Vietnam livestock market ‘resilient, highly entrepreneurial’: Cargill exec

How do you view the animal nutrition industry’s prospects in 2024?

Vietnam’s livestock market is resilient and highly entrepreneurial. As one of the first companies to introduce additives and complete livestock animal nutrition products to the market nearly three decades ago, we helped local farmers transition from traditional, backyard livestock farming to safer, nutritionally complete products, holistic solutions and modern farming practices.

Market dynamics and the impacts of the African Swine Fever have led to structural changes to animal protein trade flows, integration and consolidation of farm production in the past few years and this trend continues today. Going forward, consumers’ increasing demands and preferences should spur the industry to increase output using more advanced production techniques and feeding programs.

Modernization and professionalization, including in livestock breeds, farming, feeding, disease control, transportation and harvesting, are rapidly accelerating that trend and we will see commercial farms gaining more market shares.

The rapid development of Vietnam’s animal farming industry and sophisticated demands from customers have led Cargill to open a new Provimi Premix plant in southern Vietnam with increased capacity and modern capabilities, fueling the next phase of growth for the industry.

This new plant will drastically improve access to world class feed additives and specialty solutions for Vietnamese livestock (swine, poultry and dairy) and aquaculture farmers, as well as the nation’s feed mills.

What are the challenges that the animal nutrition industry could face in 2024?

While the livestock industry is currently facing headwinds due to a confluence of rapidly evolving factors, we are confident that these challenges are temporary. Cargill remains bullish on Vietnam and its rapidly growing animal farming and agriculture sector. Global headwinds aside, the country has a large population that has a rapidly increasing and rapidly urbanizing middle class, and ultimately that increased market sophistication is reflected in food choices.

Vietnamese people are more and more discerning about the quality of the proteins they demand, and farmers in turn need to service that market. They do that by providing better nutrition for their animals in their farms – and we facilitate this with the highest quality offerings for those stocks, and technologies that will help them push beyond their productivity boundaries.

What does Cargill see as Vietnam's advantages?

Building upon our longstanding collaboration with Vietnamese farmers, we recognize their inherent adaptability and willingness to embrace advancements. Cargill is dedicated to empowering them to meet the evolving demands of the market, encompassing product quality, consumer preferences, and production efficiency, serving both the open livestock market and commercial farms, as well as large-scale enterprises.

Our focus is to assist farmers in maximizing the potential of their herds by enhancing animal absorption of daily intake, improving gut health, fertility, livability and immunity fortification.

At the same time, we provide digital tools that facilitate optimal utilization of feed and feeding strategies, matching animals at distinct growth stages with the appropriate nutrients for their well-being, and accelerating the formulation process by aligning current needs with ingredient availability. Ultimately, these initiatives empower farmers to achieve exceptional animal performance, enhance their farm output, and boost overall profitability.

Vietnam continues to offer solid potential in the short, medium and long terms for the animal nutrition market and we are committed to the success of our customers, including farmers and feed millers.