The dry food market has been a business with great potential for many years. According to a recent report, the global market for dry foods is expected to reach USD 98.02 billion by 2025, growing at a CAGR of 5.1% during 2023-2028.
The growth of the dry food market is driven by many important factors. First of all, there is an increasing demand for convenience products due to their convenience and easy storage. At the same time, the diversity and abundance of dry foods also meet all tastes and culinary needs of consumers. Not only that, easy access to these products through online and traditional sales channels is one of the decisive factors in creating a flexible shopping environment for consumers.
In the field of dry food and instant food in the Vietnamese market, instant noodles are considered the world's top per capita consumption products. Vietnam has surpassed Korea in terms of instant noodle consumption per capita, with the average Vietnamese person eating about 87 packages of noodles per year, while the average Korean consumes 73 packages. Consumption per Vietnamese person has gone up steadily from 55 servings in 2019 to 72 servings in 2020 and 87 servings in 2021.
According to data from the World Noodles Association (WINA), during the 2 years of the COVID-19 pandemic, instant noodle consumption in Vietnam has increased significantly. In 2020, Vietnam surpassed India and Japan, ranking third with 7 billion packages of noodles (up 29%), and in 2021, this figure climbed to more than 8.5 billion packages (up 22%). Vietnam is not only the third country in instant noodle consumption but also has the highest growth rate among the top 10 markets.
There are currently about 50 companies producing instant noodles in Vietnam, including some famous companies such as Acecook (Hao Hao brand), Masan Consumer (Omachi, Kokomi), and Asia Food (Red Bear), which are the market leaders. In addition, Uniben with the 3 Mien noodle brand has also made a strong impact on the market, building a favorite position in the hearts of customers.
MASAN
Ma San Group Joint Stock Company was established in November 2004 under the name Ma San Marine Joint Stock Company. It officially changed its name to Ma San Group Joint Stock Company (English name is Ma San Group Corporation) in August 2009.
Masan Consumer's product portfolio includes food brands such as Chinsu, Nam Ngu,... and Beverage brands such as Wake-Up, and Vinacafe,... Regarding instant food products, two famous brands are Omachi and Kokomi. In addition, the brand also launched Chin-su pho and vermicelli in the product "Chin-su 7 breakfasts" to meet convenience needs but still ensure nutrition for consumers.
Masan's total revenue recorded a continuously changing trend in the period 2020 - 2022. Specifically, in 2020, the brand's revenue was more than VND 77.2 trillion. This number rose to more than VND 88.6 trillion in 2021 and then decreased to over VND 76 trillion in 2022. In terms of profit after tax, the brand reached nearly VND 1400 billion in 2020 and then reached more than VND 10.1 trillion before declining to over VND 4760 million in 2022.
In terms of the dry food sector, according to a recent report, Masan Consumer's noodle products have a huge advantage in distribution from the WinMart/Winmart+ supermarket/convenience store system. In 2021, Masan Consumer's revenue from noodles peaked at VND 8800 billion, an increase of 28% and equivalent to 72% of Acecook's revenue.
ACECOOK
Established on December 15, 1993, and officially put into operation in 1995, after many years of operation, Acecook Vietnam Joint Stock Company has continuously grown to become a comprehensive food company, a leader in Vietnam with a solid position in the market, specializing in providing high-quality and nutritious instant food products. ACECOOK's product portfolio is very diverse, including instant noodles (Hao Hao, Siu Cay), cup noodles (Modern), pho (De Nhat), vermicelli (Phu Huong),... creating a rich culinary culture, meeting the increasing culinary needs of customers and contributing to the development of the food industry in Vietnam.
Acecook had revenue of more than VND 11.5 trillion in 2020. Revenue grew by 6.3% in 2021 and increased by 16.3% in 2022, peaking at more than VND 14.2 trillion. Relating to profit after tax, in 2020, the stand-out profit was nearly VND 1900 billion. This figure declined by 27.7% in 2021 then went up again to a profit of more than VND 1500 billion in 2022.
