Foreign Groups Expand Production and Market Share in Vietnam’s Confectionery Sector

Foreign companies lead major categories

Foreign-invested companies are strengthening their positions across Vietnam’s confectionery industry, combining established brands with domestic manufacturing, local product development and access to international distribution networks. Their presence covers sweet biscuits, baked goods, savory snacks, sugar confectionery and chocolate, although the level of concentration differs by category.

Euromonitor data cited by VietnamFinance indicate that the three leading companies in sweet biscuits, snack bars and fruit snacks are expected to account for a combined 44% of Vietnamese retail value in 2026. Mondelez Kinh Do Vietnam leads with about 20%, followed by Mayora Vietnam at 13% and Kaldu Sari Nabati Indonesia at 11%.

Savory snacks are similarly concentrated. Orion Vina, Mondelez Kinh Do Vietnam and Liwayway Food Industry are projected to represent around 46% of retail value in 2026. Orion Vina alone holds approximately 19%, up from 17% in 2021. In baked goods, Mondelez Kinh Do Vietnam ranked first in 2025 and Orion Vina second, according to Euromonitor.

Factories anchor long-term investment

Sugar confectionery remains more fragmented. Euromonitor forecasts Perfetti Van Melle as the category leader in 2026 with around 12% of retail value, while Long Hai holds 10% and Triko Foods 9%. The figures show that leadership in one product group does not automatically translate into the same position elsewhere in the market.

Several foreign manufacturers have operated in Vietnam for decades. Mondelez Kinh Do runs two plants, in Ho Chi Minh City and Hung Yen, serving domestic demand and export product lines. Orion entered Vietnam in 2005, built its My Phuoc facility in 2006 and added the Yen Phong plant in Bac Ninh in 2009. Perfetti Van Melle has operated in the country since 1995. Its Di An plant in Ho Chi Minh City has a licensed confectionery capacity of 60,000 tonnes a year.

These facilities demonstrate that foreign participation extends beyond imports and distribution. Local factories connect Vietnamese operations with wider corporate networks, while investment in plant scale, technology and supply chains can help manufacturers manage costs and support exports.

Local R&D responds to changing demand

Competition is increasingly shaped by health and nutrition concerns, packaging formats and distribution strategy. Euromonitor reports that health considerations are influencing product development in biscuits, snack bars and other snacks. E-commerce continues to grow, but traditional grocery stores remain important to snack distribution.

Jeong Jong Yeon, deputy general director and marketing director of Orion Vina Food, told VietnamFinance that Vietnamese consumers are paying greater attention to ingredients and nutritional value. Orion maintains an R&D team in Vietnam that combines consumer data, market research and product testing. Some locally developed products use ingredients or flavors adapted to Vietnamese preferences, and Orion says certain products researched in Vietnam have subsequently been exported.

Input costs remain a constraint

Sugar, wheat flour, milk and oil prices can affect food manufacturing costs, Jeong said, while Euromonitor identified higher cocoa prices as a source of pressure on Vietnam’s chocolate segment. Capacity expansion therefore depends not only on demand but also on cost control and operating efficiency.

Orion is continuing to invest in production capacity at Yen Phong. The group reported Vietnamese revenue of 514.5 billion won in 2025, up 8.2% from the previous year, while operating profit rose 14.4% to 100.1 billion won. Group-wide consolidated revenue reached 3,332.4 billion won, an increase of 7.3%, and operating profit rose 2.7% to 558.2 billion won. For domestic competitors, the challenge is no longer limited to shelf space: they face foreign groups with local factories, market-specific R&D and the ability to distribute products beyond Vietnam.