Viet Nam’s seafood industry aims to effectively tap into domestic market

Therefore, effectively tapping into the domestic market of over 100 million people has become a sustainable development strategy for seafood companies, particularly amid uncertainties in global trade.

Many Vietnamese seafood companies are endeavouring to conquer the home market through multiple distribution channels.

General Director of Seaspimex Nguyen Kim Hau stated that the company is working to conquer the domestic market; as profit margins are larger than those in export markets, cash flow recovery is faster, and growth potential remains substantial.

Currently, the company is producing numerous products that suit the income and preferences of Vietnamese consumers, aiming to balance domestic and export revenue.

Huynh Minh Tuong, Vice Chairman of the Viet Nam Association of Seafood Exporters and Producers (VASEP), also stated that the domestic market is increasingly reinforcing its strategic role in seafood enterprises’ development objectives.

Developing the domestic market is not merely a contingency measure, but also an important development direction, helping to reduce dependence on exports, enhance competitiveness, and bring long-term value to both enterprises and consumers.

As the income of Vietnamese consumers has improved, demand for quality seafood products that are safe and have traceable sources is rising. This presents an opportunity for enterprises with strengths and experience serving high-end export markets to target domestic consumers with internationally standardised products.

The domestic market is increasingly reinforcing its strategic role in seafood enterprises’ development objectives.

VASEP Vice Chairman Huynh Minh Tuong

However, in reality, many reputable seafood exporters are struggling to compete on home turf. One of the reasons is that the seafood market lacks transparency regarding quality. Many products manufactured using modern technology and achieving international certifications cannot compete on price with products from factories with low capital investment using second-grade raw materials.

Moreover, the mentality of preferring foreign goods, believing that they have higher quality, presents an obstacle for the Vietnamese seafood industry in its efforts to exploit the domestic market.

According to economic experts, having identified the importance of the domestic market, not merely as a “safe haven” when global trade is unstable, enterprises need to change their mindset from viewing it as a place to consume surplus export products.

To win over domestic consumers, enterprises need to concentrate resources on building sustainable development strategies from product research, packaging design, and advertising, to the establishment of suitable distribution networks.

Le Van Quang, General Director of Minh Phu Seafood Corporation, shared that to differentiate, the company has invested in more premium product lines such as ecological shrimp or using offshore seawater for shrimp farming with new technology, requiring substantial investment and higher costs, but with higher quality output.

Seaspimex also stated that the company is actively diversifying products to penetrate traditional markets and grocery shops, hoping consumers can enjoy high-quality dishes made from domestic ingredients.

Tran Huu Linh, Director of the Domestic Market Management and Development Department under the Ministry of Industry and Trade, stated that the government has directed the ministry to develop a domestic market stimulus plan, focusing on increasing the proportion of Vietnamese goods, including seafood, in distribution and retail systems.

To achieve this, the ministry is actively working with relevant units to connect producers with markets, and support links in the industry chain.

Taking advantage of the market of more than 100 million people and achieving victory on home turf is the long-term strategic direction for Viet Nam’s seafood industry.

Link to the original article