PHM-Exch> Call for Nestlé to be expelled from UN initiative

[Claudio Schuftan]

From: Patti Rundall prundall at babymilkaction.org
  *From: *"Mike Brady (Baby Milk Action)" <mbrady at babymilkaction.org>

International campaign calls for Nestlé to be expelled from UN initiative

Press release 17 June 2009

See online version for supporting documents
http://www.babymilkaction.org/press/press17june09.html

[For a review copy of 'Nestlé's UN Global Compact cover up', contact
mbrady at babymilkaction.org]

Experts on Nestlé business practices have submitted a report to the UN
Global Compact Office, calling for Nestlé to be expelled as a participant in
the voluntary initiative. The Global Compact is described as: “a strategic
policy initiative for businesses that are committed to aligning their
operations and strategies with ten universally accepted principles in the
areas of human rights, labour, environment and anti-corruption.”

The Global Compact website displays reports (designated Communications on
Progress) from Nestlé, such as those claiming it is Creating Shared Value,
boasting of the company's positive impact. Experts allege that Nestlé's
reports are misleading and that Nestlé uses its participation in the
initiative to divert criticism so that abuses of human rights and
environmental standards can continue. The Nestlé Critics have submitted
their own report on ‘Nestlé’s UN Global Compact cover up’ to the UN Global
Compact office, calling for Nestlé to be expelled. Under the terms of the
Global Compact integrity measures, Nestlé has 3 months to respond.

Concerns raised include:

    * aggressive marketing of baby milks and foods and undermining of
breastfeeding,  in breach of international standards;
    * trade union busting and failing to act on related court decisions;
    * failure to act on child labour and slavery in its cocoa supply chain;
    * exploitation of farmers, particularly in the dairy and coffee sectors;
    * environmental degradation, particularly of water resources;

Contributors include the International Labor Rights Fund (which has filed
lawsuits against Nestlé over child labour in the cocoa supply chain and
labor rights issues in Colombia), trade unionists from the Philippines,
Corporate Accountability International (campaigning on water) and Baby Milk
Action (which promotes a boycott of Nestlé over its aggressive marketing of
baby milks in breach of international standards).

Mike Brady, Campaigns and Networking Coordinator at Baby Milk Action, said:

    "A fundamental flaw with the UN Global Compact voluntary approach is
that Communications on Progress by Nestlé and other companies are not
subject to verification.  Nestlé’s misleading submissions are published on
the UN Global Compact website and have even been launched at events with the
Global Compact office so bringing the initiative as a whole into disrepute.
We are using integrity measures to call on the Global Compact office to act
to try to salvage its own credibility by removing Nestlé from its list of
participating companies. Nestlé uses the UN Global Compact to cover up its
malpractice so that abuses can continue."

Contact: Mike Brady: mikebrady at babymilkaction.org Tel: +44 7986 736179

Notes for editors

* The report Nestlé’s UN Global Compact cover up is available via the online
version of this press release at:
http://www.babymilkaction.org/press/press17june09.html The 16-page report
includes overviews of key concerns, with references for supporting evidence.

* Further information on Nestlé practices can be found on the Nestlé Critics
website: http://www.nestlecritics.org/

* The UN Global Compact states it: "is not now and does not aspire to become
a compliance based initiative. Nevertheless, safeguarding the reputation,
integrity and good efforts of the Global Compact and its participants
requires transparent means to handle credible allegations of systematic or
egregious abuse of the Global Compact’s overall aims and principles.” Its
integrity measures state that if: “the continued listing of the
participating company on the Global Compact website is considered to be
detrimental to the reputation and integrity of the Global Compact, the
Global Compact Office reserves the right to remove that company from the
list of participants and to so indicate on the Global Compact website.”

* Nestlé Global Public Affairs Manager, Dr. Gayle Crozier-Willi has admitted
that Nestlé is ‘widely boycotted’. The boycott of Nestlé focuses on Nescafé,
its flagship product, but Baby Milk Action lists the brands from which
Nestlé profits so boycott supporters can avoid them all. Guardian reported
on 1 September 2005: "What do Nike, Coca Cola, McDonald's and Nestlé have in
common? Apart from being among the world's most well-known brands, they
happen to be the most boycotted brands on the planet. That finding came from
this week's global GMIPoll, an online opinion poll that surveyed 15,500
consumers in 17 countries. Nestlé emerges as the most the most boycotted
brand in the UK because of what respondents consider its "unethical use and
promotion of formula feed for babies in third world countries."

* According to the World Health Organisation, 1.5 million infants die around
the world every year because they are not breastfed. Nestlé is the target of
the boycott as independent monitoring finds it is responsible for more
violations the International Code of Marketing of Breastmilk Substitutes and
subsequent, relevant Resolutions than any other company.
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