women farmers in training. Women excel in the
adoption and implementation of best practices on farm. Today, our
Coffee Specialist, Filipa Perfeito, presenting Suluja Ti South field workorce comprises 45% women globally.
Sudan, Nespresso boutique, Lausanne, Switzerland
G4-9, G4-10, G4-26, G4-LA9, G4-LA12, LA/DEO-G4-DMA, SDG SDG
THE POSITIVE CUP 2016 LA/LMR-G4-DMA, LA/OHS-G4-DMA, LA/TE-G4-DMA, LA/ER-G4-DMA Learning opportunities for all Inclusive growth C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 19PARTNERSHIP “The nature of the challenges requires
DRIVES INNOVATION a joint approach – Nespresso can not
AND AMPLIFIES IMPACT solve these problems alone.”
Guillaume Le Cunff, President, Nespresso USA
Long term collaboration has been instrumental Our latest achievement, the Nespresso Sustainability Innovation Academic expertise is an important
in making real progress and strengthening
Fund, has the ambition to engage further with a wide range of source of knowledge
impact investors and social finance institutions.
our capability as in the case of the Nespresso Over the years Nespresso has partnered with a range of academic
AAA Sustainable Quality™ Program and our institutions to build knowledge related to agri-business and natural
Collaboration leads to capability building capital. Our long-term partner, INCAE business school, and its
aluminium management initiatives.
and an inclusive approach Sustainable Markets Intelligence Center (CIMS) have been
instrumental in better understanding the model of smallholder coffee
Our track record in sustainable coffee sourcing, together with our farming and the contribution of the AAA Program to improving
long-standing partner, the Rainforest Alliance, is the most important livelihoods.
example of how we have built mutual capability on sustainability.
Today more than 30 operational coffee partners and over 70,000 For the past three years, Wageningen University has been the
farmers apply the best practices of sustainable quality coffee production. academic partner of the “Manos al Agua” platform, bringing strong
Throughout this report, you will find a series of partner profiles that expertise on water footprinting and water management. Since 2015,
describe in more detail specific collaborations. A full list of partners is the centre for climate risk at Columbia University has been working
available in the acknowledgment section at the end of the report. with us on the development of a crop insurance model against climate
risk tailored to the needs of coffee smallholders.
A closer look at
To address difficult systemic challenges, the Nespresso Sustainability Innovation Fund
multiple stakeholders work together (NSIF)
87 MioUSD additional investment
Over the past 5 years, Nespresso has been involved in setting up
and participating in a range of coalitions with organisations that bring
87 M$ by partners in the region where we
source coffee
The NSIF is a new facility launched in 2015 directing a portion of
the 500 Mio CHF investment of The Positive Cup towards innovation
relevant expertise and strong commitment to transform practices on sustainability solutions and to amplify the positive impact of our
for a more sustainable future. Today Nespresso is part of 5 actions. The fund is designed as a source of blended capital to
multistakeholder platform working on coffee landscape and Investors will be critical in amplifying co-invest with institutional donors and impact investors, focusing
aluminium stewardship topics: positive impact initially on the areas of resilience and economic development.
The fund has already doubled its initial seed capital of $10 million
§§ The Manos al Agua platform in Colombia to build knowledge on Between 2007 and 2015, Nespresso leveraged its operational with investments of USAID in South Sudan (3.2 Mio USD) – and
natural capital and integrated landscape management. investments in coffee producing countries through a series of public the World Bank Group in Ethiopia (6 Mio USD).
http://manosalagua.com private partnerships channelling USD 87 million additional investment
§§ The Consorcio Cerrado das Aguas in Brazil to leverage efforts into the regions and communities where we source AAA coffee.
of landscape stakeholders and build resilient watersheds. In 2015, the Nespresso Sustainability Innovation Fund was launched
Learn more on page 38-39. to innovate in blended sustainability financing solutions and support
§§ The International Platform for Inseting (IPI) in France to share scaling of impacts, investing in new business models.
