VIETNAM WASTE MANAGEMENT MARKET

Vietnam Waste Management Market is projected to grow at a CAGR of 7.0% during the forecast period due to the growing recognition of the importance of managing waste effectively, multiple government initiatives aimed at improving waste management, alongside cooperative efforts between public and private entities.

Major Vietnam Waste Management Market Drivers and Challenges

The government of Vietnam increasingly acknowledges the importance of effective waste management and steps have been taken to improve sustainable waste disposal approaches, including the implementation of regulations and policies that can drive the growth of Vietnam waste management market. A National Strategy for Integrated Solid Waste Management has been formulated with a vision extending to 2050 which aims to collect and reuse all solid waste types that meet the particular conditions and necessities of individual localities. In addition, the Circular Economy Development Strategy has been put into effect which supports a closed-loop strategy to minimize environmental waste generation. An essential element of this approach is the perspective that waste is a resource that can be renewed and aims to achieve 100% rate of processing and collection for solid waste that complies with national regulations and standards by 2025, while also decreasing dependence on landfills for recyclable, organic, and solid waste. To achieve these goals, the government is actively striving to create a conducive investment environment and offering incentives to support waste management initiatives. These efforts might appeal to and motivate investors to engage in the formulation and execution of sustainable waste management solutions.

The government has also worked to establish policies that promote collaboration through partnerships between public and private entities, as this strategy is considered a promising path for the improvement of waste management. This private and public partnership scheme will allow investors to work alongside government bodies and local authorities in developing infrastructure projects for waste management while also take advantage of extended contracts that offer predictability and stability. This facilitates more effective planning and execution of waste management initiatives while also often offer access to public sector resources and facilities such as land availability or financial aid which can help streamline the execution of waste management efforts.

The other factor supporting the growth of Vietnam waste management market size is the rapid industrialization and urbanization leading in significant surge in waste production. The rise in waste production provides investors with various opportunities to implement effective and suitable waste management solutions to accommodate the expanding demand for services related to managing waste throughout the nation.

Vietnam is grappling with substantial challenges stemming from the vast quantities of waste produced each day, which the Ministry of Natural Resources and Environment noted that Vietnam generates around 60,000 tons of daily household waste production. Significantly, the urban centers of Ho Chi Minh City and Hanoi alone contribute a substantial portion producing between 7,000 and 9,000 tons of daily trash which is expected to rise by 10 to 16 percent by the year 2025. Even with a substantial amount of waste generated, waste treatment in Vietnam is mostly still ineffective where the majority of the waste is disposed of in landfills, but only 20% of these sites comply with national sanitary standards. Even though landfilling might seem straightforward, it is costly and outdated in practice, while improper management of landfill waste decomposition can pollute land, underground water, and air, worsening environmental problems. The effects of extensive waste generation and insufficient treatment approaches are visible in the polluted environments of landfills, significantly affecting the lives of local residents on a daily basis.

In addition, acquiring the required licenses and permits for initiatives related to waste disposal can be a complicated and lengthy process which can further hinder the development of Vietnam waste management market. Investors face the challenge of navigating numerous government agencies and adhering to different regulations such as conducting assessment on environmental impact, implementing environmental monitoring and management programs, and complying with technical specifications for equipment and systems, which becomes more challenging and rigorous for businesses involved with hazardous waste management. The process entails not only extensive paperwork and complex procedures but also requires coordination with various authorities, coupled with lack of clarity in management responsibilities across various levels of government which can further pose challenges for investors looking to enter this sector.

Setting up a reliable system for collecting and sorting waste is essential for effectively managing waste and is evident in countries that excel in handling waste where there is a strong focus on issues related to effective disposal methods and waste categorization. Furthermore, Vietnam encounters various obstacles in implementing a comprehensive system in collecting waste as there is still a lack of public awareness concerning waste classification which further poses significant challenges to achieving efficient waste management practices in Vietnam. Meanwhile, the country is currently developing infrastructure in waste management, especially in rural regions, which significant investment may be necessary to upgrade current infrastructure, build new facilities, and adopt cutting-edge waste management technologies.

Segments covered in the Report:

The Vietnam waste management market has been segmented on the basis of waste and service. Based on waste, the market is segmented into, municipal, Industrial and hazardous. Based on service, the market is segmented into collection and Disposal.

Market Segmentation

Vietnam Waste Management Market by Waste

• • Municipal Waste
  • Industrial Waste
  • Hazardous Waste

Vietnam Waste Management Market by Service

• • Collection
  • Disposal