Halal Market

Global Halal Market Size (2024 to 2029)

Global Halal market is expected to reach USD 6893 billion by 2029, and it was valued at USD 2691 billion in 2024. The market is expected to grow with a CAGR of 7.8% during the forecast period. 

Halal, in literal translation, refers to 'permissible" in the Islamic religion. The Islamic belief has two opinions haram (Unlawful) and halal (lawful). While haram refers to breaking the Islamic laws from the Quran and leading a lawless life, halal is the exact opposite and correlates to following the rules of the shariah (Islamic law). Halal can apply to any action in life, but it is mainly followed in food consumption. All foods and beverages are primarily halal except for a few, which go against the rules. Any food that has been manufactured, processed, produced, and stored via nonhalal equipment and tools is considered to be halal. The rules of the halal state that the food consumed has to be pure, good for the health, and obtained through moral methods. The halal rules are that the food should not be poisonous, Intoxicating (alcoholic), unhygienic, harmful to health, and meat that has not been slaughtered through zabihah ( a practice of slaughtering the animals in the most painless way), any food associated with pork or pork derivatives. And the consumable animals are herbivores and not carnivores. Therefore, all foods that follow these guidelines are considered to be halal. 

Global Halal Market drivers:

Halal foods are now gaining revenue due to the rapid adoption by the growing Muslim community. For example, it was recorded that over 1.9 billion Muslim followers were present worldwide as of 2020, and the number is expected to keep growing and reach approximately 2.8 billion by 2050. Therefore, the need for community-friendly food leads to more demand for the halal market. Additionally, the halal laws are said to be very beneficial not only to the Muslim community but also in general. The recent preference is due to the fact that halal food expects the consumer not to eat anything that is not natural/organic, leading to healthier foods. It also states that the food needs to be eco-ethical and environmentally friendly, leading to a more favoring food processing for the environment. Moreover, halal food promotes non-cruelty towards animals leading to curbing the mistreatment of livestock. 

The growing concerns regarding the hygiene and cleanliness of foods and increasingly strict regulations for food production and packaging by the FDA encourage the production of halal food that ensures clean food. In addition, halal food is free of harmful antibiotics, steroids, hormones, and additives, making them extraordinarily chemical-free and beneficial to the body. Furthermore, animals are treated with utmost kindness before being slaughtered in halal meat production. Additionally, the halal industry is prevalent and has applications in medicine, cosmetics, tourism, research and development, logistics, etc. Therefore, the growing industries in the halal market are expected to support growth during the forecast period. Furthermore, the growing disposable incomes leading to the rise of Islamic countries like Malaysia, Pakistan, Indonesia, etc., support the market's growth.

Recently, the view of halal food as something only Islamic religious beliefs are related to is fading as people become more aware of the benefits of halal foods. The growing religious acceptance worldwide also supports the growth of the market. In addition, the growing investments in the industry and the rising key market players and technologies also support the rise of the halal market. The rise in health-conscious populations due to chronic illnesses supports the growth of the market. Additionally, halal products provide marketers with more reach and a broader consumer base leading to profits supporting the market. 

Global Halal Market Restraints:

The market is facing drawbacks due to the need for more scientific evidence and strict state laws regarding the use of halal foods in several nations. Additionally, scholars argue that halal is an Islam-derived religious propaganda process and that many logical processes are ignored when aiding halal. For example, pharmaceutical companies often use alcohol and pig derivatives in several medications, and halal prohibits such use. Therefore, the need for more scientific reasoning for switching to or adapting halal practices may lead to restraint for the market. Furthermore, halal practices claim that it is the most painless and noble way of slaughter; however, there is no scientific evidence to back this claim. Many scholars argue that it is a more painful process than common slaughter. Therefore, religious disparity, debates, and the lack of proper laws and research hinder halal market growth. 

