In February of this year, Saudi hydroponic grower Dava exported tomatoes to the Netherlands, marking the first time Saudi tomatoes have been exported to Europe. Wissam Wissam Abdel Samad, Dava's Chief Commercial Officer, reflects on this achievement and the company's prospects.
Wissam recounts: "The winter season in the Saudi market is characterized by high field production, low prices, and strong competition. We had to think about exporting to the European market during the winter season. In February 2024, we made our first trial shipment of 5 tonnes, followed by 5 successive shipments within the span of a month up to the end of March 2024. This approach has enabled us to achieve high prices and build customer loyalty, with the aim of exporting 1,500 tonnes to the European market by 2025."
The commercial trials, although limited in duration by the winter period in Saudi Arabia, have been a commercial success according to Wissam. He explains: "With the support of Saudi Export and Saudia Cargo, it is very profitable to export to Europe during the winter when local market prices are low. We have received high prices in the European market and customers have shown significant demand for our products, which is expected to increase in 2025."
After this experience of 6 shipments of tomatoes to Europe, Dava then launched new products, says Wissam. He adds: "A wide range of packaging products registered with the Saudi Food & Drug Authority was launched in April 2024. We offer innovative packaging options to preserve freshness and improve visual appeal for customers. We are focusing on achieving high production volumes during August, September, and October. At present, we have around 50 hectares spread over three projects that are running at full capacity."
Alongside the European market in winter, Dava is developing an export market in the Gulf States in summer. Wissam explains: "The GCC market is our target for summer 2025. We have already signed an agreement with Lulu Supermarket to start exporting DAVA products to Lulu branches across the GCC. We are also in negotiations with Spinneys and Carrefour to extend our deliveries to all their branches in the Gulf region."
Wissam continues: 'The summer season on the local market with temperatures reaching 55°C also poses major production challenges. However, demand is very strong in Saudi Arabia and the GCC countries from May to November. One of DAVA's objectives is to supply vegetables throughout the year, particularly during the summer. We aim to contribute to self-sufficiency by producing a varied range of products of exceptional quality using cutting-edge technology, overcoming the challenges of farming in arid regions. We are fully committed to water conservation and the use of modern techniques and aim to play a central role in the advancement of the Saudi economy, in line with the Vision 2030 initiative."
The exporter concludes, "In addition to tomatoes, we have been trialing the cultivation of leaves and lettuce in our projects at extremely high temperatures during July. These varieties will be made commercially available on the market shortly."
For more information:
Wissam Abdel Samad
DAVA Agricultural Co
Tel.: +966 551081155
Email: [email protected]
www.dava.sa