The Mekong Delta – An Emerging Investment Hub in the Agri-Aquaculture Supply Chain
The Mekong Delta is one of the most fertile and expansive river deltas in Southeast Asia and the world. It stands as Vietnam’s leading region for food production and tropical fruit cultivation, and plays a vital role in the country’s agricultural exports. With its strength in food production and processing, the Mekong Delta has evolved into Vietnam’s third-largest industrial hub.
Rice Production
In 2024, Vietnam’s total rice export volume is projected to remain above 8 million tons, with the Mekong Delta alone contributing approximately 7.6 million tons. The region currently accounts for about 31% of the national agricultural GDP, 50% of total rice output, and 95% of Vietnam’s rice exports, firmly placing the country among the world’s top three rice exporters.
Premium fragrant rice varieties, such as Jasmine, Đài Thơm, ST24, and ST25—particularly ST25, which was awarded the “World’s Best Rice” title in 2023 at the Global Rice Trade Conference in the Philippines—have been exported to more than 150 countries and territories. The Mekong Delta is widely recognized not only as Vietnam’s rice bowl but also as a vital rice-producing region for Southeast Asia and the global market.
Stable and Sustainable Rice Production Capacity
Rice cultivation in the Mekong Delta accounts for approximately 54% of the total rice farming area in Vietnam. The region benefits from favorable climatic conditions—characterized by distinct dry and wet seasons—and a well-developed irrigation system that supports efficient water management. Fertile alluvial soil from the Tiền and Hậu rivers, along with an extensive canal network stretching over 28,000 kilometers, creates ideal conditions for high-quality rice production.
Notably, the adoption of high-quality and fragrant rice varieties continues to rise, aligning with international market demands. In 2024, the region’s estimated total rice cultivation area across three annual cropping seasons is about 3.8 million hectares, producing over 24 million tons of rice, with an average yield exceeding 6.3 tons per hectare. These results reflect the successful application of scientific and technological advancements, increased mechanization, and strong policy support from the central government.
One of the most prominent initiatives is the “Sustainable Development Project for One Million Hectares of High-Quality, Low-Emission Rice” suggested by Prime Minister Pham Minh Chinh in 2024.
The project has helped farmers reduce input costs by 20–30% (including seeds, nitrogen fertilizers, pesticides, and water), while increasing yields by 10% and cutting average CO₂ equivalent emissions by 5–6 tons per hectare. By 2025, the project also aims to achieve over 50% mechanization in rice farming, reuse at least 70% of post-harvest rice straw, and reduce greenhouse gas emissions by more than 10% compared to traditional cultivation methods.
A Robust Rice Trade Ecosystem
The Mekong Delta is not only Vietnam’s largest rice-producing region but also the most dynamic hub for rice trading and export activities. Among the 163 certified rice export traders nationwide, nearly 90 (approximately 55%) are concentrated in this region. The decision by leading companies such as Vinafood 2, Lộc Trời Group, Trung An, Gentraco, and Tân Long Group to establish headquarters or processing facilities in the Mekong Delta has fostered the development of a modern, integrated ecosystem for rice production, processing, and export.
Advanced technologies have been implemented across rice processing plants, enabling efficient drying, milling, storage, and packaging that meet international quality standards. This has significantly enhanced the global competitiveness of Vietnamese rice.
The high concentration of traders and enterprises facilitates strong supply chain linkages between farmers, cooperatives, and businesses, generating economies of scale and reducing logistics costs.
Circular Economy Potential in Rice By-products
Beyond grain exports, the Mekong Delta holds significant opportunities for developing a circular economy through the valorization of rice by-products. Materials once considered agricultural waste—such as rice straw, husk, and bran—are increasingly recognized for their economic and industrial potential, particularly in green and sustainable sectors.
In 2023, Vietnam produced approximately 44 million tons of rice, yielding about 8 million tons of rice bran—a substantial volume. When processed into rice bran oil, this by-product can generate an added value of up to USD 320 per ton, nearly two-thirds the value of raw rice exports (approximately USD 500 per ton).
Rice bran oil is not only nutrient-rich but also in high demand globally due to its health benefits, particularly in large consumption markets like India, Indonesia, and China. According to Mordor Intelligence’s Rice Bran Oil Market Size Report, demand is projected to reach 532.67 million liters in 2024. Other by-products such as rice husk and straw, which account for a major portion of agricultural residues, can be converted into high-value green products, including: Biomass energy, Organic fertilizers, Animal feed, and Biodegradable bio-based products.
