Vietnam’s Onions & Garlic: From Imports to Independence

In the global agricultural trade landscape, onions and garlic are two essential spices with markets worth billions of USD annually. However, the import–export balance highlights a stark disparity: while China almost completely dominates the garlic sector, the Netherlands plays a central role in onions. For Vietnam, both products are at a disadvantage, relying heavily on imports despite having significant domestic production potential. Analyzing the latest data not only clarifies Vietnam’s position in the global supply chain but, more importantly, reveals opportunities and pathways for local farmers to reduce dependence and gradually build a sustainable foothold.
Table of Contents

Garlic trade: China dominates, Vietnam relies on imports

In 2024, global garlic trade reached over USD 4.3 billion, with around 2.9 million tons exchanged. China accounted for 72% of export value, equivalent to USD 3.15 billion and 2.35 million tons. Other countries such as Spain, Argentina, and the Netherlands only held modest shares (3–11%).

On the import side, the largest markets were Indonesia, Malaysia, the United States, and Vietnam. Notably, Vietnam ranked 4th globally, importing USD 300.8 million worth of garlic (over 263,000 tons) at an average price of USD 1,141/ton.

Meanwhile, Vietnam’s garlic exports remained very limited: only USD 6 million, less than 0.1% of global market share. Moreover, Vietnam’s garlic export price was about USD 655/ton—among the lowest worldwide. This reflects a significant competitiveness gap compared to other countries and highlights Vietnam’s heavy dependence on imported supply.

Onion trade: The Netherlands as the hub, Vietnam mostly imports

For onions, global trade in 2024 reached USD 5 billion, with 9.8 million tons exported. Unlike garlic, the onion market is more diversified: the Netherlands led (USD 1 billion, nearly 20% market share), followed by China, Mexico, India, the US, Pakistan, and Spain.

On the import side, the United States was the largest market (USD 521 million), followed by the UK, Malaysia, Canada, and Germany. Vietnam was also among the significant importers, with USD 163 million (about 316,000 tons) at an average price of USD 515/ton. However, Vietnam’s onion imports have been sharply declining: down 5% annually between 2020–2024, and down as much as 37% from 2023 to 2024.

Opportunities for Vietnamese garlic and onion farmers

Domestic demand for onions and garlic is immense: Vietnam imports about USD 301 million worth of garlic (~264,000 tons) and USD 163 million worth of onions (~317,000 tons) annually. This means that simply replacing part of these imports would already create substantial growth potential for farmers and enterprises in the years ahead, without rushing into exports. The first priority should be stabilising domestic supply, reducing import dependency, standardising quality, and lowering costs through scale—thereby regaining shelf space in wholesale markets, supermarkets, industrial kitchens, and the processing industry.

For garlic, a two-tier approach is feasible: (1) expand mass garlic production in suitable regions to substitute imports for general consumption; (2) upgrade regional speciality garlic (Ly Son, Kinh Mon, Phan Rang) into premium segments with traceability, proper packaging, and brand protection. Once the domestic market is secured, niche export opportunities can be explored, such as processed and speciality products (black garlic, single-bulb garlic, dried garlic, garlic powder). Alongside improving seed quality, cultivation practices, and storage systems is crucial, as these bottlenecks currently inflate costs and cause significant post-harvest losses. FAO and multiple studies confirm that post-harvest losses in onions and garlic can be very high without proper drying and storage techniques, which increases costs and reduces quality.

For onions, 2024 data shows Vietnam’s imports are decreasing sharply—an opportunity to boost domestic production and replace imports in major consumption channels. Key areas such as Vinh Chau (Soc Trang) have successfully applied preservation technologies (curing, cold storage, sprout-inhibitor treatment) to reduce post-harvest losses and extend supply, making them well-suited to capture modern retail and long-term contracts. Once the domestic chain is stabilised, Vietnam could target niche exports to ASEAN and the Middle East with speciality purple onions and processed onion products.

Conclusion

Vietnam’s garlic and onion import figures reveal a paradox: despite favourable natural conditions and famous speciality varieties, the domestic market is still dominated by foreign products. To reverse this, Vietnam should adopt a “domestic-first, export-later” strategy: focus on organising large-scale production, standardising quality, reducing post-harvest losses, protecting regional brands, and strengthening processing to create added value. Only when the domestic market is firmly consolidated can Vietnamese farmers and enterprises confidently step into the global arena, unlocking sustainable export potential for these two essential products that are part of daily meals for billions of people worldwide.

See more: Vietnam’s agricultural processing industry on the way to development

About Us

Vietnam Commodity Export offers comprehensive and in-depth information on Vietnam’s sourcing market, highlighting opportunities and challenges across various industries. We help international businesses find high-quality manufacturers and reliable suppliers in Vietnam, providing the essential insights needed to connect with the best partners and resources in the market.

Boost Your Business with Vietnam’s Premium Products

Analysis Statistical

Export/Import Market Reports

Join Our Newsletter

Subscribe to receive weekly VCE news updates, our latest doing business publications

Subscribe To Our Weekly Newsletter

Get notified about new articles