Brand Halal
Although ‘Halal’ is an Islamic value, but it is also a most potential Economic value in today’s world. Most non-Muslim countries in the West and East are utilizing the ‘Halal Brand’ to their economic benefit and are one of the biggest exporters of Halal products in today’s world.
The reason for this vast thriving market goes hand in hand with Halal products being widely recognized for its safety and quality assurance and the ‘Halal Label’ has become a symbol of “Good Quality Product”. Therefore, this worldwide demand is not restricted to Muslims as non-Muslim consumers, from diverse races and religious beliefs prefer to buy products bearing the Halal Logo, thus providing a huge boost to the Halal industry.
International Market Size
As per the latest research
by World Halal Forum, Malaysia, quoted in TIME Magazine (May 2009), the
total size of Global Halal food market is worth about US$ 632 billion
in 2009 and if we also include the non-Muslim consumers, the total figure
will be much higher.
Halal Industry experts believe the size of the total global
Halal market (for all Halal products and services) ranges from a minimum
of US$ 1 trillion to US$ 2 trillion per annum.
In Europe, the market size of Halal Foods is estimated
to be US$ 66 Billion.
France is the largest Halal market in Europe worth over
US$ 17 Billion.
In the United Kingdom, the sale of Halal meat products
only is worth over US$ 600 million annually.
The GCC’s annual Halal food imports is worth approx
US$44 billion while Halal Food Sales in India are estimated to be worth
over US$ 21 billion annually.
Indonesia, the country with the largest Muslim population
in the world, has an annual Halal Food expenditure of over US$ 70 billion
with New Zealand and Australia as its biggest beef suppliers.
The American Muslims spend around US$13 billion on Halal
food products annually but the demand of Halal products is more than double
as they also spend another $16 billion a year on Kosher products because
which are freely available on the shelves of every main street market.
A recent “Mintel” survey to compare availability
of Halal products versus kosher products showed that there are almost
1000 Halal certified products available in North America as compared to
86000 kosher products, which means that for every Halal product on the
shelf, the customers have 86 kosher products to choose from.
Pakistan doesn’t
have its own Halal standards and there is no official Halal Certification
body in Pakistan.
However, there are many International Halal certification
companies who have their agents and offices working in Pakistan that can
test and certify the Pakistani products as Halal.
Let us assume that All Food
& Beverage, All Cosmetics, All Toiletries, All Medicines & other
related products exported from Pakistan are Halal.
And our popular brands in
Pakistan may also be known in the Sub Continent and also in Middle East.
But Muslims of different ethnic background in USA, Europe, Africa or even
Asia are not familiar with our Brands and may not buy our products.
However, they recognize the “Halal Brand”
and will pick up our products from the shelves if they see the brand label
or logo of Halal.
Halal market is undoubtedly the biggest untapped
market for Pakistani exports.
Global Halal Players
In the West, USA, Brazil, Canada, Australia,
New Zealand & France are the biggest Halal suppliers.
In the East, Thailand is the biggest exporters
of Halal certified products after which Philippines, Malaysia, Indonesia,
Singapore and India are the leading Halal products suppliers to the world.
Brazil exports 1 million frozen Halal
chickens to 100 countries and 300,000 MT of Halal beef products to Saudi
Arabia, GCC, Egypt and Iran annually.
France exports 750,000 MT Halal frozen
chickens annually to Saudi Arabia, Kuwait, UAE & Yemen among other
Muslim countries.
United States is the third largest beef
exporter in the world and more than 80 percent of its frozen beef is Halal.
New Zealand is the fourth largest beef
exporter in the world and 40 percent of its beef product s exports are
Halal.
The market is already being
intercepted by large multinationals, thriving to retain their share of
the market to cope up with the changing consumer trends and needs, ultimately
identifying new set of potential customers and new markets. Multinational
like Nestle, Colgate, McDonalds, KFC, Subway, etc are already part of
the Halal trade and major hypermarkets such as Carrefour France, Tesco,
Asda and Sainsbury UK are few examples who keep Halal products on the
shelves.
The initiatives taken up
by different countries and multinationals are also an upbeat indicator
of the market size of Halal products. To grasp market share companies
have also started taking interest in services like logistics and packaging,
thus proving that new market segments are emerging. The market size further
expands with business to business transactions, which in it self is another
market for companies to consider.
Pakistan offers HUGE opportunities for Halal service providers. The service industry of Pakistan is rapidly growing and increased awareness for Islamic Banking, Takawful Insurance, Securities & Finance, Islamic Business Services, Islamic Online trading, Religious Travel & Tourism, Halal Supply Chain & Logistics, Islamic education, etc and their service providers can get enormous ready business from Pakistan.
PAKISTAN – The Halal Hub of the Region
Pakistan
is the 26th largest economy in the world, in terms of purchasing power.
With a per capita income of $2600 and GDP growth rate of 5.8 %, Pakistan
is an overwhelming market for new products and services. Banking reforms
and financial steadiness has resulted in a strong consumer banking sector
with admirable growth in past five years.
Local Market: Pakistan has more than 170 million Muslims, making it a massive, ready
market for Halal certified companies to sell their products and services.
Afghanistan: Landlocked Afghanistan completely depends
on the 3 international sea ports and several international airport of
Pakistan which are the main supply route for all your Halal products to
the 30 million Afghans.
Central Asia: The silk road connection of Pakistan offers easy road access to transport
the goods to the 55 million plus Muslims in Central Asia.
India: By road transportation gives a direct access to the 150 million Muslims
in India.
Middle East:Being the closest in the region, Pakistan is an important gateway to supply
the Halal products to the 56 million Muslims in the Middle East.
The direct access
to this grand total of 460 million Muslim customers makes Pakistan the
biggest Halal hub of the region.
The Muslim population is growing at the rate of
2.9% per annum and is expected to be 30% of the world's total population
by 2025. With this high increase, the global demand for Halal food and
Shari’ah compliant products and services will continue to rise with
a huge global demand. This will also give rise to more industries and
opportunities for companies to expand their reach.
The current estimated Muslim population is around
1.79 Billion, out of which the Muslims who live in non-Muslim counties
or countries of non-Muslim majority consume and use other standard products
because of the unavailability of Halal certified products.
