Vietnam vegetable juice market is projected to witness a compounded annual growth rate of 7.02% to grow to US$190.171 million by 2026, from US$118.281 million in 2019. Vegetable juice, as the name implies, is made by juicing or blending vegetables into a drinkable beverage. Depending on the type of juice, the nutrient density can be impressive, providing a significant amount of your daily intake of vitamin A, vitamin C, potassium, iron, calcium, folate, dietary fiber, beta-carotene, magnesium, and amino acid. The rising awareness of the health benefits of consuming vegetable juices as well as a shift to healthier lifestyles by the Vietnamese people is expected to propel Vietnam’s vegetable juice market growth.
Increasing disposable income has raised the awareness among the consumers for healthy alternatives, which hence led to wider consumption of vegetable juice.
The country’s increasing disposable income, which also affects spending on food and groceries is expected to be a major growth factor. According to Fitch Solutions, in recent years, the disposable income of Vietnamese households has increased significantly. This has been reflected in their food consumption patterns, enabling them to diversify their tastes and buy foods that are not common in their country or require a higher purchasing power. Vietnamese household is estimated to spend 20.8% of their total household budget on food in 2025, marginally increasing from 20.1% in 2005. As of 2020, the average household now has a disposable income of VND113.6 million (US$4,890), while the per capita disposable income is projected at VND44.4 million (US$1,910). It is further estimated that household disposable incomes will grow by a CAGR of 9.0% in local currency terms, taking household disposable incomes to a value of VND164.9 million (US$6,800) by 2024, with the number of households projected to earn above US$5,000 growing at a CAGR of 13.9% to 2024, while those that earn above US$10,000 growing at an even more rapid rate of 19.9% a year.
Growth in organic farming is expected to drive market growth.
Based on type, the Vietnam vegetable juice market is distinguished as organic and conventional. The organic vegetable juice market in Vietnam is expected to grow at an exponential rate owing to a rise in demand for organic products for better health along with booming organic farming. Vietnam Vice President Trinh Dinh Dung recently approved the Organic Agriculture Development Project for 2020-2030 in order to take advantage of organic agriculture's potential. The government prioritizes converting land to organic production in its push to increase organic aquaculture, hoping to account for between 0.5 and 1.5 percent of total aquaculture by 2030.
Furthermore, the Business Association of High-Quality Vietnamese Product (2019) found that consumers are growing more concerned about quality, and prefer safe organic products. 80% of respondents said that they would buy vegetables at the supermarket because the ingredients are deemed to be cleaner here. Additionally, 88% of Vietnamese feel at ease when purchasing products bearing the ISO, VietGAP, and other comparable labels. As a result, the market for organic vegetable juice in the country is being driven by the population's increasing demand for healthy vegetables.
Rising plastic waste has encouraged the adoption of sustainable alternatives of packaging, leading to the rise in demand for PET bottles and cartons by the market.
Based on packaging, the Vietnam vegetable juice market pack and sell vegetable juice in PET bottles, cartons, and other alternatives. PET bottles are expected to hold a large share of the market owing to the rising consumption of recyclable plastic bottles. PET bottles are safe and recyclable, making them superior to other plastic bottles. It is anticipated that the increased plastic waste problem in Vietnam has encouraged the government and industry to use recyclable plastic bottles which are expected to drive market growth.
Increased plastic waste has emerged as a leading environmental concern. Data from the Ministry of Natural Resources and Environment shows that Vietnam produces 1.8 million tonnes of plastic waste annually. Of the waste produced, only 27% of it is recyclable and the rest is dumped in nature, creating environmental threats for the country. The Ministry further states that per capita plastic consumption has also increased tremendously from 3.8 kg per person in 1990 to over 41.3 kg per person in 2019. Rising plastic consumption and growing disposable problems had encouraged the usage of recyclable and reusable plastic, supporting the market demand for PET bottles in the vegetable juice industry.
Despite the outbreak of the pandemic, the industry growth has been resilient with the market registering. There had been a slight surge in the demand for healthier and fresh juices in the country. Moreover, with the decline in the sales of alcoholic drinks in the country, during the pandemic, a part of the consumer base had shifted towards non-alcoholic drinks and beverages. Furthermore, according to the World Bank, there had been a growth in the Vietnamese economy in 2020, and the food & beverage sector had been said to have mirrored the growth, despite the pandemic. While the country didn’t impose a complete lockdown, several COVID-19 pandemic measures, such as travel ban, cross border travel, restrictions on foreigners had an impact on the country’s lifestyle and dietary behaviors. Moreover, the country’s general statistics office reported that the unemployment rate had increased by around 2.42% in the initial quarter of the pandemic, which had led to a decrease in shopping. As such, the cumulative impact of COVID-19 has been marginal on the vegetable juice market in 2020. Moreover, with the introduction of vaccines and the need to have healthier and easily consumable food, the current market growth is expected to surge at a significant rate, as compared to pre-COVID-19 projections.
|Market size value in 2019||US$118.281 million|
|Market size value in 2026||US$190.171 million|
|Growth Rate||CAGR of 7.02% from 2019 to 2026|
|Forecast Unit (Value)||USD Million|
|Segments covered||Type, Packaging, And Distribution Channel|
|Companies covered||JuicElixir, Lavifood, NAM VIET F&B, RITA Food & Drink Co., Ltd, Doehler|
|Customization scope||Free report customization with purchase|
1.1. Market Definition
1.2. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Market Opportunities
4.4. Porter’s Five Force Analysis
4.4.1. Bargaining Power of Suppliers
4.4.2. Bargaining Power of Buyers
4.4.3. Threat of New Entrants
4.4.4. Threat of Substitutes
4.4.5. Competitive Rivalry in the Industry
4.5. Industry Value Chain Analysis
5. VIETNAM VEGETABLE JUICE MARKET ANALYSIS, BY TYPE
6. VIETNAM VEGETABLE JUICE MARKET ANALYSIS, BY PACKAGING
6.2. Pet Bottles
7. VIETNAM VEGETABLE JUICE MARKET ANALYSIS, BY DISTRIBUTION CHANNEL
7.3.1. Convenience Stores
8. COMPETITIVE ENVIRONMENT AND ANALYSIS
8.1. Major Players and Strategy Analysis
8.2. Emerging Players and Market Lucrativeness
8.3. Mergers, Acquisitions, Agreements, and Collaborations
8.4. Vendor Competitiveness Matrix
9. COMPANY PROFILES
9.3. NAM VIET F&B
9.4. RITA Food & Drink Co., Ltd
NAM VIET F&B
RITA Food & Drink Co., Ltd
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