PLAN

CSRGOVE K36 - Group 6Bea Chua. Katrina Urrutia. Vien Magpayo. Nicole Chua.

Jannusz Tan. Klerry Santos. Andree Lipio.

the

Company Background

Nescafé started way back in 1930s were Brazilian farmers produced surplus of coffee. Because of this, the Brazilian Government encouraged Nestlé to do something about it leading Nestlé to start brewing it.

Products

“Nestlé Philippines sees sustainability in coffee production as a key priority in order to achieve self-sufficiency in the local sector by 2020.”

- Edith de Leon, senior vice president and head of Corporate Affairs of Nestlé Philippines. (Rappler)

Beyond the Cup: The Nescafé Plan

● A program by Nescafé where they help farmers enhance the quality and quantity of the coffee they produce. ○ Educating them on sustainable farming practices○ Giving them access to quality seedlings○ Providing them the opportunity to sell their coffee on

world market price to satellite buying stations

Beyond the Cup: The Nescafé Plan

● Nestlé operates 10 other satellite coffee buying stations in key coffee-producing regions. ○ Silang, Cavite○ Lipa City, Batangas○ Tuguegarao City, Cagayan Valley○ Tagbina, Surigao del Sur○ Cagayan de Oro, Misamis Oriental○ Tagum City, Davao del Norte○ General Santos City, South Cotabato○ Maramag, Bukidnon○ Buenavista, Agusan del Norte○ Iloilo City.

“Coffee buying stations enable coffee farmers to sell their coffee harvest based on the market price. By sourcing directly from local farmers, we are not only assured of long-term supply but also secure robust livelihoods for our small farmers,”

- Edith de Leon, senior vice president and head of Corporate Affairs of Nestlé Philippines. (Rappler)

Beyond the Cup: The Nescafé Plan

● GOAL:

“To double the amount of Nescafé Coffee bought from local farmers.”

● In 2014, Nestlé procured 54,000 metric tons of coffee beans locally.

Beyond the Cup: The Nescafé Plan

● Mission

“become educated in the ways of coffee, such as how it’s grown, how it’s harvested, and how to know what good quality coffee looks and tastes like.”

Beyond the Cup: The Nescafé Plan

Farmers are taught to:

● Intercrop - cultivate different crops in the same land● support their trade by putting up satellite buying stations

across the country where farmers can sell their coffee at competitive prices

Beyond the Cup: The Nescafé Plan2015

- Nescafé opens 3 more coffee buying stations

- Silang, Cavite; Lapuz Norte in Iloilo; and Bagong Pook in Lipa, Batangas.

- Around 5,500 coffee growers in Cavite, Iloilo City, and parts of Antique, Capiz, and Guimaras are expected to benefit from the increased market access

- Nescafé regularly regularly sends price updates on coffee via SMS to local growers to allow them to get maximum profits out of their produce.

- Farmers also get paid on the same day they deliver their produce.

Beyond the Cup: The Nescafé Plan2015

- Through the buying stations, coffee growers can also get access to best agricultural practices in coffee farming, production, and processing.

- Nestlé’s in-house agronomists provide farmers and suppliers with training on the latest and sustainable coffee-growing techniques to ensure quality produce and maximum yield.

Sources

● http://www.rappler.com/brandrap/travel-food-and-lifestyle/107369-coffee-farming-philippines-campaign

● http://www.nescafe.com.ph/progress_farming_en_com.axcms

● http://www.nescafe.com.ph/coffee_history_en_ph.axcms