Business of functional foods produced in Vietnam – Why not?

Functional foods will still be a “lucrative” business for at least the next 10 years – The opinion of many market analysts. So should you sell “domestic or foreign goods”? Instead of choosing imported products, why don’t you sell functional foods produced in Vietnam? Why do we make this suggestion? Refer to the article below to find the answer!

I. Current status of Vietnam's functional food market

To have a clearer view of the functional food market in Vietnam, we will analyze more deeply 2 aspects: Products and market demand:

About the product

We would like to quote the full assessment of Mr. Tran Dang - Chairman of the Vietnam Dietary Supplement Association: "In the past 5 years, Vietnam is considered to be in the boom period of dietary supplement products. Dietary supplements are known for many effects and uses such as: anti-aging, prolonging life, increasing resistance, reducing the risk of disease, supporting beauty, giving people good health, supporting the treatment of many symptoms and diseases".

To meet the increasing demand of domestic consumers, a large supply is required. Previously, the dietary supplement market was dominated by imported products. However, since 2015, the number of Vietnamese enterprises producing dietary supplements has increased. → Vietnamese-made dietary supplements tend to overwhelm imported products.

About user needs

According to a compiled data, by 2019, more than 20 million Vietnamese people were using dietary supplements (accounting for about 21% of the country's total population). This number in 2015 only stopped at about 2 million people. The above data shows that: The dietary supplement market is still growing, with a tendency to continue to expand.

If you want to do business in dietary supplements, this is still one of the "lucrative" industries, worth your investment.

II. Vietnamese functional foods are making positive changes!

As mentioned at the beginning of the article, the “made in Vietnam” functional food lines have only really flourished in the last 5-6 years. It is not by chance that domestic products can replace the market share of imported goods. Domestic functional food manufacturing enterprises are making very positive changes, specifically:

1. Focus on investing in machinery and production technology

Reputable functional food manufacturers in Vietnam today all invest in modern production machinery and equipment. This helps improve quality, ensure product safety and consistency. Boldly changing and investing has helped consumers have a more positive view of the quality of functional food products produced in Vietnam.

2. The role of formula research is also clearly recognized.

Vietnam is known as one of the countries with a developed traditional medicine, rich medicinal resources... This is also what many pharmaceutical and dietary supplement manufacturing enterprises always try to incorporate into their product formulas. This is what makes products created in Vietnam different from "foreign goods" while the effectiveness is not inferior.

3. Constantly update the world's dietary supplement production trends

It is an undeniable fact that Vietnamese enterprises are not inferior in applying modern technology to produce dietary supplements. Some typical examples include:

• Production of dietary supplements using high quality enzyme technology
• Using precious ingredients, extracts are created with modern technology to increase product efficiency.
• Application of new dosage forms for product manufacturing
• Using the results of international and domestic medical research projects to produce dietary supplements
• Packaging design and packaging specifications also keep up with general trends.

…

All of the above factors have contributed to "raising the level" of the quality of functional foods produced in Vietnam.

III. Why should we do business with functional foods produced in Vietnam?

Besides the reason that the quality of Vietnamese products has been "upgraded" above, what else makes us recommend you to do business with "domestic goods"?

→ You can create the product you want. With the product line manufactured in Vietnam, you can completely order the processing unit to research and create the formula that suits your wishes. This will create a greater competitive advantage for you.

→ Minimize business procedures. For foreign goods, you need to have some additional documents related to import.

→ Cost control. Of course, with domestically produced goods, you will not incur import related costs. You can completely control product costs during the negotiation process with the functional food processing unit.

Hopefully, those who are planning to start a dietary supplement business have found useful information through this article. Don’t forget to regularly follow NanoFrance’s website to update more information about medicine and other dietary supplement business knowledge!