the role of the private sector in improving food security and nutrition

Document Title Goes Here 1

The role of the private sector in improving food security

and nutrition

Derek YachSVP Global Health and Agriculture PolicyIFPRI September 7, 2011Washington DC

Derek Yach. IFPRI September 7, 2011 2

Outline• 300 years of steady improvements in nutrition supported by

private and public efforts. Yet famines continue; hunger persists and the effects of over nutrition accelerates in developing countries.

• Private companies include those engaged in agriculture; food processing; packaging; retail and food service. All have roles to play.

• Industry actions:– to address food security and nutrition have been defined by a group of

CEOs in the lead up the French G20 meetings.

– to address nutrition aspects of chronic diseases are led by key food companies in the lead up the UN HLM on NCDs.

– to address commodity value chains offer opportunities for private-public actions to enhance farming, health and the environment

• Many gaps remain: engaging smaller companies; developing better metrics and incentives; linking to agriculture policy to better nutrition.


Key conclusions for policy makers

A. Balancing future demand and supply sustainably – to ensure that food supplies are affordable.

B. Ensuring that there is adequate stability in food supplies – and protecting the most vulnerable from the volatility that does occur.

C. Achieving global access to food and ending hunger. This recognizes that producing enough food in the world so that everyone can potentially be fed is not the same thing as ensuring food security for all.

D. Managing the contribution of the food system to the mitigation of climate change.

E. Maintaining biodiversity and ecosystem services while feeding the world.


Outline• 300 years of steady improvements in nutrition supported by private and

public efforts. Yet famines continue; hunger persists and the effects of over nutrition accelerates in developing countries.








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Brazil

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SD:Non IFBA top 10

SD: IFBA top 10

PF: Non-IFBA Top 10

PF: IFBA top 10

IFBA and top ten packaged food and soft drink company sharesPackaged food

(Euromonitor, 2011)

baby food

bakery

canned/preserved food

chilled/processed food

confectionery

dairy

dried processed food

frozen processed food

ice cream

meal replacement

noodles

oils and fats,

pasta

ready meals

sauces

dressings and condiments

snack bars

soup

spreads

sweet and savoury snacks

Open access at: http://www.globalizationandhealth.com/content/7/1/26

Source: Euromonitor, 2011

Image source:http://indonesiaurbanstudies.blogspot.com/2008/10/do-street-vendors-deserve-urban-space.html


Outline• 300 years of steady improvements in nutrition supported by private

and public efforts. Yet famines continue; hunger persists and the effects of over nutrition accelerates in developing countries.


• Industry actions:– to address food security and nutrition have been defined by a group

of CEOs in the lead up the French G20 meetings.





Growing a Better FutureOxfam’s agenda

-The G20 and its members should agree specific measures to rein in and re-govern markets, -The EU and USA must dismantle support for biofuels- Establish local, national, and regional food reserves- Help ensure that agribusiness sectors or commodity chains, starting with food and beverage companies and traders, adopt responsible investment policies and practices in relation to land.

- Major donors should adopt policies that promote sustainable, resilient and inclusive agriculture and adaptation.- Advocating for major companies to invest in sustainable, resilient smallholder agriculture. This will include the design and development of a food justice index that will evaluate the progress of different private actors against this objective.- Advocating for donors and financing bodies, such as the International Finance Corporation, to promote private sector investment that builds resilient, sustainable and inclusive agriculture

-Campaign for a global deal on climate change that stops excessive greenhouse-gas emissions from devastating food production.


Joseph, Overseer of Pharaoh's GranariesSir Laurence Alma Tadema OM RA, 1836-1912

1874Oil on panel

13-3/4 x 18 inchesinches© Dahesh Museum of Art, 2002.38. New York City

Accessed from: http://www.victorianweb.org/painting/tadema/paintings/23.html


PepsiCo is working to understand and address global nutrition challenges through science and partnerships

Bioavailability and Nutrition AccessQuaker PhilippinesAsha India

Addressing Acute Malnutrition in Gombe, Nigeria


$1,000,000$1,000,000PEPSICO FOUNDATION PEPSICO FOUNDATION

GRANTGRANT

EMPLOYEE EMPLOYEE ENGAGEMENTENGAGEMENT

SOCIAL MEDIA SOCIAL MEDIA OUTREACHOUTREACH

$500,000 International Rescue

Committee$250,000

Save the Children$250,000

World Food Programme

Double-matching employee grants

through September 30

PEPLine articles, plasma screen updates, global

Letter to Associates and regional communications

in AMEA, Europe.

In discussions to lead Disaster Relief working group under the Dubai Chamber of Commerce for Somalia and future

disasters

August 4 Letter to Associates

PepsiCo brands drive traffic to NGO websites through Facebook and

Twitter

In discussionPEPline announcement

August 16

Partnership with the World Food Programme (WFP) and a local manufacturer in the non-commercial development of a chickpea-based, ready-to-use therapeutic food (RUTF) to address severe malnutrition.

Chickpea agriculture pilot to provide technical assistance in variety selection and agriculture irrigation practice.

PepsiCo response to the Horn of Africa faminePepsiCo response to the famine in the Horn of Africa

Short term actions

Long term actions

IMPROVING NUTRITION AND IMPROVING NUTRITION AND HEALTH THROUGH AGRICULTUREHEALTH THROUGH AGRICULTURE

QUAKER DONATIONSQUAKER DONATIONS

In discussions with potential fortification and

distribution partners

In discussionUnderway


Number of deaths (000s)Source: WHR 2002** = Nutrition Related

** sodium/weight

** fats/oils

**

** weight

** energy balance

**

**

**

**

Deaths in 2000 attributed to selected leading risk factors


Executive Summary• A whole of society approach is

essential for effective action• The private sector can help

make NCDs measurable, reach populations at risk and support sustained change

• The private sector adds value as an employer

• The private sector adds value as a provider of innovative goods and services

• As called for by the WHO, the private sector is a valuable and active partner


Corporate Progress: IFBA

Commitments:

1. Food reformulation

2. Consumer information

3. Responsible marketing

4. Promotion of healthy lifestyles

5. Public-private partnerships

IFBA, November 2009. https://www.ifballiance.org


Products Marketplace Community

Provide more food and beverage choices made with wholesome

ingredients that contribute to healthier eating and drinking.

