Highlights Newsletter Tetra Pak Arabia Dec 2009

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GAINS IN 2009 consumption of ambient liquid dairy products HIGH LIGHTS HIGHLIGHTS IS A PUBLICATION OF TETRA PAK ARABIA 2.2009 hits grocery shopping habits GLOBAL SLOWDOWN

Transcript of Highlights Newsletter Tetra Pak Arabia Dec 2009

Page 1: Highlights Newsletter Tetra Pak Arabia Dec 2009

GAINS IN 2009consumption of ambient liquid dairy products

HIGHLIGHTSHIGHLIGHTS IS A PUBLICATION OF TETRA PAK ARABIA 2.2009

hits grocery shopping habits

GLOBALSLOWDOWN

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Amar ZahidManaging Director

HIGHLIGHTS 2.2009

04 Global slowdown hits grocery shopping habits in Saudi Arabia

Whether you’re watching the news on TV, reading the newspaper or browsing the internet, it’s clear that the current global economic slowdown has affected people around the world.

08 Gains in 2009 consumption of ambient liquid dairy products

Forecast LDP growth of 2.2% CAGR worldwide maintained through 2012.

10 Arabia drives agile supply chain for customers

In a bid to be better, faster and cheaper, the Greater Middle East Cluster has rolled out 4 global projects in 2009.

12 Arabia rocks to milkIn Arabia, Tetra Pak organised a series of 5 events to celebrate World Milk Day for hundreds of families at various shopping malls.

15 NADA – Passion for excellence Tetra Pak Arabia has recently signed an agreement with Nada, to upgrade and extend the pasteurised milk and juice plant.

17 Effective Key Account Management workshop held in Jeddah

Key Account Management is an effective partnership between supplier and customer with the purpose of delivering superior value propositions to our customers.

24 International Products

26 Tetra Pak launches easy-to-use Tetra Brik Edge

Tetra Brik Edge is so user-friendly that even consumers with hand disabilities, such as arthritis or injuries, found it easy to handle, open and pour.

FEEDBACKWe would appreciate your comments - please e-mail comments [email protected]

Publisher:Martin Fejk, [email protected]:Rauf Hameed, [email protected] Board:Amar Zahid, Niels Hougaard, Martin Fejk, Mohammed Angawi, Rauf Hameed

Dear Readers,We are pleased to share with you

the latest issue of Highlights. It features

insightful research on how Saudi

consumers have changed their lifestyles,

spending and purchasing habits and

especially their grocery shopping habits

in the current economic climate.

This issue also includes the global

launch of Tetra Brik Edge, the packaging

solution for chilled liquid dairy products

designed for consumers of all ages. We

hope our customers will like the new

generation of Tetra Therm Aseptic Drink,

a cost-efficient and flexible unit for

processing a wide range of beverages.

As part of our continued

commitment to the dairy industry, we

are pleased to present the second issue of

the Tetra Pak Dairy Index, which offers

the latest facts, figures and trends related

to the global dairy industry.

We look forward to receiving your

valuable feedback to improve the

contents of Highlights.

04

Increase in dairy products consumption.

08

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GLOBALSLOWDOWNhits grocery shopping habits in Saudi Arabia

eading economies such as the US and the UK have slipped into recession, and rising unemployment has changed consumer trends and habits around the world. We’re certainly not sheltered from

the fallout in Saudi Arabia, either: While unemployment is less of a concern, prices are steadily rising. So what is the impact on the Saudi consumer, and consequently for brands in the Kingdom?

Global market research company Synovate recently evaluated how Saudi consumers have changed their lifestyles, spending and purchasing habits – and especially their grocery shopping habits – as a result of the current economic climate. Synovate not only surveyed people across the nation but also held in-depth focus group discussions, gaining an intriguing perspective on today’s consumer mindset and shopping behaviour.

Two-thirds of Saudi consumers surveyed are financially worse off than they were five years ago, with an even larger proportion coming from the Riyadh area. They mainly blame this decline on price increases, and as a result they have changed their spending habits. And although unemployment is not as much of a problem as in the West or even neighbouring Gulf countries, Saudis are also changing their attitudes towards work. Many feel their jobs are at risk, so they are trying hard to develop their skills and demonstrate more initiative at work in order to avoid being laid off.

While this difficult economic picture has had a definite impact on the lifestyle of most Saudis, the grocery sector has been particularly affected, with every single respondent indicating that they have changed their grocery shopping behaviour. As one male focus group

L

Whether you’re watching the news on TV, reading the newspaper or browsing the internet, it’s clear that the current global economic slowdown has affected people around the world.

The combination of the crisis and increasing prices has forced consumers to re-evaluate their overall spending patterns.

FEATURE

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Page 4: Highlights Newsletter Tetra Pak Arabia Dec 2009

participant said, “We used to fill 2 or 3

trolleys while shopping at the supermarket,

but now we buy one or one and a half

trolley of groceries.”

