Nestlé partners with Cargill and Beyond Beans to launch sustainable cocoa projects

22 Mar 2024 --- Nestlé has announced the launch of two projects in collaboration with its suppliers, Cargill and ETG | Beyond Beans, to move toward environmental sustainability. These initiatives, set to span over five years, are designed to reduce and remove carbon emissions across Nestlé’s extensive supply chains, focusing on the cocoa sector.

At the heart of these projects is the accelerated transition toward regenerative agriculture and the efforts to support reforestation in areas surrounding cocoa farming communities that have suffered degradation.

“We’re working to address our emissions all the way to the farms we source from,” said Darrell High, global cocoa manager at Nestlé.

“Long-lasting forest protection can only happen when collaborating with fully committed suppliers, just like Cargill and ETG | Beyond Beans. We also depend on the participation of local communities, who have an impact on the forests and can help find land-use solutions that are best suited for the local reality.”

Sustainability through shade trees
The increasing global demand for cocoa is straining producers who are struggling to meet the rising needs. In response to this issue, the EU is aligning itself with the call from the UN by promoting regenerative agriculture through regulatory measures.

Against this backdrop, Nestlé is implementing a novel approach. This involves distributing multi-purpose shade tree species to farmers, along with providing education on tree planting and pruning techniques.

These shade trees play a key role in mitigating the impacts of sunlight, conserving moisture during dry seasons, enhancing water management, improving farm biodiversity and absorbing carbon dioxide from the atmosphere.

A target has been set to plant over two million shade trees, managed by nearly 20,000 farmers in Ghana and Côte d’Ivoire. It is estimated that these projects will collectively contribute to a substantial reduction and removal of over 500,000 metric tonnes of carbon over a two-decade period.

Community engagement
A key element of these initiatives is the deep engagement with local communities, which includes selecting community-owned fallow lands for reforestation efforts and establishing tree nurseries. These nurseries will cultivate seedlings for subsequent transplantation.

To ensure the success of these efforts, an incentive program will reward farmers for planting and nurturing these trees during the initial years. The projects will also feature regular farm visits for monitoring purposes, providing necessary advice and technical assistance.

Both Cargill and ETG | Beyond Beans are instrumental in supporting the execution of Nestlé’s Income Accelerator Program within these projects.

 Greater economic and social resilience will be observed within local communities.“Our project design has a holistic landscape approach which goes beyond cocoa plots and involves the whole community in reforestation initiatives. These initiatives not only create job opportunities but are also connecting, restoring and protecting community forests,” says Remi van Balen, programme manager agroforestry and environment, ETG | Beyond Beans.

“We are proud to partner with Nestlé on this ground-breaking carbon reduction project that transitions away from business as usual.”

Reforestation and emissions reduction goals
With over two-thirds of Nestlé’s greenhouse gas emissions stemming from ingredient sourcing, the company has pledged to plant 200 million trees by 2030 across its sourcing regions. As part of its journey toward achieving net zero emissions by 2050, Nestlé aims for a 20% reduction of greenhouse gas emissions by 2025 and 50% by 2030 from its 2018 baseline. 

Monitoring and verification processes are integral to success, encompassing the lifespan of the projects to track the number of trees planted and the volume of carbon dioxide sequestered. This ensures verifiable, lasting carbon removal within Nestlé’s supply chain. 

The projects will also monitor non-carbon benefits, such as the impact and efficiency of reforestation efforts, with high-resolution satellite imagery aiding in the verification that the planted trees continue to thrive.

“This initiative can really make a difference,” highlights Ursule Gatta, Cargill partnership officer in Côte d’Ivoire. “Our ambition is to scale up the project to cover 18 cooperatives over five years, aligned with the Nestlé Income Accelerator program.”

Last year, Cargill started leveraging satellite-powered risk monitoring capabilities across its cocoa supply chains.

Edited by Sichong Wang