Vietnam Aquatic Feed Market By Feed Type (Fish, Mollusks, Shrimps, Others), By Form (Dry, Wet), By Region, Competition, Forecast & Opportunities, 2020-2030F

 Market Overview

Vietnam Aquatic Feed Market was valued at USD 377.85 Million in 2024 and is anticipated to grow USD 618.31 Million by 2030 with a CAGR of 8.55%. Vietnam's aquatic feed market is witnessing steady growth, driven by the country's expanding aquaculture industry, which is among the largest globally. With increasing demand for seafood exports, especially shrimp and pangasius, there is a rising need for high-quality, nutritionally balanced aquatic feed to ensure healthy and fast-growing stocks. Government support, technological advancements in feed formulation, and growing investments from both domestic and international players are further fueling market development. The trend toward sustainable and eco-friendly feed options, including the use of plant-based proteins and probiotics, is gaining traction.

Key Market Drivers

Expansion of Aquaculture Industry in Vietnam

One of the primary drivers of Vietnam’s aquatic feed market is the rapid expansion of its aquaculture industry. Vietnam is among the world’s top exporters of seafood, with shrimp and pangasius (catfish) being the two most significant species cultivated in the country. The Vietnamese government has prioritized aquaculture as a critical sector for economic development, resulting in improved farming techniques, increased area under aquaculture cultivation, and rising production volumes. Vietnam is the world’s leading producer and exporter of pangasius, contributing 52% to global production and accounting for 90% of international trade in the species. In 2023, global pangasius output totaled 3.1 million tons, with projections indicating a rise to 3.2 million tons in 2024. As fish and shrimp farming continue to grow, the demand for commercial aquatic feed has surged to ensure better productivity and consistency in output. This growth is particularly noticeable in the Mekong Delta region, which is a hub for aquaculture activities. The rising need to cater to export markets with stringent quality standards also pushes farmers toward scientifically formulated feeds that enhance growth rates, feed conversion ratios (FCR), and disease resistance. The structural shift from traditional, home-mixed feed to industrially produced compound feed has led to a significant rise in feed consumption, positively impacting the aquatic feed market in Vietnam.

Rising Demand for High-Quality and Functional Feeds

With the growing emphasis on sustainable aquaculture and improved productivity, there is an increasing demand in Vietnam for high-quality and functional aquatic feeds. Under Vietnam’s national Fisheries Development Strategy to 2030, aquaculture output is projected to increase at an annual rate of 2.4% (2021–2025)  indicating steady growth in aquaculture production and supporting demand for specialized feeds. Feed quality plays a crucial role in fish health, growth rate, immunity, and overall yield, especially in intensive farming systems where disease outbreaks and environmental stressors are prevalent. Farmers are gradually shifting from quantity-based to performance-oriented feeding strategies, seeking feeds enriched with vitamins, minerals, amino acids, and other bioactive ingredients that can enhance the health and resilience of aquatic animals. In particular, the use of probiotic-enriched and immune-boosting feed formulas has gained momentum, driven by the need to reduce antibiotic use and align with global export market regulations. International buyers, especially from Europe and North America, demand chemical-residue-free and traceable aquaculture products, encouraging Vietnamese farmers to adopt better feed practices. This evolving feed preference is fostering innovation among local feed producers and attracting foreign companies to introduce advanced feed technologies into the Vietnamese market.

Technological Advancements and Innovation in Feed Production

Technological advancement in feed formulation and manufacturing has significantly influenced the growth of the aquatic feed market in Vietnam. Between 2018 and 2023, Vietnam’s seafood production grew from 7.7 million tons to 9.3 million tons, marking a 20% increase. Aquaculture made up 58% of the total output, while fishing contributed the remaining 42%. The shift toward automation, precision nutrition, and novel feed ingredients is helping feed producers improve product efficiency, reduce wastage, and ensure better nutrient availability. Innovative processing technologies such as extrusion and microencapsulation have improved the stability and digestibility of aquatic feeds. Furthermore, research and development efforts have led to the integration of alternative protein sources—such as insect meal, algae, and plant-based proteins—as sustainable substitutes for traditional fishmeal and fish oil, which are expensive and subject to supply volatility. The development of species-specific and stage-specific feeds for shrimp, tilapia, pangasius, and other cultured fish has enhanced feed conversion efficiency and minimized environmental impacts. With the increasing penetration of smart aquaculture practices and real-time feed management systems, farmers are now more equipped to monitor feed usage and optimize feeding schedules, leading to higher feed uptake and reduced costs. These technological trends are reshaping Vietnam’s aquatic feed landscape and providing new growth opportunities for industry stakeholders.

