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Haleeb

Pakistan is the worlds fifth largest dairy industry in the world and cheaper than many
developed countries in the world like Australia and America. So there is a tremendous
amount of opportunity for firms to excel in this industry. Chaudhry Dairies limited is one of
those who have entered the dairy industry of Pakistan and have posed serious threats to well
established firms like Nestle. Chaudhary limited was incorporated in 1984 as a Public limited
Company. It was established with the financial aid of PICIC (Pakistan Industrial Credit and
Investment Corporation) and ADBP (Agricultural Development Bank of Pakistan). The head
office is situated at 135 Ferozepur Road; Lahore while the plant is situated at 62 km LahoreMultan Road, Bhai Pheru. In keeping with the company's commitment towards product
diversification and to provide a wide range of quality food products to their valued
customers, the name of Chaudhry Dairies limited was changed to Haleeb Foods Limited with
effect from February, 2004. Commercial production started in 1986 & the company reached
its breakeven in the year 1992. Initially 150 people were employed at the plant. The liquid
milk was the first product launched in the market, it started its operation in 1985 at that time
20 other dairy plants were also coming in, and all those including MILK PAK were using
obsolete technology that was used in EUROPE. Haleeb plant was the only plant based on the
latest technology and the basic idea behind that was providing consumer quality packaged
food particularly dairy Foods products. Haleeb Foods Limited (Formerly CDL Foods
Limited) is one of the Pakistan based company with a burning passion to take on the
international market. In the clutter of multinational the company has a distinguished and a
prestigious place. The name of Haleeb foods limited is synonymous with best quality foods
products.
Poor Management and Marketing
Haleeb Foods led the milk market for some years until 2008, but its
competitor Nestle gave it a tough time with its product Milkpak by
resorting to aggressive marketing. The competition got stiffer when
Olpers milk of Engro Foods hit the market. Former Executives said that
Haleeb Foods claimed that the previous management failed to capitalise
on the popularity of the milk product and took some wrong decisions that
proved costly for the company. The company took a loan to try and turn

round its struggling fortunes. On the other hand, its competitors Nestle
and Engro were awash with funds and continued to market their products
and enhance their share and revamped the company with new and
young management. Still, its flagship product Haleeb is in crisis as the
share of UHT milk has dropped from 52% in 2006-07 to around 10% at
present