best practices on how to manage socio‑environmental costs within
the value chain.
http://www.insettingplatform.com What’s next
§§ The Aluminium Stewardship Initiative to set a standard for
responsible aluminium sourcing and material management. §§Explore investment opportunities through the
www.aluminium-stewardship.org Nespresso Sustainability Innovation Fund in recycling and
§§ The Club des Emballages Légers en Acier et Aluminium (CELAA) circular material management.
in France to establish recycling facilities.
http://www.celaa.fr
Signature of a multistakeholder agreement
for the farmers savings plan, Aguadas, Colombia
SDG
THE POSITIVE CUP 2016 G4-15, G4-16 Partnerships C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 21SUSTAINABILITY IS “Governance means integration of
MANAGED FROM GLOBAL sustainability into our business but it also
STRATEGY THROUGH means being open to external advice.”
TO LOCAL OPERATIONS Yvonne Iwaniuk, Global Corporate Communication & PR Head, Nespresso
LEADERSHIP
Nespresso Leadership Team
Nespresso CSV Global Team
Nestlé’s purpose is to enhance quality of life and contribute
Nestlé Operations Sustainability Council
to a healthier future. This drives The Positive Cup, enabling Nestlé Brands and CSV Advisory
sustainable consumption, supporting resilience of coffee
Scope
farming communities and taking care of natural resources The Positive Cup Strategy
for future generations. At Nespresso a governance structure Partnerships CONSULTATION
is in place to deliver these impacts.
Nestlé Alignment
AND PARTNERSHIP
Nespresso Sustainability Advisory Board
Management program
Nespresso Sustainability Innovation Fund
The Nespresso AAA Program
Multistakeholder Coalitions
The Nestlé Responsible Sourcing audits (S.M.E.T.A; Ecovadis)
COMMERCIAL OPERATIONS The Nestlé Quality Management System (N.Q.M.S)
Market Heads Scope
The Nestlé Corporate Compliance Assessment of Human Resources (C.A.R.E)
Local Sustainability Champions Global / Local Advisory and Implementation
The Nespresso Recycling Management System
Coffee Ambasadors
Technical Quality Managers
Scope
Local Strategy Implementation
(recycling, machines, boutiques
and consumer engagement)
Management program NSAB members 2016, New York, USA
The Nestlé Responsible Sourcing audits (S.M.E.T.A; Ecovadis)
The Nestlé Quality Management System (N.Q.M.S)
The Nestlé Corporate Compliance Assessment of
Human Resources (C.A.R.E) A closer look at
The Nespresso Recycling Management System COFFEE FIELD OPERATIONS The Nespresso Sustainability Advisory Board
AAA Regional Managers
Agronomist Workforce (NSAB)
Scope
Farmer Relationship Management Set up in 2013, the NSAB comprises leading NGOs, academics,
Supplier Implementation international organisations and our brand ambassador, George
Sustainable Quality Management
Clooney. The Board meets formally once per year and the agenda
Management program is framed around:
The Nespresso AAA Program §§ Progress against our public commitments
§§ Concerns on stragegy execution and gaps
§§ Discussion around future opportunities
Other external experts are invited to present and interact with
the Board to ensure a wide range of views are represented.
All discussions are non-binding and serve more to channel external
advice on the role of the private sector on societal challenges.
Every year, the NSAB discussions focus on coffee production,
aluminium management and climate risks. Today, the members are:
brand ambassador George Cloonney, Cambridge Institute for
Participants to a consultation process pre NSAB 2015, Sustainability Leadership, Colombian Coffee Growers Federation
London, UK (FNC), Fair Labor Association (FLA), Fairtrade International, Fair Trade
USA, INCAE Business School, International Union for Conservation
of Nature (IUCN), TechnoServe, Rainforest Alliance, World Business
Council for Sustainable Development.
