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Poverty Footprint Study on how the Coca Cola - Oxfam America

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Table 12 Water use ratios at SABMiller bottling plants for 2009*<br />

Country Plant Water Ratio<br />

YTD (HL/HL)<br />

Access in Zambia<br />

Water YTD (Hls) Producti<strong>on</strong><br />

Volume YTD (Hls)<br />

Zambia Ndola CSD 12.14 1,087,994 89,600<br />

Zambia Lusaka CSD 5.64 2,197,140 389,535<br />

El Salvador In La C<strong>on</strong>stancia<br />

CSD<br />

El Salvador In La C<strong>on</strong>stancia<br />

Juice and water<br />

CSD = Carb<strong>on</strong>ated Soft Drink<br />

2.62 5,854,733 2,237,168<br />

1.72 4,317,683 2,506,809<br />

Water supplies are abundant in Zambia, and yet as <strong>the</strong> populati<strong>on</strong> and ec<strong>on</strong>omy grow, communities are<br />

increasingly competing for access to this water. For instance, water use in sugar growing has been a source of<br />

tensi<strong>on</strong> over water access. There is increasing competiti<strong>on</strong> between Zambia’s power utility and Zambia Sugar<br />

for water from <strong>the</strong> nearby Kafue River, which is used for hydropower generati<strong>on</strong> and sugarcane irrigati<strong>on</strong> and<br />

by local communities. Owing to <strong>the</strong> <strong>on</strong>going expansi<strong>on</strong> of Zambia Sugar’s growing areas, this competiti<strong>on</strong> is<br />

growing more intense.<br />

SABMiller states that its CSD bottling plants in Zambia use from 5.64 to 12.14 hectoliters of water to produce<br />

1 hectoliter of <strong>Coca</strong>-<strong>Cola</strong> products. In El Salvador, this ratio is as low as 1.72 for water and juices and 2.62 for<br />

carb<strong>on</strong>ated soft drinks.<br />

SABMiller Water Strategy<br />

Water represents a significant risk to parts of our business, as well as to some of <strong>the</strong> communities in which<br />

we operate. We also know that issues of scarcity and accessibility cross community and nati<strong>on</strong>al boundaries<br />

and involve interdependent factors that can vary from country to country and regi<strong>on</strong> to regi<strong>on</strong>. It follows that<br />

<strong>the</strong> water issue cannot simply be managed within <strong>the</strong> c<strong>on</strong>fines of our own operati<strong>on</strong>s. Local water challenges<br />

are usually best solved in partnership with NGOs, local governments and o<strong>the</strong>r local businesses. In <strong>the</strong><br />

regi<strong>on</strong>s where we operate, we aim to foster a collaborative approach to ensure <strong>the</strong> best outcome both for<br />

our business and for <strong>the</strong> local community. Our water strategy is based <strong>on</strong> <strong>the</strong> 5Rs (pRotect, Reduce, Reuse,<br />

Recycle and Redistribute), a comprehensive, risk-based approach to managing water in our business and<br />

in <strong>the</strong> value chain. This model provides a c<strong>on</strong>sistent approach, recognizing <strong>the</strong> different local issues and<br />

circumstances faced by each of our businesses. Over and above our internal commitment to become 25<br />

percent more water efficient by 2015, SABMIller has established <strong>the</strong> Water Futures partnership, which<br />

includes watershed protecti<strong>on</strong> collaborati<strong>on</strong>s with NGOs and governments across <strong>the</strong> world, including<br />

countries at risk of water scarcity in Africa and in Latin <strong>America</strong>. SABMiller published <strong>the</strong> first corporate water<br />

footprint in partnership with WWF in 2009 and in 2010 extended this fur<strong>the</strong>r to include soft drinks in markets<br />

such as South Africa.<br />

See www.sabmiller.com/water for fur<strong>the</strong>r details.<br />

*Source SABMiller<br />

Exploring <strong>the</strong> links between internati<strong>on</strong>al business and poverty reducti<strong>on</strong> 67

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