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Strategy

The creation of NADEC Foods and NADEC Agriculture at the end of 2011 heralded a new era for the company, with the vision of long-term success as an independent company in open markets. This vision underlines NADEC‘s market and consumer-oriented approach for the future, which is made necessary by the constantly changing market dynamics taking place in Saudi Arabia and in the broader Middle East.

Knowing your own strengths

NADEC faces strong competition in its business activities, both in Saudi Arabia and abroad. Despite this, NADEC has shown in recent years that it has the necessary strengths to remain successful in this competitive environment. NADEC is the fastest growing dairy company in its domestic market and abroad, despite intense local and foreign competition. In recent years, this fast growing position has enabled NADEC to gain a foothold in the GCC and Levant as an innovative company in the mainstream dairy products and juice segments. NADEC‘s strategy focuses on its position in Saudi Arabia and on developments abroad, accompanied by rigorous cost management.


Freshness and taste at the heart of our strategy

When consumers reach for their local dairy product, they are looking for more than just a bottle of milk; they expect a fresh, safe and absolutely delicious product. Since its inception, NADEC has been building consumer confidence with a wide variety of local and regional dairy based products that include milk, laban, labneh and cultured dairy products.

Freshness and taste are key to the success of this group. With facilities strategically located in the heart of Saudi Arabia, NADEC is the second largest processor and direct-to-store distributor of liquid milk marketed under the nadec brand name. NADEC also distributes cultured products, juices, cheese, and other food products. Every day, the company sends out approximately 1,000 refrigerated trucks and trailers onto the roads and highways across the Middle East to deliver fresh products to more than 30,000 customers.



Growing NADEC‘s position in its domestic market

The Saudi food market is highly competitive, with its appeal for foreign providers having increased continuously in the last few years due to strong economic and population growth. NADEC must be able to hold its own against not only domestic but foreign competitors, particularly in the cheese and fresh products category. The company offers a full range of high quality, tasty products, a comprehensive range of services, a strong culture of innovation and a clear customer focus.

NADEC also carries an extensive trading range. Customers from the retail, catering and wholesale trades, as well as the food industry, count on NADEC‘s skills and know-how in manufacturing branded products, and providing product range advice and logistics services. NADEC has established a reputation as a professional and reliable partner, a significant factor in enabling the company to maintain its position in the competitive domestic market. So it comes as no surprise that NADEC is the preferred milk for renowned coffee chains across the Middle East including Starbucks and Costa.


Generating growth abroad

Outside Saudi Arabia, NADEC has defined the Gulf markets, Levant and North African countries as its key markets. All these countries have a strong affinity for NADEC products. The company is always exploring and looking to own its own production facilities abroad. While the Gulf milk market is already very well developed, the Levant and North Africa offer significant growth potential. In numerous parts of North Africa, milk consumption is limited to basic products such as milk and yoghurt, while the Levant has a strong cheese tradition. For a company with advanced production know-how and an extensive product range, both regions offer a lot of potential.


Aiming for best structure that conform to global standards

Both in Saudi Arabia and abroad, NADEC is in competition with the world's largest food manufacturers. Offering quality products and services is one success factor, while being able to produce efficiently is the other. This is why NADEC aims for production structures that conform to the best global standards. In order to achieve this aim, the company invests continuously in increasing productivity. The cumulative effect of the many measures implemented at all NADEC locations enables several million riyals to be saved every year. More efficient production facilities and process optimisation have helped the company to achieve this goal in 2012 and optimisation programmes will continue to be implemented.