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Tat Gıda

In 2016, 327 thousand tons of fresh tomatoes were processed at three Tat factories in Mustafakemalpaşa, Karacabey and Torbalı. Tat Gıda began implementing “Good Agricultural Practices” in collaboration with contract farmers, provided agricultural training to 650 contract farmers, and supported farmers towards improving harvest efficiency and postharvest quality. The Company also set up a climate station at the test field, provided technical training to farmers, and initiated the digital data collection process for agricultural engineers during their field visits.

The Company continues to undertake investments in the milk and dairy products business line in pursuit of its growth targets. In 2016, daily milk processing capacity reached 1,200 tons at SEK’s milk processing plants in Mustafakemalpaşa and Söke.

The pasta production plant has a daily wheat milling capacity of 320 tons, and the Pastavilla brand produces plain, whole wheat and enriched products.

Financial position
In 2016, the Company’s revenues grew around 8% over the prior year. Operating profit rose 7% over the previous year to TL 70 million while earnings before taxes from ongoing operations went up 8% to TL 69 million.

Despite the overall economic challenges in 2016, Tat Gıda recorded strong profitability thanks to efforts to increase productivity. In addition, the Company reduced its debt position and strengthened its financial structure. Accordingly, the Company will be able to allocate more resources to product development and brand investments in the coming period.

Leading brands and new products
In order to bolster its market leadership position in 2016, Tat Gıda conducted digital promotional campaigns targeting youth, in addition to the communication activities that strengthen consumers’ emotional bonds with the Company’s brands.

The “Sweet Tomatoes Family” campaign continued throughout 2016. The “Sweet Tomatoes Family” video was viewed more than 100 million times, and became one of the 10 most-viewed videos on YouTube twice in 2016.

SEK launched SEK Quark, a first-of-itskind product in Turkey, and positioned the brand as “Good Sweet,” thereby making a successful entry into the healthy snacks market. SEK Quark was introduced to consumers with an integrated marketing communications plan that included key opinion leaders in field of healthy eating.

In 2016, SEK achieved another “first” in the cheese category by launching plain and flavored “Fresh Cheese” products. As the market leader in the pasteurized milk category, SEK continued to run the “Nurture with Goodness” campaign, which emphasizes the benefits of daily milk and aims to grow the category. The Company also launched new products in the pasteurized milk category.

Awards and achievements
The advertising campaign of “SEK Cold Coffee,” a Tat Gıda brand, received two Gold awards at the 2016 Effie Awards Turkey, which aims to honor the most effective marketing campaigns. The campaign also won first prize at the 2016 Felis Awards.

The “Sweet Tomatoes” animated video received the “Bronze Award” at the 2016 Crystal Apple Festival of Creativity. SEK Quark, pasteurized milk and tomato paste products received the “Superior Taste Award” from ITQI (International Taste & Quality Institute).

Outlook, targets and strategies for 2017
In 2016, Tat Gıda achieved its productivity and profitability targets. In 2017, the Company plans to launch innovative products, continue investing in brand equity, and support distribution and logistics activities in order to increase its sales volume and reinforce its market position. The Company also aims to boost the sale of its branded products in the European and Middle Eastern markets and gain more shelf space for the Tat brand in supermarkets.