Export markets expanded through e-commerce platforms

Products from food and foodstuff enterprises are displayed at the showroom of the Ho Chi Minh City Investment and Trade Promotion Centre.

The year 2024 has seen a significant boom in global e-commerce, especially in Southeast Asia. Vietnam has maintained impressive growth, with an annual increase of 18-25%, placing it among the top 10 fastest-growing e-commerce markets worldwide and driving digital economic development. Vietnam’s e-commerce market surpassed 25 billion USD in 2024, marking a 20% increase from 2023 and accounting for approximately 9% of the country’s total retail sales and service revenue. However, the food and agricultural sector still faces challenges in cross-border e-commerce, mainly due to the small-scale production of many enterprises, which struggle to meet strict international export standards and the criteria set by major e-commerce platforms.

Deputy Director of the Ho Chi Minh City Investment and Trade Promotion Centre Ho Thi Quyen, emphasised that e-commerce plays a crucial role in business digital transformation. It optimises business processes, expands market reach, and enhances competitiveness. In 2025, digitalisation will continue to shape global markets, providing opportunities for Vietnamese businesses to integrate more deeply into international supply chains. The combination of technology, big data, and artificial intelligence (AI) on e-commerce platforms allows businesses to reach customers faster and improve operational efficiency. Leveraging e-commerce is a strategic move for businesses to seize opportunities in the digital era.

Statistics show that the global food and beverage industry is the largest consumer goods sector, with a market size of 8.21 trillion USD in 2022, projected to reach 9.1 trillion USD by 2025. The digital economy and e-commerce are playing vital roles in driving export growth for Ho Chi Minh City and Vietnam. These two sectors offer new opportunities for businesses to expand their international markets and increase export revenues. Vietnam's digital economy accounted for 18.3% of GDP in 2024, with projections exceeding 20% in 2025 and reaching 30-35% by 2030.

Experts highlight that e-commerce helps businesses reduce transaction costs, improve production efficiency through automation, shorten production cycles, enhance product quality, and strengthen supply-demand connections. However, to succeed in cross-border e-commerce, businesses must improve product quality and standards to meet market demands while developing effective distribution strategies and customer service policies.

Young Liu, Country Director of Alibaba.com Vietnam, noted that Vietnam is rapidly emerging as a key player in global trade, thanks to its skilled workforce and dynamic entrepreneurial spirit. With thriving industries such as furniture, food and beverage, and textiles, Vietnam is becoming a strategic market for Alibaba.com. In 2025, Alibaba.com will implement three key strategies to support Vietnamese exporters including utilising digital and AI tools like Smart Assistant to enhance business efficiency,

expanding global supply chains with a focus on upgrading supply chains and logistics solutions tailored for Vietnam and strengthening support for Vietnam’s key export industries.

To help businesses in Ho Chi Minh City expand their export markets, the city has launched various trade promotion activities in 2024. These include showcasing potential products, hosting industry conferences, building brand development strategies, and connecting domestic enterprises with international buyers. Notably, the city has organised 79 domestic and international trade promotion programmes to support food processing enterprises in market research and development. These programmes also introduce industry achievements at large-scale domestic and international fairs and exhibitions, connecting food processing suppliers with domestic and FDI enterprises.

Quyen further stated that through the Bank-Business Connection Programme, the city provides credit support for businesses across various sectors, including the food and agricultural industries. Additionally, Ho Chi Minh City is implementing projects to assist food enterprises in applying advanced science and technology in production, improving infrastructure and warehousing, and developing policies to protect and support the food processing industry. By leveraging e-commerce and targeted government support, Vietnamese businesses have a significant opportunity to strengthen their global presence and drive export growth in the digital era.