Vietnam Pest Control Market Outlook to 2030

Vietnam Pest Control Market Overview

• The Vietnam pest control market has experienced notable growth, this is reflected by Global pest control market reaching a valuation of USD 24.9 Billion in 2023, driven by the increasing urbanization, rising awareness of health and hygiene, and advancements in pest control technologies.
• The market is characterized by key players such as Rentokil Initial, Anticimex, and Pest Control Corporation. These companies are noted for their technological innovations, wide range of services, and extensive distribution networks.
• In 2023, Rentokil Initial announced the launch of a new integrated pest management service aimed at enhancing the effectiveness and sustainability of pest control solutions in Vietnam. This development is part of Rentokil Initial's strategy to strengthen its market presence in Vietnam by offering high-quality, eco-friendly pest control solutions.
• In southern of Vietnam, particularly Ho Chi Minh City, dominates the pest control market. This dominance is attributed to the city's higher industrial activity, a growing number of urban centers, and significant investments in commercial and residential infrastructure. Additionally, nearby provinces such as Binh Duong and Dong Nai also contribute to this dominance due to their rapid urbanization and expanding industrial zones.

Vietnam Pest Control Market Segmentation

The Vietnam Pest Control Market can be segmented by various factors like service type, pest type, and region.

By Service Type: The Vietnam pest control market is segmented by service type into Chemical Control, Mechanical Control, Biological Control, and others, which include integrated pest management (IPM) and electronic pest control. Chemical control dominates due to its immediate effectiveness in eradicating pests and extensive use in urban areas.

• By Pest Type: The Vietnam pest control market is segmented by pest type into insects, rodents, and others, which include birds, reptiles. Insects dominate due to their widespread presence and significant damage they cause.
• By Region: The Vietnam Pest Control Market is segmented by region into north, east, west and south. South Vietnam leads the market due to higher industrial activity, more commercial projects, and investments in residential infrastructure, particularly in cities like Ho Chi Minh City and Can Tho.

Vietnam Pest Control Market Competitive Landscape

• Rentokil Initial: Expanding in Vietnam with New Integrated Pest Management Service. Rentokil Initial has gained market share in Vietnam due to its extensive service portfolio and robust distribution network. Rentokil Initial's focus on high-quality, eco-friendly pest control solutions continues to drive its growth, with the company recording a significant increase in service contracts in Vietnam in 2023.
• Anticimex: Anticimex has bolstered its market share in Vietnam through its unwavering commitment to research and development. Known for its innovative pest control solutions, Anticimex's focus on cutting-edge technologies and sustainable practices has driven its growth. In 2023, the company saw a significant increase in service adoption, further solidifying its position in the Vietnamese market.

Vietnam Pest Control Industry Analysis

Market Growth Drivers

• Urbanization and Infrastructure Development: The rapid urbanization and expansion of commercial and residential infrastructure in Vietnam have significantly boosted the demand for pest control services. Vietnam's urban population has increased by 3.3% annually over the past decade, driving the rise in construction projects. This growth has elevated the immediate need for pest control during the building phase and created ongoing demand for maintenance and preventive services in densely populated areas.
• Health and Hygiene Awareness: There is a growing awareness among Vietnamese consumers about the importance of health and hygiene, leading to a higher adoption of pest control services. In 2023, 78% of urban households reported using professional pest control services, up from 65% in 2018. Public health campaigns and information about pest-related diseases have heightened consumer consciousness, especially in urban households and commercial establishments like restaurants, hotels, and hospitals.
• Technological Advancements: Continuous advancements in pest control technologies have driven market growth by offering more effective and eco-friendly solutions. The global pest control market is projected to grow at a CAGR of 5.4% from 2023 to 2028, with innovations such as integrated pest management (IPM), smart traps, and sensors. These technologies provide real-time data on pest activity, allowing for precise and timely interventions, appealing to environmentally conscious consumers and businesses seeking sustainable solutions.

Market Challenges

• High Service Costs: The high cost of advanced pest control services is a significant challenge in the price-sensitive Vietnamese market. Incorporating advanced technologies and training personnel add to operational costs, making services unaffordable for many consumers and difficult for smaller companies to compete.
• Regulatory Constraints: Stringent regulations on the use of chemicals in pest control limit the availability and use of certain methods. Service providers must invest in alternative, compliant technologies, which can be costlier and require continuous monitoring and compliance efforts, adding to operational complexity and costs.
• Infrastructure Limitations: Inadequate infrastructure in rural and semi-urban areas hinders effective service delivery. Poor transportation networks, unreliable electricity, and limited access to high-quality products increase operational costs and logistical challenges, impacting the availability and timely provision of pest control services.

Government Initiatives

• Public Awareness Campaigns: Public health campaigns have significantly raised awareness about pest control. In 2023, the Ministry of Health (MOH) launched a nationwide campaign focused on mosquito-borne diseases, investing over USD 2 million in public education and community outreach programs. This campaign highlighted the importance of professional pest control services in preventing diseases like dengue fever and malaria.
• Support for Sustainable Practices: The government, through initiatives led by MARD and in collaboration with international organizations such as the World Bank, allocated USD 5 million in 2022 to promote sustainable farming and pest control practices. This initiative includes training programs for farmers on integrated pest management (IPM) techniques, combining biological, mechanical, and chemical methods for long-term pest control.
• Infrastructure Development Programs: Government infrastructure development programs have indirectly boosted the pest control market. In 2023, the Vietnamese government approved a USD 10 billion investment plan for urban development projects across major cities. This development increases the demand for pest control services to ensure these new urban and commercial spaces remain pest-free, contributing to market growth.

Vietnam Pest Control Future Market Outlook

The Vietnam Pest Control Market is expected to grow remarkably by 2028, with a respectable CAGR during the period of 2023-2028, driven by technological advancements and the expansion of urban infrastructure projects.

Future Trends

• Growing Demand for Eco-Friendly Solutions: The demand for organic and environmentally friendly pest control methods is expected to rise, driven by increasing consumer awareness of environmental issues. Companies are likely to invest in research and development of eco-friendly products and methods.
• Expansion of Integrated Pest Management (IPM): IPM approaches, which combine various pest control methods for long-term prevention, are anticipated to gain popularity. This holistic approach reduces reliance on chemical pesticides and promotes sustainable practices.
• Increased Adoption in Agriculture: The agricultural sector is expected to see increased adoption of pest control services, particularly biological control methods, to protect crops and improve yields. This trend is driven by the need for sustainable farming practices.