July 30, 2026
 

Vietnam's Thien Loc Animal Feed posts 35% volume growth in H1 2026 despite rising raw material costs

The Ha Tinh-based feed mill absorbed an 8.5% increase in raw material costs while raising selling prices by only 3.5%, choosing to share the cost burden with livestock farmers to maintain market share.

Thien Loc Animal Feed Joint Stock Company, based in Ha Tinh province, Vietnam, recorded a 35% year-on-year increase in feed production volume and a 40% rise in revenue in the first half of 2026, with feed-specific revenue growing 44%, as the company expanded its distribution network and invested in production line upgrades.

Director Than Van Vy said raw material input costs rose approximately 8.5% in H1 2026 but the company chose to pass on only a 3.5% price increase to customers, absorbing the remainder to support livestock farmers facing margin pressure. He said the approach helped sustain volume growth at existing distributors while attracting new agents and customers.

"In the first six months of 2026, input raw material prices increased by around 8.5%, but the company only adjusted selling prices by around 3.5% in order to share the burden with customers," Van Vy said. The company also deployed technical teams to farms to advise on nutrition, farming procedures, biosecurity and disease prevention, and organised technical workshops alongside support for disinfectants and veterinary medicines.

On the livestock side, commercial pig output rose more than 30% year on year, while breeding pig production increased around 36%. The company said strong biosecurity protocols across its farm system - covering vehicle and personnel access controls, sanitation, disinfection and feed and breeding stock transport management - contributed to disease risk reduction and herd protection.

The company has been investing in machinery upgrades and automation during the period, with a rooftop solar power system also under installation at its Thuong Nga sow farm as part of a move towards greener production. Average employee income rose more than 20% year on year in H1 2026. Looking ahead, Thien Loc said it plans to continue expanding automation, broaden its market reach and strengthen integration with units within the MITRACO system to build a more complete feed-to-meat value chain.