Sde Nehemia was founded on 19 December 1940 by immigrants from Austria, the Netherlands and Czechoslovakia, on land bought from the Arab village of al-Dawwara.

It was originally known as Kvutzat Huliot, but later renamed after Nehemia de Lieme, a Dutch banker and Zionist activist who served as head of the Jewish National Fund.

In May, 1948, the kibbutz requested, "somewhat shamefacedly", 1,700 dunams of land from the newly depopulated Palestinian village of Al-'Abisiyya.

[5]Located in the fertile Hula Valley between the Golan Heights and Lebanon, agriculture is a significant source of income.

Huliot specializes in flow products for water supply, drainage, sewage and greywater recycling which it sells on the local and global markets.