197 MCHF already invested
Coffee specialist explaining the circular use of aluminium,
Lausanne Boutique, Switzerland 197 MCHF of the 500MCHF commitment
(2014-2020)
A team of AAA agronomists, Colombia
THE POSITIVE CUP 2016 G4-24, G4-26, G4-34, G4-EN31 C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 23How does Nespresso
COFFEE ensure sustainable
quality coffee?
OVER A DECADE OF COLLABORATION
HAS BEEN CRITICAL IN DELIVERING
SUSTAINABLE QUALITY
AAA green coffee bags awaiting export at
Cooperativa de Caficultores de Aguadas, Colombia
THE POSITIVE CUP 2016 EC/PSP-G4-DMA C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 25OUR PROMISE TO “The big challenge going forward is to
CONSUMERS DEPENDS engage consumers with the benefits
ON RESILIENT FARMING of sustainable production.”
COMMUNITIES Nigel Sizer, President, Rainforest Alliance
To fulfil our commitment to Nespresso What really matters
consumers, we depend on a reliable source Consumer appreciation of sustainable quality coffee
of the highest quality coffee. Working closely
with farmers, cooperatives and other partners
1-2 % Our coffee Grands Crus are recognised for their exceptional taste and flavour profiles. Behind this is a long
standing commitment to sustainable coffee production. We work with stakeholders in the coffee sector to support
strengthens the resilience of our coffee producing resilient agricultural communities and to protect vital ecosystems and landscapes. We are also building the value of
sustainable quality coffee into the consumer experience.
regions – especially to economic and climate Only 1-2% of worldwide
coffee meets our quality
change uncertainties. The Nespresso AAA
standards
Sustainable Quality™ Program was launched
in 2003 with the Rainforest Alliance. It fosters
human rights climate change
long‑term relationships with farmers, embeds water stewardship
sustainable practices on farms and the
surrounding landscapes, and improves the yield
86 % resource efficiency & waste
COFFEE LANDSCAPE CONSERVATION
Reforestation
and quality of harvests. At the same time, it Biodiversity conservation
Water stewardship
contributes by bettering the livelihoods of 86% consumer satisfaction community development Natural Capital
& unemployment
with the quality of our coffees
farmers and their communities. It is now being
STAKEHOLDER CONCERN
implemented in East Africa, in-line with our rural development
RESILIENT FARMING COMMUNITIES
commitment for 100% AAA sourced coffee Quality and productivity traceabillity CONSUMER EXPERIENCE
by 2020. Economic stability responsible marketing Transparency
Intergenerational succession Terroir discovery
Climate adaptation Product innovation
women’s empowerment
SIGNIFICANCE OF NESPRESSO IMPACT
Our 2020 goals and ambition
Resilient coffee farms and communities
2016 status
Source towards 100% of our permanent coffees
82% AAA sourced coffee
through the AAA Sustainable Quality™ Program
Increase the share of certified coffees in AAA +5 pp (vs. 2014)
Harvest time for AAA farmer
Diego María Lopez, Cauca, Colombia Expand our value proposition to rare origins and pursue 2 origins: Cuba, South Sudan
innovative solutions to better livelihoods for farmers 2.6 MioCHF in innovative solutions
On track In progress
THE POSITIVE CUP 2016 G4-PR5 , EC/IEI-G4-DMA, EN/OV-G4-DMA, EN/WA-G4-DMA C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 27THE AAA SUSTAINABLE “The AAA Program perfectly
QUALITY™ PROGRAM connects economic with
IS OUR SOLUTION FOR socio‑environmental sustainability.”
