Monday, November 30, 2009

Coca Cola under fire for water takings in India

Local resistance movements in Mehdiganj in the state of Varanasi, India staged a protest today against Coca Cola's continued mining of groundwater for a bottling plant.

For more information see the article below or visit the India Resource Center's website.

Protest for closure of Coca Cola plant in Varanasi on Nov 30
Nvember 28, 2009
UNI (United News of India)

Varanasi, Nov. 28 -- Residents of Mehdiganj and adjacent villages will protest on November 30 to demand the closure of the Coca-Cola bottling plant in the area. Talking to reporters here today, Nand Lal Mater, the convenor of Lok Samiti -- a national alliance of peoples' movements -- said the Coca Cola company was responsible for worsening the water conditions in the area. The water conditions were set to get worse as the impacts of climate change became real in Varanasi. He said the ground water levels in the Araziline block, where Coca Cola's bottling plant is located, fell by six metres in the first six years of its operations in the area. He said the ground water level at Coca-Cola bottling plant was the lowest in the area, according to Coca Cola itself. Mr Lal added this year the water conditions in the Araziline block were some of the worst impacted in the region.

The State Irrigation department has confirmed that the majority of the tubewells that went dry in the area were in the same block. He said there was no place for Coca-Cola in Mehdiganj. ''Coca Cola must shut down its bottling plant in the area to ease the impacts of climate change,'' he added. Residents of Mehdiganj and adjacent villages will protest on November 30 to demand the closure of the Coca-Cola bottling plant in the area. Talking to reporters here today, Nand Lal Mater, the convenor of Lok Samiti -- a national alliance of peoples' movements -- said the Coca Cola company was responsible for worsening the water conditions in the area. The water conditions were set to get worse as the impacts of climate change became real in Varanasi. He said the ground water levels in the Araziline block, where Coca Cola's bottling plant is located, fell by six metres in the first six years of its operations in the area. He said the ground water level at Coca-Cola bottling plant was the lowest in the area, according to Coca Cola itself. Mr Lal added this year the water conditions in the Araziline block were some of the worst impacted in the region. The State Irrigation department has confirmed that the majority of the tubewells that went dry in the area were in the same block. He said there was no place for Coca-Cola in Mehdiganj. ''Coca Cola must shut down its bottling plant in the area to ease the impacts of climate change,'' he added.Published by HT Syndication with permission from United News of India. For more information on news feed please contact Sarabjit Jagirdar at htsyndication@hindustantimes.com

Tuesday, November 24, 2009

Nestlé Waters lays off workers in France

Dealing with a 30% drop in production since 2006 at its bottled water plant in Vittel, France, Nestlé is taking steps to shed a further 250 employees from the plant. These layoffs, or voluntary retirements, are further indication that the company's bottled water division is in trouble in Europe.

Dropping sales across Europe as well as in Canada and the United States are resulting in lower production and unfortunately, layoffs. It is difficult to reconcile job losses wherever they occur, however, job losses in the bottled water sector are indicative just how important it is for governments to start emphasizing green jobs solutions.

People will continue to turn away from bottled water and other products that are bad for the environment. An unfortunate consequence of this will be the loss of jobs in these sectors. With many of the West's public water systems crumbling, there could be many employment opportunities for these workers if our governments had the will to reinvest in our public water systems.

Nestle Waters Vosges new voluntary departure plan to affect 250 jobs
November 24, 2009
French News Digest

(ADPnews) - Nov 24, 2009 - Nestlé Waters Vosges, the French arm of Swiss water bottling company Nestle Waters, told on Monday the works council that it would launch a voluntary departure plan, involving 250 people

The new plan, which will run over a two-year period, follows a previous one for the period 2008 to 2011, which envisaged 350 voluntary departures. The company said that decision was due to the decline of the bottled water market. No lay-offs are planned.

Nestle Waters Vosges markets mineral waters under the brand Vittel and Contrex.

The output of the Vosges region site, in northeastern France, has been falling since 2006, to the current 1.2 billion bottles from 1.6 billion bottles.

Friday, November 20, 2009

Nestlé is trying to buy back customers with new tv ads

Last week Nestlé launched a series of television advertisements for their 'spring water' brands of bottled water in the United States. The advertisments come at a time when the company is trying desperately to stop the slide in sales of their bottled water products in Canada and the United States. In addition, the company is trying to counter sustained resistance from local communities where they take and bottle water.

These advertisments are an obvious ploy by Nestlé to influence the public image of their products and increase flagging sales.

Watch a video here: http://www.youtube.com/watch?v=BLZnaUYsyG4

Nestlé's press release:

Nestlé Waters North America Launches “Born Better” Marketing Campaign To Help Consumers Learn About What Makes Nestlé Waters’ Regional Spring Water Brands So Unique

GREENWICH, Conn.-- (BUSINESS WIRE) -- Nestlé Waters North America’s regional spring water brands division is launching an integrated marketing campaign called “Born Better™.” The campaign shows people the small fraction of the Earth’s water that is unique enough to become one of the six regional brands for Nestle Waters’ family of 100% natural spring waters. The TV commercial celebrates where this unique water comes from, taking viewers on a journey to demonstrate how water that travels beneath the Earth where the water is naturally filtered, collects a distinct blend of minerals, and emerges as 100% natural spring water.

“Only one-billionth of one percent (of the water on Earth) is filtered naturally beneath the earth... with a distinct balance of minerals... and emerges crisp and refreshing enough to be called Poland Spring,” the TV spot’s narrator says. This selective process yields Nestlé Waters’ regional spring brands’ quality, great tasting, 100% natural spring water. The commercial, which debuted on November 2, 2009, concludes by showing footage of one of Poland Spring’s spring sources in Maine.

