Nestlé

Nestlé logo

Nestlé is the world's largest food and beverage company, enhancing quality of life through its diverse range of products. It operates globally, offering a wide array of food and drink products.

Positive signals

Nestlé supports thousands of farmers globally and provides affordable, nutritive products to billions of people in 188 countries, contributing positively to social development and food security.

Nestlé’s ESG risk exposure and management have been independently assessed by Sustainalytics, which identifies the company as having a medium risk profile with ongoing improvements in ESG practices.

Nestlé received a score of 24.3 and is rated as medium-risk on Sustainalytics' 2025 ESG Risk assessment, reflecting ongoing efforts to manage material ESG issues such as carbon emissions, water use, and supply chain risks.

Nestlé’s long-term issuer default rating was affirmed at 'A+' with a stable outlook by Fitch Ratings in March 2025, indicating strong governance and financial stability, which are important for sustainable ESG management.

Nestlé’s climate targets, including near-term and net zero emissions goals, have been validated by the Science Based Targets initiative, demonstrating alignment with recognized climate action frameworks.

Concerns

Nestlé has been involved in child labor and human rights violations in its supply chain, which continue to raise significant reputational and ethical concerns.

Over 36% of Nestlé’s 95.6 million cubic meters of water withdrawals in 2023 came from high water-stressed areas, raising concerns about the company’s impact on water scarcity in vulnerable regions.

A 2025 report by the NewClimate Institute and Carbon Market Watch criticized Nestlé for insufficient focus on livestock emissions and deforestation, stating that its climate strategies are unlikely to achieve deep, structural emission reductions.

Nestlé emitted 87.5 million metric tons of CO2 equivalent in 2023, comparable to the annual emissions of 22.5 coal-fired power plants, highlighting the company’s significant contribution to global greenhouse gas emissions.

Nestlé’s raw material sourcing, including palm oil, cattle products, cocoa, soy, and timber, has contributed to deforestation, soil degradation, and biodiversity loss across millions of hectares of land.