Supportive Government Policies and Foreign Investments

Government policies and international investments have played a crucial role in driving the aquatic feed market in Vietnam. The Vietnamese government has launched several initiatives under its Fisheries Development Strategy and Aquaculture Development Plans to support sustainable aquaculture practices, including quality feed production. Subsidies, favorable tax policies, and funding for research projects in aquafeed and aquaculture have provided the industry with a stable foundation to expand and modernize. The government also collaborates with international organizations and private players to enhance feed standards, food safety, and traceability systems, in line with global export market requirements. In addition, foreign direct investment (FDI) from multinational feed companies like Cargill, Skretting, and De Heus has accelerated the introduction of modern technologies and know-how into Vietnam’s aquafeed sector. These companies are establishing advanced feed mills, R&D centers, and distribution networks, helping improve feed availability and quality across the country. The presence of global players also promotes competition, encouraging local firms to enhance their product offerings and manufacturing capabilities. As Vietnam continues to integrate further into international trade systems, the alignment of government policies and foreign investment will remain a critical driver of its aquatic feed market’s long-term growth.

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Key Market Challenges

Dependence on Imported Raw Materials and Price Volatility

One of the major challenges facing Vietnam’s aquatic feed market is the high dependence on imported raw materials, especially fishmeal, fish oil, soybean meal, and corn. These key inputs are critical for producing nutritionally balanced feed for fish and shrimp. However, Vietnam lacks sufficient domestic production of these resources, making the industry vulnerable to global supply chain disruptions and international price fluctuations. The rising cost of imported ingredients—driven by global demand-supply imbalances, geopolitical tensions, and climate-induced supply constraints—directly affects the profitability of feed manufacturers and the affordability for local farmers. In times of price spikes, feed producers are forced to either raise prices or compromise on nutritional content, both of which negatively impact the aquaculture industry. Additionally, currency exchange rate volatility further complicates cost structures for feed producers relying heavily on imports. The challenge is compounded by limited domestic R&D investment in alternative feed ingredients such as insect protein or algae-based meals, which could reduce dependence on costly imports. Without a strong strategy for localized raw material sourcing or the development of sustainable substitutes, Vietnam’s aquatic feed sector remains exposed to significant financial and operational risks.

Environmental and Regulatory Pressures

Environmental degradation and tightening regulatory frameworks are increasingly becoming obstacles for the aquatic feed market in Vietnam. The aquaculture sector, while economically important, is often associated with issues such as water pollution, disease outbreaks, and overuse of antibiotics—many of which are linked to improper feed practices. To address these concerns, the Vietnamese government has begun enforcing stricter environmental regulations and quality standards for aquaculture operations and feed manufacturing. While these changes are necessary for sustainability and export competitiveness, they also create compliance burdens, especially for small and medium-sized feed producers that lack the resources or technical expertise to upgrade their processes. Non-compliance can lead to penalties, factory closures, or disqualification from export supply chains, all of which threaten market stability. Additionally, as global importers implement increasingly stringent food safety and sustainability standards, the pressure on feed producers to ensure traceability, residue-free ingredients, and environmentally responsible production is mounting. Meeting these evolving requirements demands significant investments in technology, training, and certification, which many local firms find challenging to afford or implement quickly. This regulatory environment, though well-intentioned, poses substantial hurdles for the growth and modernization of Vietnam’s aquatic feed market.

Fragmented Market and Uneven Access to Quality Feed

The Vietnamese aquatic feed market is highly fragmented, with a mix of large multinational players, domestic producers, and a significant number of small-scale, informal feed makers. This fragmentation leads to wide disparities in feed quality, pricing, and accessibility across different regions. While major producers like Cargill, De Heus, and Skretting offer high-performance feeds with reliable nutritional content and technical support, many smaller or local suppliers flood the market with lower-cost products that may not meet quality standards. This inconsistency affects farmer trust and productivity, as poor-quality feed can result in stunted growth, disease susceptibility, and higher mortality rates. Additionally, access to premium feeds remains limited in remote or underdeveloped areas where supply chain infrastructure is weak. Smallholder farmers, who make up a large portion of Vietnam’s aquaculture sector, often lack the financial means to purchase better-quality feed or are unaware of its long-term benefits. This uneven market structure creates inefficiencies and hampers the widespread adoption of modern feed practices. Without effective distribution networks, knowledge-sharing platforms, and supportive financial schemes, many farmers continue to rely on substandard or homemade feeds, constraining the overall potential of the aquatic feed industry in Vietnam.

