In recent years, the issue of counterfeit goods has escalated alarmingly in Vietnam, prompting serious concerns from both the government and consumers. Lawyer Nguyen Thi Thu Hoai, Vice Chairman of the Anti-Counterfeiting Fund (ACF), highlighted the vast profits from the production and sale of counterfeit products as a primary driver of this ongoing problem. "The enormous profit margins from counterfeit goods encourage criminal activities, despite existing penalties," she stated.
One stark example of this issue was revealed in May 2023, when authorities in Hanoi uncovered a factory that was packaging fake monosodium glutamate (MSG) at a staggering capacity of several tons per day. The estimated profits from this operation reached billions of dong each month, with production costs being only one-third of those for legitimate products. This incident is just one among many, including the recent discovery of counterfeit food items such as Kera vegetable candies, fake milk, and cosmetics containing mercury.
Moreover, the sophistication of counterfeit operations has increased, as demonstrated by a case in Ho Chi Minh City in 2022, where counterfeit pharmaceuticals were produced using advanced printing technology to mimic genuine packaging, complete with fake QR codes. This level of sophistication makes it increasingly difficult for consumers to discern real products from fakes.
Adding to the complexity of the issue is the inadequacy of monitoring systems in place. In some northern provinces, establishments producing counterfeit alcohol have gone undetected for years, primarily due to insufficient personnel and a lack of specialized equipment for detecting counterfeit goods. ACF's survey revealed that a staggering 70% of consumers are unaware of how to differentiate between genuine and counterfeit products in their daily purchases.
In response to these challenges, the ACF is launching a project that utilizes blockchain technology to trace the origins of products, making it easier for consumers to verify product information from production to purchase. This initiative aims to enhance transparency and bolster consumer confidence in product authenticity.
According to TS Ta Manh Hung, Deputy Director of the Drug Administration of Vietnam (Ministry of Health), the Ministry is intensifying its management and inspection of drug supply establishments. He emphasized that the Ministry's focus will be on ensuring that all establishments possess the necessary documentation proving the origin and quality of their products before they are sold to the public.
During a recent event on May 7, 2025, Ms. Tran Viet Nga, Director of the Department of Food Safety (Ministry of Health), addressed the growing concern over counterfeit functional foods and outlined key solutions to protect consumer health. She noted that the production of counterfeit food results in significant losses for the global food industry, with estimates suggesting damages of around $40 billion annually due to counterfeit products.
Ms. Nga pointed out that Decree No. 15/2018/ND-CP, which allows for self-declaration of products, has inadvertently created loopholes that some businesses exploit for illegal activities. "While this decree facilitates businesses in declaring their products, it has led to instances where companies self-declare nutritional products without proper oversight from regulatory authorities," she explained.
To combat these issues, the government is currently amending the Law on Food Safety and plans to tighten regulations in Decree No. 15/2018/ND-CP. The goal is to enhance monitoring and control over product declarations and ensure that businesses adhere to legal standards. The Ministry of Health is also advocating for increased investment in human resources and funding for effective post-market surveillance.
In addition to regulatory measures, Ms. Nga emphasized the importance of consumer education. She urged citizens to equip themselves with essential knowledge about product safety and quality, encouraging them to seek information about the origin, ingredients, and labels of the products they purchase. "Consumers must be proactive in understanding what they buy to protect their health and well-being," she advised.
As part of a broader strategy to address the counterfeit goods crisis, the ACF is committed to raising awareness among consumers about the dangers of counterfeit products. They are planning to implement campaigns that inform the public about the health risks associated with counterfeit goods and provide guidance on how to identify legitimate products.
Furthermore, the ACF is set to enhance cooperation with international partners to combat the proliferation of counterfeit goods, particularly in the realm of cross-border e-commerce. This collaboration aims to establish a more robust framework for combating counterfeit products that transcend national borders.
To ensure that legitimate businesses can thrive, the ACF also advocates for policies that support companies investing in brand protection and anti-counterfeiting measures. The organization recognizes that protecting intellectual property rights is crucial, especially for small and medium enterprises that may lack the resources to combat counterfeiting effectively.
As the counterfeit goods crisis continues to evolve, it is clear that a multifaceted approach is necessary. This includes not only stricter regulations and enforcement but also consumer education and international cooperation. By working together, stakeholders can create a safer marketplace that protects consumers and supports legitimate businesses.
Ultimately, the responsibility of combating counterfeit goods lies not only with regulatory authorities but also with consumers, businesses, and society as a whole. The ACF remains committed to acting as a bridge between consumers, businesses, and regulatory agencies, contributing to the establishment of a healthy market environment.
