Corporate Social Review Magazine 1st Quarter 2013 | Page 13

Affordable, quality food

Mr Bulcke cautioned that if food companies are to continue to
produce enough affordable, quality food for the fast-growing and
increasingly prosperous global population, ensuring availability
of fresh water is vital.
“There will be a further 2.3 billion people on the planet by 2050,
adding to existing demand for food and energy,” he said.
“Already today, water withdrawals are in excess of sustainable
supply, and this gap continues to widen.
“It is only by working together with policymakers, civil society,
agriculture and other stakeholders at local and international
levels that we can develop effective, coherent and concrete
action.
“This is an issue that must be addressed urgently. I am convinced
it can be solved. We should give water the right priority, the right
value.”

Potential savings

Mr Bulcke said that agricultural productivity rates have failed to
keep up with global population growth.
Although reducing water use in agriculture was a major challenge
he said, it was also a great opportunity to make a difference.
“More than two thirds of all the world’s fresh water is withdrawn
by agriculture, but the physiological need of plants amounts
to only half of this amount,” Mr Bulcke continued. “This means
there is potential to make enormous savings.”
He gave examples of the different ways Nestlé works with its
agricultural partners to reduce water use, from breeding coffee
plants with higher drought tolerance, to training farmers in
improved irrigation and water saving techniques.
He also mentioned how the company has made savings in its
manufacturing operations, reducing its water withdrawals from
4.5 litres per USD of sales ten years ago to only 1.5 litres today.

than 115 million tonnes of grain - enough to feed 370 million
people - is being diverted to biofuels.
“Nestlé is not against biofuels, but we are against using food
for fuel.”

Reducing waste

Mr Bulcke pointed out that almost one-third of food produced for
human consumption is lost or wasted globally, which amounts to
about 1.3 billion tonnes per year.
He said that further water savings could be made if more was
done to address food waste across the value chain - from
agricultural production down to household consumption.
He said that by purchasing milk directly from farms in developing
countries, Nestlé has managed to reduce losses between farm
and retail by up to 1.4 million tonnes annually, an “enormous
saving” compared to traditional milk supply chains.
Manufacturers could also do more to help consumers in
industrialised countries reduce the amount of food they throw
away, for example by offering products in smaller portions.

Annual event

Mr Bulcke was speaking at London’s prestigious Guildhall
in front of an invited audience of food industry and media
representatives.
His lecture was followed by a question and answer session with
a panel of food industry specialists, chaired by Sheila Dillon of
BBC Radio 4’s ‘The Food Programme’.
The City Food Lecture is given every year by a leading figure in
the food business who is invited to speak about the issues they
regard as most important in shaping the way food is produced,
distributed, marketed, sold and consumed.

Distorting policies

Mr Bulcke referred to use of cereal crops for biofuels as
increasing demand for water and driving price increases in
staple foods.
“In 2005, 12% of corn in the United States was used for biofuels,”
he said. “By 2011, this had risen to 42%. This means that more

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