Vietnamese food industry sees double-digit growth

With a stable annual growth rate of around 10% and a young population with a rising income and a tendency to consume ready-made and organic food, the Vietnamese food industry offers considerable business opportunities to investors.

According to figures published by the country’s Ministry for Industry and Trade, food and drink consumption grew by 18% in 2017 and made up 15% of GDP, with further strong growth forecast for the future.

These forecasts have also been confirmed by the Business Monitor International (BMI), which has announced annual growth of 10.9% through to 2020.

The country’s plentiful sources of raw materials, strong economic growth, abundant human resources and good industrial infrastructure are further factors that will help attract investments in the sector.

To make the most of these business opportunities, however, Vietnamese food companies need to invest in new technology and attain higher levels of quality, as well as adopting more stringent safety standards throughout the food chain.

Vietnam is one of the world’s largest exporters of rice, coffee, pepper and cashew nuts. Agricultural exports, particularly fruit and vegetables, have seen sharp growth in recent years and are shipped to more than 100 countries.