https://seller.alibaba.com/businessblogs/pxud8bb4-5-best-made-in-vietnam-food–beverage-products-to-export-globally
Food exportation currently ranks as one of the most profitable businesses in Vietnam. This owes to the country’s ever-growing agricultural industry. However, one of the challenges you will face is choosing the right products to export.
Ever wondered what the best food or beverage product that you can make and then export globally is? We highlight the 5 best-made in Vietnam food & beverage products you can export for a profitable business. We also cover the export regulations that can guide you in making pre-informed decisions.
Overview of Vietnam’s food & beverage export industry
Vietnam is a country with a 94 million population. The Southeast Asia country has invested thirty years of continuous development in improving its economic landscape. Similarly, they have experienced an increased standard of living and considerable economic growth.
Moreover, Vietnam has joined the ranks of the nation’s lower-middle-income economies as one of the fastest developing economies in Southeast Asia. It currently boasts an increasing Gross Domestic Product (GDP) of around 6-7% yearly. The gross domestic product per capita stood at $2400 in 2017, and it’s projected to reach $10,000 in 2035.
According to reports, Vietnam ranks 1st when it comes to producing and exporting different kinds of food and beverage products. These include vegetables and fruits, dairy products, coffee, meat, and seafood.
Vietnam’s food and beverage sector hold an enormous portion of the country’s gross domestic product. However, the whole food and sales will rise at an annual rate of 11.3%1 around 2017-2021.
Despite the meteoric rise, the growth of Vietnam’s economy declined in 2020, according to the evaluation of Euromonitor2. However, with the global economy recovering from the pang of the pandemic, Vietnam’s export is peaking at a high pace again. Moreover, low sound fiscal agreements and numbers of infections contribute to the fast growth of the economy. The actual gross domestic product increase will be about 7.5% at the end of 2021.
Vietnam’s exportation covers a wide range of food items. However, coffee, milk, and seafood account for about 40% of the whole food and beverage exports industry. Rising incomes and private credit development should increase the value of personal consumption. If you are looking for a smart way to make a reasonable income by exporting food and beverage products in Vietnam, the time is now!
Five best made in Vietnam food & beverage products to export globally
We have reviewed data on food consumption and exportation in Vietnam. We present to you the five best food and beverage products exported globally in the Asian food hub.
Let’s take a quick look:
1. Dairy products
The dairy product in Vietnam is worth $4.1 billion. Also, it has been rising in the last five years with a Compound Annual Growth Rate (CAGR) of more than 16.6%. The significant factors for this development include:
- increased income;
- new eating habits;
- developing urbanization.
- Compared to Singapore or Thailand, the average consumption of dairy products is low, with about 26 liters per capita.
Eight top companies3, such as Nutifood Binh Duong, IDP, Nestle Vietnam, Quang Ngai sugar company, Vinamilk, and FrieslandCampina, make up 90% of the beverage market sector. Friesland Campina, Vibamilk, and TH milk, several companies are manufacturing organic milk brands due to an increase in milk consumption.
In the previous eight years, the import value of dairy products in Vietnam stood above $800 million. This makes the country one of the leading exporters of dairy products in Southeast Asia.
According to Vinamilk, about 30% of milk production can meet the local supply of raw materials.
In contrast, the remaining raw material is from other countries. In the meantime, the export value of Vietnam in exporting yogurt and other dairy products was above $300 million in 2017.