6 while Sara Lee is in third position with 5

Nestlé has launched a comprehensive plan to secure its supply of coffee. Vevey group will invest 500 million Swiss francs, or EUR 390 million, to provide 220 million seedlings of coffee growers in several countries, of Mexico in the Indonesia through the Viet Nam, the Philippines, the Thailand, China and Africa. Especially productive and resistant to diseases, these plants must double the supply of coffee of Nestlé in five years. They will be used to increase the production of Nescafé and that of Nespresso.

The Swiss group, which has ambitions of strong growth in the coffee sector, is building its largest Nescafé plant near Mexico City. With its plan, Nestlé hopes to retain the farmers, who will be assisted and trained for a decade by agronomists engineers, and thereby reducing the impact of the volatility of coffee prices, just speculation increase by 34 in eight months - arabica is now at its highest level for 13 years. Nestlé leaders consider the most effective method to achieve its development goals to sign contracts for long term with the farmers.

Nestlé thus amplifies the launch-che committed these past ten years. The leader has already provided this period 16 million seedlings of coffee producers in developing countries, where it supplies. A similar programme was launched to ensure the supply of cocoa.

Far the first

Largest producer of coffee in the world, Nestlé has suffered less than its competitors Kraft and Sara Lee of the economic crisis. According to Euromonitor, its growth has significantly less slowed in 2009 and it retains a comfortable lead, with 21.6 of the global market, far before the American Kraft, which controls only 13.6, while Sara Lee is in third position with 5.4 of the total.

Coffee is a quite strategic sector for the group, with sales that represent more than 10 of its global turnover, or 10 billion CHF for Nescafé and 3 billion for Nespresso. "Nestlé uses 4.600 cups of coffee per second", says Petraea Heynike, Director General for Strategic Affairs of the group.

The success of Nespresso, just open the 223eboutique in the world, its resolutely high range strategy, its lucrative margins which prompted rivals such as Sara Lee recently launch their own pods, is well known all of this. But the Nescafé, launched in 1938, has never stopped its growth, said in Vevey. And the launch of Nespresso twenty years ago was not a way to offset a slowdown in its success, says Petraea Heynike. The Group also continues to innovate and has launched a Green Blend, 3 times richer than green tea antioxidants, deemed to be effective against aging.

Half of the sales of Nescafé is done today in emerging markets, thanks in particular offer in very small packages, available to all portfolios. Surprisingly, his first two markets remain yet two countries heavy drinkers of tea, the United Kingdom and the Japan. "The way to go in Britain was not very complicated." "The kettle is never far away in homes and British offices", said with a smile Petraea Heynike. The conquest of the Japan is even more unexpected. The habit of drinking the Nescafé date the American occupation for more than ten years after the second world war. "The soldiers received boxes of coffee in their operations." They did discover the instant coffee to the Japs.

The most sold product today remains the standard Nescafe, even if the Group wants to believe that appealing to the consumer, it is the great diversity of references proposed. In Viet Nam, Nestlé for example sells a very sweet iced coffee containing roasted grains.