Key Market Trends

Shift Toward Sustainable and Eco-Friendly Feed Formulations

A key trend shaping the Vietnam aquatic feed market is the increasing shift toward sustainable and environmentally friendly feed formulations. Growing global scrutiny over environmental impacts of aquaculture, coupled with stricter regulations and consumer awareness, is pushing feed producers to adopt greener practices. Traditional aquatic feed often relied heavily on fishmeal and fish oil, sourced from wild-caught fish, which raised concerns about marine ecosystem depletion. To address this, manufacturers are increasingly investing in alternative protein sources such as insect meal, algae-based proteins, microbial proteins, and plant-based ingredients like soybean, rice bran, and canola. These substitutes not only reduce dependence on ocean resources but also align with global sustainability goals. Additionally, producers are incorporating probiotics, enzymes, and organic minerals to enhance digestibility and reduce waste discharge into aquatic environments. Such innovations contribute to improved feed conversion ratios (FCR) and minimize water pollution, making aquaculture more sustainable. As Vietnamese exporters aim to meet the environmental and social standards of key markets like the EU, U.S., and Japan, the demand for eco-certified and sustainably produced feed is expected to increase significantly, driving innovation and long-term transformation in the aquatic feed sector.

Rising Adoption of Precision Nutrition and Species-Specific Feeds

Another prominent trend in Vietnam’s aquatic feed market is the growing adoption of precision nutrition and species-specific feeds. As the aquaculture sector matures, the focus is shifting from generic feed to customized nutrition tailored to different species, life stages, and farming environments. Precision nutrition leverages scientific data to formulate feeds that meet the exact dietary requirements of specific aquatic species, thereby improving feed utilization, growth performance, immunity, and overall health. This approach reduces feed wastage and enhances profitability for farmers. For example, shrimp farming now involves specially designed feeds that cater to different growth phases—starter, grower, and finisher—to maximize yield and survival rates. Likewise, pangasius and tilapia farmers are increasingly using feeds tailored for their metabolic needs and feeding behavior. The advancement of feed formulation technologies, such as microencapsulation and floating pellet techniques, further supports the trend by allowing controlled nutrient delivery. Vietnamese feed producers and multinational companies are investing in research and development to create advanced feed solutions that not only boost efficiency but also ensure compliance with international quality and sustainability standards. This trend is expected to gain traction as farmers seek more precise, cost-effective, and performance-driven feeding strategies.

Integration of Digital and Smart Aquaculture Technologies

The integration of digital and smart aquaculture technologies into the aquatic feed value chain is emerging as a transformative trend in Vietnam. With the rise of Industry 4.0 and the digitalization of agriculture, Vietnamese aquaculture operations are increasingly adopting tools such as automatic feeders, sensor-based monitoring systems, and mobile-based farm management applications. These technologies enable farmers to track water quality, animal behavior, and feeding patterns in real time, allowing for optimized feeding schedules and reduced wastage. Automated feeding systems help in delivering feed precisely, reducing overfeeding and minimizing environmental impact. Some advanced systems also analyze consumption data and recommend feed types and quantities based on growth models and environmental parameters. Additionally, digital traceability platforms are being used to record feed sourcing, usage, and nutritional details—meeting growing demands for transparency from global buyers. International and local feed companies are partnering with tech startups and research institutions to provide smart feeding solutions, especially to commercial-scale farmers. As these digital tools become more accessible and affordable, their adoption is expected to rise, improving feed efficiency, lowering costs, and enhancing sustainability across the aquaculture supply chain in Vietnam.

Growing Role of Foreign Investment and Strategic Partnerships

Foreign investment and strategic partnerships are playing an increasingly vital role in shaping the trends of Vietnam’s aquatic feed market. Multinational companies such as Cargill, De Heus, Skretting, and CP Group have established a strong presence in the country through advanced feed mills, research centers, and farmer support services. These players bring global expertise, technological innovation, and high-quality product lines to Vietnam, elevating industry standards and introducing best practices. Strategic collaborations between foreign firms and local producers are also promoting knowledge transfer and capacity building. For instance, joint ventures are helping local companies upgrade their production processes, improve quality control, and expand distribution networks. Moreover, foreign companies are actively involved in educating Vietnamese farmers on feed usage, farm management, and sustainability practices. This trend is further supported by Vietnam’s favorable investment climate, strategic location in Southeast Asia, and the government's commitment to developing a sustainable aquaculture sector. As Vietnam’s seafood exports continue to grow, these partnerships will be critical in meeting international market requirements for quality, safety, and sustainability. Consequently, the role of foreign investment is expected to expand further, shaping innovation, competitiveness, and long-term growth in the aquatic feed market.

