With 1,800 Vietnamese and foreign manufacturers and distributors, 10,000product items, the Vietnamese functional food market is booming,according to an article published in the English language news websiteVietNamNet Bridge on May 5.
Amway is building its second factoryin Vietnam, NuSkin has got 15 million USD in revenue after one year ofoperation in Vietnam, while Unicity has got 22,000 members in itsdistribution network.
Herbalife reported global turnover of 4.8billion USD for 2013, an increase of 18 percent over the year before, ofwhich the sales to the Vietnamese market accounted for a significantproportion.
When Unicity Vietnam made it first presence beforethe public, Asia Pacific President of Unicity Group Christopher Kimemphasised that, though the Vietnamese market has become verycompetitive, with hundreds of operational businesses and thousands ofproduct items available, he is still optimistic about the group’sbusiness performance in the future.
The success Unicity Vietnamhas achieved over the last year has been described by one seniorexecutive as “beyond our expectations.”
Mai Ngoc Lan from UnicityVietnam revealed that the company is considering setting up a factoryin Vietnam which would make products for export to regional countries.
Amway’ssecond factory in Vietnam, which is now under the construction, isexpected to become operational in early 2015. The three production linesat the 25 million USD factory will churn out 24,000 products a year,worth 200 million USD.
According to Amway Vietnam’s CEO DougDevos, the company has been growing stably over the last six years,since it set foot in Vietnam in 2008.
In 2013, Amway Vietnam earned 90 million USD in revenue, up by 14 percent over 2012.
Thereports of market survey firms all have indicated that Vietnam is alucrative market for functional food manufacturers. Vietnamese, withimproved income levels, now have increasingly high demand for thefunctional food that help reduce weight, offer nutritional supplements,support cardiovascular health and improve beauty.
Euromoniter, amarket survey firm, believes that the Vietnamese functional food marketwill grow steadily by 20 percent annually in the coming years.
Meanwhile,according to the Vietnam Supplement Food Association, 56 people out ofevery 100 in Hanoi and 48 out of 100 people in Ho Chi Minh City usefunctional food.
Melisa Tantoco-Quijano, NuSkin Asia Pacific’sPresident, noted that Vietnam is one of the manufacturer’s best newlyemerging markets. “We can see high demand for anti-aging products here,”she said.
Encouraged by the high growth rate of 30 percent perannum, NuSkin plans to attain 33 percent growth in 2014, while it ismoving ahead with plans to “conquer” the Da Nang market in the centralregion.
Doug Devos from Amway Vietnam believes that functionalfood manufacturers have a brighter future in Vietnam. With the ASEANfree trade agreement (FTA) which takes effects from 2015, theenterprises which sell functional food directly will benefit from thetariff cuts of 0-5 percent.-VNA
Amway is building its second factoryin Vietnam, NuSkin has got 15 million USD in revenue after one year ofoperation in Vietnam, while Unicity has got 22,000 members in itsdistribution network.
Herbalife reported global turnover of 4.8billion USD for 2013, an increase of 18 percent over the year before, ofwhich the sales to the Vietnamese market accounted for a significantproportion.
When Unicity Vietnam made it first presence beforethe public, Asia Pacific President of Unicity Group Christopher Kimemphasised that, though the Vietnamese market has become verycompetitive, with hundreds of operational businesses and thousands ofproduct items available, he is still optimistic about the group’sbusiness performance in the future.
The success Unicity Vietnamhas achieved over the last year has been described by one seniorexecutive as “beyond our expectations.”
Mai Ngoc Lan from UnicityVietnam revealed that the company is considering setting up a factoryin Vietnam which would make products for export to regional countries.
Amway’ssecond factory in Vietnam, which is now under the construction, isexpected to become operational in early 2015. The three production linesat the 25 million USD factory will churn out 24,000 products a year,worth 200 million USD.
According to Amway Vietnam’s CEO DougDevos, the company has been growing stably over the last six years,since it set foot in Vietnam in 2008.
In 2013, Amway Vietnam earned 90 million USD in revenue, up by 14 percent over 2012.
Thereports of market survey firms all have indicated that Vietnam is alucrative market for functional food manufacturers. Vietnamese, withimproved income levels, now have increasingly high demand for thefunctional food that help reduce weight, offer nutritional supplements,support cardiovascular health and improve beauty.
Euromoniter, amarket survey firm, believes that the Vietnamese functional food marketwill grow steadily by 20 percent annually in the coming years.
Meanwhile,according to the Vietnam Supplement Food Association, 56 people out ofevery 100 in Hanoi and 48 out of 100 people in Ho Chi Minh City usefunctional food.
Melisa Tantoco-Quijano, NuSkin Asia Pacific’sPresident, noted that Vietnam is one of the manufacturer’s best newlyemerging markets. “We can see high demand for anti-aging products here,”she said.
Encouraged by the high growth rate of 30 percent perannum, NuSkin plans to attain 33 percent growth in 2014, while it ismoving ahead with plans to “conquer” the Da Nang market in the centralregion.
Doug Devos from Amway Vietnam believes that functionalfood manufacturers have a brighter future in Vietnam. With the ASEANfree trade agreement (FTA) which takes effects from 2015, theenterprises which sell functional food directly will benefit from thetariff cuts of 0-5 percent.-VNA
