July 22, 2017


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Halal Centre

An overview of the Global Halal Industry



In the last decade the global industry for halal food and lifestyle products that meet Islamic law standards of manufacture is estimated to be worth hundreds of billions of dollars and is multiplying as Muslim populations grow.  Players from every sector of the industry, from huge multinationals down to small enterprises, are eager to tap into this growing market.


The global halal industry is estimated to be worth around USD2.3 trillion (excluding Islamic finance). Growing at an estimated annual rate of 20%, the industry is valued at about USD560 billion a year. Thus, making it one of the fastest growing consumer segments in the world. The global halal market of 1.8 billion Muslims, which is 23% of the world’s population is no longer confined to food and food related products. The halal industry has now expanded beyond the food sector to include pharmaceuticals, cosmetics, health products, toiletries and medical devices as well as service sector components such as logistics, marketing, print and electronic media, packaging, branding, and financing. In recent years, with the increase in the number of affluent Muslims, the halal industry has developed further into lifestyle offerings including fashion, halal travel and hospitality services. This development has been triggered by the change in the mind set of Muslim consumers as well as ethical consumer trends worldwide.


The halal market is non-exclusive to Muslims, and has garner increasing acceptance among non-Muslim consumers who associate halal with ethical consumerism. As such, the values promoted by halal - economic and social justice, social responsibility, stewardship of the earth, animal welfare and ethical investment - have gathered interest beyond its religious compliance. The popularity of, and demand for, halal certified products among non-Muslim consumers have been on the rise as more consumers are looking for ethical products, safe and high quality.


Malaysia is the global leader in developing the halal industry and putting forth the highest standards. Malaysia exported $US9.8 billion ($A10.89 billion) worth of halal products in 2013. That makes it one of the largest suppliers in the Organisation of Islamic Co-operation, an international group with 57 members.


Halal Industry Development Corp., a Malaysian government agency, estimates the global industry excluding financial services exceeds $US2 trillion and will grow 4 per cent to 5 per cent annually. Demand for Syariah-compliant products will come from established centres such as the Middle East as well as emerging markets including India, Pakistan and Bangladesh.