URC posted strong growth in its food and beverage businesses in Vietnam

URC reports strong growth in its food and beverage business in Vietnam in 2019

In 2019, URC keeps winning Vietnamese customers heart with its wide range of products such as C2 and Rong Do for beverages, Jolly Vit, vitamin drinks for children, Jack n’ Jill mega brand with Cream-O and Magic for biscuits, Dynamite Big Bang candy and much more.

Since starting operations in Vietnam in 2003, URC has poured about $200 million of investment and created more than 3,000 jobs in Vietnam. URC is the largest Filipino investor in Vietnam with five plants across Vietnam.

In 2019, URC’s brands have shown stronger growth than the overall category. Vietnam is today the fastest growing market for URC Group and URC Vietnam is of strategic importance as a high-quality export platform for the group.

It is worth noting that URC’s FMCG products have enjoyed a growth rate of over 15 per cent against 2018, exceeding the 4 per cent growth of Vietnam’s FMCG sector. Among them, its domestic business growth is mainly driven by its C2 brand at over 34 per cent against 2018 with Lemon 500ml contributing over 34 per cent and new flavors Black Tea Peach and Milk Tea contributing 16 per cent of total C2 sales. C2 Black Black Tea was just rolled out into the market in January 2019 and got 96 per cent average month on month volume growth up to October 2019. Meanwhile, C2 Milk Tea was unveiled in December 2018 and got 46 per cent average month on month volume growth up to October 2019.

With regards to snacking and confectionery, the sales are mainly driven by Cream-O at over 11 per cent. Thus, Cream-O has become top 10 fast growing biscuit in Vietnam. Jack ‘n Jill Dynamite Bigbang was named as number 1 favourite brand in Vietnam. Its exports business is also up over 21 per cent compared with 2018, which is fuelled by coffee and creamer.

This long presence and commitment to Vietnam have been the foundation for URC’s success and achievements in the past year 2019. However, as the industry is fascinating with high demand from consumers, counterfeiting in FMCG in Vietnam still is a challenge for producer; government and of course, to consumers.

URC Vietnam made commitment in technology investment and products quality. In 2020, the company has plan to invest $1.5 million in this area to drive the growth in Vietnam.