Vietnam's livestock and animal health sector is heading into 2026 with improving growth prospects after navigating a challenging 2025 marked by disease outbreaks, natural disasters and volatile global market conditions, including the impact of US tariff policies.
Despite these pressures, the industry maintained its recovery momentum and recorded positive growth, according to the Department of Livestock Production and Animal Health under the Ministry of Agriculture and Environment.
The department said overall production remained stable last year, while the sector continued its transition towards modernisation, stronger biosecurity measures and sustainable farming practices. Domestic food supply, particularly for the Lunar New Year (Tet) 2026, has been adequately secured, providing further confidence to market participants.
Sentiment has been boosted by a sharp rebound in live hog prices, which climbed from about VND50,000 (US$1.93) per kg to VND80,000 by the end of January, before easing slightly to around VND77,000.
The price surge was driven by stronger demand ahead of Tet, alongside supply disruptions caused by African Swine Fever outbreaks and severe flooding in northern and central Vietnam late in 2025, which reduced herd sizes.
Earlier forecasts by the ministry had anticipated relatively stable market conditions. Deputy director of the department Pham Kim Dang said in 2025 that average monthly meat production and consumption were estimated at between 350,000 and 450,000 tonnes, with demand rising by 5% to 10%. Live hog prices were expected to hover around VND70,000 per kg without major supply shortages.
Structural changes within the industry are also accelerating. According to an outlook report by Vietcombank Securities (VCBS), household-scale livestock farming is expected to continue shrinking, accounting for only about 25% of the sector by 2030.
This shift is largely driven by the Livestock Law, which took effect in 2025 and introduced stricter requirements for farming facilities, making compliance increasingly difficult for smallholders. Persistent disease risks have further added to costs through livestock culling.
Industry experts believe the new law will act as a catalyst for large-scale enterprises. Measures such as the relocation of substandard farms, tighter controls on stocking density and stricter breeding management are expected to create challenges for small-scale farmers, while opening up growth opportunities for larger, professionally managed companies.
These expectations have been reflected in stock market performance. Over the past month, most livestock-related shares posted gains, led by Masan MEATLife's MML, which rose 17.4%. Shares of BAF Vietnam Agriculture, Vietnam Livestock Corporation and Vissan also recorded more modest increases.
Corporate earnings in 2025 further underscored the sector's resilience. Masan MeatLife reported full-year revenue of VND9,230 billion, up 20.7% year on year, with after-tax profit surging to VND619 billion on the back of strong growth across pork, poultry and processed meat segments.
Dabaco Vietnam Group also posted robust results, with net revenue rising 10% to nearly VND14,900 billion and profits almost doubling from the previous year.
Other firms delivered mixed performances. BAF Vietnam Agriculture reported consolidated revenue of VND5,045 billion, while Vietnam Livestock Corporation saw declines in both revenue and profit, achieving about 90 per cent of its annual targets.
Looking ahead, MBBank Securities (MBS) projects the hog farming market to grow at a compound annual rate of 5% between 2026 and 2030.
With the Livestock Law now in force, farms are required to relocate away from densely populated areas and comply with clear stocking density regulations. As a result, MBS said modern, integrated livestock enterprises that already meet regulatory standards are well positioned to emerge as the sector's main beneficiaries in the coming years.