Aquaculture and Seafood Production
The Mekong Delta accounts for nearly 60% of Vietnam’s total seafood export value, thanks to its favorable natural conditions, including an extensive network of rivers and canals and a temperate climate that allows year-round aquaculture. The region boasts a total aquaculture area of approximately 700,000 hectares, primarily concentrated in provinces such as An Giang, Đồng Tháp, Cần Thơ, Bạc Liêu, and Sóc Trăng.
Pangasius (tra fish) is the region’s flagship product and a symbol of the Mekong Delta’s aquaculture industry. The region produces approximately 1.5 million tons of catfish annually, of which Pangasius accounts for 98%.
The Mekong Delta is also a key area for the cultivation of other aquatic species such as black tiger shrimp, whiteleg shrimp, tilapia, snakehead fish, and catfish, contributing to product diversification and expansion into new export markets. Notably, rice–shrimp integrated farming systems and high-tech shrimp farming models (e.g., biofloc, recirculating aquaculture systems) are being widely adopted to enhance economic efficiency and promote environmental sustainability.
Favorable Natural Conditions and Sustainable Aquaculture Practices
The Mekong Delta also benefits from a coastline stretching over 700 kilometers and a rich mangrove ecosystem spanning across provinces such as Cà Mau, Bạc Liêu, Trà Vinh, Sóc Trăng, and Bến Tre. These coastal areas form extensive brackish water zones, providing ideal habitats for high-value aquatic species such as black tiger shrimp (Penaeus monodon), whiteleg shrimp (Litopenaeus vannamei), mud crab (Scylla serrata), grouper.
Another distinct natural advantage of the Mekong Delta lies in its temperate climate, which is rarely affected by typhoons or tropical depressions. This allows for year-round aquaculture, minimizing the risk of natural disasters and ensuring a stable supply of raw materials for processing and export—an increasingly critical factor amid growing global demand for seafood.
Many shrimp farms in the Mekong Delta are now actively adopting ecological and circular aquaculture models. Modern water recirculation systems have been widely implemented, enabling effective treatment and reuse of water in ponds. These systems not only reduce operational costs but also mitigate environmental impacts.
Furthermore, organic waste generated during shrimp farming is being converted into agricultural fertilizer, fostering effective linkages between aquaculture and crop cultivation. Advanced integrated models are being scaled up, such as polyculture systems combining shrimp with seaweed and rice—where waste nutrients are reused within the ecosystem—or shrimp farming in mangrove forests, which simultaneously supports environmental conservation and provides sustainable livelihoods for local communities.
Modern Aquatic Production and Processing Systems
Currently, the Mekong Delta hosts over 4,500 aquaculture hatcheries and approximately 310 factories producing aquafeed and biological products for the aquaculture sector. The region is also home to 362 cold storage and processing facilities, including 102 seafood processing plants that meet international export standards, qualifying them to access demanding markets such as the United States, the European Union, and Japan.
Leading Vietnamese seafood enterprises such as Minh Phu (specializing in shrimp), Vinh Hoan, Nam Viet, and Sao Ta (specializing in pangasius processing) have established production facilities in this region. Moving beyond raw material exports, many companies have successfully built vertically integrated value chains—from farming and feed production to processing and distribution. These firms have expanded their presence in global supermarket chains, restaurants, and retail systems, particularly across Europe and North America.
This industrial ecosystem serves as a solid foundation for the Mekong Delta to evolve into a high-tech seafood industry hub in Southeast Asia. It also opens up diverse investment and partnership opportunities in sectors such as cold chain logistics, preservation technology, market development, and green value chain initiatives.
Following the announcement event of “Annual Economic Report Mekong Delta 2024” and Forum “Promoting Investment and Sustainable Development in the Mekong Delta” which took place at the end of March, the upcoming event in Can Tho City with the theme “2025 Vietnam – China Trade and Investment Cooperation in Sustainable Development” will offers a unique platform to connect with local stakeholders, explore opportunities, and engage in Vietnam’s renewable energy revolution.
Date – Time: 17:00 ~ 21:00, April 25, 2025
Venue: Can Tho City, Mekong Delta Region, Southern Vietnam
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