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Sustainability Advisory Board

Nespresso Sustainability Advisory Board members
(2016)

Sustainability at Nespresso

The Nespresso unique vertically integrated business model, from coffee sourcing to direct to consumer route to market, has enabled the company to implement a holistic approach to sustainable development across its entire value chain.

This end-to-end approach to sustainability encompasses a wide range of initiatives, focused on achieving specific targets in sustainable coffee sourcing; the production, use and disposal of capsules; and reduction of the carbon footprint of a cup of coffee.

In 2009, the company committed to source 80% of its coffee from its AAA Sustainable Quality™ Program, to put in place the capacity to collect 75% of used Nespresso capsules for recycling and to reduce the carbon footprint needed to produce a cup of Nespresso coffee by 20% by the end of 2013.

2013 has been a pivotal year for the company in its sustainability journey. It marked the achievement of each of the defined targets, as well as the 10th anniversary of the unique Nespresso AAA Program. The Program is a ground-breaking partnership with the leading environmental NGO, the Rainforest Alliance, which combines a focus on quality and sustainability to drive improvements in social and economic conditions for coffee farmers, as well as environmental preservation. The Program is a cornerstone of the company’s sustainability efforts and represents a long-term commitment to farmers and coffee growing communities.

In 2014, building upon the significant steps that the company has already taken over the last eleven years to improve farmer welfare and drive environmental sustainability in coffee sourcing and consumption, Nespresso has set out an ambitious strategy for 2020, The Positive Cup, to accelerate the company’s sustainability focus and introducing several major new initiatives that will drive positive outcomes for the business, society and the environment.

In 2016, the fourth Nespresso Sustainability Advisory Board has taken place in New York on 5th April, just a few months after the historic Paris agreement on climate and the signature of the 2030 UN-Sustainable Development Goals. The NSAB discussion has been naturally driven by these key topics emerging from these global events, starting with a progress report on our AAA Program, with a particular focus on rural development and our initiatives to bring greater financial stability to smallholders in pilot projects in Colombia. We have also addressed the increasingly critical challenge of natural capital and climate change as part of AAA, with our participation in the Colombian collaborative platform on water and our focus on agroforestry. We have updated further on our progress in end of life management and valorization of our capsules. We believe that Nespresso can lead the way in demonstrating how to manage responsibly the life cycle of aluminium and shape consumer behaviour towards greater environmental outcomes and sustainable consumption.

During our formal NSAB dinner on April 5th, 2016, we have presented projects financed by the Nespresso Sustainable Innovation Fund. A range of experts and investors in sustainable finance and impact investing have been invited to join us for the evening.


The Nespresso Sustainability Advisory Board

The Nespresso Sustainability Advisory Board (NSAB) is comprised of experts and thought leaders in the area of sustainability. It has been established to solicit views and provide insight and recommendations to enhance the Nespresso long-term sustainability strategy and to serve as a base for partnerships on sustainability initiatives. It also establishes a collaborative platform for partners to share experiences and provide insights on broader sustainability trends and issues.

Each year, the Board will focus on specific topics and aspects of sustainability. The selection of topics is driven by a combination of external factors impacting economic, social and environmental sustainability through the coffee value chain and the specific dynamics of the Nespresso business.


2016 discussion topics

The NSAB has discussed Nespresso's progress in implementing its 2020 sustainability strategy. Across the day, the following main themes has been covered


  1. AAA Coffee & Farmers - Rural development
    • From AAA Farms to resilient communities
    • Building stability- The caldas (Colombia) resilience incubator for farmer future
    • Coffee revival

  2. AAA Landscape Management - Natural capital and climate change
    • From minimizing negative to generating positive environmental impacts
    • The AAA Program and natural capital

  3. Capsules & System - Resource efficiency and sustainable consumption
    • Revealing the sustainability characteristics of the Nespresso portioned system
    • Amplifying collective capacity
    • Responsible aluminium lifecycle management

  4. Engaging consumers in sustainable consumption

  5. Nespresso Sustainability Innovation Fund
    • Global partnerships
    • Reaching out the impact investment community
    • Blended capital structures to drive innovation

Nespresso Sustainability Advisory Board members
(2015)

2015 discussion topics

The NSAB discussed Nespresso's progress and further optimisation of its 2020 sustainability strategy. Across the two days, the following main themes have been covered:


  • Reviewing progress on our core AAA coffee program especially progress in Africa and our AAA landscape level approach
  • Assessing the efficiency of existing systems of capsule recycling
  • Exploring the opportunities to co-finance key programmes
  • Reviewing our programme of stakeholder engagement, focusing on consumer communications and CSV reporting


Nespresso Sustainability Advisory Board members
(2014)

2014 discussion topics

In 2014, the Board reviewed and updated the ambitious sustainability initiatives presented in 2013. The focus was set on securing the highest quality coffee beans by strengthening the farmers’ resilience to socio-economic and environmental challenges, and ensuring a sustainable management of aluminium across our complete value chain. The following initiatives have been discussed and/or developed:


  • The expansion of the AAA Program in Africa (Ethiopia, Kenya, South Sudan)
  • The involvement of Nespresso in reviving the coffee industry in South Sudan
  • The AAA Farmer Future pilot signed in Colombia and the expansion of the Program
  • The AAA Agro-forestry pilot in Guatemala and the expansion of the initiative

Nespresso also announced its 2020 Sustainability strategy, The Positive Cup, moving forward and the creation of Nespresso Sustainability fund. The Positive Cup program incorporates ambitious goals in the areas of coffee sourcing and social welfare; aluminium sourcing, use and disposal; and resilience to climate change.


Nespresso Sustainability Advisory Board members
(2013)

2013 discussion topics

In 2013, the Board examined the main themes of “People” and “Planet”, with a focus on the Nespresso AAA Sustainable Quality™ Program and driving economic, social and environmental sustainability in coffee growing communities. Has been discussed:


  • The AAA Program in Africa
  • The AAA Farmer Future Program in Colombia
  • The AAA Agro-forestry Program

Additional discussion points covered multi-stakeholder engagement, such as how to engage with international development agencies, civil society organizations and public authorities to build effective coalitions on key topics in order to deliver real farmer benefits; how to engage consumers and the public to drive awareness and advocacy on sustainability topics; and how to integrate intermediaries and suppliers into the overall creating shared value approach.

     

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