The Vietnam animal feed market is expected to grow at a compound annual growth rate of 3.68% over the forecast period to reach a market size of US$10997.813 million in 2028, up from US$8541.568 million in 2021.
Animal feed is considered as the demand-led 'livestock revolution' which is taking place as a result of a rapidly growing population, income growth, and increasing urbanization. The animal feed market in Vietnam is a significant segment of the country's agricultural industry. Vietnam has a population of over 96 million people, and the demand for animal protein products such as meat, milk, and eggs is increasing rapidly due to the growing middle class and increasing urbanization. Additionally, the government of Vietnam has implemented various policies and initiatives to promote the growth of the livestock industry and the animal feed market. For example, the government has provided incentives and subsidies to encourage the production of high-quality animal feed and has also invested in research and development to improve the quality and nutritional value of animal feed.
The Vietnam animal feed market is driven by expanding consumer demand for meat products.
According to a report by the United States Department of Agriculture (USDA), Vietnam's total meat consumption reached 6.7 million metric tons (MMT) in 2022, which is a 2% increase from 2021. This increase is driven by the growing population, increasing urbanization, and rising incomes in the country, which are leading to a shift in dietary patterns towards more meat-based diets. The Vietnam animal feed market is significantly impacted by the country's rising demand for meat products. The demand for animal feed has also increased as the livestock sector in Vietnam has developed to fulfill the rising demand for meat since animal feed is a vital part of livestock production.
Furthermore, it also affects the demand for both imported and domestically produced animal feed. As a result, it creates opportunities for local animal feed manufacturers to expand their production and increase their market share which enables local and international producers of animal feed to increase their output and develop new goods and technologies to suit the demands of the livestock sector. Local and worldwide animal feed producers in Vietnam are investing in the creation of new feed products and technologies that increase the productivity and efficiency of livestock production to fulfill the rising demand for animal feed. This includes the use of automated technology to increase the effectiveness of feed production and distribution, as well as precision feeding, which entails the precise measurement and distribution of feed to individual animals based on their nutritional needs.
Key Developments.
Based on livestock, the Vietnam animal feed market is expected to witness positive growth in poultry.
The market for poultry feed in Vietnam is primarily driven by the rising demand for poultry products including meat and eggs. Vietnam's poultry output, according to the Ministry of Agriculture and Rural Development (MARD), increased by 7.2% from 2019 to 2020, reaching 1.39 billion birds. In addition, the number of eggs produced rose by 10.1%, totaling 15.6 billion eggs. The demand for protein-rich foods has increased in Vietnam as a result of the country's expanding economy and population, and poultry meat and eggs are reasonable sources of protein. The market for poultry feed is predicted to expand as a result of this trend. The Vietnamese poultry feed sector has seen a major increase in investment in recent years. Players from abroad and locally have both invested in growing their businesses and manufacturing capacities. In the upcoming years, this investment is anticipated to fuel the market for poultry feed.
The Vietnamese government has put regulations in place to encourage the growth of the market for poultry feed as well as other sectors of the animal feed industry. These regulations are designed to boost animal feed output and raise the standard of feed products. Also, the government has given farmers subsidies to encourage them to utilize commercial feed, which is anticipated to increase the demand for chicken feed. The Vietnamese government gave farmers a total of US$ 27.5 million in subsidies in 2020 to encourage them to buy commercial feed, according to the Vietnam Animal Feed Association (VAFA). This is a part of the government's initiatives to encourage the growth of the poultry feed market as well as the animal feed sector.
| Report Metric | Details |
|---|---|
| Study Period | 2021 to 2031 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2031 |
| Report Metric | Details |
| Market Size Value in 2021 | US$8541.568 million |
| Market Size Value in 2028 | US$10997.813 million |
| Growth Rate | CAGR of 3.68% from 2021 to 2028 |
| Base Year | 2021 |
| Forecast Period | 2023 – 2028 |
| Forecast Unit (Value) | USD Million |
| Segments Covered | Type, Livestock, and Raw Material |
| Companies Covered | Dabaco GrouP, Aisa nutrition technologies, Cargill, Incorporated, Alltech, Archer Daniels Midland |
| Customization Scope | Free report customization with purchase |
Key Market Segments