Nestle Working Out New Strategy After Being Criticised Over Unhealthy Products

Following a report published in the Financial Times, which was filed on the basis of information gathered from an internal document of the food giant Nestle, claimed that a large portion of its food and drinks as unhealthy. In reference to this report, the company said on Monday that it was taking measures to update its overall nutrition and health strategy for its products.

In an internal presentation of the company that was distributed among top executives of the company early this year, the company has said that more than 60 per cent of the mainstream food and drinks portfolio of the company could not essentially be considered to be healthy under a “recognised definition of health”, said the newspaper report.

In that presentation, Nestle had not included for the analysis its food categories such as those for medical nutrition, pet food, coffee and infant formula and therefore it can be safely said that about 50 per cent of the overall portfolio of products of the company was part of the assessment, the newspaper report said.

If the company had included the categories that it had excluded from the analysis in the presentation, the result would have significantly reduce the proportion of the company’s products that were potentially considered to be unhealthy, said Kepler Cheuvreux analyst Jon Cox.

“Given the group’s confectionery, ice cream, and pizza businesses, the real figure for the group based on 2021 estimates would be 28 per cent, which is hardly a surprise,” he said in a note. One of the pointers of the report could be a possible change in the product portfolio of the company which can also mean an exit of the company from the segment of mainstream confectionary, he added.

The company was setting up strategies for implementing a “company-wide project” that will update the nutrition and health strategy of the company and was also reconsidering its entire portfolio so that the products of the company are able to meet the nutritional needs of its customers, Nestle said in a statement.

The company also highlighted some of the measures it had already taken to enhance the health benefits of its products such as the reduction of sugars and sodium in its products by about 14 to 15 per cent over the period of the last past seven years. It also reiterated that it would continue to strive to make its products better and healthier.

This report however did not have any impact on the stocks of the company which were down lightly by 0.2 per cent as on Monday and was broadly in line with the European food sector

(Adapted from


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