The combination of the crisis and

increasing prices has forced consumers to

re-evaluate their overall spending patterns,

says Jérôme Vadot, Synovate’s Managing

Director in Saudi Arabia. “While in the past

we would see a tendency to overindulge,

Saudi consumers are now taking measures

to improve their finances. They are cutting

spending in different aspects of their lives,

starting with the regular shopping.”

Saudi consumers are adopting a number

of cost-saving techniques to cope with

rising grocery bills. The most popular are

buying smaller quantities (86%), changing

to cheaper brands (75%) and stopping to

buy certain categories altogether (65%).

Promotions are another favourite, with

63% of respondents looking out for sales

on their favourite brands. Interestingly,

however, only 16% have tried a new

brand because of a promotion. And this

marketing tactic does not win points with

some consumers, as one male focus group

participant testified: “Promotions are

exhausting, because they make you move

from one supermarket to another to buy

different products from different places.”

On the other hand, international

brands have been targeted for savings by

a minority of consumers, with only 24%

cutting out or reducing their consumption

of imported products. At the same time,

consumers are switching to less expensive

imported alternatives, for example buying

Egyptian white cheese instead of Greek

feta.

In terms of categories, cheeses,

canned or packed goods, and meat

products are the most affected by more

frugal shopping behaviour, with over 90%

of consumers reducing their spending

on such products. Looking at individual

grocery items, rice, powdered milk, oil,

jarred cheese and lamb meat were the

biggest victims of new consumer shopping

patterns.

The new economic realities have also

affected gender roles when it comes to

grocery shopping habits. Wives used to

be the sole decision-makers but this has

changed, with husbands increasingly

getting involved, especially when it comes

to prices. As one husband explained,

“We used to stop at any supermarket

on our way, but now we go to the ones

that have special offers.” Of course this

leaves women frustrated since they cannot

always buy the household brands that

they trust, got used to and need. Some

men have even stopped taking their wives

with them when shopping for groceries,

believing wives do not pay close attention

to prices and preferring to look for cheaper

alternatives on their own.

In general, Saudi consumers are

pessimistic about the near term, with

43% predicting only a negative future and

another 14% saying things will get worse

before they improve. As a result, they are

not only more careful with their grocery

budgets but also cutting back spending in

other areas. “I used to change the carpets

of the house every year, but now I send

the carpets to the cleaners,” disclosed

one female focus group participant, while

another lamented, “Gold has become

expensive and we cannot afford to buy it

like we used to.”

Travel and leisure activities have

been targeted for cost-savings by 46% of

respondents, and clothing budgets are

being slashed by 42%. Focus groups also

revealed that a well-established trend is on

its way out: Fathers are no longer buying

cars for their sons but now expect them to

earn enough for their own car. Likewise,

while Saudi families would simply replace

faulty electronic appliances, these days

they demand long warranties and free

maintenance.

Perhaps surprising, however, is that

only 38% are eating out less, and just 25%

are willing to cut back on their purchase of

perfumes. And children continue to enjoy

privileged status in Saudi society, with a

mere 23% of parents thinking of scaling

back kids’ entertainment!

Households in Saudi Arabia are seeking

financial security to ride out the crisis and

overcome inflation, using a combination

of specific cutbacks and lifestyle changes

to best meet their new needs, concludes

Vadot. “Synovate’s survey has identified

sensitive grocery categories that are more

vulnerable to spending cuts.

Our advice for marketers in those categories

is to quickly adapt to this new Saudi

consumer behaviour by offering greater

value for money, using promotions more

frequently, and finding efficiencies that will

allow them to cut prices. Business as usual

simply isn’t an option these days!”

The results of Synovate’s Consumer Grocery Basket study were drawn from both qualitative and quantitative research conducted in the Kingdom during June-July 2009. The quantitative phase consisted of face-to-face interviews with 816 consumers. For further details contact Ghaida Fatany at [email protected]

Saudi consumers are adopting a number of cost-saving techniques to cope with rising grocery bills. The most popular are buying smaller quantities (86%), changing to cheaper brands (75%) and stopping to buy certain categories altogether (65%).

Our advice for marketers in those categories is to quickly

adapt to this new Saudi consumer behaviour by offering

greater value for money, using promotions more frequently,

and finding efficiencies that will allow them to cut prices.

Business as usual simply isn’t an option these days!

OUR SINCERE ADVICE FOR AMBITIOUS MARKETERS

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FEATURE

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he figures released in the latest edition of the Tetra Pak Dairy Index – which tracks worldwide facts, figures and trends in the

dairy industry - show that consumption of ambient milk and other ambient liquid dairy products (LDP) across developed markets is projected to grow by 0.6% from 2008 to 2009. This growth comes during a period of worldwide economic recession, with total LDP consumption (ambient and chilled) in developed markets expected to dip by 1.2% from 2008 to 2009.