Impact of covid-19 on the global halal market:

The pandemic led to a worldwide economic crisis due to the downfall of several industries and working classes. In addition, the pandemic restricts the production and supply of multiple food and beverages along with several other industries due to strict lockdowns and social distancing norms. However, the growing concerns for hygienic and healthy food led to more ex[psure for the halal market as more people started to understand and adopt the concept leading to profits for the market. As a result, the covid-19 vaccine was announced to be a necessity. Even though the vaccine's halal certifications were still under suspicion, they were administered and accepted in the Muslim communities as a compulsion. However, specific communities raised several questions about using pork gelatin in the vaccines, which may have led to disputes in the vaccination approvals. 

REPORT COVERAGE: 

This research report on the Global Halal Market has been segmented and sub-segmented based on nature, & region. 

Global Halal Market - By Nature:

• Food and Beverages
• Tourism
• Finance
• Fashion
• Pharmaceuticals
• Media and Recreation
• Cosmetics

The food and beverages segment is expected to dominate the halal market during the forecast period due to the growing applications of halal in the food industry—the demand for meat and the requirements for hygienic and neat meat support the demand for the segment. Additionally, the rising consumption and breeding of livestock support the segment. Furthermore, fruits and Vegetables and Dairy products are also expected to support the market because these foods are daily necessities and are bought and used daily. 

The Cosmetics and Pharmaceutical segments are also expected to grow during the forecast period. The growing need for cruelty-free and environment-friendly products in beauty and medicine supports the rise of the market. 

Global Halal Market - By Region:

• North America
• Europe
• Asia-Pacific
• Latin America
• MEA

The Asia-Pacific region is expected to dominate the market during the forecast period due to the high presence of Muslim-dominated countries and consumers. The growing population of Muslim communities is leading to more demand for halal-certified products in the region supporting the halal market. Countries like Malaysia, Pakistan, Bangladesh, Indonesia, etc., support the market's rise. Additionally, the growing disposable incomes and awareness in the region, including Muslim minority countries like India, China, etc., support the market growth. Furthermore, there is a rise in the Muslim communities in the Southeast Asia regions leading to more development.

The European region is also expected to show significant progress in the market due to the growing concerns regarding the safety and cleanliness of food and more focus on labeling items. Additionally, the trend for halal services in several restaurants in countries like Italy, Germany, France, etc., supports the market rise in the region. The market in North America and Latin America is also growing due to the spread of the industry in countries like the US and Canada, along with Brazil and Mexico.

The Countries in the Middle East and Africa region are also expected to incur growth during the forecast period, with countries like Saudi Arabia, UAE, Turkey, etc., supporting the growth of the market during the forecast period. 

KEY MARKET PLAYERS:

Key market players Of Global Halal market Region are Al Islami Foods, Al-Falah Frozen Foods, BRF, DagangHalal Sdn. Bhd, Midamar Halal, Prima Agri-Products, QL Foods Sdn. Bhd, Saffron Road Food, Tahira Foods Ltd, The American Halal Co. Inc, American Foods Group LLC, Beijing Shunxin Agriculture, Jingyitai Halal Food.

RECENT HAPPENINGS IN THE MARKET:

• March 28, 2023, Farmer Focus, the food company, is making halal-certified products to include in their portfolio, like chicken breasts. The company claims that this inclusion will help increase the diversity of its products and help them reach a wider audience. Although some of the companies products are still not wholly halal certified, they are trying to be more inclusive. 
• On March 28, 2023, The Malaysia international halal showcase 2023 is ready to capitalize on the halal market with US$ 5 trillion in the industry. With the development of the halal industry, there are rising investments and acceptance from consumers worldwide for halal products, leading to a rise in revenue.
• On March 29, 2023, The Singapore-based nail polish company Nail Deck announced that it had witnessed an increasing interest in its breathable halal nail polish range among Muslim consumers and non-Muslims. With the growing concern about animal cruelty and harmful products in the skincare and beauty industry, the demand for such halal-certified products is expected to grow during the forecast period. 
• On March 28, 2023, METZ culinary management launched new halal dining and is planning on taking the halal initiative to a global level. In addition, the halal dining pilot program has been launched a the University of Louisville Hospital and Healthcare System.