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The Vietnamese laboratory market


Vietnam`s economy is increasing rapidly; with an expected real GDP growth of 5.5%-6.5% in 2022, Vietnam is one of the most dynamic counties in Southeast Asia. The main growth driver is the processing industry, which grew by an impressive 11%. The dynamic strength of the economy is also reflected in the great business potential the analysis, laboratory technology and biotech industries offer.

  • Chemicals industry
    • The demand for chemicals and chemical products is rising; high-quality chemical pre-products are increasingly needed, notably for the production of fertilizers, plastic products, medicines, paints and varnishes.
    • The total annual output of Vietnam`s chemical industry accounts for about 10-11% of the total GDP of the industry, including medicines, fertilizers, paints, printing inks, petrochemicals, basic chemicals and more.
  • Pharmaceutical industry
    • Vietnam has a breakthrough growth in demand for quality medical products and services, including innovative pharmaceuticals. IQVIA forecasts that Vietnam`s pharmaceutical industry will achive a revenue CAGR of about 8% in the period of 2019-2023 and is expected to reach a market size of US$ 16.1 billion by 2026., CAGR of 11%. The government`s initative to produce higher quality pharmaceuticals in Vietnam will impact the market positively.
    • According to statistics, per capita spending on drugs in Vietnam has increased from US$ 9.85 in 2005 to US$ 22.25 in 2010 and is forecasted to increase to US$ 163 by 2025. Therefor, to increase competitive advantage, domestic manufacturing enterprises must increase investment costs for R&D, control product quality and work torwards increasing production capacity.

  • Environmental monitoring industry
    • Due to the rapid economic development in Vietnam, river water and sea water quality has been affected by untreated waste water released in connection with industrial and agriculture activities. Furthermore, Vietnam is among the ten countries worldwide that are most affected by air pollution.
    • It is estimated that out of a total of 183 industrial parks in the country, over 60% of industrial parks do not have a centralized wastewater treatment system. Faced with such a situation, many production units and state agencies have planned to invest in environmental research, analysis and monitoring projects.

  • Food industry
    • Vietnam`s food industry has experienced rapid growth over the past years and is one of the top export industries in Vietnam. However, because of the Covid-19 pandemic, the production and business process of food enterprises suffered. Frequent food poisoning and contaminated food products have been widespread issues.
    • Although Vietnam has a modern food safety regulatory framework, food quality monitoring is set to be improved further by the continued expansion of the country`s food analysis facilities.
  • Medical industry
    Vietnam's health sector has made many outstanding developments to promptly treat and prevent diseases during the pandemic and it still seems to be fighting that war with Covid-19. While several Vietnamese enterprises, including manufacturing and trading units, take advantage of this opportunity to supply low-quality goods (masks, test kits, alcohol santiziers,e tc.) to the people, it has become of paramount importance that a full quality check is carried out and the testing of medical producs is made necessary, to ensure the health of the entire Vietnamese community.
  • Biotechnology industry
    The biotechnology industry in Vietnam will continue to consolidate, develop and increase intensive investment in national key laboratories, institutes and centers. By the year 2025, the country will aim to have at least 15 laboratories reaching the advanced level of laboratories in the ASEAN region and the world. Vietnam also looks forward to developing research laboratories on genetically modified organisms and be certified to meet biosafety conditions.

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