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The Global Halal Food Market – Riding a Wave of Growth

Halal accreditation

The literal meaning of the Arabic word ‘Halal’ is acceptable. It is made use of in reference to food and also drinks that are permissible for Muslims under Islamic Law, as specified in the Koran. It sets directions specifying exactly what food could be taken in addition to the approach of preparation, resolving mainly meat things and animal tissue. The Islamic kind of slaughtering animals entails killing by a cut to the windpipe, carotid artery and throaty vein.

Muslim consumers currently add to a growing need for excellent quality and also differed Halal food. The Halal qualification is a worry for the 1.6 billion international Muslim population due to the fact that several Muslims reside in non-Muslim bulk nations where Halal-certified food is at times hard to discover or where the credibility of the qualification might be questionable.

Growth capacity

What is driving the rapid development in the Halal food market?

Increase in Muslim population

Inning accordance with research launched in 2015, Muslims currently make up concerning a quarter (23.2 percent) of the international populace. The research study additional states that the increase in the Muslim population is due to a younger market – many Muslims live in nations with low typical ages like Indonesia, India and Pakistan – and on-going renovations in infant mortality prices. With the increase of the Muslim customer, food-service chains such as KFC and Nando’s now have Halal electrical outlets, while Pizza Express makes use of Halal poultry and also grocery stores in Europe are stocking up on icy Halal foods.

Greater disposable income

Enhancing earnings levels among the Muslim populace are sustaining need for new as well as set apart Halal food. An expanding Muslim populace as well as financial growth in countries with big populations of Muslims makes this a lucrative section to purchase. The consolidated disposable income of an American Muslim in 2012 amounted to USD98 billion.

Expanding understanding and demand

The recognition factor goes to play for both the Muslim as well as non-Muslim population. The former is becoming progressively aware of their religious responsibilities while some specialists think that the latter are anticipated to shift to Halal food as a result of climbing worries regarding unhygienic and also unhealthy food. For example, Halal meat represent around 15 percent of overall meat sales in the UK (2.6 billion British extra pounds), which is much greater than the proportion of Muslims in Britain (which is approximately 5 percent).

Non-food Halal market chances

Halal items are not all connecting to meat. The progressing way of living and increase in buying powers of Muslims suggest that there is growing demand for items that conform to Islamic nutritional laws. As the Halal market continuouslies increase beyond the food industry there are several industries that stand to profit that include:

Aesthetic and personal treatment

Extra customers realize that cosmetics might consist of alcoholic materials or items originated from pets forbidden by Islam. Inning accordance with 2013 information, the Halal cosmetics and individual care market is worth about USD13 billion with an annual development price of 12 percent.

Pharmaceutical and also medical care

Halal pharma and medical care items remain in need not just from Muslims yet likewise from non-Muslims who value health items that do not hurt the body in the long-lasting. That is why market players agree to alter components and also manufacturing techniques to deal with this need. As at 2013, the Halal pharmaceutical market was approximated at USD34 billion – as well as growing.


Traditionally, Halal tourist has actually been commonly linked with umrah, hajj as well as pilgrimage. This places the Halal tourism market at USD137 billion in 2014.


Fashion houses in Paris and also Milan have seen the business capacity for Muslim women’s garments that respects spiritual sentiments yet includes components of taste and design. According to a record in 2012, the Muslim fashion business would be equivalent to USD96 billion if half of the Muslims’ around the world (1.6 billion) spent USD120 on clothes each year.


Halal logistics likewise has clear capacity for development. A global Halal logistics standard is as a result essential.

Main Halal markets

As the Halal market emerges as a brand-new development industry, a growing customer base and boosted growth in various areas will certainly trigger more competition. The crucial regions where development potential is evident consist of:


With virtually one billion Muslims or near two thirds of the international Muslim populace, Asia is at the leading edge for Halal items. Asia’s Halal market has been mostly driven by India, Malaysia, Pakistan, Indonesia and China. With nearly one billion Muslims or near 2 thirds of the global Muslim population, Asia’s Halal market has actually been mostly driven by India, Malaysia, Pakistan, Indonesia and also China.

With virtually one billion Muslims or near 2 thirds of the worldwide Muslim populace, Asia’s Halal market has actually been mostly driven by India, Malaysia, Pakistan, Indonesia and China. This market deserves approximately USD420 billion (in 2013) as well as is broadening rapidly. Some of the vital nations within the Eastern region that have been establishing the direction for the regional Halal market are:


The country with the world’s biggest Muslim populace is, unsurprisingly, a significant Halal product market, approximated at USD10 billion every year in 2013 and seeing yearly growth of 7-10 percent.


