The blog reports on the Committee on the Rights of the Child and country reviews as they relate to infant and young child feeding issues and is inspired by the work of the International Baby Food Action Network
Monday, 20 April 2015
IBFAN-GIFA raises lack of compliance with the International Code and informs shareholders about the release of the movie Tigers at Nestlé's AGM
At Nestlé's latest Annual General Meeting, the Geneva Infant Feeding
Association (IBFAN-GIFA) raised attention about the movie Tigers, based on the true
story of a former Nestlé's sales representative for baby foods, Mr. Aamir Raza,
who resigned after becoming aware of the adverse impact of infant formula on
child's health. IBFAN-GIFA noted that the stand taken by Mr. Raza, was officially
acknowledged and supported by Canada's Minister of Citizenship, Immigration and Multiculturalism. GIFA further
recalled that Nestlé's advertising is deceiving many mothers and urged the
company to finally bring its policies and practices into line with the
International Code of Breastmilk Substitutes.
Baby Milk Action/IBFAN UK was also
present and asked Nestlé Chairman, Peter Brabeck-Letmathé, to drop the public relations
approach and address people’s concerns before he retires. He has attempted to
rebrand the company as a Nutrition, Health and Wellness company, but many
people see Nestlé as a Malnutrition, Death and Water Stealing company. Last
year a survey found it to be the least ethical company of the past 25 years,
which will otherwise be his legacy. (Read the text of Baby Milk Action's intervention)
There were 2,446 shareholders present to
hear the intervention, representing 73.5% of voting rights. IBFAN was the only
campaign group raising concerns about Nestlé’s business practices.
Text of GIFA's intervention and the response from Mr Brabeck (Nestlé Chairman), Mr Schipper (Head of Nestlé Nutrition) and Mr Bulcke (Nestlé Chief Executive Officer) are given below.
Intervention of Ms Camille Selleger (IBFAN-GIFA):
Mr. President, dear shareholders,
name is Camille Selleger, and I speak on behalf of the Geneva Association for
Infant Feeding, Swiss member of IBFAN.
managers just told you about Nutrition, Health and Well-Being, but the story I
will now tell you is rather different.
February, at the Geneva’s International Film Festival on Human Rights, a movie
was screened to sold-out packed rooms. This movie, Tiger, is based on the true
story of Syed Aamir Raza, who worked as a Nestlé sales representative in
Pakistan in charge of promoting baby foods to hospitals and doctors. During one
of his visits to a hospital, he discovers a room full of babies dying because
they were not breastfed, but rather fed with infant formula. Alarmed by the
effects of the products he promotes on child’s health, he resigns and sends a
legal notice to Nestlé calling on it to stop the practices he had been part of.
The film then tells how Nestlé tried to keep him to tell his story and how he
came to IBFAN for help. It finally became impossible for him to return to
Pakistan and he remained separated from his wife and children for seven years.
On the occasion of the film's premiere in Canada, the Minister of
Citizenship, Immigration and Multiculturalism declared: 'The account of
Mr. Raza’s principled stand in defence of the health of babies and their
families is one that deserves to be told, and one which reflects the best of
Ancient history, will say the leaders of the company ... actually not that old!
The dying babies who appear in the film are real babies filmed in 2013 in
Pakistan. Indeed, babies fed formula milk are more likely to get sick than
breastfed and in areas affected by poverty, they even run the risk of dying
from diseases. Despite this, many mothers, seduced by brands’ advertising
discourse, sincerely believe they are giving their child good nutrition by
feeding them with infant formula.
We welcome Nestlé’s recent commitment to renounce the logo 'Natural Start'.
However, this is a very small step following years of campaign and monitoring
by IBFAN. In fact, the whole business strategy of the company must be revised
to comply with the International Code of Marketing of Breastmilk Substitutes.
Bulcke, earlier on you spoke about respect. My question is a very simple one
indeed. When is Nestlé going to put its money where its mouth is and adhere to
the International Code [of Marketing of Breastmilk Substitutes] instead of just
paying lip service to it?
Response of Mr Peter Brabeck-Letmathé, Nestlé Chairman
you very much Ms Selleger. I think what we are going to try and do is to see if
we can convince you by calling on another speaker to try to explain what we’re
about. So we are going to ask Mr Schipper, who’s in charge of nutrition, and
he’s a newcomer. He has a lot of energy and perhaps he will be more successful
than we have been Heiko to convince Ms Selleger.
