Milk consumption in Vietnam has seen rapid growth over the past few decades due to changing dietary habits and increasing health awareness–milk has become an essential component of Vietnamese diets, especially for the younger population.
Vietnam’s dairy industry has expanded significantly to meet this growing demand, with contributions from both domestic production and imports. Local companies like Vinamilk and TH True Milk dominate the market, alongside international brands such as Dutch Lady and Nestlé.
Government initiatives have also played a crucial role in boosting local milk production and reducing reliance on imports. The demand for a variety of dairy products, including fresh milk, yogurt, and powdered milk, is expected to continue rising, driving further growth and innovation in the Vietnamese milk industry
Milk in Vietnam in numbers
The milk market in Vietnam has grown exponentially in recent years. This is to the point that Vietnam is importing hundreds of millions of dollars of milk and milk products each year.
Milk in Vietnam, imports, August 2024
| August | July | Change | YTD | |
| Armenia | 0 | 0 | 0.00% | 22,300 |
| Australia | 14,351,293 | 12,669,199 | 13.28% | 81,710,191 |
| Belgium | 238,143 | 1,637,699 | -85.46% | 6,092,279 |
| Denmark | 488,503 | 697,529 | -29.97% | 3,764,510 |
| France | 4,738,322 | 6,696,489 | -29.24% | 30,521,501 |
| Germany | 4,741,630 | 4,142,180 | 14.47% | 30,316,929 |
| Ireland | 4,577,518 | 3,798,917 | 20.50% | 32,560,726 |
| Japan | 5,527,613 | 1,375,009 | 302.01% | 35,790,815 |
| Lithuania | 312,014 | 544,180 | -42.66% | 5,567,145 |
| Malaysia | 6,173,468 | 6,016,591 | 2.61% | 40,255,476 |
| Netherlands | 5,025,933 | 3,331,161 | 50.88% | 24,228,137 |
| New Zealand | 24,588,491 | 26,057,700 | -5.64% | 191,844,710 |
| Philippines | 0 | 0 | 0.00% | 222,122 |
| Poland | 2,919,290 | 3,180,756 | -8.22% | 19,273,285 |
| Singapore | 5,746,396 | 3,957,799 | 45.19% | 31,638,416 |
| South Korea | 2,041,291 | 1,833,649 | 11.32% | 12,508,229 |
| Spain | 836,288 | 1,084,412 | -22.88% | 7,065,948 |
| Switzerland | 1,893,212 | 1,775,053 | 6.66% | 14,751,928 |
| Thailand | 6,421,298 | 4,969,752 | 29.21% | 38,196,578 |
| USA | 12,005,239 | 10,054,386 | 19.40% | 91,170,951 |
| Other | 6,230,903 | 7,698,229 | -19.06% | 46,861,086 |
| Total | 108,856,845 | 101,520,690 | 7.23% | 744,363,262 |
Source: Vietnam Imports Tracker
Vietnam’s Milk Businesses: Key Players
Vinamilk
Vinamilk is the largest and most influential player in Vietnam’s dairy industry. Established in 1976, the company has grown to become a household name, offering a wide range of products including fresh milk, powdered milk, yogurt, and cheese in Vietnam. Vinamilk’s strong market presence is supported by its extensive distribution network, modern production facilities, and a commitment to quality. The company has also been actively expanding its footprint internationally, exporting products to over 50 countries. Vinamilk’s focus on innovation and product diversification has solidified its position as the leading brand in Vietnam’s dairy market.
TH True Milk
TH True Milk is another prominent player in the Vietnamese dairy industry, known for its emphasis on high-quality, organic dairy products. Founded in 2009, the company quickly gained a reputation for using advanced technology and sustainable practices in its production processes. TH True Milk offers a variety of fresh milk, yogurt, and dairy beverages, and is particularly recognized for its organic milk range. The company has made significant investments in large-scale dairy farms and processing facilities, aiming to reduce Vietnam’s reliance on imported dairy products and promote self-sufficiency in milk production.
Dutch Lady (FrieslandCampina)
Dutch Lady, part of the FrieslandCampina group, is a leading international brand in Vietnam’s dairy sector. With a presence in the country since the early 1990s, Dutch Lady has become a trusted name for families, offering a range of products such as powdered milk, fresh milk, and yogurt in Vietnam. The brand focuses on nutrition and growth for children, often emphasising its long-standing expertise in the dairy industry. Dutch Lady’s commitment to corporate social responsibility, including educational initiatives and community support, has helped it build a strong relationship with Vietnamese consumers.
