The value added of the Food, Beverages, and Tobacco sector in Vietnam exhibited a declining trend from 2013 to 2023, with a notable drop from 3.04 units of GDP in 2013 to 1.84 units in 2023. The most significant reductions occurred between 2013-2014 and 2018-2023, especially in recent years with a year-on-year decline of approximately 4.88% in 2023. Over the last five years, the compound annual growth rate (CAGR) averaged -4.63%, reflecting consistent contraction.
Future trends to watch for include:
- Forecasted continuation of the sector's decline, with a projected CAGR of -4.95% between 2024 and 2028.
- Structural adjustments and market dynamics within the food, beverages, and tobacco industries may further shape the sector’s performance.
- Economic, regulatory, and consumer behavior shifts could influence the pace and extent of the sector's value addition decrease.