Mr Heiko Schipper, Head of Nestlé Nutrition
you Mr Brabeck and thank you for the question, Ms Selleger. First I would like
to start to talk about our Nestlé Nutrition business. Our mission is to nurture
a healthier generation and we do this by focusing on the first 1000 days of
life. Both through our products that are safe and science-based.
In a presentation to investors in September 2013, Mr Schipper highlighted the
‘product solutions it promotes during the first 1000 days – including follow-on
milks and toddler milks’, which the World Health Organisations says are
We also market our breastmilk substitutes
responsibly in line with OUR commitments to the WHO Code. I think you are also
familiar that our policy is the strictest in the industry.
[Note: Nestlé refers to its own policies, whereas it should
ensure its activities at every level comply with the International Code of
Marketing of Breastmilk Substitutes and subsequent, relevant Resolutions
adopted by the World Health Assembly. By Nestlé's own assessment of the violations of the Code and subsequent relevant WHA resolutions documented
by IBFAN, 90% are permitted by Nestlé’s narrower policies].
Our compliance is the most strict within
the entire industry.
[Note: Nestlé is a greater source of violations in IBFAN’s
monitoring than any other company, with the possible exception of its main
rival, Danone, the second biggest company – see who is the worst]
are training our employees. We have internal and external auditors in place. In
fact, last year, we increased our level of audits to 43, which is an increase
of 25%. And also our compliance policies towards our WHO Code
commitments are also recognised through our inclusion in the FTSE4Good Index
where since 2011 only Nestlé has been present. So for the last four years we
are the only player in the industry who is recognised to have strict compliance
policies in place. We are in fact audited every year on 104 points when it
comes to our commitments and we have passed them in the past four years.
[Note: FTSE has warned Nestlé several times not to suggest
that inclusion in the FTSE4Good investment index signifies compliance with the
WHO Code. Companies are assessed on their own policies, not the Code and
Resolutions and Nestlé was only included after the criteria were weakened – and
it weakened its own policies shortly before being included, knowing it would be
assessed against those. IBFAN, Save the Children, UNICEF Lao and others
have called on FTSE to strengthen its criteria].
I believe that we have a very industry leading and strict policy in place.
it comes to the movie you are referring to, we are aware of this movie. This is
a movie that is set, I believe at the end of the ’90s, but these allegations
made are highly questionable and certainly are not consistent at all with our
policies that we execute in the markets.
[Note:Tigers is based on the true story of
former Nestlé salesman, Syed Aamir Raza. Internal company documents provided by
him show that he was performing the duties required of him. Indeed, a job description for the equivalent post in Canada in 2014 states
the main responsibility is to ‘[s]timulate retail sales through the
promotion of infant formulas and cereals to gain Healthcare Professionals
Mr Peter Brabeck-Letmathé, Nestlé Chairman
Paul you would like to come in.
Mr Paul Bulcke, Nestlé Chief Executive Officer
Selleger, you said that we are very cynical. I find that you are very cynical
in your speech. Respect for the truth. The truth, Madam, the events that are
described in the film took place decades ago, based on the allegations of one
person. And they are entirely false and wrong. There is nothing to be added.
There is nothing more to say. These are false.
[Note: In addition to the documentary evidence
substantiating the allegations by Syed Aamir Raza, there were contemporary
surveys conducted in 33 cities in Pakistan and published as the report Feeding Fiasco, which found evidence from
health workers of the activities of company representatives. A Save the
Children survey in 2012 found health workers continued to report being targeted
by company reps. with Nestlé most prominent]
Camille Selleger, IBFAN-GIFA
I suggest that your shareholders make up their own minds.
Mr Peter Brabeck-Letmathé, Nestlé Chairman
you for that, Madam.
Camille Selleger, IBFAN-GIFA
invite shareholders to view the film that will be shown in Switzerland in the
Autumn 2015 and perhaps they will be able to make up their own minds.
[Note: As Camille Selleger said in her opening comments, the
film includes actual babies, malnourished after being formula fed, who were
filmed in 2013. Mike Brady spoke to shareholders next, showing a picture from a
Bangladesh report from 2014 ‘Tragedies of infant formula and sub-optimalbreastfeeding’. Despite knowing babies die from unsafe formula feeding, Nestlé
promotes its infant formula in Bangladesh as the ‘gentle start’ for babies. Mr
Schipper told investors in 2013 that this marketing campaign is a‘growth
engine’. See Mike Brady’s intervention and Mr Brabeck’s response.]