Nestlé
Nestlé is a key international player in Vietnam’s dairy market, offering a diverse portfolio of products that includes infant formula, condensed milk, and powdered milk. The company has established a strong presence in the country through its popular brands like Milo, Nido, and Lactogen. Nestlé’s focus on innovation, nutrition, and sustainability has resonated well with Vietnamese consumers, particularly in the areas of child nutrition and health. The company continues to invest in local production facilities and community programs, reinforcing its commitment to the Vietnamese market.
Moc Chau Milk
Moc Chau Milk, based in the mountainous region of northern Vietnam, is one of the oldest and most established dairy companies in the country. Known for its high-quality fresh milk and dairy products, Moc Chau Milk has a loyal customer base and a strong regional presence. The company prides itself on its traditional farming methods combined with modern production techniques. It has been expanding its product range and market reach, positioning itself as a key player in the domestic dairy industry while maintaining a focus on sustainable and ethical production practices.
These key players dominate Vietnam’s dairy industry, each contributing to the sector’s growth and development through innovation, quality, and strategic expansion. Their efforts are helping to shape the future of the dairy market in Vietnam, catering to the evolving needs of consumers and supporting the country’s economic growth.
Box 1: Importing milk products into Vietnam
Importing dairy products into Vietnam for foreign firms can be tricky. Not only are there a number of technical and legal requirements that need to be met, but a myriad of free trade agreements has made navigating tariffs and trade restrictions complex.
Understanding the nuances of importing dairy products into Vietnam, including how to find a distributor, establish a trading company, and customs procedures, before attempting to access Vietnam’s 100 million-strong consumer market, can make the difference between a foreign firm’s success or failure. Read more…
Popular milk products in Vietnam
Fresh Milk
Vinamilk 100% Fresh Milk: Available in various types, including whole, low-fat, and organic options.
TH True Milk Organic Fresh Milk: Known for its high-quality organic milk sourced from TH’s own farms.
Moc Chau Milk Fresh Milk: Offers fresh milk products with a focus on traditional and sustainable farming practices.
Powdered Milk
Vinamilk Dielac Grow: A popular formula for children, supporting growth and development.
Dutch Lady Complete: A formula designed for children aged 2 and above, focusing on balanced nutrition.
Nestlé NAN Optipro: A well-known infant formula with a focus on easy digestion and optimal growth.
Yogurt
Vinamilk Probi Yogurt: A probiotic yogurt range that promotes digestive health, available in various fruit flavours.
TH True Yogurt: Offers a variety of traditional and Greek-style yogurts, including organic options.
Dutch Lady Drinking Yogurt: A convenient on-the-go option available in multiple flavours like strawberry and blueberry.
Drinking Yogurt
Vinamilk Yomost: A fruity drinking yogurt popular among younger consumers, available in flavours like mango, lychee, and strawberry.
TH True Yogurt Drink: Available in plain and flavoured varieties, emphasising natural ingredients and health benefits.
Condensed Milk
Vinamilk Ong Tho Sweetened Condensed Milk: A staple in Vietnamese households, commonly used in coffee and desserts.
Nestlé La Vie Sweetened Condensed Milk: Another popular choice for making traditional Vietnamese coffee and various sweet dishes.
Infant and Growing-Up Milk
Vinamilk Optimum Gold: A premium formula for infants and toddlers, designed to support brain development and immunity.
Dutch Lady Gold Step 3: A growing-up milk formula for children aged 1-3 years, focusing on nutritional balance.
Nestlé Lactogen: A well-known infant formula brand that promotes healthy growth and digestion.
These specific products and brands are among the most recognized and trusted in the Vietnamese dairy market, catering to a wide range of consumer needs and preferences.
What’s next?
The future of Vietnam’s milk industry looks promising, with several key trends and opportunities poised to shape its development. As Vietnam’s food and beverage industry expands and the demand for dairy products continues to rise, driven by increasing health awareness and disposable incomes, the industry is expected to experience further expansion and innovation.
One major focus for the industry is the shift towards higher-quality and value-added products. There is a growing consumer preference for organic, fortified, and functional dairy products that offer additional health benefits. Companies are likely to invest more in research and development to create new product lines that cater to these evolving consumer demands, such as lactose-free milk, probiotic yogurts, and dairy-based beverages enriched with vitamins and minerals.
With this in mind, to keep abreast of what’s happening in Vietnam’s milk market, foreign milk producing professionals should make sure to subscribe to the-shiv.