Animal health in Vietnam's livestock development Part 2 - Opportunities for Dutch companies

Part 2 of this research focuses on specific opportunities in the livestock sector in Vietnam for Dutch companies and the relevant Trade Fairs scheduled in late 2021 and beginning 2022.

VM Sonnema visit to FDOV project in Ha Nam province, April 2019
©EKN
Former Vice Minister Sonnema visit to FDOV project in Ha Nam province (April 2019)

Vietnam has officially ratified the Vietnam-European Union Free Trade Agreement (EVFTA). Under this agreement, 31,82% of duties on EU exports of livestock products to Vietnam will be eliminated, 6 import duties will get a quota while the remaining will be gradually phased out over a period of 3-9 years. EVFTA will have a big impact on the domestic livestock industry as the production cost in Vietnam is 40-60% higher than that in developed countries.

In addition to the EVFTA ratification, COVID-19 and emerging animal disease situations will further catalyze this process. Eventually the intensive livestock sector is further developing in Vietnam.

Specific opportunities are identified in the livestock sector in Vietnam for Dutch companies.

  1. Training, education and know-how support to facilitate changing dynamics in integration, biosecurity practices, value chain developments, including but not limit to tracking and tracing, food safety, animal health and animal welfare.
  2. At production level, increasing local food production efforts will generate high demands for farm inputs, knowledge and technology, taken in account:
    1. Supply of genetics for livestock production adapting local needs (pigs and poultry).
    2. Supply of solutions to improve animal health and strong immune system development. Development of a strong immune system is key in securing animal health and optimum performance, even it is more crucial under epidemic pressures. Thus there is a market demand for additives, alternatives to antibiotic growth promotors, enzymes and essential nutrients. De Heus Vietnam, Nutreco International Vietnam, Skretting Vietnam and DSM Nutritional Products Vietnam, Develing International are among leading companies offers nutrition solutions for livestock production in the Vietnamese market.
    3. Supply of farm equipment, automation, waste treatment solutions. Peja mainly specializes in supplying of machinery for animal feed and livestock industry. Peja, Pas Reform, Van Aarsen International, VDL Agrotech are some examples of Dutch companies active in the Vietnamese market.
    4. Supply of products and expertise in biosecurity protocols and hygiene measures.   A feasibility study on a demonstration farm employed a biosecurity model for pig farming in Vietnam, supported by the Netherlands Embassy in Vietnam.
  3. At market level, supply of frozen pork and meat products. Please find more details on “How to gain a market share in the US$ 22 billion Vietnamese agri-food important market?” by following the link: https://www.agroberichtenbuitenland.nl/actueel/nieuws/2021/06/16/how-to-gain-a-market-share-in-the-ususd-22-billion-vietnamese-agri-food-important-market

The Netherlands has a strong image in Vietnam when it comes to agriculture and livestock production in particular among other international key players. Dutch companies building up good credibility in doing businesses in Vietnam. It is worth noting that Nutreco, including Skretting and Trouw Nutrition, De Heus, FrieslandCampina and DSM, Develing and Peja are highlighted stories of successful Dutch companies doing business in Vietnam in livestock production. Dutch expertise and technology can help Vietnam in restructuring the livestock sector and becoming a global supplier in the world market a reality. In the slipstream of these companies further opportunities arise for SME’s in the field of livestock.

Activities

Please be informed on the following livestock activities in which the Embassy is engaged with:

Vietstock 2021 held in conjunction with VietFeed and VietMeat, is where industry professionals involved in the farm-to-fork value chain for livestock products meet to create a huge community from which to share and create new business opportunities, new partnerships, new ideas and solutions.

Date: 13-15 October 2021

Location: Saigon Exhibition & Convention Center (SECC), Ho Chi Minh City, Vietnam

Website: https://www.vietstock.org/en-us/

ILDEX Vietnam, the international livestock, dairy, meat processing and aquaculture exposition, has become the leading trade exhibition in the Asia region with strong attendance and plentiful business opportunities.

Date: 16-18 March 2022

Location: Saigon Exhibition & Convention Center (SECC), Ho Chi Minh City, Vietnam

Website: https://www.ildex-vietnam.com/

Vietshrimp Aquaculture International Fair 2022 (Coming soon). VietShrimp was first held in 2016 and the second in 2018. For the first time in 2016, there are still some shortcomings but it can be said that the Expo has created an important milestone for the Vietnam shrimp industry when the first time in the country appeared a specialized fair about shrimp in Asia.

Website: https://vietshrimp.net/

VIV Asia, the complete Feed to Food global trade show and Meat Pro Asia, the processing and packaging trade fair for egg, poultry, meat, seafood & food products, two international leading events for the animal protein production business in Asia will take place under one roof.

Date: January 12-14, 2022

Location: Challenger Halls – IMPACT, Bangkok, Thailand

Website: https://vivasia.nl/

Please feel invited to contact The Agricultural Team at the Embassy in Hanoi/Consulate-General in Ho Chi Minh city for further information or any agro-related question you might have.

Contact details

Embassy of the Kingdom of the Netherlands

BIDV Tower, 7F, 194 Tran Quang Khai street, Hoan Kiem district, Hanoi, Vietnam

T: +84 24 3831 5650

E: han-lnv@minbuza.nl

Consulate General of the Kingdom of the Netherlands in Ho Chi Minh City

Saigon Tower, Suite 901, 29 Le Duan Blvd, District 1, Ho Chi Minh City, Vietnam

T:  +84 28 3823 5932

E: hcm-lnv@minbuza.nl

Link to Part 1 -  Overview of animal health in Vietnam’s livestock development : https://www.agroberichtenbuitenland.nl/landeninformatie/vietnam/nieuws/2021/06/30/animal-health-in-vietnams-livestock-development---part-1-overview