“Although the recession has affected many sectors, it has not affected milk and liquid dairy consumption in the same way,” said Dennis Jönsson, President and CEO, Tetra Pak Group. “Milk is a healthy, nutritious and affordable food staple, which 44% of the world’s population drinks every day. While we have seen some consumers ‘trade down’ to less expensive products in the category, the market remains stable.”

According to the new Tetra Pak Dairy Index, which was released recently, total global consumption of milk and other LDP is expected to grow by 1.3% from 2008 to 2009. By the end of 2009, worldwide consumption of LDP is expected to reach 263 billion litres - up from 259 billion litres in 2008. This figure increases to 284 billion litres when soy milk and other dairy alternatives such as rice, nut and seed-based milks are included.

Future global growth Tetra Pak is forecasting that total global LDP consumption will grow at a compound annual growth rate (CAGR) of 2.2% from 2009 to 2012 - in line with its projection earlier this year.

Much of this growth will be led by developing markets - which have driven 95.8% of global LDP consumption growth from 2005 to 2008 - due to factors such as population growth, rising incomes and the relative novelty of liquid dairy products.

Developed markets, which represent around one-third (32%) of global LDP consumption, face a tougher situation because many have already high per capita milk consumption rates. For example, Ireland leads the world in per capita consumption of chilled and ambient milk products at 160 litres per person per year compared to per capita consumption of just 19 litres per year in China. However, the Tetra Pak Dairy Index highlights that producers in developed markets are not standing still and are finding new ways to maintain growth.

“In developed markets such as North America, Western Europe and Australia, where milk consumption is already high, dairy producers are driving new growth by developing new products and consumption occasions, promoting milk in appealing new ways, catering to consumer trends

and promoting the benefits of long-life products”, remarked Michael Zacka, vice president, marketing and product management, Tetra Pak.

For example in Canada, dairy producers are positioning long-life milk as an attractive product for use at vacation cottages and on camping trips where refrigeration is difficult. And in Spain, dairy producers have driven new growth by establishing a new segment in fortified and functional milk. This includes milk with added calcium for healthy bones and milk with Omega 3 for healthy hearts.

Ambient LDPOne of the key areas of growth worldwide - in both developed and developing markets - is ambient (long-life) LDP. In developed markets, the focus of the current issue of the Tetra Pak Dairy Index, ambient LDP consumption is expected to reach a CAGR of 0.7% from 2009 to 2012.

Driving this growth in developed markets are four main factors:1. A general trend toward health and wellness, which is driving demand for enriched products often sold in ambient packages. For example, in Spain, thanks to health promotion efforts on behalf of dairies, the government and regional health officials, sales of fortified milk account for 20% of the country’s total milk consumption. This includes milk with added calcium, milk with Omega 3, milk designed for infants and lactose free milk. 2. Busy, stretched lifestyles, which is driving convenient, time-saving solutions. For example, in the US, parents are starting to buy large quantities of ambient milk designed specifically for babies and toddlers. They can store this milk at home, thereby avoiding frequent trips to the supermarket.3. A desire to enjoy life within the current economic downturn with small treats and new consumption occasions that favour ambient products. This is driving consumption of flavoured milk among both adults and children in developed markets. For example, in Germany, children drink flavoured milk at school, while in the US, flavoured milk is a popular accompaniment to adult breakfasts and childrens’ lunches. 4. A growing trend toward economisation, with consumers deploying money-saving strategies. For example, in some countries ambient products are sold at more economical price points than chilled products and in others are offered as part of retailer promotions where consumers can buy large quantities at a favourable price.

Forecast LDP growth of 2.2% CAGR worldwide maintained through 2012.

Flavoured milk and soy milkNew opportunities for growth in developed markets. While white milk represents the largest segment of the LDP category across developed markets - with 76% market share - producers are also looking to flavoured milk and soy milk as potential opportunities for growth. Over the past 12 months, the UK, Spain, Canada and Australia have all seen growth in consumption of flavoured milk, the second-largest LDP category after white milk in developed markets - although these started from low consumption volumes.

Soy milk, which is often positioned as a healthy natural alternative to cow’s milk, is expected to grow in developed markets by a CAGR of 1.0% from 2006 to 2009. From 2009 to 2012 both flavoured milk and soy milk are expected to continue to grow globally at CAGRs of 3.3% and 3.1% respectively.

Both current and previous issues of the Tetra Pak Dairy Index are also available at www.tetrapak.com/dairyindex.

The Tetra Pak Dairy Index is a biannual report, which is designed to help dairy producers identify new opportunities for growth while offering all industry watchers information on the latest facts, figures and trends related to the global dairy industry. The data contained in this report is collected from a variety of Tetra Pak and external sources and analysed by Tetra Pak’s dairy market experts. The Tetra Pak Dairy Index also includes Tetra Pak’s analysis of the industry, based on its day-to-day work with dairy customers, governments, non-governmental organisations and local communities around the world to support every aspect of the dairy value chain.

TETRA PAK DAIRY INDEX

T

consumption of ambient liquid dairy products

2009

Producers are also looking to flavoured milk and soy milk as potential opportunities for growth.

