Growing consumer awareness driving Halal products market.

Byline: Ahsan Nisar

The global Halal food market reached a value of USD 1.4 trillion in 2017. The growth of the global Halal food market is being primarily driven by health benefits offered by Halal food items which is continuously influencing the eating patterns of people. This has resulted in an increase in the consumption and acceptance of Halal food among non-Islamic communities as well. Moreover, food producers have been offering a wide variety of Halal food to consumers which has been positively stimulating the growth of the market. The consumption of such food items is also increasing due to a surge in the Muslim population worldwide. This, in turn, has significantly bolstered the growth of the market. Looking forward, the market value is projected to reach USD 2.6 trillion by 2023, exhibiting a CAGR of more than 11% during 2018-2023.

Halal, in the present time, has turned out to be a universal conception that covers the entire concept of fresh, clean, and healthier production as well as services of food. This is completely contradictory to the traditional notion, which was restricted to only slaughtering of animals according to Islamic law. It is no more a mere religious obligation but has moved beyond that to become a standard of choice for both Muslims and non-Muslims. The shift in consumer perceptions regarding such products offers strong opportunities for a substantially rapid growth of the global Halal food industry in the next eight years.

Despite growing Muslim population being the most vibrant factor fueling demand for Halal products worldwide, however, there are a few constraints expected to hinder the industry growth. A persistent confusing environment for establishing international Halal standards, mainly because they are framed by various types of organizations is a major restraint. These would include government owned and linked enterprises, independent Halal Certification Bodies (HCBs), private organizations, National Standard Agencies, regional bodies such as GCC Standardization Organization (GSO), the Association of Southeast Asian Nations (ASEAN), European Commission and international establishments including The Organization of Islamic Cooperation (OIC) and the Standards and Metrology...