The campaign, which will include TV, online, print and radio, reinforces that all of the Nestlé Waters’ regional 100% natural spring water brands -- Arrowhead®, Deer Park®, Ice Mountain®, Ozarka®, Poland Spring® and Zephyrhills® -- have special origins, are naturally filtered beneath the earth, contain a distinct blend of natural minerals that impart a unique taste and are of high quality. The campaign rolls out to Arrowhead and Deer Park markets on November 9, 2009 and extends across the remaining brands’ markets in 2010.

To select its spring sources, Nestlé Waters’ natural resource managers, trained hydrologists, geologists and engineers analyze the spring, the surrounding land, soil, wildlife, as well as the water’s chemistry and how the water is replenished. Each source is managed and monitored for long-term quality and viability to help ensure the sources remain stable and abundant and the environment is sustainable. We preserve more than 14,000 acres around our U.S. spring sources, protecting the water’s quality, local watersheds, habitats and nature’s open spaces. It’s good for our 100% natural spring water and the environment.

“Our natural spring water is special. It’s a gift from nature. We work really hard to find it, and really hard to manage it,” says Tom Brennan, one of eleven natural resource managers for Nestlé Waters North America. “We’re proud to help bring it to the public to drink.”

About Nestlé Waters North America

Central to the leadership of Nestlé Waters North America Inc. is its 33-year history and single-focus on producing bottled water products. The company’s dedication to product quality, manufacturing expertise, efficient production, employee development and environmental stewardship, especially in the areas of water use, energy and packaging, has helped Nestlé Waters become the number one bottled water company in the U.S. To reach success, the company follows its credo: Respect for each other, respect for the environment, and respect for the community. To learn more, visit www.nestlewatersnorthamerica.com.

For Nestlé Waters North America
Erik Dawson, 617-939-8419
edawson@coneinc.com

Friday, November 13, 2009

PepsiCo targets India

The Delhi based Economic Times reports today that PepsiCo's 3-day meeting of the company's Board of Directors in Mumbai, discussed, among other items, increasing the presence of the company's bottled water brands in the country. PepsiCo announced earlier this year that it will double investments in its Indian beverage business in 2009. The company’s Indian beverage investments will now total $220 million.

This is not surprising given that India is being touted as one of the fastest growing bottled water markets in the world. Company's like PepsiCo, Nestlé, Coca Cola and Danone are jumping at the opportunity to exploit India's growing middle class and the reality of poor public water infrastructure.

This is good news for PepsiCo shareholders, but for the communities in India where there is no public water infrastructure, more expensive bottled water brands will do nothing to create access to something that is a fundamental human right. On the contrary, once people are forced to pay for their drinking water, the commodification and privatization of water becomes a deadly bygone conclusion.


Pepsi to fizz up image with corporate social responsibility

November 12, 2009, The Economic Times - MUMBAI: PepsiCo on Wednesday discussed plans to widen its product portfolio in India and build the brand's image around corporate social responsibility at the $43-billion beverages and snacks foods multinational's first global board meeting in India, an official familiar with the matter said.

The three-day global board meet is being attended by PepsiCo chairman and CEO Indra Nooyi, International CEO Michael D White and 11 independent directors including Novartis AGchairman & CEO Daniel Vasella and Colgate-Palmolive president & CEO Ian M Cook.

The board of directors also discussed increasing the beverages maker's presence actively in the country's health and wellness portfolio, especially in the packaged water category, said the official requesting anonymity.

The meeting is seen as an indication of the importance of India in PepsiCo's global space, officials said. The only other time the company board met outside was five years ago, in Mexico.

The meet in India is believed to be the brainchild of Ms Nooyi. "We want to show them (PepsiCo board members) the glory of India and the issues in India so that we propose solutions," PepsiCo's India-born chairman and CEO had said at a meeting organised by the United States-India Business Council (USIBC) and CII on Tuesday.

India has been identified as one of the top three markets for PepsiCo, which came into the country almost 20 years ago, she had said. The board will use the Mumbai meet to learn more about the Indian market place, the firm's business strategies here and the progress it's making in environmental, human and talent sustainability, the company said in an official statement.

"They also will take an in-depth look at how our business and product lines are evolving to address the varied and changing needs of Indian consumers," the PepsiCo India release said.

PepsiCo allocated 'region' status to the Indian operations in 2008, which meant more room for decision-making and higher resource allocation. In January this year, it integrated beverages and snacks businesses in the country under a common leadership, in line with Ms Nooyi's 'power of one' strategy followed in many world markets.

The company has already announced investments of Rs 1,000 crore ($220 million) in its beverages business this calendar to step up manufacturing capacity, market infrastructure, supply chain, product innovations and research & development.

The investment, PepsiCo India's biggest in a single year in the beverages arm, is part of the company's $500-million investment allocated for India over three years.

Pepsi has invested $1 billion in India so far. It has 41 bottling plants in the country, of which its franchisee bottling partner Jaipuria Group owns 28. The Indian subsidiary recorded an all-time high volume growth of 33-35% last year at a time when its parent was grappling with falling sales.

Wednesday, November 11, 2009

Welcome to our Blog

The Inside the Bottle Blog is designed to provide insight, news, and analysis on the global bottled water industry and the growing backlash against this environmentally harmful product.

Watch this space for regular updates from the Polaris Institute's team which is engaged in confronting the bottled water industry.