Encourage people to make informed choices and live healthier.

Actively work with global and local partners to help address global nutrition challenges.

Increase the amount of whole grains, fruits, vegetables, nuts, seeds and low-fat dairy in our global product portfolio.

Display calorie count and key nutrients on our food and beverage packaging by 2012.

Invest in our business and research and development to expand our offerings of more affordable, nutritionally-relevant products for underserved and lower-income communities.

Reduce the average amount of sodium per serving in key global food brands by 25 percent by 2015.

Advertise to children less than 12 years of age only products that meet our global science-based nutrition standards by Jan 1 2011.

Expand PepsiCo Foundation and PepsiCo corporate contribution initiatives to promote healthier communities, including enhancing diet and physical activity programs.

Reduce the average amount of saturated fat per serving in key global food brands by 15 percent by 2020.

Eliminate the direct sale of full-sugar soft drinks in primary and secondary schools around the globe by Jan 1 2012.

Integrate our policies and actions on human health, agriculture and the environment to make sure that they support each other.

Reduce the average amount of added sugar per serving in key global beverage brands by 25 percent by 2020.

Increase the range of foods and beverages that offer solutions for managing calories, like portion sizes.

Eleven of 47 major goals and commitments


Percent Change in Total Volume of Beverage Shipments to All Schools, 2004 to 2009-2010, USA

ABA. Alliance School Beverage Guidelines Final Progress Report, 2010; www.ameribev.org

Change in Beverages in USA Schools


A commitment to support consumers manage calories


Expanding choices in calorie management


25

Commitments made about our productsNutrients to Encourage

Whole grains

Omega-3 fatty acids

Flax seed oils

Non-starch polysaccharides

Nutrients to Limit

Saturated Fat

Salt

Sugar

Food Groups to Increase


SODIUM REDUCTION IN FOODS

UK (6%)

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300 -33.3%

‘15’13

-3.4

’12

-6.7

’11

-0.9

’10

-25.3

’06

-0.0

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Mexico (20%)

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300-9.3%

-3.1-3.2-1.3-2.0

US (55%)

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100

200

300 -17.7%

-1.5-7.3-5.2-4.9 -8.8

‘06 ‘10 ‘11 ‘12 ‘13 ‘15

Canada (6%)

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100

200

300-2.9-6.6 -2.0

-12.0%

-0.9 -14.8

‘06 ‘10 ‘11 ‘12 ‘13 ‘15

Brazil (4%)

0

100

200

300

-7.2-20.3

-31.2%

-3.0-4.0 0.0

‘06 ‘10 ‘11 ‘12 ‘13 ‘15

Turkey (2%)

-20.5%

-8.6-2.1-3.5-7.9 -5.7

‘06 ‘10 ‘11 ‘12 ‘13 ‘15


Growing our nutrition business…

… to create a better tomorrow for future generations.


Research priorities in nutrition and obesity in the context of NCD prevention and control

•Analyse the roles that the public and private sectors could play in improving nutrition in the community and identify potential positive contributions•Determine effective programmes and policies for inclusion in a portfolio of actions to improve dietary quality and food security and prevent weight gain and obesity. These programmes may be at the individual level (e.g. behaviour modification) or at the policy level (e.g. agriculture and trade).•Study the role of specific food products on the development and prevention of major NCDs (palm oil, coconut oil, dairy products, meat)

Research priorities in physical activity in the context of NCD prevention and control

Analysis of problems and development of solutions•Test whole-of-community, multicomponent approaches aimed at increasing physical activity and reducing sedentary behaviour (e.g. individual, social, environmental and policy actions across school, primary health care, worksite, local neighbourhood settings)

Application of solutions and evaluation of impact•Evaluate prospective cohort, quasi-experimental and opportunistic “natural experiments” involving changes in the urban and periurban environments.


Vision: Build Sustainable Business in Africa that Meets Consumer Needs

SeedAdvantaged Procurement

Manufacture Distribution Retail Consumer

Improved varieties for sustainable growing, nutrition, texture, flavor;Nutritious orphan crops for GNG

FarmerProcessin

g

Technical expertise in growing, storage, logistics to prevent 50% post-harvest loss

Stabilize pricing and local supply; risk mitigation for PepsiCo and farmers

Strengthen local capacity, build and retain talent

Consumer insights for hi-mid-lo end nutrition needs

Development agencies investing in infrastructure

Go-To-Market expertiseRetail partners aggressively expanding

Value-added products for local and global consumers, e.g. fair-trade

This value chain approach resonates with World Economic Forum’s multi-company initiative “New Vision for Agriculture”.

Don’t tweak your supply chain – rethink it end-to-end – Hau Lee, HBR, Oct 2010

Industry has potential for disruptive innovation along the agricultural value chain


To promote health:• Stop fruit/vegetable withdraws and

lower price• Reduce dairy export subsidies• Change wine support subsidies• Stop tobacco production support

EU US


Summary• 300 years of steady improvements in nutrition supported by private and

public efforts. Yet famines continue; hunger persists and the effects of over nutrition accelerates in developing countries.







Thank you!

the role of the private sector in improving food security and nutrition

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