Poultry industry shifts from cost to value-driven competitiveness

At the event “VAXXITEK - 20 Years, One Enduring Love for Poultry,” jointly organized by Boehringer Ingelheim Animal Health Viet Nam Co., Ltd. and Olmix Asialand Viet Nam Co., Ltd., updates were provided on the scale and growth of the country's poultry flock during the first eight months of 2026. The poultry sector maintained positive growth momentum over the first eight months.

According to Dr. Nguyen Thanh Son, Chairman of the Viet Nam Poultry Association (VPA), total poultry meat output in the first eight months of the year reached approximately 1.77 million tonnes. Egg production stood at nearly 15 billion, with abundant supply and steady month-on-month growth.

Annual egg production could reach 22.5 billion

However, the market has recently come under pressure from oversupply. While many smallholder farmers reduced their flock sizes, large enterprises, livestock groups and foreign-invested companies continued to expand production significantly. Farm-gate prices fell sharply, leaving the market largely stagnant from March to June.

Prices began to recover in July. According to VPA forecasts, the market is expected to continue improving in the remaining months of the year. Over the final four months, from September to December, total output is projected to reach around 338,000 tonnes of white-feathered chicken and 406,000 tonnes of coloured-feathered chicken. Total egg production for the full year is estimated at approximately 22.5 billion.

However, according to the VPA Chairman, a seasonal market recovery cannot obscure the broader challenge facing the sector: optimised poultry production costs do not necessarily translate into higher value at the output stage.

“The competitive advantage of the next decade will not be determined by who can produce at the lowest cost, but by who can retain more added value from every kilogram of output,” Son said.

This represents a shift in the poultry sector’s development mindset. If the industry continues to focus solely on expanding flock sizes and cutting costs, it could easily fall back into a familiar cycle: rising production, oversupply, falling prices and mounting pressure on farmers.

According to VPA, the poultry sector therefore needs to shift towards consolidation and stronger value-chain linkages to increase value. Investment should not be limited to breeding stock and animal feed, but should also focus on product quality, quarantine and disease safety, as well as, in particular, post-harvest processing.

The sector’s future development will also be shaped by new legal and environmental requirements, including Decree No. 211/2026/ND-CP, the amended Law on Livestock Production and Veterinary Medicine, QCVN 62:2025/BTNMT and Decision No. 1121/QD-TTg. These regulations are driving a stronger shift towards post-inspection, the gradual phase-out of livestock farming in inner-city and densely populated areas, tighter controls over banned substances, and requirements for digitalization and data integration.

Technological innovation as a growth driver

At the event, MSc. Nguyen Duc Dung, Poultry Business Unit Director at Boehringer Ingelheim Animal Health Viet Nam, said that over the past 20 years, VAXXITEK has become part of the global poultry industry’s efforts to innovate and strengthen disease control.

VAXXITEK HVT+IBD alone has been administered in more than 167 billion vaccine doses. According to Dung, this journey will continue with new solutions designed to address the evolving challenges facing the livestock industry.

At the event, VAXXITEK celebrated the 20th anniversary of its global launch, marking the development journey of one of the leading vaccine brands in the poultry industry. Over the past two decades, VAXXITEK has expanded its presence across many countries and become a trusted solution for controlling major infectious diseases in poultry.

Ms. Dao Thi Huong Giang, Poultry Business Unit Director at Olmix Asialand Viet Nam, said the poultry industry's sustainable development will come not only from advances in technology and products, but also from stronger connections and closer cooperation among businesses, experts and farmers. She said the event demonstrated Olmix and Boehringer Ingelheim’s long-term commitment to supporting Viet Nam’s poultry sector.

Boehringer Ingelheim Animal Health Viet Nam and Olmix Asialand Viet Nam reaffirmed their roles as trusted partners of the poultry industry, supporting farmers in disease control, improving productivity and working towards a more sustainable future.

As the sector adapts steadily to new regulatory and environmental requirements, production growth could be maintained at an average rate of around 3.25%. Under a more positive scenario, with stronger development of integrated value chains, optimized technologies and successful expansion of export markets, growth could reach 4.5-5%.