Foreign retailers comb country for high quality Vietnamese goods

06:07 | 18/09/2020 Trade

(VEN) - Major foreign retailers, including Aeon, Walmart, Central Retail, and MM Mega Market, are experiencing growing demand for high quality Vietnamese goods. They are expected to help Vietnamese products and businesses gradually participate more deeply in the global commodity supply chain.

foreign retailers comb country for high quality vietnamese goods
The MM Mega Market system has huge demand for Vietnamese goods

Great demand

With 20 supermarkets in 15 provinces and cities throughout Vietnam, the MM Mega Market supermarket system has great demand for Vietnamese products, especially farm produce. Tran Kim Nga, Business to Business Development Manager (HoReCa) at MM Mega Market Vietnam, said the firm has signed contracts with farmers in different regions, building a vegetables and fruits purchasing station in the Central Highlands city of Da Lat, a seafood purchasing facility in the Mekong Delta city of Can Tho, and a pork purchasing establishment in Dong Nai Province.

With the Ministry of Industry and Trade’s support, MM Mega Market Vietnam wants to expand its product-purchasing network to northern provinces and the Mekong Delta, Nga said. The group has also signed contracts to export agricultural products to Singapore, Thailand and Hong Kong (China), she added, providing a great opportunity for Vietnamese goods, especially farm produce, to penetrate the MM Mega Market.

Walmart, Aeon, Central Retail, and Lotte also have great demand for Vietnamese products. At an online workshop on connecting Vietnamese businesses with foreign distributors, recently held by the Ministry of Industry and Trade, Deputy Minister of Industry and Trade Do Thang Hai said the need to maintain stable supply chains and retail markets, has become urgent in the context of the complicated Covid-19 pandemic in Vietnam and abroad. This is especially true in the case of essential goods, such as farm produce and foodstuffs and is the reason that the ministry is continuing activities to connect Vietnamese manufacturers with major foreign distributors and retailers, he said.

The Ministry of Industry and Trade has been conducting such workshops for many years to enable Vietnamese goods to penetrate foreign distribution systems, Hai said. The ministry will not only boost exports but also facilitate development of businesses capable of meeting foreign markets’ standards and demand, and connect foreign distributors with Vietnamese localities and enterprises, the deputy minister said.

Sustainable supply

Domestic manufacturers need to have long-term business strategies and ensure product and service quality if they are to increase their products’ presence in foreign distribution systems.

Tomoaki Fukui, senior director of AEON Topvalu product division, said the retailer is seeking to provide safe products and build a complete supply chain from the farm to the dining table. Aeon has imported many products from Vietnam, including Tra fish and agricultural products, demand for which has been growing well in its distribution systems not only in Vietnam but also in many other countries. Despite the pandemic, Aeon exported US$268 million worth of Vietnamese goods in the first six months of this year, with the total for 2020 expected to reach US$500 million, in keeping with the group’s commitment to the Ministry of Industry and Trade, he said.

Tran Kim Nga, Business to Business Development Manager (HoReCa) at MM Mega Market Vietnam, said the company not only provides products to individual customers but also restaurants, canteens, hotels, and industrial kitchens. Suppliers of MM Mega Market must ensure product quality to meet market demand, Nga said.

Phuong Lan