Malaysia’s Halal market was valued at USD1.9 billion in 2013. A critical contributor to the nation’s financial growth, the Halal market is projected to add up to 5.8 per cent of the nation’s Gross Domestic Product (GDP) by 2020, up from 2 per cent in 2013.


Pakistan’s share of the international Halal food market in 2013 was a miserable 0.26 each cent of the USD440 billion total. No question this is due to the fact that Pakistan produces a lot of its food locally, without an excellent bargain of Halal food import and also export.


Thailand has actually become the world’s 5th biggest Halal food manufacturer – it has a 5.6 per cent share of the global Halal food market, valued at USD5 billion annually. The Thai federal government’s ongoing initiatives to enhance the Halal market caused the facility of the Halal Standard Institute of Thailand in 2003 to make certain appropriate growth and certification for nationwide Halal food. These standards abide by Islamic law along with worldwide food quality standards.Thailand has actually become the globe’s 5th largest Halal food producer.

Center East

The Halal food market in the Middle East deserved regarding USD20 billion in 2013. The Middle East imports 80 percent of its food requirements, making it a significant section for global Halal food. Annual food imports are forecasted to increase from USD25.8 billion in 2010 to get to USD53 billion in 2020 – with overall Halal meat imports going beyond 1 million statistics loads annually.


The growing European Halal grocery store has actually made lots of Western nations take notification. Large grocery sellers in the United Kingdom like Sainsbury’s, Morrisons as well as Tesco sell Halal food ranges at picked shops, extending groups which vary from child food to Halal meat.

Challenges in advance

The international Halal food market seems to offer numerous business chances. What road blocks should financiers bear in mind?

International Halal requirement

The lack of a solitary unified global Halal standard is a dampener to industry development. Each country has differing qualification criteria due to the visibility of different Halal authorities. An international Halal standard and certification system would provide guarantee to customers, lower the need for numerous accreditations, speed up product development and lower the supply chain cycle time.

New Muslim customers

As at 2011, around 60 each cent of the worldwide Muslim population was under 30 years of age. This young generation will demand a diverse array of Halal consumer products and services to satisfy their way of life desires in conformity with their faith.

Halal stability from ‘ranch to table’

Keeping honesty throughout the Halal supply chain has become a significant worry for Muslim consumers, with deceitful Halal qualification and physical contamination of food products increasing. Therefore, supply chain honesty should be safeguarded right from the point of animal slaughter as well as including the transportation, storage space to the handling of Halal items.

Human resources

There is a lack of knowledgeable employees in the Halal sector. Moreover, many market players have substantial area to grow in respect of manufacturing performance in addition to innovation.

What exists ahead?

As market gamers race to order a share of the USD700 billion worldwide Halal food market, competitors will certainly increase. This will position a premium on efficiency, quality and diversity in the years ahead. The Halal qualification ought to be considereded as simply the beginning of the procedure of creating competitive benefit.

The Halal food market will likewise end up being more varied, both geographically along with in regards to buying power and hence customer refinement. For instance, the sale of Halal food in the U.S. has actually gotten on the rise, seeing a 70 percent rise since 1995. In Russia, 2011 saw the production of 65,000 lots of Halal meat. China is additionally becoming a Halal market, with over 23 million Muslims living there.

Most of all, the African continent is extensively acknowledged to be the Halal product market of the future, because of a huge and growing consumer base of African Muslims as well as quick economic development in the continent. For example, Kenya has about 150 companies running with Halal certification from the Kenya Bureau of Halal Certification.

With the increase of the Muslim customer, food-service chains such as KFC as well as Nando’s now have Halal electrical outlets, while Pizza Express makes use of Halal chicken as well as supermarkets in Europe are stocking up on frozen Halal foods.

The previous is ending up being progressively aware of their spiritual responsibilities while some professionals think that the last are anticipated to change to Halal food due to climbing problems regarding unclean and also undesirable food. Thailand has actually become the world’s 5th biggest Halal food manufacturer – it has a 5.6 per cent share of the worldwide Halal food market, valued at USD5 billion every year. The Thai federal government’s ongoing efforts to strengthen the Halal market resulted in the facility of the Halal Criterion Institute of Thailand in 2003 to make certain proper development and accreditation for national Halal food. These criteria conform with Islamic regulation as well as global food quality standards.Thailand has ended up being the world’s 5th largest Halal food producer.

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