BUILDING RESILIENCE Lawrence Pratt, President, INCAE Business School,
The AAA Program is a quality coffee sourcing program, Quality and sustainability go hand in hand
designed and implemented specifically for Nespresso
in collaboration with the Rainforest Alliance and launched Experience has taught us that there is no quality without
in 2003. Through long-standing partnerships with farmers, socio‑economic and environmental sustainability, and vice versa.
coffee suppliers and cooperatives, and supported by NGOs, The three pillars of the AAA Program encapsulate this learning.
it has evolved considerably over time. Sustainable farm
A | Firm commitment to quality
management is still at its heart but today it also focuses The Rainforest Alliance and Nespresso have been working together
on community and landscape resilience and the wider since 2003 in the design and development of the AAA Program.
systemic challenges facing the sector. This collaboration led to the concept of Sustainable Quality and its
Everything starts with quality. It is the major driver for farmers deployment at farm level, combining the socio-environmental criteria
to access differentiated markets and increase farm revenues. of the Sustainable Agricultural Network (SAN) with the quality
Wider systemic solutions Practices such as harvest and post harvest processing, traceability, expertise of Nespresso. As part of more recent work, the collaboration
and also input management and varietal selection affect the quality also led to the piloting of the Rainforest Alliance/SAN climate module
The AAA Program participates in a range of multistakeholder of the crop. Farmers are rewarded with price premiums when their with the AAA farmers of the Huehuetenango cluster in Guatemala
coalitions that leverage the collective resources of farmer coffees are approved for high quality. and the Monitoring and Evaluation tool of the AAA Program.
organisations, academics, municipalities and governments to bring www.rainforestalliance.org
A | Practical support for productivity
comprehensive solutions addressing challenges in the sector. www.san.ag/web
Resilient communities and landscapes Greater productivity of high quality coffees directly impacts
farmer revenues. On top of quality practices, renovation and cost
The AAA Program acts as a platform for partners to build community management also contribute to higher yields and profitability.
and landscape resilience against wider ‘off farm’ risk factors, Consistent farm management over the long term leads to
developing solutions for both social welfare and climate adaptation. income stability.
A|
Farm management Clear focus on social and
environmental sustainability
The AAA Program supports the implementation of sustainable
agricultural practices at farm level by investing in technical assistance, There is no quality without sustainability. Taking care of the
paying premiums directly to coffee producers and co-financing socio‑economic and environmental conditions of the farm
infrastructure for both quality and sustainability improvement. is critical to secure consistent quality and a responsible supply
chain. Practices such as working conditions, water stewardship,
The celebration of the late harvest coffee Naora launched
biodiversity protection and climate resilience contribute to
in 2012 with the community of Pinchote, Colombia
long-term stability and improved livelihoods.
35 MioCHF/year, the yearly
35 MCHF/year investment in Technical assistance
and premiums to farmers A closer look at AAA impact
Five years after the initial launch of the AAA Program in Colombia,
Nespresso commissioned an independent study to evaluate the
impact on farmers. Undertaken by research institute CRECE between
The three levels of AAA intervention: Cauca landscape, 2009 and 2012, it showed that the AAA Program delivered positive
Colombia; coffee processing at the community mill in Jardin, impacts versus conventional coffee farming on social (+22.6%),
Antioquia, Colombia; a farmer in Santander, Colombia environmental (+52.1%) and economic (+41%) indices.
collecting late harvest cherries for the Naora limited edition More info on www.rainforestalliance.org/publications/crece-nespresso-report
SDG SDG
THE POSITIVE CUP 2016 G4-16, G4-EC7, G4-EN31, EN/SEA-G4-DMA, HR/SHRA-G4-DMA, LA/SALP-G4-DMA Inclusive growth Promote sustainable agriculture C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 29A A A IS FIRST AND “Technical assistance, such as the kind provided
FOREMOST A FARMER by FNC and Nespresso on AAA is, in my view,
REL ATIONSHIP PROGRAM essential to build trust with coffee producers.”
Roberto Velez, Chief Executive Officer, Colombian Coffee Growers Federation
Sustainable quality practices are fundamental for Since 2003, Nespresso has been investing at farm The Nespresso AAA Farmers’ Award –
farmers to build an economically viable coffee
level in technical assistance, premiums and specific a recognition of excellence and dedication
socio‑environmental projects to deliver better and
farming business. This requires a process of more sustainable quality. Every year since 2013, we have celebrated the outstanding
continuous improvement and collaborative effort achievements of exceptional farmers and agronomists from every
and encourages producers to learn‑by‑doing producing country. They are welcomed to Switzerland to discover the
A farmer’s journey towards other end of the value chain, visiting the production centres, meeting
with the support of agronomists and trainers. sustainable quality Nespresso employees and having the chance to discuss about their
coffees with Club Members in boutiques.
