2014 Tet confectionery market: Vietnamese products take center stage.

With just over two weeks left until Lunar New Year, the market for Tet confectionery enters its peak consumption season of the year. Generally, this year, partly due to the difficult economic situation, domestically produced confectionery still dominates in terms of both variety and sales.

Right after the Gregorian New Year, the market for Tet (Lunar New Year) goods began to accelerate. Consumption increased daily for most items such as beer, soft drinks, confectionery, cooking spices, etc.

Vietnamese goods dominate 90% of the market.

According to our reporter's observations, consumer trends for these products this year have also changed more significantly compared to previous years.

Previously, confectionery used as gifts and consumed during Tet (Lunar New Year) was largely imported from Thailand, Malaysia, Denmark, France, the US, and often mixed with Chinese products. However, in the last three years, several domestic confectionery brands have gradually regained market share and are becoming a popular choice for consumers.

Perhaps this is partly due to the difficult economic situation, reduced income, and consumers tightening their spending. But another part is that domestic manufacturers have improved product quality, continuously launching many varieties with comparable quality and design but at only half the price of imported confectionery.

With changing consumer tastes, the market is also reacting quickly to meet demands. Walking around confectionery shops and supermarkets, domestically produced confectionery with Vietnamese brands or labels now accounts for up to 90%.

"For about the last two years, sales of imported confectionery have slowed down, especially those from China, so we've also limited our imports. Currently, the store mainly sells well-known domestic brands of confectionery at reasonable prices, so they sell easily," said Ms. Huong, the owner of a mini-supermarket on Khuong Trung Street (Thanh Xuan, Hanoi).

According to Ms. Huong, the price of imported boxed cakes has increased by 20-25% compared to last year, while domestic cake brands have increased by about 10-15%, so domestic products are selling very well.

The trend towards safer consumption among many consumers has encouraged many domestic businesses to invest heavily in production. Branded domestic confectionery products are facing a bumper Tet holiday season as orders have increased significantly compared to last year.

Meanwhile, according to statistics from the General Department of Customs, the volume of imported confectionery has decreased significantly. As of October 2013, the import value of confectionery and cereals reached US$185.6 million, a decrease of 24.79% compared to the same period in 2012. Products imported into Vietnam mainly come from Indonesia, Thailand, Singapore, Malaysia, China, and the United States.

Food safety and hygiene are paramount.

The shift in awareness stemming from the "Vietnamese people prioritize using Vietnamese goods" campaign has directly and significantly impacted consumer trends and behavior in choosing reliable brands during the Lunar New Year. Imported products of unknown origin or products from establishments that disregard quality and consumer health are no longer preferred.

In fact, a series of recent violations of food safety and hygiene regulations in the production of confectionery in some traditional villages and private establishments have been exposed, making consumers increasingly cautious when making choices.

According to many consumers, their biggest concern remains food safety and hygiene. Therefore, this year, they will only choose branded products from long-standing, reputable manufacturers instead of going to the market to pick out visually appealing and cheap items as in previous years.

Consumer caution and an inward-looking consumer trend toward reputable brands are creating significant business opportunities for legitimate companies.

Domestic confectionery businesses are actively preparing for the Lunar New Year market of the Year of the Horse.

A representative of a well-known confectionery brand in Ho Chi Minh City said that, anticipating a sharp increase in confectionery consumption during this year's Tet holiday, they increased their production capacity by 50% compared to the previous plan starting in early October.

Ms. Tran Thuy Hoa, Head of the Technical Planning Department of Hanoi Confectionery Joint Stock Company, also stated: "As a long-standing brand of Hanoi, Hanoi Confectionery Joint Stock Company always focuses on product quality and continuously improves its quality and designs. This year, the total production of egg sponge cakes and various types of Tet jams is expected to reach 500 tons, an estimated increase of 6-8% compared to the same period last year. This figure accurately reflects the consumer trends of people at the beginning of 2014."

According to many retail experts, this year, despite the ongoing economic difficulties and a significant decline in the overall consumer market and purchasing power, there are still opportunities for legitimate businesses and reputable brands to be chosen and accepted by consumers.

According to Dan Tri