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“Vietnam’s beverage manufacturing and import-export industry plays an important role in the national economy and provides many opportunities and challenges for businesses. This report will delve into the analysis of competitive factors, import and export situation, import process, and prospects of this industry.”

Beverage Import Process and Requirements

Overview of the Beverage Manufacturing Industry

• Raw Material Sources and Production Technology

Abundant and diverse raw material sources, combined with low prices, are one of the important factors that help Vietnam’s beverage production industry have a competitive advantage. The country has favorable natural conditions for the cultivation and production of a variety of raw materials, from fresh fruits to herbs and plants. This helps businesses produce diverse products to meet the needs of domestic and export markets.

Production technology in the beverage industry in Vietnam is often simple, easy to transfer and effective. This creates conditions for businesses, especially small and medium-sized enterprises, to participate in the production process without many technological barriers. At the same time, the use of more modern technology is also a plus for businesses that can enhance productivity and product quality.

• Labor Costs 

Labor costs in Vietnam are still low compared to many other countries, which creates cost advantages for beverage manufacturing businesses. Abundant workers and access to vocational training from educational and training institutions also help strengthen production and management capacity in the industry.

• Competition and Challenges

Beverage exports from Vietnam are experiencing a period of significant growth in recent times. Statistical data shows that Vietnam’s beverage export turnover has increased from about 2.7 billion USD in 2010 to about 12.3 billion USD in 2020. This shows the diversity and strength of the beverage manufacturing industry of Vietnam in the international market.

Meanwhile, Vietnam’s beverage import situation has not had major fluctuations. Vietnam still exports a surplus of beverages, which shows the great potential that this industry can exploit in the future. However, with changes in the market and consumer demand, the import and export of beverages by each product group is uneven, especially between the group of enterprises with foreign investment (FDI) and other domestic enterprises.

In the field of soft drinks (non-alcoholic beverages), the market share is mainly in the hands of FDI enterprises

For example, in the field of soft drinks (non-alcoholic beverages), the market share is mainly in the hands of FDI enterprises, domestic enterprises only account for a small market share, mainly in local areas or in some niche products. This may reflect fluctuations in consumer preferences as well as competition between beverage manufacturing and exporting businesses.

It is expected that the growth rate of the ecommerce beverage market in the US will increase to 21.5% by 2025, bringing great opportunities for businesses. This reflects the consumer trend shifting to the online shopping model, and businesses need to pay attention to taking advantage of this opportunity to expand the market and increase sales.

Vietnam’s Beverage Import and Export Situation

• Export of beverages:

Beverage exports from Vietnam are experiencing a period of positive development, especially when approaching markets in the PTPP region such as Japan, Singapore, and Australia, which are all major export markets. This growth reflects extensive connectivity through international trade agreements, opening the door for Vietnamese beverage products in the international market. At the same time, enhancing production capacity and product quality has also played an important role in attracting interest and trust from international trading partners.
A notable point is that Vietnam’s beverage manufacturing industry still maintains strong competitiveness in the international market, with export surplus. This reflects efficiency in resource management and production, as well as diversification and improvement of product quality, helping to enhance the competitiveness of Vietnam’s beverage manufacturing industry.

• Import of beverages:

Vietnam’s beverage import situation has not had major changes recently, with Malaysia still considered the largest beverage import market, followed by Chile, Japan, Singapore, and Australia. Maintaining stable relationships with key trading partners plays an important role in ensuring supply and meeting domestic consumer demand.

Although there are no significant fluctuations, maintaining and developing trade relationships with partner countries is still an important factor to help Vietnam ensure supply and meet domestic consumer demand. At the same time, increased cooperation and development in the industry also creates opportunities for innovation and sustainable development of Vietnam’s beverage manufacturing industry.

Beverage Import Process and Requirements

Beverage Import Process and Requirements

Determine the HS code of beverages: Businesses need to determine the HS code for imported goods, usually based on chapter 22 in Decree No. 125/2017/ND-CP, to ensure compliance with customs and import tax regulations.

Procedures for importing beverages in Vietnam: Procedures for importing beverages in Vietnam are specified in Decree 15/2018/ND-CP. An important part of this is self-declaration of food hygiene and safety and product quality inspection, helping to ensure that the product meets safety and quality standards before being allowed to be imported into Vietnam. .

Self-declaration of food hygiene and safety: Enterprises need to prepare documents for self-declaration of food hygiene and safety including information about products and product standards. This process ensures that the product meets food safety requirements and is safe for consumers.

Check product quality: Before importation, goods need to be quality checked to ensure that they meet quality and safety standards. Businesses need to prepare quality inspection registration documents to ensure that their products are accepted and approved for import.

Prepare goods clearance documents: The goods clearance process requires documents such as commercial invoices, packing slips, bills of lading, customs declarations, certificates of origin and other certifications. Preparing careful and complete documents is very important to ensure the import process goes smoothly and effectively.

Regulations on beverage labels when imported: Label requirements require content that must appear on the label such as quantity, production date, expiration date, ingredients, warnings and instructions for use. This is an important part of the beverage import process to ensure accurate and complete information for consumers.

Do you need detailed advice on the beverage import and export process? Contact King Freight Logistics Vietnam today for a free consultation!