Nespresso Sustainability Approach Across Its Coffee Value Chain

April 1, 2015 /3BL Media/ - Coffee is at the heart of what we do…

Nespresso permanent Grand Cru coffees are sourced directly from 63 000 farmers in 11 countries of origin, including Ethiopia and Kenya, and suppliers are carefully selected for the quality and aromatic profile of their coffees.

Nespresso was sourcing over 80% of its coffee through its AAA Sustainable Quality™ Program at the end of 2014, with more than 280 000 hectares of farmland under our active sustainable management programme. Nespresso has committed to source 100% of its coffee from its AAA Sustainable Quality™ Program by 2020.

…and coffee farmers are our key partners

Going beyond coffee, Nespresso launched the AAA Farmer Future Program, an initiative to broaden the AAA Program’s social scope beyond farm level and enhance farmer welfare, through a retirement fund for coffee farmers. The first pilot was launched in March 2014 in the Caldas region of Colombia, thanks to a public–private partnership between Nespresso, Fairtrade International, our supplier Cafexport/Expocafe and coffee co-operatives.

The Nespresso AAA Sustainable Quality™ Program is producing concrete positive results on the ground in coffee growing communities. Independent monitoring organisation CRECE (Center for Regional Entrepreneurial and Coffee Studies) surveyed over 1,000 Colombian coffee farmers on the impacts of the Nespresso AAA Sustainable Quality™ Program. The study found that AAA farms demonstrated 22.6% better social conditions, 41% better economic conditions and 52% better environmental conditions than non-AAA farms. Net income levels were found to be 46% higher for AAA farmers than non-AAA farmers.

Making capsule recycling easier for consumers worldwide

Nespresso uses aluminium for its capsules because it is the best material available today to protect the delicate Nespresso Grand Cru coffees against factors such as oxygen, light and humidity, which can compromise coffee freshness, taste and quality. Aluminium is also infinitely recyclable.

Our aluminium capsule recycling program began over 20 years ago with a dedicated recycling initiative in Switzerland in 1991. Since then our global capsule collection capacity reached over 80%. 34 countries currently have systems in place to collect used Nespresso capsules, including over 14,000 dedicated collection points.

Optimising our environmental impact

We are taking action to optimise the environmental performance of every aspect of our business, from coffee cultivation and logistics to Nespresso machines and capsules. Between 2008 and 2013 we improved the carbon footprint of a cup of Nespresso coffee by over 20% thanks to improved energy efficiency of our machines and operational efficiencies in our supply chain for example.

To strengthen coffee farmers’ resilience to climate change and help reverse the degradation of natural ecosystems, we have initiated targeted efforts through the Nespresso AAA Sustainable Quality™ Program, addressing issues such as biodiversity and water. In addition, an extensive agroforestry program was started to help to regenerate ecosystems in coffee producing regions and compensate our residual operational carbon footprint. In 2014, Nespresso began a pilot project in the Huehuetenango AAA cluster in Guatemala, which is 100% Rainforest Alliance certified. Two technicians have been providing on-the-ground assistance to around 170 farmers, who have received 50 000 timber and fruit trees. The trial has since been extended to provide 80 000 trees to 200 farmers in the Cauca region of Colombia. By 2020, Nespresso will plant about 10 million trees as part of its agroforestry approach.

Building our future on a strong sustainability experience

In August 2014, Nespresso announced its new sustainability strategy, The Positive Cup, to improve farmer welfare and drive environmental sustainability in coffee sourcing and consumption over the next six years. Backed by a CHF 500 million investment, it sets out concrete steps that the company will implement to achieve its sustainability goals by 2020.

This new strategy builds on the steps Nespresso has already taken over the last 11 years to provide the highest quality and most sustainable portioned coffee worldwide. During the next six years, it plans to source 100% of its permanent range of Nespresso Grand Cru coffees sustainably through its Nespresso AAA Sustainable Quality™ Program, including investing over CHF 15 million in three African coffee-producing countries: Ethiopia, Kenya and South Sudan.