Nestlé in society Creating Shared Value and meeting our commitments 2015

Nestlé in society:
Creating Shared Value
Nutrition, health
and wellness
Rural development
Water
Environmental
sustainability
Human rights
and compliance
Our
people
G4-EC7, Procurement practices G4-DMA, Supplier environmental assessment G4-DMA, G4-EN33, Supplier assessment for labor practices G4-DMA,
G4-LA15, G4-HR5, G4-HR10, Animal welfare G4-DMA, G4-SO9, G4-SO10
Venezuela’s Dairy
Development Plan
Continuous Improvement Group
for dairy farmers
The Venezuelan Dairy Development Plan was launched in 2005
as a comprehensive framework to revamp fresh milk
production in Venezuela. The plan strengthens dairy farmers’
capabilities through technical and financial support, facilitating
increased productivity and improved milk quality.
Confirming its commitment to the growth of local
production, and leveraging the experience acquired since the
plan began, Nestlé Venezuela is now offering a comprehensive
training programme for dairy producers. Endorsed by the
Inter-American Institute for Cooperation on Agriculture, the
programme comprises seven modules, totalling more than 100
hours of training and including theory and field practices led by
experts in each area. The modules include production systems
and animal welfare, milk quality, feed, reproduction and
genetic improvement, farm economics, sustainability and
water. The programme will be carried out in collaboration with
the local governments with which we signed partnership
agreements in 2015.
In keeping with Nestlé’s commitments to sustainability and
water conservation, the Dairy Development Plan includes
activities around environmental issues. These cover topics
such as: climate change; the sustainable use of resources;
training producers in the management of pastures and
improvement of grasses; planting trees for shade and using
them to improve soil or as a source of wood; access and
decontamination of water; and conservation of water sources
and their sustainable use.
In 2015, the plan supported 804 ranchers in Táchira,
Barinas, Apure and Portuguesa states. Together they supplied
the Nestlé factory with nearly 50 million litres of milk – 90% of
the annual target and 7.1 million litres more than in 2014.
Farms within the plan generate around 6 890 direct and
8 923 indirect jobs, while around 16 000 family members
benefit from social plans that respond to the communities’
needs, and which are aligned with the vision of Creating
Shared Value.
Dairy farming in northern Spain has high production costs and
low profitability, with many farmers leaving the business,
jeopardising the future of the region’s milk supplies.
To address these and other concerns, Nestlé established the
Continuous Improvement Group in collaboration with the
University of Santiago de Compostela (USC). Each farmer’s
economic viability is assessed, and solutions sought to ensure
a safe, high-quality milk supply.
Participation is voluntary, though farmers must be prepared
to critically review their own farm structure and reflect on their
management practices. So far, 29 farmers have enrolled.
Nestlé provides advice and training in farming techniques and
resource management, while respecting the environment. USC
assesses farms’ performance, its workshops provide forums
for farmers to discuss issues and concerns, and field trips
enable farmers to see how others work.
Between 2010 and 2014, the group’s farmers saw milk
average production increase by 27% (475 000 litres to more
than 650 000 litres), and a 16% increase in yield per cow.
Micro-credit lines helped farmers implement environmental
improvements, and several technical workshops have been
held. The programme has also allowed Nestlé Spain to better
understand the production environment and identify farmers
adhering to Nestlé’s policies and requirements regarding milk
quality and sustainability concerns.
The programme now aims to implement further energysaving
technologies, and invite more farmers to participate.
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