Segmental Insights

Feed Type Insights

The shrimp segment is the fastest-growing category in Vietnam's aquatic feed market, driven by the country's strong presence in global shrimp exports. Vietnam is a major supplier of shrimp to high-demand markets such as the United States, Japan, and the European Union, prompting increased investments in shrimp farming. The shift toward intensive and super-intensive shrimp farming practices has significantly boosted the demand for high-quality, protein-rich, and species-specific feed formulations. Farmers are increasingly adopting commercial feeds that promote faster growth, higher survival rates, and better disease resistance. Moreover, government initiatives supporting sustainable shrimp production and stricter quality standards from export markets are encouraging the use of scientifically developed feed. These factors collectively make shrimp farming the most dynamic growth driver in Vietnam’s aquafeed industry.

Form Insights

The wet feed segment is emerging as the fastest-growing category in Vietnam’s aquatic feed market, driven by its high palatability, moisture content, and superior digestibility for species like catfish and shrimp. Wet feed is particularly favored in intensive aquaculture systems, especially in the Mekong Delta, where large-scale farming operations require efficient and cost-effective feeding solutions. Its ability to promote rapid weight gain and reduce feed conversion ratios (FCR) makes it highly attractive to farmers aiming for high productivity. Additionally, advancements in feed preservation, storage, and transportation technologies are addressing previous challenges associated with wet feed logistics. As more farmers shift from traditional or dry feed options to wet feed for better performance, this segment is experiencing significant and sustained growth across Vietnam.

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Regional Insights

Southern Vietnam was the dominating region in the country’s aquatic feed market, primarily due to the presence of the Mekong Delta, which is the epicenter of aquaculture activity. This region accounts for the majority of Vietnam’s shrimp and pangasius (catfish) production, both of which are major consumers of commercial aquatic feed. Favorable climatic conditions, an extensive river network, and developed aquaculture infrastructure make Southern Vietnam ideal for intensive and semi-intensive fish and shrimp farming. The area also hosts numerous feed mills, hatcheries, and processing plants, ensuring a robust supply chain for the aquafeed industry. As a result, feed consumption in Southern Vietnam significantly surpasses that of other regions, firmly establishing it as the dominant force in the nation’s aquatic feed market.

Recent Developments

• China’s Yuehai Group, in May 2024, began construction of a USD 19.80 million aquafeed plant in Vĩnh Long with an initial annual capacity of 100,000 tonnes (30 kT shrimp feed, 70 kT fish feed.
• In 2024, C.P. Vietnam Livestock JSC signed an MoU with Vietnam’s MARD-backed PSAV program, launching a formal public-private partnership to develop sustainable agricultural systems—encompassing training in feed & farm management, transparency, and empowerment of local cooperatives.
• In 2024, Cargill, in collaboration with ASSIST and local authorities, launched the Green Aqua project in Cà Mau to train over 300 shrimp farmers on ASC-standard feed usage, waste management, and sustainability—targeting 30% reduction in wastewater and 20% lower nutrient emissions by 2025.

Key Market Players

• Archer Daniels Midland Co.
• Cargill Vietnam Ltd.
• Nutreco International (Vietnam) Ltd.
• BASF Vietnam Co. Ltd - Chi Nhánh Bình Dương
• Biomin Vietnam Co., Ltd
• INVE Aquaculture Inc.
• Anvet Pharma Jsc
• GreenFeed Vietnam Corp
• De Heus Vietnam
• Alltech Inc.

Report Scope:

In this report, the Vietnam Aquatic Feed Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Vietnam Aquatic Feed Market, By Feed Type:

o   Fish

o   Mollusks

o   Shrimps

o   Others

• Vietnam Aquatic Feed Market, By Form:

o   Dry

o   Wet

• Vietnam Aquatic Feed Market, By Region:

o   Northern Vietnam

o   Southern Vietnam

o   Central Vietnam

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Vietnam Aquatic Feed Market.

Available Customizations:

Vietnam Aquatic Feed Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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