Gains in

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“A

Tetra Pak Arabia & Dubai

Arabia drives agile

Tetra Pak Arabia and Dubai Bone and Joint Centre partner to raise osteoporosis awareness in Dubai schools.

ubai Bone and Joint Centre (DBAJ), the leading regional Musculoskeletal Center based in Dubai Healthcare

City along with Tetra Pak Arabia recently concluded a series of successful seminars on osteoporosis understanding among school children in Dubai, UAE.

Each session was facilitated by Dr. Shah Khan, a renowned Pediatric Orthopedic Surgeon at Dubai Bone and Joint Center, who captivated the audience through a variety of interactive games and lectures, focusing on topics of interest in osteoporosis and utilisation of milk. After the seminars, gifts were distributed amongst the children.

Commenting on the initiative, Martin Fejk, Marketing Director, Tetra Pak Arabia, said, “We are pleased to partner with DBAJ to raise osteoporosis awareness amongst children and their parents. In line with our motto, ‘PROTECTS WHATS GOOD’, we strive to offer the best packaging, enabling children to benefit from the healthiest nutrients of products inside our packages”. The campaign which marked the celebration of World Osteoporosis Day (a day annually celebrated on 20th October) aimed to educate children on the benefits of milk consumption, staying active and keeping abreast of the risk factors in order to prevent osteoporosis.

World Osteoporosis Day holds special significance for DBAJ, the leading regional musculoskeletal centre, as it is the only extensive medical facility for orthopaedic disorders in the Middle East. Dr. Ayesha Abdullah, Senior Vice President, Dubai Healthcare City said,

”It is our responsibility to create and impart awareness on osteoporosis to our children as these youngsters are our future and the right guidance at an early age will help them maintain a healthy bone development and build stronger communities later on in life”.

fter a successful cluster implementation of PrISP, GME is complementing the Supply Chain with 3 other

projects that will allow us to be even more competitive in supporting our customers’ business: easy Design, VMI and Forecast-to-Base-Material-replenishment”, says Wlademir Pecoraro, Director Supply Chain Integration for the cluster. Tetra Pak Arabia has launched the Vendor Managed Inventory (VMI) project, as part of the supply chain integration which will contribute to profitable growth for both our customers and Tetra Pak. Initially the VMI has been launched for 2 customers: Al-Rabie and SADAFCO. These customers will benefit from better inventory control and optimisation on working capital whereas Tetra Pak will benefit from better management of the monthly production volume.

In a bid to be better, faster and cheaper,

the Greater Middle East Cluster has rolled out 4

global projects in 2009.

“Vendor Managed Inventory (VMI) is one way to develop a more collaborative relationship and it gives high level of integration and transparency in the whole chain. Data visibility and planning, plus extended links in the Supply Chain can drive higher productivity for Tetra Pak, logistic improvements and lower product cost”, remarks Tariq Nabeel, Customer Service Representative, Tetra Pak Arabia. “Vendor Managed Inventory (VMI) demonstrates yet another area where Tetra Pak is pro-actively driving cost from the Supply chain. The primary goals are to optimise the quality of the delivery, reduce lead time, and through an “incremental reduction in total inventory” over time reduce our customers working capital”, remarks Ian George, Senior Key Account Manager, Tetra Pak Arabia.

SUPPLY CHAINfor customers

BONE & JOINT CENTREsuccessfully raise Osteoporosis awareness

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an event to mark World Milk Day in Arabia, in partnership with its customers. At Tetra Pak, we believe it is our responsibility to raise awareness about the importance of drinking milk. World Milk Day has given us an opportunity to educate children and parents through interactive and educational activities,” said Jose Maria Hernandez, Liquid Dairy Products Category Manager, Tetra Pak Arabia.

ROCKS TO MILK

During the day, free samples of flavoured and plain, long-life milk of Tetra Pak’s customers were distributed and enjoyed by children

and parents. Through a range of activities such as the family fun show, kids talent show and a variety of interactive games hundreds of children and adults were educated on the importance of milk consumption.

“This is the third year Tetra Pak has organised

In Arabia, Tetra Pak organised a series of events to celebrate World Milk Day for hundreds of families at various shopping malls.

ARABIA

D

This event is part of Tetra Pak Arabia’s ongoing drive to raise awareness about the health benefits of packaged milk products in the region. During the past few years, Tetra Pak has organised World Milk Day events in KSA, Yemen, UAE, Kuwait and Bahrain.

Taking place on1st June every year, World Milk Day is promoted by Food and Agricultural Organisation of the United Nations (FAO).

RAISING AWARENESS

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Masafi’s Fruit therapy Activation-POS-Print-

Online campaign amongst the finalists at prestigious

global industry awards.

TAKES CENTRE STAGE ATBEVERAGE INNOVATIONAWARDS ‘09

etra Pak Arabia’s customer Masafi Juice, one of the leading juice brands in the Middle East, received a major international recognition when it was nominated among the five finalists in one of the award categories at the Beverage Innovation Awards 2009.