As soon as coffee producers join the AAA Program, they receive
technical assistance in the form of training sessions, individualised
guidance and a customised action plan.
An important principle of the program is that farmers are under
no contractual obligation to sell their coffee to Nespresso. Once part
of the program, there is a very clear expectation of a commitment to
achieve “CORE” practices.
A closer look at
Tool for the Assessment of Sustainable Quality
(TASQ)
>
300 >300 the number of
AAA agronomists
The TASQ™ assists farmers on their journey towards sustainable
quality. TASQ™ comprises three elements:
§§Pre-requisites for entry – no child labour, no forced labour and no
incidence of harassment and abuse
§§TASQ™ CORE consists of 36 criteria which must be met within
The celebration of the late harvest coffee Naora launched a 3-year time frame
in 2012 with the community of Pinchote, Colombia §§TASQ™ ADVANCED consists of additional criteria, guiding farmers
to further improve quality, productivity and sustainability and
advancing them to a possible certification. Certified farmers receive
additional premiums, not just for the coffee they sell to Nespresso,
82.5 82.5% farmer satisfaction of those but for the coffee sold as certified elsewhere too
The Colombian Coffee Growers Federation (FNC) is a long %
who participate in the AAA program
standing partner of Nespresso for the implementation of the
AAA Program in Colombia. We jointly invested in regions like Cauca,
Nariño and Santander, distributing high quality coffee plant material,
implementing water treatment systems and have partnered on a The critical role of suppliers and cooperatives
significant water stewardship program in 25 water basins in the
country. The nature of this relationship has allowed us to work Coffee suppliers and cooperatives play a central role in the
together on innovations such as the late harvest Naora Limited Edition deployment of the AAA program, not only in the commercialization
and Aurora de la Paz, a special coffee related to the peace process of coffee but also in training and in monitoring the progress of
in the country. the farms.
www.federaciondecafeteros.org
The partnership is organised through the “AAA shared commitment”,
a mutual agreement that places importance on the long term
relationship with producers, transparency, economic traceability
Daniel Augusto Delgado, an FNC AAA agronomist
to farm and agronomist workforce management.
training farmer Nilson Jair Diaz Muñoz
on agricultural practices
SDG SDG
THE POSITIVE CUP 2016 G4-12, G4-16, G4-LA15, G4-EN33, HR/CL-G4-DMA, G4-HR5, HR/FCL-G4-DMA Learning opportunities for all Promote sustainable agriculture C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 31THE AAA PROGRAM “With the retirement savings plan
PROMOTES COLLABORATIVE the coffee farmers and their
INNOVATION FOR children can see a future.”
LONG -TERM COMMUNITY Harriet Lamb, former President, Fairtrade International
STABILITY
Smallholder coffee farmers are exposed to Over years, the AAA program has evolved to extend Community milling for Sustainable Quality
the support provided at farm level to contribute to the
uncertainties that hinder long-term planning and
strengthening of community resilience and providing more In many cases, smallholder farmers process coffee cherries on their
investments in the farms. Volatility of exchange security at the local level, with some encouraging results own farm as there is no centralised infrastructure available to deliver
rates and market price or consistency in crop specifically in Colombia. the crop. “Wet milling” at farm level is hard work for the farmers,
quality have direct impact on the farm revenue. because the cherries are fragile and need to be processed within a
few hours after of the harvest to protect the quality. This means long
More and more, these risks are exacerbated by Farmers can now plan for retirement working days for the producer, and creates a significant risk to
external factors such as climate change, while degrade the quality and consequently the value of the production.
