Vietnam Cacao JSC (Vinacacao) and Libeert, two major cocoa firms from Vietnam and Belgium, have recently signed a commercial cooperation agreement to create development opportunities for the cocoa industry and cocoa growers in Vietnam.
The 2 partners will buy and sell goods directly and help each other enter the other’s market. The agreement will open up new markets for each instead of pushing up competition.
Initially, the 2 companies will deliver chocolate in the shape of Santa Claus, penguins, and reindeer to children in Vietnam before adding shapes more familiar to Vietnamese people. The Vietnamese market, with a population of 100 million, including 16 million children, offers massive potential to chocolate businesses, according to Tran Van Lieng, Chairman and Founder of Vinacacao. He added that the potential of the Vietnamese chocolate market is 10 times higher than its current value of US$350 million.
The cooperation agreement creates an opportunity for Vietnamese finished product manufacturers to penetrate into world markets. The signing of the agreement between Vinacacao, which has been operating for nearly 20 years in the production, supply, and distribution of cocoa-based products in Vietnam, and Libeert, a Belgian brand with 100 years of history, will create synergy helping both partners to profit from both buying and selling.
According to the Vietnam Coffee-Cocoa Association (VICOFA), Vietnam’s chocolate consumption is about 5,000 tons a year. Famous brands and products arriving in the country have become increasingly diverse, and there has also been a strong rise in domestic brands which includes Vinacacao.
Vinacacao products are found in 20 countries around the world, with the largest market being the US, South Korea, and Malaysia. In addition to traditional exports, sales to foreign importers in the form of co-branding and exclusive branding sees Vinacacao diversify its raw material sources through cooperative programs with cocoa farmers and foreign partners. Famous Vietnamese chocolate brands featuring Vietnamese cocoa as the main ingredient include Marou, Stone Hill and Vinacacao.