UNI-PRESIDENT
Uni-President Vietnam Co., Ltd., established on February 6, 1999, in Binh Duong, with a total area of 10 hectares and an investment capital of USD 225 million, specializes in producing aquatic feed, animal feed, flour, and instant noodles. In terms of the food industry, the company launched 4 main brands of UNIF noodles, Tieu Nhi noodles, Ly Dzai Dzai noodles, and KC Kimchi noodles.
In 2020, the Uni-President's revenue reached more than VND 10.5 trillion. Its revenue went down by about VND 500 billion in 2021 and continued to return to more than VND 10 trillion in 2022. The brand's after-tax profit tends to decrease sharply, from nearly VND 900 billion in 2020 to about VND 330 billion in the next 2 years.
UNIBEN
Uniben Joint Stock Company, established on June 1, 1992, under the name Viet Hung Food Industry Co., Ltd., mainly produces instant noodles for domestic and export markets.
Uniben's main brand "3 Mien" quickly became one of the most purchased brands in Vietnam in 2016. Uniben provides a variety of products such as instant noodles, noodles, pho, porridge, drinks, fish sauce, and seasoning for domestic and export markets.
Uniben's revenue peaked at more than VND 3.6 trillion in 2022. This figure climbed by 6.1% compared to 2021 and 19.3% compared to 2020. The brand's profits recorded slight fluctuations. Specifically, the company achieved a profit of nearly VND 220 billion in 2020. In the next two years, profits only fluctuated around VND 270 billion.
ASIA FOOD
In 1995, Asia Food Company was established with 8 production lines. Nearly 30 years in the instant food processing industry, Asian food has gone through a difficult but proud journey. The company's main and most famous brand is Red Bear with many different product lines: noodles, porridge, pho, and noodles.
Currently, Asia Food has a distribution system spanning 63 provinces and cities in Vietnam, from supermarkets, convenience stores, hospital canteens, and schools to even small grocery stores; Therefore, consumers can easily find our products in the market.
In 2022, Asia Food Group's revenue achieved nearly VND 2.6 trillion, down 15.6% compared to 2021 and down 22% compared to 2020. The brand's profits also tend to drop in three years. Specifically, in 2020, the brand's after-tax profit was nearly VND 540 billion. This number increased slightly by VND 6 billion in 2021. Then, it continues to fall by 28.9% in 2022, reaching nearly VND 380 billion.
MICOEM (Asian Food Technology)
Established in 1991, the first name was C&E Food Industry Co., Ltd. with a product line named Micoem noodles. Through 28 years of continuous development, Micoem has introduced to the market high-quality product lines that are well received and trusted by consumers, such as instant noodle and pho products: Cung Dinh, Chicken Mushroom, MumMum,...
Micoem's revenue in the period from 2020 to 2022 recorded slight growth. In 2020, brand revenue peaked at nearly VND 1.87 trillion. In 2021, revenue increased by about 28% and reached nearly VND 2.6 trillion in 2022. The brand's profit after tax tends to rise in 2020 and 2021, from more than VND 200 billion to nearly VND 325 billion.
VIFON
As a subsidiary of Tan Viet Group, the VIFON food brand has long been familiar with and attached to domestic and foreign consumers (more than 40 countries). Established in 1963, VIFON became one of the pioneers in Vietnam's instant food industry, creating the trend of packaging traditional dishes of three regions such as noodles, pho, porridge, crab cakes, and noodles... making food more convenient and accessible to more people.
With a history of development over the past 45 years, Vifon has become a prestigious brand in the food industry in Vietnam and many countries around the world. Currently, the brand has a total of 500 agents (20% of the instant food market, of which the South accounts for 60%, and the North 40%).
For three years, Vifon's revenue achieved a changing upward trend. In 2022, the company's revenue reached more than VND 1.7 trillion. Its revenue increased by 30.8% compared to 2021 but decreased by 20.6% compared to 2020. On the contrary, profit after tax climbed continuously from more than VND 9 billion in 2020 to VND 13 billion in 2021. By 2022, this number rose sharply by 138.5%, standing at nearly VND 31 billion.