The average age of coffee farmers in Colombia is 53 with under Moreover, it requires proper water treatment installations that often
some indispensable economic securities such
10% having access to a pension*. In 2014 Nespresso contributed to are not in place, leading to water contamination for the community.
as crop insurance or pension are not in place. develop the first ever retirement savings plan for smallholder coffee A successfully managed centralised mill presents significant benefits.
This results in limited attractiveness of the sector farmers. The long‑term relationship established through years with Some of these are reflected in the following results obtained with
the AAA program, serves as a foundation for its implementation. the Jardin community mill, a collaboration between the farmers, the
for a new generation of coffee producers,
cooperative of Antioquia, Nespresso’s partners Cafexport and USAID.
essential to create the context to capitalise This initiative also seeks to incentivise the next generation to enter the
on the opportunities of technology and industry. Developed together with the Colombian Ministry of Labour, §§ 100% increase in the volume of AAA quality coffee
the Aguadas Coffee Growers Cooperative and Fairtrade International §§ 17% increase in farmer income
greater connectivity. Satellite grid monitoring daily rainfall in Aguadas,
(FLO), the scheme provides farmers an additional 20% from the §§ 60% reduction in water usage Colombia and generating the weather index that will
Colombian Government, on top of farmers’ investment into the §§ 100% waste water is properly treated trigger the payment for the crop insurance as threshold
saving plan. §§ 3 hours time gained (per farmer per day) levels are surpassed
At the end of 2016, Nespresso had contributed 2.2 Million USD,
benefiting around 1100 AAA‑FLO certified farmers, of which 35%
A closer look at crop insurance
saved additional money. The popularity of the initiative means that
Coffee smallholders do not have access to insurance schemes to
now even non‑AAA farmers are enrolling. To our knowledge, a further
protect them against climate change risks. In 2015, PlaNet Guarantee,
two cooperatives have independantly adopted a similar mechanism.
a specialist micro-insurance provider, the International Research
*Source: CRECE
Institute for Climate and Society (Columbia University) and Nespresso
started to develop the ground basis for an index based insurance
system, able to provide compensation when weather indices reach
certain pre-determined levels. In 2016, Nespresso partnered with Blue
Marble Microinsurance to finalize the design of the insurance
proposition and execute a pilot in the Caldas region of Colombia.
Blue Marble Microinsurance is a consortium of eight leading
companies in the insurance industry collaborating as a for-profit
social enterprise to innovate solutions that protect the underserved.
Fairtrade International (FLO), their local partner* and Nespresso
Blue Marble and Nespresso have the goal to launch the pilot in the
have been collaborating since 2013 to promote further farmers’
first year, with the ambition to scale up nationally by the third year,
organization and empowerment within the AAA Program. This work Central Mill, Jardin, Colombia
and replicate best practice to other AAA countries from the fourth
also led to the design and implementation of a saving plan for
year onwards.
retirement of coffee smallholders in the region of Caldas, Colombia. The objective of this first mill in Jardin was to test the operational
The success of this program widely relied on the collaborative feasibility of centralised coffee processing in Colombia. In 2015, a
engagement of the local and national institutions. second initiative was launched with the objective to pilot a financial
model supported by impact investment for scalability. In collaboration
What’s next
*CLAC: Coordinadora Latino Americana y el Caribe
with Acumen and the farmers’ group “El Desarrollo”, we invested in a
www.fairtrade.net
new community mill in Huila (Colombia) which started its production
§§Consolidate the learning of Huila community mill
in September 2016. Results are currently under monitoring.
§§Test the crop insurance model in Caldas
AAA farmers at the launch of the Farmer Retirement
Savings Plan, Aguadas, Colombia, 2014
SDG SDG SDG
THE POSITIVE CUP 2016 G4-16, EN/WA-G4-DMA, G4-HR6 End poverty Water stewardship Partnerships C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 33QUALITY COFFEES ARE “Integrated landscape management is
HIGHLY DEPENDENT critical for protecting biodiversity and
ON HEALTHY ensuring community stability.”
