Business News Nestlé | Page 7

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the dairy farms in question.

Palm oil use

With rapid deforestation in Borneo and other regions to make way for oil palm plantations, sending massive amounts of carbon dioxide into the atmosphere, in particular where peat swamp forests are cleared, destroying the habitat for many threatened species of animals such as the orangutan, much public attention has been given to the environmental impact of palm oil and the role of multi-nationals such as Nestlé in this, and there is ongoing concern by various NGO's including Greenpeace.

Nestlé were met with "a deluge of criticism from consumers, after a large number of Facebook users posted negative comments about the company's business practises." Nestlé's attempt to engage with the issue were met with criticism, with typical headlines stating: "Nestlé fails at social media", and "Nestlé Loses Face On Facebook". Nestlé Chairman, Peter Brabeck-Letmathe, in answer to a question from Greenpeace, told the Company’s Annual General Meeting in Lausanne on April 15 2010 that in 2009 Nestlé used 320,000 tonnes of palm oil worldwide, comparing this with the 500,000 tonnes of palm oil used for biodiesel in Germany and Italy alone.

In May 2010 Nestlé said it was inviting The Forest Trust, a not-for-profit group, to audit its supply chain and promised to cancel contracts with any firm found to be chopping down rainforests to produce the palm oil which it uses in KitKat, Aero and Quality Street. Greenpeace welcomed the agreement

promising to monitor it closely .