The awards were handed over during a gala ceremony held recently in Munich, Germany. Nearly 500 industry representatives from around the globe attended the ceremony, which saw over 340 product innovation entries from 40 countries across 24 categories.

The nomination of Masafi’s ‘Best Activation-Point-of-Sale-Print-Online Campaign’ is a top acknowledgement of a regional FMCG company among leading multinational brands from around the globe. The Fruit therapy campaign showcased the health benefits of Masafi’s 100% pure juice blends and the natural healing it provides through innovative proprietary flavours.

The campaign, involving print, outdoor, public relations, website, leaflets, in-market displays and brand packs, focused on communicating the end-benefits of each product, provided by its various fruit flavours, instead of the product itself.

Rami Benjamin, Business Development Manager at Masafi, said, “We take pride in this amazing recognition of Masafi Juice amongst the leading names from the beverage industry. To be among the finalists in such an elite brand-spread – that too within eight months of our Tetra Pak launch – is a great achievement. It goes to prove that Masafi Juices are definitely on par with the top global brands in quality terms.”

Al-Safi Danone has launched a delicious juice and milk blend, lemon with mint

as part of its expansion of Danao family range. The product has been launched

in Tetra Top 1000ml Base.

Lemon Mintlaunched

MASAFI JUICE

T

DANAO

Passion for

he project was kicked off in a meeting during November which was attended by the Processing team from Lund.

The project, led by Larry Burgess, Project Director from Nada and Niall Hoey, Project Manager from Tetra Pak Middle East, is planned to run for the next 18 months.

The project will improve the plant waste levels and enhance the capacity for mid-to-long term growth.

In 1982, Nada was established in the Eastern Province, to produce pasteurised dairy products and juices.

Nada today has achieved the enviable status of a ‘model farm’. It is one of the

Tetra Pak Arabia has recently signed an agreement with Al-Othman Agricultural Production and Processing Company (Nada), to upgrade and extend the pasteurised milk and juice plant.

excellence

Tlargest in the Kingdom of Saudi Arabia, and at par with any other operation of its kind in the world.

Today the name Nada is associated with quality throughout the region because they care about what they produce and take pride in what they have achieved.

Another milestone in Nada’s history is the relocation of its plant and installation of new lines. The re-location was done between September 2008 and May 2009. It incorporated a totally new building, movement of the existing Tetra Pak Lines and the installation and commissioning of an A3/Flex TBA1000S Line.

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he launch was done as a trial to assess the installation of a UHT filler of its own. Although the product has just been

launched the initial consumer response is quite encouraging.

Their current corporate portfolio consists

Al Ain launches

launched in GCC

ufood Trading based in Dubai, which belongs to the Ibrahim Al Zarooni Group of Companies, has recently launched 6 popular flavours of Freej juices in TBA/200S packaged at the plant of Tetra Pak Arabia’s

customer,Gulf and Safa.

The brand brings to life Freej, the Middle East’s first 3D animated cartoon series, which is the brainchild of Mohammed Saeed Harib. It is the tale of 4 old Emirati women living in a secluded neighbourhood in modern day Dubai.

The main characters of the show are Um Saeed, Um Saloom, Um Allawi andUm Khammas, who try to live a peaceful life in the midst of the ever-expanding city around them, but the city’s boom unveils new social issues every day that they would have to solve in their own simple way.

Freej started as a 6-page study book in 1998 but it never materialised until 2003 when it was adopted by Dubai Media City. A small demo was created to test the concept and shortly after it was given the official go-ahead by the Sheikh Mohammed Establishment for Young Business Leaders (SME).

EffectiveKey Account Managementworkshop held in Jeddah

he workshop was attended by all key account managers and many members of key account management teams from

other departments such as customer service representatives, technical, processing, marketing and finance and was moderated by Agnes Lilla Fozo, Manager Relationships Customer Management Process in Tetra Pak International.

“Our key account managers have to act like orchestra conductors, as the trend is to have more business from fewer customers. Thus KAMs have to act like informed business partners acting freely and responsibly showing partnership and having fun with customers and colleagues”, remarked Agnes Lilla.

It can be a great experience to work with a high performing customer team.

Key Account Management (KAM) is an effective partnership between supplier and customer with the purpose of delivering superior value propositions to our customers, concluded a 2-day KAM Reloaded training workshop, which was recently held in Jeddah.

TOMATO PASTE

FREEJ juices

T

D

T The participants found the workshop quite useful in highlighting the value of key account management. It included many breakout sessions and valuable topics such as expectations from a Tetra Pak Market Company, KAM at Tetra Pak, building and planning for growth as a team. The workshop also emphasised that KAM is all about paving the right way to deliver results and grow business. Some of the key elements of key account management include:• Cross Functional Teams, which represent the main capabilities of Tetra Pak towards the customer – the required capabilities may be different for different customers.• Having the right competencies in place and securing commitment and measuring customer team performance.