ECOSYSTEMS Inger Andersen, President, IUCN
Every business relies on services provided Our approach to Natural Capital seeks to understand the
impact we make and how to steer our operation to protect and
by nature and functioning ecosystems.
restore the natural resources that the coffee stakeholders and
Equally, commercial activities impact on these more generally communities depend upon.
environmental systems. The Natural Capital
movement aims to encourage government, civil
A need to act beyond the AAA farm borders
society and the private sector to work together
to value and manage these environmental assets. Our sourcing approach specific to terroir highlights the need to The International Union for the Conservation of Nature (IUCN)
promote sustainable land use of coffee regions beyond the boundaries and Nespresso started to work in 2009. Today, our collaboration
of AAA farms. The distinct flavours of our Grands Crus derive from focuses on better understanding our impacts and dependencies
the terroirs in which they originate. Since its inception, with nature and communities and exploring integrated landscape
the AAA Program has promoted environmental practices which management approach. The piloting of the Natural Capital protocol
protect and restore ecosystems. However, to focus our actions and in 2016 marked a milestone in our journey.
maximise positive impacts, a better understanding of the natural
capital values such as biodiversity, water and soil and our role as IUCN played an instrumental role in coordinating the development
landscape stakeholder have become essential ingredients of our of the first sustainable aluminium standard for the industry (2015).
strategic planning. To put this into practice, we are testing various www.iucn.org
Coffee landscape in the region of Cerrado Mineiro, Brazil
tools and approaches which guide our actions on the ground. www.naturalcapitalcoalition.org/protocol
A closer look at
From biodiversity assessment to Consorcio Cerrado das Aguas
biological corridors
Nespresso volunteered to explore, for the first time, how coffee
The International Biodiversity Assessment Tool (IBAT) provides agriculture could significantly contribute to the conservation and
the insight on our risks and opportunities with biodiversity. In 2015, sustainable use of biodiversity, water and soil. In technical terms,
with the support of IUCN, the 40,000 Colombian AAA farms were the disruptive approach is known as “No Net Loss (NNL)/Net
mapped in IBAT. Ten percent of these appeared to be positioned Positive Impact (NPI)”*, and has been so far used by companies
within 2 km of High Conservation value areas. To complete the in the extractive and infrastructure industries.
assessment, IUCN is currently identifying the critical values for which
the 10% of AAA farmers have a role to play. This includes for The approach requires an understanding of the critical services
example, the AAA farmers of the Galeras area in Colombia, a listed supplied by the landscape and for the AAA farmers to act together
Key Biodiversity Area (KBA). Building on their AAA experience, some with the other landscape stakeholders in an integrated manner.
of the AAA farmers joined since 2012, a national effort to build The Ecosystems Services Review carried out in 2013 by IUCN enabled
biological corridors, a landscape approach supported by the Global the identification of the values and led to the establishment of a
Environment Facility (GEF) and the World Bank. A comprehensive cross-sector platform “Cerrado das Aguas”. By the end of 2016,
screening of the AAA farmers practices willl enable to identify the with the support of Imaflora, the consortium designed, a “NPI”
opportunities of the AAA Program contribution to positive impact action plan which will be tested in Patrocinho, the pilot region.
on biodiversity. *https://portals.iucn.org/library/sites/library/files/documents/2015-003.pdf
https://www.ibat-alliance.org
What’s next
§§Develop a financing model for the Brazil Cerrado consortium
§§Screen the AAA sourcing regions against natural capital values
The map represents the proximity of AAA farmers
§§Roll out the Biodiversity assessment framework using IBAT
in Nariño with the protected area of Galeras
(inside the red line).
SDG
THE POSITIVE CUP 2016 G4-16, EN/WA-G4-DMA, EN/BI-G4-DMA, G4-EN14 Natural capital C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 35A A A IN EAST AFRICA “Kenyan and Ethiopian coffees offer unique qualities.