THIEN HUONG
In 1964, Thien Huong company was established in Cho Lon, Ho Chi Minh City. The company built a factory to produce Vi Huong To MSG with modern lines imported from Japan. Thien Huong became one of the largest food companies in Vietnam and was the first unit to produce instant noodles under the Vi Huong noodle brand.
Based on its more than 50 years of production experience, the company will constantly research, learn, and create new products based on Vietnam's unique culinary culture, bringing flavor experiences, and fresh products such as Vi Huong Noodles, Nhu Y, and Yes Mom brands.
Thien Huong's revenue and profit after tax have the same growth trend. In 2022, revenue achieved nearly VND 1100 billion. This figure fell by about 11.2% the next year, then increased again to nearly VND 1170 billion in revenue in 2022. About profit after tax, Thien Huong reached VND 13.6 billion in 2020. After that, profits decreased to VND 8.8 billion in 2021 and climbed again to more than VND 18 billion in 2022.
SAFOCO
SAFOCO Food Joint Stock Company was born in 1995. On May 1, 2005, it officially operated as a joint-stock company, with charter capital from VND 22 billion going up to VND 120.5 billion, of which the Southern Food Corporation holds 51.3%.
SAFOCO mainly does business in the field of food processing, producing noodles, pasta, vermicelli, and rice paper produced on modern lines, and quality management according to high standards.
For three years, SAFOCO's revenue tended to go down sharply. Specifically, in 2022, the brand's revenue only reached nearly VND 800 billion, down 17.1% compared to the previous year and down 11.2% compared to 2020. However, the brand's after-tax profit tends to increase slightly from nearly VND 47 billion in 2020 to nearly VND 52 billion in 2022.
BICH CHI
Bich Chi Food Joint Stock Company was established in 1966 and has become a leading brand in the field of food processing in Vietnam. With continuous development and innovation, Bich Chi not only creates traditional products such as brown rice flour but also brings to the market many new products such as brown rice porridge with sesame salt, black sesame powder, instant pho, instant noodles, instant vermicelli, rice paper, shrimp chips, meeting diverse culinary needs and contributing to increasing the value of Vietnamese rice grains.
Bich Chi's net revenue and profit after tax fluctuate continuously each year in the period from 2020-2022. Specifically, in 2022, the brand's revenue achieved nearly VND 700 billion, up 36.4% compared to the previous year but down 26.4% compared to 2020. The brand's after-tax profit from more than VND 90 billion in 2020, then decreased to VND 40 billion in 2021 and rose profit to nearly VND 110 billion in 2022.
MILIKET
Colusa Food Joint Stock Company - Miliket was established in 2006 based on the equitization of the merger of Colusa Food Enterprise and Miliket Food Enterprise, directly under the Southern Food Corporation.
The Colusa instant noodle brand - Miliket, established in 1975, continues to be popular with consumers, with its kraft paper noodle package and the image of two shrimp. Nowadays, Colusa-Miliket products have been developed to diversify to include over 60 processed food items with typical Asian flavors such as Chicken, Shrimp and Crab, Pork, Beef, Duck, Mixed, Vegetarian mushroom, Spicy and sour shrimp,...
Miliket's revenue was more than VND 630 billion in 2022. Its revenue increased by 10.5% compared to 2021 and 3.3% compared to 2020. The brand's profits recorded a growth in a three-year downward trend. Regarding profit after tax, in 2020, the brand reached VND 22 billion. Profits then decreased by 35.7% in 2021 before returning to a profit of more than VND 21 billion in 2022.
With the increasing demand for convenience and nutrition in the diet, consumers are not only looking for affordable dry and instant food products but also want a variety of choices and high quality. Therefore, manufacturers need to focus more on product improvement, using high-quality ingredients to meet customer needs for fast food, while still ensuring healthiness and deliciousness. This means that brands should not only provide convenient options but also create the best culinary experiences for consumers.
Source: Vietdata's 2022 Vietnamese Dry and Instant Food Market Report
Comments