By Chioma Obinna

The ambitious initiative of the global food and beverage company, Nestle Nigeria to source 100 percent of its raw materials locally has continued to have ripple effect, reaching far beyond the company’s boardrooms. Amidst the hustle and bustle of the local market, many farmers on daily basis faces-etched with both hope and uncertainty.

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For the farmers under Nestle’s Golden Morn Agripreneur Series, this meant a guaranteed market for their produce. No longer would they be at the mercy of fluctuating prices or the whims of middlemen.

Nestle’s commitment to local sourcing provides a stable income, allowing these farmers to invest in their farms, improve their yields, and lift their families out of poverty.

Nestle’s local sourcing initiative

The story of the farmers and Nestle is a testament to the power of corporate social responsibility. By prioritising local sourcing, companies cannot only boost their bottom line but also make a significant positive impact on the lives of countless individuals and communities.

Just like the Managing Director, Nestlé Nigeria, Wassim Elhusseini noted at the unveiling of a sustainable packaging for its flagship product, Golden Morn, their partnership with local farmers guarantees a superior product while bolstering the local economy and empowering farming communities.

Impact on Nigerian farmers

A case in point is Ms Rakiya Sadiq,a beneficiary of the Golden Morn Agripreneurship Programme of Nestle Nigeria who was initially facing challenges in his farming business before her path crossed with Nestle.

“I was about to stop this business due to some limiting factors but the training and subsequent support from Nestlé’s Golden Morn has encouraged me to continue the business of maize, soyabeans and rice farming”

A graduate of Nasarawa State University, Sadiq through her farm, is contributing to ensuring food security and reducing hunger In the country, particularly at a time Nigeria facing food insecurity.

Recently, The Food and Agriculture Organization of the United Nations (FAO) recently expressed deep concern about the potential for increased hunger, as nearly 31.8 million Nigerians are already at risk of acute food insecurity.

Today, Sadiq who is now the Chief Executive Officer of Zulru Integrated Farms,Toro Local Government Area of Bauchi State is into agriculture, focusing on cereal crops like maize, rice, and soya beans, amongst others remains a shining example of impacts of Nestle’s programmes designed to better lives of communities where they operate.

However, Nestle over the years through its product, Golden Morn has shown commitment not only in nutrition but also in its focus on local sourcing of raw materials.

According to Wassim Elhusseini, golden morn sources 100 percent of its maize and soya locally, collaborating closely with Nigerian farmers to ensure the freshness and quality of its ingredients.

Speaking at one of the grants presentation, Elhusseini emphasized the pivotal role of youth involvement in agriculture for building sustainable food systems. “To establish sustainable food systems, we must ensure youth participation in agriculture. Nestlé is therefore dedicated to helping young people develop the capabilities and skills they need to drive innovation in agriculture.”

In 2023, under its Golden Morn Agripreneur Series, the grant had hundreds of agricultural entrepreneurs jostle for the 25 spots in the 5th cycle to get seed funding of N500,000 each.

Launched in 2021, the Golden Morn Agripreneurship Programme has provided training, financial assistance, mentorship, and networking opportunities to over 2,000 young people. It has also made agriculture more attractive to youths.

According to the Category and Marketing Manager of Golden Morn, Ifeanyichukwu Orabuche during a presentation of grants to 25 agricultural entrepreneurs, out of the many young Nigerians who enrolled in several programmes at Nestle, 95 per cent have been employed in different capacities by the company.

She said farmer development is essential for better agricultural practice, adding that as agripreneurs, they are employers of labour and that is why Nestle has decided to invest in their business.

This programme has also created jobs for hundreds of Nigerians as these agripreneurs also engage other Nigerians to work for them.

Noting that agricultural sector is one of the most viable sectors of Nigerian society, she said: “I am a firm believer in Nigeria’s commonwealth and I believe that the only way Nigerians would move forward is through the country’s collective commonwealth whether in agriculture, healthcare, or education.

“Everyone regardless of your income would share that common wealth. For us to coexist, we need to make sure the cycle continues.”

Acknowledging as a challenge that the average age of the Nigerian farmer was between ages 60 and 65 years, he charged the young farmers to be committed.

For the Project and Finance Manager of the Enterprise Development Centre (EDC), Pan Atlantic University, Obianuju Okafor, the Webinar Series has been impacting individuals and businesses since 2021 with a focus on best practices in agribusiness.

“This collaboration underscores a shared commitment to empower and enhance the offerings of aspiring agripreneurs, contributing to the growth and sustainability of the agricultural sector,” Okafor stated.

Testifying on the benefit of the programme, Chukwudi Imhokha, CEO of Azimhoc Ventures, Delta State said, “The journey with Nestlé’s Golden Morn has been a great learning opportunity. The training adopting business models and circularity for Business Sustainability and Profitability werwasrticularly valvalue-addingd very practical for me. We are so grateful to Golden Morn and by extension Nestlé, for the huge investment in young people through this laudable initiative”.

Global impact

Apart from Nigeria, Nestle has continued to create wealth and make lives better for millions of people through its shared value around the globe.

In report, for instance, a study by KIT institute showed that Nestlé’s income accelerator programme has strengthened its value chain by significantly improving the livelihoods of its cocoa farmers.

It showed that that high-quality pruning of income accelerator cocoa farms has contributed to a 32 per cent increase in cocoa yields. The total net income of income accelerator households rose by 38 percent, resulting in a higher proportion of these households achieving a living income.

The programme, spanning 28 cooperatives and 2,000 households in Côte d’Ivoire, has also effectively mitigated diseases, diversified incomes, empowered women, and enhanced child schooling rates.

The report is based on a study conducted over the first 18 months of the programme, examining a sample of 2,000 households across 28 cooperatives.

Findings have shown that the Nestlé income accelerator test-at-scale, was launched in January 2022 to help close the living income gap for cocoa-farming families and tackle child labour risks.

The programme’s impact study found it effectively mitigated diseases and pests on farms, facilitated income diversification, promoted financial access, and increased child schooling rates by 10 percent

There was also a notable surge in small business investment, with the proportion of households investing in ventures like agro-processing, boutiques, barber shops, or soap-making doubling from 2022 to 2023, from 21 percent to 55 percent.

The programme also promotes women’s financial inclusion by facilitating their participation in Village Savings and Loans Associations (VSLAs). that provide opportunities for savings and loans, with a particular focus on women looking to start or expand their own business. They offer various training on topics such as gender equality and entrepreneurship.

The study highlights a 52 percent increase in the number of women enrolled in these associations.

According to the Global Cocoa Manager at Nestlé, Darrell High, in a media report, the test-at-scale of Nestlé’s income accelerator programme has confirmed the initial results.

“By putting the family at the centre of the program, we empower women who are supporting their children’s education and are pursuing opportunities to diversify their household’s income.”

The programme has so far supported more than 10,000 families in Côte d’Ivoire and is expanded to Ghana to include a total of 30,000 families.

By 2030, the program aims to reach an estimated 160,000 cocoa-farming families in Nestlé’s global cocoa supply chain to create impact at scale.

Darrell High in the report stated: “These projects are important milestones on our joint journey to improving farmers’ livelihoods and reducing our business’ climate impact.”

As Nestle continues to innovate and expand its local sourcing initiatives, there is need for it to drive further positive change in the agricultural sector and beyond. By empowering farmers and promoting sustainable practices, the company is not only securing its own supply chain but also contributing to a more resilient and sustainable food system.

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