With the end mission of serving consumers with traceable, quality and affordable meat, Masan MEATLife has completed the fully-integrated animal protein chain right fr om the input stages: feed factories and high-tech pigs farming operated in accordance with Global GAP standards, the first and only meat processing plant to date in Vietnam to meet the BRC Global Standard for Food Safety as well as the very first one to properly applied the state-of-the-art European chilled meat technology.
In 2022, we have officially entered the processed meat industry and shift the product portfolio mix towards branded processed meat products. According to Frost & Sullivan, processed meat accounts for 25% of total pork consumption in China, and continues to grow twice as fast as fresh meat. We consider that this trend will follow in Vietnam and we will be the market leader in providing innovative, delicious, safe and affordable products to consumers. To realize this ambition, we have a strategic cooperation with Masan Jinju to focus on developing processed meat products with high economic value and catering to the needs of modern society. A wide range of ready-to-eat meat products were introduced to the market for the first time in the past year, such as spring rolls, sausages, pork floss, dried chicken, skin rolls, etc., which were well received by consumers. This demonstrates the trust and acceptance of consumers, enabling MML to be more confident on the journey to realize the potential of the Vietnam meat market.
The global meat value chain is opening up with many opportunities but also many challenges. With the free trade agreements coming into effect in the near future, foreign competitors wil bel likely to enter the Vietnamese market, and the competition will likely become very fierce. However, there are opportunities for local companies like Masan MEATLife to transform the market as the demand for fresh meat / chilled meat is always higher than that of imported frozen meat.
The meat value chain in Vietnam has huge growth potential, but it will require companies to develop the market and lead the change. From 2023 onwards, Masan MEATLife intends to focus on expanding its product portfolio with the launch of more value-added processed meat products from pork and chicken. Processed meat will be a key factor of growth, not only in revenue but also in operating profit margin. We believe that Masan MEATLife will be the leader in this industry and set a high standard operating model to lead the transformation of the meat market in Vietnam