A rapidly growing economy
Vietnam’s rapid economic growth presents a substantial opportunity for Australian grain. By 2030, Vietnam’s middle class is set to grow from 10 million to 36 million. Vietnam’s young population is central to its growth, with over 60% under 30 years old. This is resulting in rapid changes in consumption patterns, most notably in the increased of baked goods with demand for bread and noodles made from premium Australian wheat set to increase 44% by 2030.
Similarly, Vietnam’s economic development is projected to lead to increased meat consumption. While locally grown corn and imported soybean meal are the mainstay of the Vietnamese feed industry, to keep pace with increased demand Vietnam will also need to import alternative feed ingredients to supplement local corn production. Australian wheat, barley, sorghum, canola meal and lupin seed are ideally placed to be incorporated into a range of Vietnamese feed applications.
Opportunities in sustainable grains
Provenance and sustainability are growing in importance amongst middle class consumers in Vietnam. There is strong local demand for businesses to take responsibility for their actions and demonstrate active engagement with
sustainability issues via transparent reporting practices. Other countries, such as Japan, are taking ownership of sustainability reporting to meet this need in the growing Vietnamese market. The Grains Sustainability Framework is a good example of how GrainGrowers can support industry in meeting the changing expectations of our consumers.
Vietnamese consumers are as demographically and attitudinally segmented as any market, therefore a ‘one size fits all’ approach is not suitable for marketing Australian grain to Vietnam. The development and execution of a wellconsidered business strategy will be important in order to successfully capitalise on Vietnamese market opportunities. The great news for Australian growers is that we are a known and trusted trading partner in Vietnam. Our ability to deliver quality products sustainably means we are ideally positioned to deliver into not just Vietnam but markets throughout the region.
GrainGrowers will be hosting more grower delegations in the future to keep our fingers on the pulse when it comes to vital markets around the world.