SW Radio Africa (London)
Alex Bell
23 October 2009
International food giant Nestlé has this week come under growing pressure from groups loyal to Robert Mugabe and his family, to renew its recently severed commercial ties with the First Family.
The group ended its commercial link with the Grace Mugabe owned Gushongo Dairy Estate, a farm which was seized at the height of the land 'reform' programme, over international condemnation of the relationship. In petty retaliation, the company's bank accounts in Zimbabwe were frozen, but although that situation has been rectified, the pressure on Nestlé to reverse its decision has kept building.
Last week a group of youths tried to force the Zimbabwe branch of Nestlé to buy more than 20 000 litres milk from Gushongo Estate. It's understood the group, led by Youth Minister Saviour Kasukuwere and his ZANU PF politburo member brother Tongai, tried to force Nestlé staff to offload the milk tanker that had been transported from Gushongo farm. But after a four hour stand off, including intense debate and negotiations with Nestlé Zimbabwe management, the tanker and the ZANU PF youth group were turned away.
A local black empowerment group then lashed out at Nestlé on Wednesday, saying the international group should be forced to sell its Harare branch to local blacks if it refuses to renew its relationship with Mrs Mugabe. The Affirmative Action Group (AAG), whose members are reported to be closely linked to ZANU PF, on Wednesday said Nestlé's refusal to buy milk from Gushungo farm was part of a 'foreign regime change agenda'. The group added that the international firm should not be allowed to continue 'embarrassing' the President's family.
Independent economist John Robertson explained to SW Radio Africa on Friday that the pressure on Nestlé by Mugabe loyalists "was to be expected," adding the threats won't affect Nestlé's decision.
"The pressure has come without any official power or authority to follow through on the threats," Robertson said. "They don't have the power to sway a big corporation like Nestlé."
Robertson at the same time dismissed the comments by the AAG, saying "the people or individuals needed are just not there to take over this company." He agreed the 'milk-saga' has been incredibly embarrassing for Nestlé, but said it will now work to protect its international reputation first.
"Nestlé would rather remove themselves from Zimbabwe altogether than cave to this pressure," Robertson said.
The move to sever ties with Mrs Mugabe came after Nestlé faced intense pressure from human rights groups and concerned individuals, amid revelations that the Swiss company was buying up to a million litres of milk a year from the Gushongo Dairy Estate. This was despite the fact that the dairy farm was owned by the First Family, responsible for the destruction of Zimbabwean agriculture through so called land 'reform'.
Although Switzerland has restrictions against members of the Mugabe regime, the Swiss government had defended Nestlé Zimbabwe's relationship with Mrs Mugabe, arguing the regulations they have in place only apply to firms in Switzerland and not subsidiaries elsewhere in the world. But critics immediately lashed out at the food group over its disregard for basic corporate responsibility, saying multinational support of the Mugabes would ensure their continued corrupt practices.
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The Minister Of Pilfered Products was astounded at the number of milk related items in his ministry's lunch buffet line; there were dozens of puddings, chowders, creamed soups, cheeses, yogurts, dips, and salad dressings. There was a separate table for the cheeses alone. A number of severe uniformed guards watched everyone, especially eyeballing their selections. As he neared the prime beef roast, the minister felt a painful whack from the guard standing behind him. "Minister! You of all people should know that you must take at least two thirds of your selections from Uncle Bob's brand dairy products. No beef for you!!" The Minister sulked over to his table vowing to take his lunch at the Ministry of the National herd from this time onward.
Somehow, we wonder if it's Nestle who is under pressure OR the elite groups who simply want more and more and .... Now they are scared that the truth is out and these 'grey' funds are slipping through their fingers. Shame. My friends, Nestle will not bend for a few greedy Zimbabwe politicians. Power to the people! Oh by the way politicians, use of terms such as First Lady & First Family - implies that certain First World norms are adhered to. So if tyranny is your thing, forget it. You are simply a bunch of despots. (And gorging on the Zimbabwe national assets, while disregarding the cries of ALL suffering people, Wwill not help you long term). On the bright side - Africa has taught us that with time, 'the wheel turns'.
I am a bit confused as to why Gushungo Holdings insists on selling to Nestl' when there is Dairibord, a company that used to be owned by the state and is likely to be more friendly to Gushungo Holdings? Just move over to Dairibord and get away from all this unnecessary publicity. Prices paid by Nestle and Dairibord shouldn't be that different - if there are then the begging question is WHY?
Who do these thugs think they are to tell an international food giant what to do. Nestle' was using these products overseas, so forex for Mrs mugabe's purse. Now no more forex for her purse so she will not be able to go on her malaysian shopping sprees as much. Jongwe's come home to roost Zanubo's. It's what's called free bussiness enteprise. Why doesn't Mrs Mugabe use the dairy products to feed her starving people. I'll let takunya and co answer that one. ZanuPf has often stated they hate the west and now they can't do without them. Hypocrites. Thieves don't get into heaven.
"I am a bit confused as to why Gushungo Holdings insists on selling to Nestl' when there is Dairibord, a company that used to be owned by the state and is likely to be more friendly to Gushungo Holdings?"
Because Nestle said "no" to Mugabe. You do not say "no" to the most powerful slaveholder in a nation without suffering consequences.
The operation in Zim is such a joke. For years they have proved they can't govern. Mugabe is a THUG. When the dummies in Zim realize that, maybe the country will turn around and be a contributior to the world community. Their military is a bigger joke. I know, I have seen it first hand. Zim has nothing to contribute to the world community. Just Lawless government
Is it all about ethics or shame? If they were not exposed, surely Nestle would have steamed ahead buying this milk? So it's now an issue of shame? When I was a little homonoid I used to see this Nestle logo with a dove and nest on it, and loved it. Not so sure anymore.Will check out by fridge and chuck out everything Nestle in there, right away, at least for now.
Nestlé would be better off shutting down their facilities in Zimbabwe than giving in to the ZANU tsotsis. If they give in, I would boycott their products.