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Acting on Climate Change


Climate change has become an undeniable reality and is increasingly impacting the farmers and communities we work with.

Degradation of forests, land soil and waterways all adversely impact farmers’ livelihoods and, in turn, the availability and affordability of quality food. Our Net Zero Roadmap is allowing us to take action to help address these threats by advancing regenerative food systems at scale.

A major focus of our Net Zero Roadmap is on carbon removals. As a company with a large dairy and agriculture footprint, we aim to make a significant contribution to decarbonization through natural climate solutions projects in our value chain. These ‘insetting’ projects take place within our supply chain.

Some projects that are being implemented at the market level include:

Creating Shared Value

  • For Society
    By taking action to tackle climate change, we are helping protect the livelihoods of farmers who are part of our supply chain. We are also contributing to safeguarding a healthy environment for people and planet alike, today and in the future.
  • For Our Business
    By working to reduce our climate impact and encouraging those in our value chain to do the same, we are shielding our business against the impacts of climate change.

Acting on Climate Change

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  • Import of High-Yield Cows
    The profitability of dairy farms is primarily dependent upon cow yield and feeding efficiency, along with some other factors. The average daily milk production volume by local cows, however, is quite low. Compared to our local cows, there are other breeds in the world, which produce up to three times more milk. Using these high-yield cows to produce milk results in lower cost for the farmers as well as a lower carbon footprint.

    Nestlé Pakistan is incentivizing farmers by facilitating the import of high-yield cows. A team of Nestlé’s Agriculture Services experts works closely with farmers to develop efficient dairy farms that increase both farmers’ incomes and aids them in producing more milk. The Agriculture Services team provides required training and technical assistance to manage the herds of these high-yield cows.

    Nestlé Pakistan has also developed farm input suppliers for high-quality feed/fodder, milking machines, cow importers, farm sheds, etc. and has connected them with farmers to fulfill farm requirements. This is helping us to develop successful business models and attract young farmers to adopt dairy farming as a sustainable business.
  • Switching to Renewable Energy Sources
    Increasing energy costs are damaging farmer revenues in addition to contaminating the environment. Nestlé Pakistan is subsidizing its farmers on renewable energy installations. Nestlé has supported installations of solar systems at 67 farms and 21 biogas plants which reduced greenhouse gas emissions as well as the burden of high energy bills on farmers.

    In 2023, we inaugurated a 2.5-megawatt solar power plant at our Kabirwala Factory that aims to reduce 1,800 tCO2e of greenhouse gas emissions per year. This is part of Nestlé Pakistan’s accelerated efforts on its renewable energy strategy with future plans to introduce similar solar plants at other manufacturing sites. Two biomass boilers will also be installed at the Kabirwala Factory.
  • Responsible Sourcing
    At the heart of good food is the quality of the ingredients, the soils, and ecosystems in which they are grown, and the people who produce them. Protecting environments ensures the long-term success of Nestlé’s business.

    This requires that we know where our ingredients come from and that they are produced in a way that minimizes negative impacts and makes a positive contribution to the planet. Our approach to sustainable sourcing aims to help build the foundations to advance regenerative food systems at scale. Our Responsible Sourcing framework applies to several key ingredients including cereals, grains, and dairy.
  • Regenerative Agriculture
    Nestlé Pakistan has initiated the implementation of regenerative agriculture – an approach to farming that aims to conserve and restore farmland and its ecosystem, to improve soil health and fertility. It delivers benefits to farmer by helping increase crop yields with lower agriculture inputs. It also protects and restores natural resources, primarily soil, and lowers greenhouse gas emissions, while conserving water and promoting biodiversity.

    Demonstration trials of composting, intercropping, cover crops, agroforestry, minimum tillage and using natural crop residue as mulch instead of burning have proven to reduce the use of chemical fertilizers giving better yields. Nestlé Pakistan has partnered with the University of Agriculture Faisalabad to evaluate the impact of these interventions in selected crops on farmers’ lands.

“We are dedicated to taking collective action with our stakeholders to accelerate our efforts to protect, renew, and restore the planet and ensure that food systems continue to nourish people for generations to come”

Jason Avanceña Chief Executive Officer & Managing Director of Nestlé Pakistan


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