“Teamwork represents values which encourage listening and responding constructively to views expressed by customers, giving others the benefit of the doubt, providing support and recognising the interests and the achievements”, added Agnes Lilla.

The flavours include guava, pineapple, orange, fruit cocktail, mango and apple.

Al Ain Vegetable Processing and Canning Factory, part of the Agthia Group, which is one of the leaders in the tomato paste and frozen foods categories in the UAE, has launched tomato paste in TBA/125 which is packed for them by Tetra Pak Arabia’s customer Awal Dairy in Bahrain.

of two well-established and successful companies; Al Ain Mineral Water Company – a leading producer of high-quality bottled mineral water – and Grand Mills for Flour & Feed Company, a pioneer in the manufacturing and production of the highest quality flour and animal feed.

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Page 10: Highlights Newsletter Tetra Pak Arabia Dec 2009

artin Fejk, Marketing Director, greeted employees and Faisal Ghulam, Human

Resource Director, handed out certificates of appreciation to employees for their dedicated and valuable service. Various exciting activities had been arranged for kids including face-painting, interaction with clowns, jumping in a castle and others.

The guests won many exciting prizes including holiday trips to exotic destinations such as Malaysia, Cyprus and Dubai. The end of the day featured a lucky draw offering valuable prizes.

Tetra Pak Arabia recently organised an enjoyable Employee Day event at the Al Nakheel Village Resort in Jeddah. On this occasion, gold coins were distributed among all employees who had completed more than 5 years of service with Tetra Pak.

PARTNERSHIP & FUN MARK

EMPLOYEE DAY 2009

M

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Page 11: Highlights Newsletter Tetra Pak Arabia Dec 2009

IFTAR RECEPTION

for customers

This year again, on 15th Ramadan, Tetra Pak Arabia hosted an Iftar reception dinner at Leylaty, which was attended by over 100 senior executives of Tetra Pak’s leading customers.

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Page 12: Highlights Newsletter Tetra Pak Arabia Dec 2009

Highlights: Which word or phrase do you think is

overused?

RK: Insha Allah (God willing).

Highlights: How would you explain your job to a

child?

RK: I sell machines that produce carton packages

to fill delicious juices for you.

Highlights: What did you have to learn the hard

way?

RK: Doing private business without partners.

Highlights: What do you sing or hum when you are

alone?

RK: You can’t do that in Yemen.

Highlights: If you could choose any profession

what would that be?

RK: Sales.

Highlights: Is there a book that changed your

perspective?

RK: Bottom-up Marketing by Al Ries and Jack

Trout.

Highlights: What’s the best reward for a job well

done?

RK: Appreciation.

Highlights: What is your idea of perfect happiness?

RK: Satisfaction.

Highlights: What is your greatest fear?

RK: Fear of the unknown.

Highlights: Which person do you most admire?

RK: Anwar Al Sadat, the ex-Egyptian president.

Highlights: What is the trait that you most deplore

in others?

RK: Laziness.

Highlights: What do you most like about yourself?

RK: Capacity to forgive others.

Highlights: Which talent would you most like to

have?

RK: Poetic creativity.

Highlights: What do you most value in friends?

RK: Honesty.

Highlights: Who are your favourite writers or

singers?

RK: Abdel-Halim Abdallah and Naguib Mahfouz.

Highlights: What is that you most dislike?

RK: Liars.

Highlights: What is your motto in life?

RK: Think positive.

Highlights: How and when did you start your

career with Tetra Pak?

RK: I started my job at Tetra Pak in 1985, before

that I was working with PKL machines.

Highlights: Are you a control freak?

RK: To some extent, yes.

Highlights: Who can you not live without?

RK: Women in my life.

Highlights: What is the best thing that you like

about your job?

RK: Challenges at work and variety of people I

interact with.

Highlights: What’s on your bedside table?

RK: Electric fan.

Highlights: What’s on your CD player?

RK: Kazm Al Saher.

Highlights: What do you enjoy doing in your spare

time?

RK: Meeting people.

Highlights: What’s the wildest thing you have ever

done?

RK: Marrying twice.

Highlights: Which is your favourite perfume?

RK: SEXY 212.

Highlights: What’s your zodiac sign?

RK: Virgo

Highlights: How do you relax?

RK: Being with my family in my house by the Red

Sea.

Reda Khamis, a passionate buff of innovation is part of the Tetra Pak Arabia team for the last over 17 years and has since then relished new lessons and enjoying it every single day.

