driving action to achieve carbon neutrality”
Nestlé’s board of directors has approved a new strategic direction for its Waters business.
The company will sharpen its focus on its iconic international brands and leading premium mineral water brands, and invest in differentiated healthy hydration, such as functional water products. The board also confirmed its intent to explore strategic acquisitions, while pledging to make its entire global water portfolio carbon-neutral and replenish associated watersheds by 2025.
At the same time, the board concluded its regional spring water brands, purified water business and beverage delivery service at its Nestlé Waters North America unit lie outside this focus. As a result, the company has decided to explore strategic options, including a potential sale, for the majority of the Nestlé Waters business in the US and Canada.
This review is expected to be completed by early next year. Encompassing all brands, products and geographies of Nestlé Waters, the company’s new sustainability commitments build on existing efforts to reach ambitious milestones across the category. With the aim to achieve all goals by 2025, Nestlé is driving action to:
Achieve carbon neutrality:
Nestlé Waters will pursue high-quality offsets in addition to investing in projects that reduce or capture carbon across its portfolio.
Enhance water stewardship:
As part of the new strategy, Nestlé Waters will support the environmental sustainability of watersheds by replenishing 100% of the water it uses.
Tackle plastic waste:
Nestlé Waters’ packaging is already 100% recyclable or reusable. As part of its broader efforts to drive a circular economy, Nestlé Waters is committing to halve its use of virgin plastic by using more recycled PET and supporting the rollout of alternative delivery systems.
Mark Schneider, Nestlé CEO, said: “The creation of a more focused business enables us to more aggressively pursue emerging consumer trends, such as functional water, while doubling down on our sustainability agenda.
“This strategy offers the best opportunity for long-term profitable growth in the category, while appealing to environmentally and health-conscious consumers. “Nestlé is one of the pioneers in the global water business and
remains committed to healthy hydration. “We are working tirelessly to ensure that consumers can enjoy our beverages in an environmentally responsible way.”