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SAUDI ARABIA - AGRICULTURE 
Nutritious, innovative and consumer-oriented
MAXIMIZING THE KINGDOM'S AGRICULTURAL CAPACITY SINCE 1981, NADEC IS MOSTLY IN THE HANDS OF THE SAUDI PUBLIC. A MAJOR CONTRIBUTOR TO THE KINGDOM'S DIET, IT IS COMMITTED TO QUALITY AND BEST PRACTICE.


NADEC’s four dairy farms, with a total of 25,000 head, produce around 130 million liters of milk a year.

The National Development Company (NADEC) was established in 1981 in order to maximize the agricultural capacity of Saudi Arabia to the benefit of the economy and to help in the promotion of self-sufficiency. The government holds a 20% share in the company, but the rest is in the hands of the Saudi public, meaning that while it conforms to the values and traditions of society it is run along commercial lines. “I have about 25,000 shareholders for whom I must deliver a profit,” says Abdulaziz M. Al-Babtain, Director General of NADEC. The firm posted SR3.8 million ($1 million) in profits for the first quarter of 2004.

With a strong emphasis on quality, Nadec produces dairy, beef and dates in vast quantities – it delivers around 1,200 tons of dried dates and 130 million liters of milk each year, and owns four cattle farms holding a total of 25,000 head. These figures are likely to grow; by 2010 the population of Saudi Arabia is expected to reach 29.21 million, and the corresponding volume of demand for dairy products alone is expected to rise to 1.8 million metric tons by the same year. This means that domestic production needs to expand by 32.4% over the next four to six years.

ABDULAZIZ M. AL-BABTAIN
ABDULAZIZ M. AL-BABTAIN
Director General of NADEC

One of the kingdom’s largest companies in the agriculture and agribusiness sector, NADEC has a self-professed mission: to provide healthy and nutritious food to society while maintaining a leading position in the market through the timely introduction of new products. Recently, the company revamped its image, which reflects in a new logo, a redesigned packaging and an expansion in the product line. “The future of NADEC lies in providing innovation and being modern,” says Mr. Al-Babtain. “We are trying to increase our sales through observing the requirements of our consumers.” The company focus is currently on marketing, which means applying new policies in marketing, sales, advertising and production. Sales increased by 16% in the first quarter of 2004 over the same period the previous year.

NADEC has been working towards full Saudization for the last 20 years and it is now not far off the mark. The company’s mission statement includes finding the best staff and then keeping them by providing benefits, job security, good working conditions and training. The company’s commitment to social development on a national level means that training opportunities are also provided for students and university graduates.

Mr. Al-Babtain has been in the agriculture sector for many years and is deeply committed to the company and the country. “I feel that I can perform well as an agronomy engineer, as a marketer and as a manager. I have clearly defined targets for myself and I am working to reach them,” he concludes.