INNOVATIONLearning the secrets of

PROFILE

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Page 13: Highlights Newsletter Tetra Pak Arabia Dec 2009

GERMANY

Cappuccino milk in Tetra Brik Aseptic 1000 ml SlimCap packages popular among coffee chains

PORTUGAL

Parmalat switches to Tetra Gemina Aseptic packages for juice products and value-added UHT-milk

ITALY

Switch to Tetra Gemina Aseptic packages improves shelf visibility for cereal drink manufacturer

FRANCE

Weight management dairy drink inTetra Prisma Aseptic 200mlSquare packages

With the emergence of the coffee chains came a demand for a convenient “Cappuccino milk”, a milk especially suited for steaming milk over coffee.

frischli responded to this demand in early 2008 with the launch of “Cappuccino-Milch” in Tetra Brik Aseptic 1000 ml packages with SlimCap.

The new “Cappuccino milk” is made with semi-skimmed milk (2.5% fat) to which sugar (0.6%) and milk protein (0.5%) has been added together with a stabiliser (sodium alginate). These special additions produce a perfect (and stable) milk foam when steamed over coffee drinks. The Cappuccino milk is well accepted due to its high quality and functionality.

In Portugal, most of the key brands in the UHT-milk and fruit juice/nectar segments are marketed in Tetra Brik Aseptic packages and Tetra Prisma Aseptic packages respectively. In this environment, Parmalat recently came to the conclusion that, in order to achieve better differentiation on the shelves and secure a good future position for its brands, the company had to make a significant change in its packaging. The company chose Tetra Gemina Aseptic 1000 ml Square packages as its main differentiator.

In the middle of 2008, Parmalat switched all its “Santàl” juices, nectars and still drinks from Tetra Prisma Aseptic 1000 ml Square packages to Tetra Gemina Aseptic 1000 ml Square packages. The value-added UHT-milk varieties under the “UCAL São Lourenço” brand were switched from Tetra Prisma Aseptic 1000 ml Square packages in the beginning of 2009.

The Tetra Gemina Aseptic package is a novelty in the Portuguese market. Parmalat’s goal was to offer, not only shelf differentiation, but also better functionality (as Parmalat sees it) to consumers, including;• More effective product pouring (down to the last drop)• Improved grip

Abafoods s.r.l. is a company specialised in the production of organic drinks, specifically milk alternatives, by processing all sorts of cereals and soya beans. The company also produces fruit juices, nectars and ice tea.

“Isola Bio” is the company’s main brand. Abafoods uses exclusively Tetra Pak packaging systems and for many years the Tetra Brik Aseptic 1000 ml Slim (with SlimCap) package format has been its main package type and size in the “family segment”.

However, due to increasing competition in the Italian market segment of organic cereal-based and organic soya-based beverages, with many brands (including imported) available in TBA 1000 B and TBA 1000 S packages, the company had witnessed a growing lack of differentiation of its products on supermarket- and natural food store shelves.

To combat this, Abafoods decided to replace its TBA family size package lines with Tetra Gemina Aseptic, in sizes 500, 750 and 1000 ml, with the 750 ml size being brand new to them.

Candia’s business with Tetra Pak France goes back more than 30 years and its current portfolio includes Tetra Brik Aseptic 1000 ml Base, 1000 ml Slim, 200 ml Base, 200 ml Slim and 200 ml Square with StreamCap packages, as well as its most recent addition – Tetra Prisma Aseptic 200 ml Square.

With its September 2008 launch of “Candia Silhouette Active” , a weight control product for adult women, in TPA 200 ml Sq packages, Candia introduced a major innovation in the portion packed value-added milk segment, in total contrast to existing shelf offers both in terms of ingredients, packaging type and (wine-red) graphics.

• Practicality - easy to use on-the-go for an all-the-day consumption.

McCarter a.s. is the leading producer of fruit and vegetable juices and concentrates in Slovakia. In order to satisfy new consumer needs in the “healthy life style and health prevention” segment, McCarter has extended the “RIO” brand with “RIO Prevention”, a line of premium, high juice, nectars.

Tetra Prisma Aseptic 1000 Square packages was McCarter’s choice as it is one of the most preferred packages among consumers both for immediate consumption (e.g. at work) and for home consumption.

The April 2009 launch included three products varieties, with each offering an “extra bonus” in the form of natural, health-promoting substance.

SLOVAKIA

Premium juice nectars in Tetra Prisma Aseptic 1000ml packages for health-conscious adults

INTERNATIONAL PRODUCTS

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for high viscous and particulate foods

that combines economy with ecology

The new generation of Tetra Therm Aseptic Drink pasteurisers enables beverage producers to cut water consumption by up to 80%, energy by up to 30% and product losses by up to 30%, compared to other solutions

on the market. This gives higher operational

efficiency and lower environmental impact.

etra Pak has recently launched the new generation of Tetra Therm Aseptic Drink, a cost-efficient and flexible unit for

processing a wide range of beverages. Thanks to the introduction of an advanced automation system, the new generation units secure unsurpassed operational efficiency and life-cycle performance.

