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Nestlé in society Creating Shared Value and meeting our commitments 2015

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<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong>:<br />

Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong><br />

Nutrition, health<br />

<strong>and</strong> wellness<br />

Rural development<br />

Water<br />

Environmental<br />

susta<strong>in</strong>ability<br />

Human rights<br />

<strong>and</strong> compliance<br />

Our<br />

people<br />

Healthy <strong>and</strong> affordable food G4-DMA, G4-PR1, FP6<br />

NNPS guides smarter portion<br />

size <strong>in</strong> Canada<br />

Meet<strong>in</strong>g NNPS criteria is not just about straight reformulation.<br />

Sometimes, reduc<strong>in</strong>g portion size is the right approach,<br />

guid<strong>in</strong>g children with a thoughtful approach on how much of<br />

their fav<strong>our</strong>ite foods they can enjoy responsibly.<br />

<strong>Nestlé</strong> Canada decided to help consumers manage their<br />

<strong>in</strong>take of sugars <strong>and</strong> fat by adjust<strong>in</strong>g the pack <strong>and</strong> product size<br />

of its popular Smarties. To make the entire Smarties portfolio<br />

more <strong>in</strong>tuitive <strong>in</strong> terms of Portion Guidance, <strong>Nestlé</strong> Canada<br />

made the follow<strong>in</strong>g changes:<br />

• Install<strong>in</strong>g physical divisions with<strong>in</strong> the regular Smarties box,<br />

which are now divided <strong>in</strong>to three separate compartments,<br />

each conta<strong>in</strong><strong>in</strong>g a responsible s<strong>in</strong>gle portion (15 chocolates);<br />

• Replac<strong>in</strong>g larger sealed bags with a recyclable ‘family-size’<br />

canister with a lid designed to allow consumers to measure<br />

out a s<strong>in</strong>gle recommended portion achiev<strong>in</strong>g NF criteria;<br />

• Reduc<strong>in</strong>g the size of seasonal products to a s<strong>in</strong>gle<br />

recommended portion; <strong>and</strong><br />

• Discont<strong>in</strong>u<strong>in</strong>g any products where a credible reformulation<br />

or portion size solution could not be found (<strong>in</strong>clud<strong>in</strong>g the<br />

successful k<strong>in</strong>g-size Smarties box).<br />

Reduc<strong>in</strong>g salt across <strong>our</strong> portfolio<br />

Our commitment<br />

Our objective<br />

Reduce sodium (salt) <strong>in</strong> <strong>our</strong> products<br />

By 2016 – We will further reduce salt content by 10% <strong>in</strong><br />

products that do not meet the <strong>Nestlé</strong> Nutritional<br />

Foundation (NF) criteria, ensur<strong>in</strong>g gradual salt reduction<br />

even <strong>in</strong> more challeng<strong>in</strong>g areas of <strong>our</strong> product portfolio.<br />

Food <strong>and</strong> beverage categories lowered <strong>in</strong> salt*<br />

(cumulative % <strong>and</strong> tonnes s<strong>in</strong>ce 2013 to date)<br />

Categories: Frozen Foods, Cul<strong>in</strong>ary Products, Biscuits,<br />

Dairy, Breakfast Cereals, Ice Cream <strong>and</strong> Beverages<br />

Target: 10% by 2016<br />

<strong>2015</strong> 8% (880 tonnes)<br />

0%<br />

5%<br />

*<br />

<strong>Nestlé</strong>-br<strong>and</strong>ed products sold under Licence Partners are not <strong>in</strong>cluded.<br />

10%<br />

The Smarties changes were supported by a media <strong>and</strong> onl<strong>in</strong>e<br />

campaign, <strong>and</strong> has met with success, <strong>in</strong> terms of both public<br />

reaction <strong>and</strong> sales. Facebook friends of Smarties, such as<br />

consumers already purchas<strong>in</strong>g the product (<strong>in</strong>clud<strong>in</strong>g parents),<br />

were <strong>in</strong>vited to learn about the change through this video.<br />

Reduc<strong>in</strong>g salt, sugar <strong>and</strong> fat<br />

<strong>in</strong> <strong>our</strong> foods <strong>and</strong> beverages<br />

Public health evidence shows that diets with reduced<br />

consumption of salt, sugar, <strong>and</strong> saturated <strong>and</strong> trans fats can<br />

help to improve health outcomes <strong>and</strong> decrease NCDs. We<br />

reduce the levels of these nutrients <strong>in</strong> <strong>our</strong> foods <strong>and</strong> beverages<br />

through gradual, science-based renovation. Our aim is to do<br />

so without hav<strong>in</strong>g a dramatic impact on taste, safety, texture<br />

or appearance.<br />

The <strong>Nestlé</strong> Nutritional Foundation (NF) criteria are based on<br />

nutrition science <strong>and</strong> public health dietary recommendations,<br />

such as those of the World Health Organization (WHO), the<br />

Institute of Medic<strong>in</strong>e <strong>and</strong> other global or local authorities. Our<br />

products are evaluated aga<strong>in</strong>st these criteria, us<strong>in</strong>g the <strong>Nestlé</strong><br />

Nutritional Profil<strong>in</strong>g System, which determ<strong>in</strong>es their nutritional<br />

value <strong>and</strong> whether they achieve the <strong>Nestlé</strong> NF status.<br />

Salt is composed of two m<strong>in</strong>erals: sodium <strong>and</strong> chloride.<br />

Sodium is an essential nutrient for normal cell use, <strong>and</strong><br />

primarily enters <strong>our</strong> diet through salt, via process<strong>in</strong>g, home<br />

cook<strong>in</strong>g or at the table. We aim to reduce the salt <strong>in</strong> <strong>our</strong> foods<br />

without consumers feel<strong>in</strong>g the need to add it themselves or<br />

choose saltier alternatives. Our strategy is to comb<strong>in</strong>e reduced<br />

salt content with optimised <strong>in</strong>gredient comb<strong>in</strong>ations; <strong>in</strong> some<br />

cases, sodium is replaced with other m<strong>in</strong>erals to simulate a<br />

salty taste.<br />

We have accelerated salt reduction across all of <strong>our</strong> sav<strong>our</strong>y<br />

food products to help consumers achieve a sodium <strong>in</strong>take of<br />

under 2 g per day. It is the equivalent of under 5 g per day of<br />

salt, which is the target recommended by the WHO.<br />

S<strong>in</strong>ce the policy was <strong>in</strong>troduced <strong>in</strong> 2013, when <strong>our</strong> foods<br />

were assessed <strong>and</strong> renovated us<strong>in</strong>g the NNPS criteria for<br />

sodium, we have achieved an overall sodium reduction of<br />

800 tonnes, or 8% towards <strong>our</strong> 10% reduction target. The<br />

scope of <strong>our</strong> reduction activities covers around 8850 <strong>in</strong>dividual<br />

food <strong>and</strong> beverage products, represent<strong>in</strong>g 5.2% of <strong>our</strong> total<br />

portfolio. We are on track to deliver <strong>our</strong> 10% sodium reduction<br />

by the end of 2016. We cont<strong>in</strong>ue to work to identify <strong>and</strong><br />

implement technical solutions that will allow us reduce<br />

sodium, while ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g consumer preference for <strong>our</strong> foods<br />

<strong>and</strong> beverages.<br />

<strong>Nestlé</strong> <strong>in</strong> <strong>society</strong> – Creat<strong>in</strong>g <strong>Shared</strong> <strong>Value</strong> <strong>and</strong> meet<strong>in</strong>g <strong>our</strong> <strong>commitments</strong> <strong>2015</strong> 69

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