The moshav was founded in 1954 to absorb immigrants to Israel from Persia. After that group refused to live there, it was populated by urban residents who chose to live an agricultural cooperative lifestyle and arrived as part of the movement "from city to village." The first executive director of the agricultural cooperative was one of the original settlers, Shmuel Forster.
The word "Shdema", which appears infrequently in the Hebrew Bible, means "field of produce". The original name was "Yefe Nof" (Hebrew: יפה נוף).