NewTetra Therm Aseptic Visco Unit

capacity UHT treatment for high viscous soups and sauces, tomato pastes, custard desserts, fruit preparations, vegetable purees and baby food products. The capacity of this unit for high viscous products can run up to 18,000 litres/hour.

etra Pak has recently launched a new Tetra Therm Aseptic Visco unit, for high viscous and particulate products that

cuts products losses by up to 50%, boosts production flexibility, and further maximizes food safety thanks to an innovative new heat exchanger.

The Tetra Therm Aseptic Visco high pressure unit is a continuous food-processing unit that enables efficient high-

New system cuts product losses by

up to 50%, boosts production flexibility.

EASY-TO-USETETRA BRIK EDGE

With a larger screw cap and low opening force, Tetra Brik Edge is easy to use - whether you are young or old.

etra Pak recently announced the global launch of Tetra Brik Edge, the packaging solution for chilled liquid dairy products designed

for consumers of all ages, from children to elderly consumers.

The 34 mm diameter SimplyTwist™ screw cap on Tetra Brik Edge requires a low opening force, designed to be easy to open,

pour and reseal for everyone. The large diameter of the closure is also ideal for smooth pouring of thicker dairy products such as cultured milks and drinking yoghurts as well as milks and flavoured milks. The angled top makes it easier to grip the cap, there is more space for the hand and fingers and, when pouring, the latest addition to the best selling Tetra Brik range doesn’t need to be lifted high.

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TTetra Pak launches

for chilled products• Cuts in water consumption: The closed cooling circuit in the deaerator and closed water system for the vacuum pump reduce water consumption by up to 80%.• Cuts in energy consumption: Improved heat recovery and efficient heat transfer, through a double hot-water circuit in the tubular heat exchanger, can reduce energy consumption by up to 30%.• Cuts in product losses: Product losses reduced by up to 30%, thanks to the vessel and valve design and a product return recovery system in which the product in the return pipe is pushed back into the balance tank when it is time to stop production. The improved mix phase control, in which instrumentation measures product change-over, reduces product losses further.• Cuts in environmental impact: This is the result of significantly less energy andwater consumption and reducedproduct losses.

Intelligent Beverage Pasteuriser

Tetra Pak launches

uitable for all dairy customers with high capacity production, the Tetra Centri AirTight Eco separator reduces energy consumption of

an overall separation system by up to 35% S

compared to conventional paring disc separators and doubles production time between major services compared to belt driven separators.

TETRA CENTRI AIRTIGHT ECO

World’s first hermetic direct driven dairy separator cuts energy consumption up to 35%.

Tetra Pak has recently launched the Tetra Centri AirTight Eco separator, the world’s first

hermetically sealed direct driven dairy separator.

SHORTCUTS SHORTCUTS

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UK and Ireland’s favourite brands able to carry the FSC label by using Tetra Pak cartons.

TETRA PAK CARTONS TO GO FSC

1.5 BILLION

available standadrd, FSC, and builds upon their successful launch of a FSC-certified Tetra Recart™ range for Sainsbury’s chopped tomatoes, in late 2007. This led to the subsequent move of the Sainsbury’s SO Organic pulses range into Tetra Recart™ as well. Earlier this year also saw Innocent launching FSC across all its kids smoothie packs in Tetra Wedge Aseptic™.

This development will see supply increase from 200 million FSC-certified packs available globally in 2008, to over 1.5 billion packs, in the UK & Ireland alone. All the European mills supplying Tetra Pak’s paperboard have FSC Chain of Custody certification in place, demonstrating traceability and acceptability of the board used. Made largely renewable, natural resource – wood – the move further enhances the environmental credentials of the pack. In 2008 25.6 billion cartons were recycled, up 64% since 2002. Over the next year, 75% of the cartons made by Tetra Pak for the UK & Ireland will become FSC-certified.

Tetra Pak has recently announced that many of its UK and Irish customers will now be able to use the Forest

Stewardship Council (FSC) label across the nation’s favourite brands. The majority of Tetra Pak cartons in the UK and Ireland can now use paperboard sourced from FSC certified forests and other controlled sources, demonstrating the company’s ongoing commitment to responsible forest management.

This development is a first in Europe, where a major liquid food and drink packaging manufacturer is able to launch such a wide-scale roll out. It means iconic household milk, juice and liquid food brands will be able to sport the FSC logo across many, if not all, of their packs within the next 12 months. Brands such as Princes, Ribena, Rubicon, Moo and many retail own label products packed in Tetra Pak cartons will be included.

The move comes as part of the company’s ongoing drive to attain certified traceability from forest to consumer according to the highest

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Tetra Pak is a member of the WWF Climate Savers Programme and is on track to achieve its global commitment to reduce carbon emissions by 10% by 2010 while continuing to grow. Tetra Pak is also committed to increasing the recycling of its cartons, which can be used as raw material for other products.

TETRA PAK PARTNERS WITH WWF

FEATURE

Tetra Pak ArabiaP.O. Box 9454, Jeddah 21413, Kingdom of Saudi ArabiaTel.: +966 2 635 1515 +966 2 636 0030 Fax: +966 2 636 2220www.tetrapak.com