The World of Tea

Black Tea: 2.35 million tons Green Tea: 0.95 million tons

Production areas Critical to Lipton Brands

2. China 750k (90% Green)

Global Production 2004 +/- 3.3 million tons

1. India 860k

3. Sri Lanka 300k

4. Kenya 290k

5. Indonesia 120k

300.000

600

750

500 000+

2 Million+

150+

Tonnes

Types of Tea

Estates

Smallholder Farms

People

Countries sold

Structural problems in the tea industry In real terms, prices have gone down

by about 35% in the past 25 years

60% of consumers* say they take social and environmental factors into account when

choosing what brand to buy

* Source: Globescan/MORI based on 25,000 people in 23 countries

10+ years of working towards

sustainability on our own

estates

We need certification to

1. Roll out to entire Supply Chain

2. Credibly share story with consumers

Why the Rainforest Alliance?

•  Focus on how farms are managed (People, Planet & Profit)

•  Logical fit with our own experience

•  Ability to work on international scale and with both large-scale plantations and small farmers

•  Market-based premium for farmers

•  Ability to help move whole industry

•  Low awareness but good partners

We are committed to sourcing all our tea sustainably

•  All tea used in PG Tips, Lipton Yellow Label tea bags in Western Europe from Rainforest Alliance Certified™ farms by 2010

•  Extend Rainforest Alliance certification to all Lipton tea bags globally by 2015

2008 2009 2010 2012 2007

2008 2009 2010 2012 2008/2009

2008 2009 2010 2012 2014

Real impacts on the ground •  Certification benefits reach:

– >150 000 farmers and workers – 30000 Smallholder farms

•  Farmer Field Schools –  Increased yields 10-15%

•  Improvements on farms – 10000 sets of protective gear – Water filtering systems –  Increased protected areas

2009

Advertorials

Web

PACK

Print

Complete Communication Programme

Media trips

Digital

TV Ad

Our Vision •  Lead change in the tea industry •  Improve the lives of up to two million people •  Show how Rainforest Alliance certification

means that every cup of our tea is a step towards a better life for tea farmers, their families and the environment

•  Reinforce the bond between consumers and our brands

Questions ? www.liptonforthefuture.com

http://www.nationalgeographic.com/liptonsustainabilitea/