Jun 22, 2015

Nestlé positive about Africa’s future

Wan Ling Martello, Nestlé’s Executive Vice President for Zone Asia, Oceania and Africa, highlights Nestlé’s long-term commitment to the future of Sub-Saharan Africa in a letter to the Financial Times editor, published on 22 June 2015.

Read the text of the letter here:

The Financial Times article of June 16th, 'Nestlé cuts Africa workforce as middle class growth disappoints', may have given the mistaken impression that we are somehow pulling back from Africa. The fact is that this staff adjustment relates to five countries in Equatorial Africa and represents less than 1% of the 11,000 people we employ in Sub-Saharan Africa.

We want to highlight our long-term commitment to, and confidence in, the future of Sub-Saharan Africa. Over the last ten years, we have enjoyed strong, double-digit growth there. Since the elections in Nigeria last April, our Central and West Africa Region, which accounts for well over half of Nestlé's business in Sub-Saharan Africa, is experiencing strong growth.

The South Africa Region was one of Nestlé's fastest-growing markets in the first quarter of this year, with double-digit growth. And we also remain optimistic about the medium-term prospects of our Equatorial Africa region.

This performance is the result of our significant investments across Sub-Saharan Africa over the last decade, which have been consistently above the group average. These are not 'big bets that have not come through' but platforms for the future. Earlier this year, we expanded our production facility in the Democratic Republic of Congo, and further investments in the region are foreseen over the coming years. We are very positive about Africa's future.

Read the full letter to the Financial Times editor (paywall protected)