Moon cake production in the doldrums due to COVID-19
VOV.VN - A number of major moon cake brands such as Kido and ABC have unveiled their plans to halt production of the cakes that are favourites with Vietnamese people during the upcoming Mid-Autumn Festival.
A sharp fall in consumer demand, difficulties in distribution and high production costs have prompted the brands to suspend production.
A representative of Kido Group told zingnews.vn that the firm will not be producing moon cakes this year due to the impact of the COVID-19 pandemic coupled with high production costs.
Similarly, ABC Bakery has also postponed its business plan for this year’s Mid-Autumn Festival as a number of its employees are undergoing medical quarantine, causing their outlets to temporarily close.
A representative of Dai Phat Bakery also revealed that many supermarkets will not host locations to sell mooncakes like in previous years, adding that the firm has not received official orders from partners.
Facing difficulties in seeking necessary ingredients and delivering goods during the social distancing period in Ho Chi Minh City, several establishments specialising in selling cakes online have been forced to cancel hundreds of orders.
However, some local enterprises have still maintained production, with their distribution plans now coming under scrutiny.
This year, Mondelez Kinh Do, a popular brand in Vietnam, also expanded its distribution channel by co-operating with e-commerce platforms and delivery applications.
Simultaneously, the company will also continue to export cakes to the United States, Singapore, and Thailand.
The Mid-Autumn Festival or Full-moon Festival is celebrated on the fifth day of the eighth lunar month. This year the festival falls on September 21.