FULFILLS OUR There are significant opportunities for improvement
100% SUSTAINABLY that require different ways of working.”
SOURCED COFFEE William Warshauer, President, Technoserve
COMMITMENT
Initially deployed in Latin America and Asia, the The specific nature of the coffee trading model in Kenya Support at farm level
AAA Program has acquired solid credentials over
and Ethiopia, with limited traceability to farm and limited focuses on productivity increases
opportunity to build direct relationships with coffee producers,
13 years. With the 100% AAA sourcing makes it difficult to implement the AAA program in its current Pruning and plant rejuvenation are key practices to significantly boost
commitment, it is now expanded to Nespresso form. In addition, typical farms are small in scale and have low coffee tree yield. About a quarter of small holders are currently applying
productivity. Remaining true to the principles of the program, these practices. This shows the significant opportunity to improve farm
coffee regions in East Africa and area known as
Nespresso works at community milling level and intervenes revenue, with wider community benefits. Demonstration plots are a
the cradle of coffee. These coffees are recognised through technical assistance at farm level in the regions critical part of the training as farmers can see the benefits first-hand.
as some of the finest in the world, and enjoy producing coffee for Nespresso.
high demand on the international coffee market Our first assessment based on sample of farmers, show that many
of them are adopting yield-driving practices such as composting
AAA in East Africa is building capacity and pruning.
to act at farm and mill level
The focus of the technical assistance is twofold, upgrading wet
mill practices in terms of sustainable quality and driving farm level
productivity and resilience. Since 2012, TechnoServe has been
instrumental on the ground in the deployment of the Program. 30k Over 30,000 farmers enrolled
in training since 2013
AAA farmer, Abebech Kassaye together with Technoserve
Over 70 AAA agronomists have been recruited and trained
country manager Mefthe Tadesse
and around 650 demonstration plots were set up to demonstrate
practically the positive impact of best practices.
Support at mill level focuses on A closer look at Abebech Kassaye
social and environmental compliance
Old and unproductive coffee trees are the reality for smallholder
On the whole, non compliance is mainly related to environmental farmers in Ethiopia. However, only few would be prepared to cut
146 146 Wet mills enrolled in training
since 2013
critera. Many wet mills in Ethiopia and Kenya use outdated processing
technologies that overuse water and do not treat waste water
these trees at the base for rejuvenation because of the fear to lose
the little production they may get the following year. Yet rejuvenation
discharge appropriately. New techniques and technologies are being results in the trees producing substantially more coffee within just
implemented as solutions. Beyond the environmental performance, two years. After her participation in 2015 in a AAA training, Abebech
agronomists assess compliance with social “CORE” criteria. Kassaye, a AAA famer, changed her mind and said: “When I observed
This enables early detection and mitigation of non-compliance the stumped coffee trees in the demonstration plot, I was convinced
that I could harvest a small crop in just one year. I would like to be
a model farmer for others... to encourage my community to adopt
What’s next agronomic activities on their farms too.”
§§ Expand record keeping training for smallholders Abebech is an outstanding example of how women farmers can
TechnoServe and Nespresso have been working together since §§ Roll out of the fair treatment awareness campaign play a critical role in the local community and its coffee sector.
2006 to implement better business skills and agronomy solutions for
AAA farming communities. Their robust technical assistance model
and strong field presence has helped in adapting and expanding
the AAA Program to the African context. They are instrumental in
operationalizing the Nespresso creating shared value approach,
with the contribution to the re-establishment of coffee supply
chains in South Sudan and the introduction
of the Cuban coffee Grand Cru in the USA.
www.technoserve.org
Shemole and Challa Didamo receiving the
AAA Farmer’s award 2014, Sidama, Ethiopia
SDG SDG
THE POSITIVE CUP 2016 G4-12, G4-16, G4-HR4, G4-HR5, G4-HR6 End poverty Promote sustainable agriculture C O M PA N Y | COFFEE | ALUMINIUM | C L I M AT E | 37You can also read
