Nike and Coke unveil deforestation and water commitments

Nike and Coca-Cola Enterprises, two of the world's most high-profile and at times criticised brands, extended their sustainability initiatives last week in moves designed to boost their environmental credentials.

Following a report last month from Greenpeace that linked Nike's complex supply chain – alongside those of other shoe manufacturers including Adidas, Reebok and Timberland – to deforestation in the Amazon, the company said last week that it will take further steps to ensure that its leather producers do not source hides from cattle raised on area of cleared rainforest.

Greenpeace indicated in its study, entitled Slaughtering the Amazon, that the Brazilian cattle industry remained the largest single cause of deforestation in the region and was responsible for 80 per cent of such activity, which equated to one acre being lost every eight seconds.

It accused a number of high-profile brands, including shoe manufacturers, supermarkets and food companies, of buying leather and beef products from companies that have been shown to work with ranches operating in rainforest areas.

Nike currently has three suppliers that source hides from Brazil, but they will henceforth need to certify that all related cattle are raised outside of the Amazon Biome. By 1 July 2010, they will also be required to implement a tracing system to prove that this is the case.

If they are unable to do so, Nike said it will consider increasing the area from which hides are banned to include the entire Amazon Basin. Brazilian hides currently account for about 12 per cent of Nike's total leather supply.

Meanwhile, Coca-Cola Enterprises (CCE), the bottling, marketing and distribution arm of the fizzy drinks giant – which has itself been accused of contributing to water shortages in some of the developing countries in which it operates – has committed to becoming "water neutral".

Under the new pledge, the company has promised to return the same amount of water to local aquifers on a nationwide basis that it uses in the course of its operations. The company has in the past drawn criticism from communities in India that claimed it was both overusing and polluting local water supplies.

The company said in its latest sustainability report, Commitment 2020, that it will also aim to further reduce the amount of water it uses to make its drinks in the first place. Last year, the firm cut the figure by five per cent to an average of 1.73 litres of water per litre of product created, but intends to trim this still further to 1.3 litres.

It likewise plans to ensure that 100 per cent of its packaging is recycled by 2020. In 2008, the organisation achieved a 90 per cent waste recycling rate at 14 of its facilities and reduced the total amount of packaging used by 2.7 per cent.

In a final move, CCE also aims to cut its overall carbon footprint by 15 per cent within 11 years by boosting energy efficiency at its plants and expanding its hybrid-electric fleet of trucks. Last year, its operations produced the equivalent of 1.5 million metric tonnes of CO2.