The year gone by has been extremely challenging for the Company. The impact of theMAGGI Noodles crisis was immense not only for the Company but also for the extensiveeco-system that is dependent on it. It was a shock for every single employee because theytake immense pride in the quality of the products that they manufacture. It was a shock tothe suppliers because they know from experience that Nestl takes quality and food safetyvery seriously all along the supply chain and that every product has to pass verystringent quality standards before they can be released for the market. The reality isthat MAGGI Noodles is amongst the safest foods available and trusted by all members of thefamily. At Nestl we treasure this trust always and everytime.
The ability to guarantee quality and food safety requires immense hard work expertiseand investments in infrastructure. Nestl with its 150 years history globally is amongthe few companies that have been conscious of this and prides itself on the significantwork that it has done to upgrade the quality of suppliers and stringent quality standardsthat it enforces for all its products.
Nestl believes in integrity and honesty and has built strong relationships with thoseit has come in contact with. I am sincerely grateful that during the MAGGI Noodles crisishundreds and thousands of employees partners suppliers farmers retailers and customersacross the country supported Nestl and did not compromise on the bonds of relationshipsbuilt with us over the years and decades.
We are living in times of increasing environmental degradation and pollution whereissues like global warming and depleting natural resources are almost constantly impactingthe commodities and ingredients entering the supply chain. Nestl has always maintained avery clear benchmark for quality. It will apply the local regulatory standard or theNestl standard whichever is more stringent.
Let us now pull back a little bit. The Indian Economy is faced with serious problems ofnutrition security. It is almost impossible to control it in the short term but there areoptions that can help.
Food processing can play a very significant role and needs to be encouraged andsupported. Food processors backed by R&D expertise have the potential to ensurescience based nutrition provide high quality products that meet safety standards andreduce the immense wastages of perishable produce. Food processing companies can be gamechangers given the right support.
Like it or not we are now operating in a highly volatile unpredictable and changingenvironment. Social transformation emerging technology trends in communications andpolarizing opinions amongst others require us to keep evolving in a manner that we do notlose sight of the objective. The role of a responsible and global Company like Nestl isnot just to its shareholders but to society at large by providing tasty nutritious brandsand reflecting contemporary lifestyle. Our core principles remain the same - Food &Beverage offerings that speak to the highest standards of Safety AND Quality and areunderpinned by the bedrock of Science Nutrition & Technology. At Nestl our responseis to stay Fast Focused and Flexible.
Chairman & Managing Director