According to the Market Statsville Group (MSG), the global halal products market size is expected to grow from USD 3,769.40 million in 2022 to USD 7,081.55 million by 2033, growing at a CAGR of 5.9% from 2023 to 2033. The expanding Muslim population globally, as well as increased concerns about food safety, hygiene, and dependability, will drive the market throughout the projected period. Furthermore, prominent market participants producing halal-certified foods will boost product exposure among customers. The growing interest of non-Muslim customers in the consumption of vegan food items, along with the development of goods by halal producers for these aware consumers, is expected to boost market growth.

On the other hand, the government's strict laws and regulations would be the most difficult hurdle to the expansion of the halal food business. High expenditures connected with R&D capabilities will also impede industry expansion.

Definition of the Global Halal Products Market

Halal products refers to the products that are prepared by following Islamic laws & regulations, which defines foods, medicines, and cosmetics that are lawful or permissible and clean. Muslims community consumers avoid food & beverages that are Haram, meaning forbidden or unlawful by their Islamic faith. According to Islamic principal, halal products especially food products are safe and does not contain any non-halal or unclean ingredients in it. Also, they are prepared by using equipment that is clean. Halal foods do not contain alcohol, broth, gelatin, ham, bacon, pork, L-cysteine, Lipase, mono and diglycerides, pepsin, rennet, sodium stearoyl-lactylate, vanilla extract, and whey in any kind of food items such as grain products, vegetables & fruits, beverages, milk & milk products, desserts, and other food products.

However, vanilla in powdered form and whey prepared with microbial enzymes can be used in halal foods. A lot of emphasis is made on food hygiene & safety. For instance, for preparing halal meat animals are not treated with any antibiotics, hormones, and preservatives that are very commonly used for producing meat and are slaughtered as per the Islamic dietary law.

COVID-19 Impact on the Global Halal Products Market

The Halal industry has been affected severely by the pandemic. The immediate effects are partly explained by short-term disruptions in supply chains, erosion of market confidence, and closures of businesses. In some Halal sectors, the negative effects are devastating. For instance, due to the pandemic and travel restrictions worldwide, the market size of the Islamic tourism sector declined by 70% as compared to 2019 (Dinar Standard, 2020). Beyond these immediate effects of the pandemic, it has a number of social and economic implications that could affect the medium and long-term growth prospects of the Halal industry.

Although the vaccination rollout has started, due to the new variants of the COVID-19 virus and the slow pace of vaccination in some countries, it is difficult to foresee how long the crisis will last. As the duration of the crisis prolongs many stakeholders have started to change their expectations and preferences. For instance, due to the COVID-19 pandemic, there is a surge in online shopping among Muslim consumers.

Global Halal Products Market Dynamics

Drivers: Growing Muslim population coupled with rising awareness will drive market’s growth

Islam is the world's fastest-growing religion, which boosts global demand for halal products. According to latest figures from the Saudi government, the global Muslim population accounts for 28.26% of the global population. Further, the growing Muslim population, for instance, as per the data of World Population Review, in Indonesia the population is 279,134,505 in 2022, 1% growth as compared to 2021 population i.e., 276,361,783.

In Pakistan, population in 2022 is 229,488,994, 1.90% growth from 2021 i.e., 225,199,937. In Afghanistan, in 2022, the population is 40,754,388, a 2.31% growth form 2021, in 2021 the population was 39,835,428. Hence the growing population especially across Muslim nations will fuel the demand for the halal products and pave the way for the market's growth. Furthermore, the increased awareness among Muslims of the requirement and necessity to consume only halal food propels the worldwide market's growth. Consumer awareness in the halal food business has had a significant influence on market development in recent years. Non-Muslim people are increasingly purchasing such items for ethical and safety concerns. The increased awareness of the link between nutrition and health, as well as the increasing demand for processed convenience meals, has given rise to new food market subsectors that are fuelling the expansion of the halal goods industry.

Restraints: Regulatory framework and dearth of professionals

In The regulation of the halal industry is constantly evolving. This sector's regulatory structures are complicated, and they differ among regions and nations. Muslim-majority countries tackle the issue differently than Muslim-minority ones. The difficulty in building a regulatory framework for the industry to bring it to the same levels of regulatory compliance as the mainstream food industries is a major impediment to market expansion.

The absence of a consistent international framework to ensure halal purity hampers business for producers by making access to export and domestic markets difficult. Consumers have challenges when purchasing packaged halal items due to a lack of clear and transparent regulatory frameworks, as well as variations of opinion and interpretation.

The limited cooperation among the stakeholders of the Halal industry in many OIC countries towards building human capital and broadening the skills base of the industry is one of the main issues of concern. This also constitutes a barrier to the development of the Halal industry and hampers the market's growth.

Opportunities: Growing demand for halal pharmaceutical products will pave the way for the market’s growth

Halal Pharmaceuticals are considered much safer, effective, and uncontaminated as they are prepared, packaged, and distributed as per Islamic teachings and are expected to maintain high standards of quality. The recovering economic conditions in Islamic countries are offering opportunities for the growth of the market’s products. In addition, the growing awareness pertaining to environmental and health hazards is also responsible for creating a significant impact on the pharmaceutical industry.

Halal pharmaceutical goods are becoming increasingly popular across the world, and they are setting a new bar for safety and quality. Muslim-majority nations have established a controlled system for halal certification of pharmaceutical items. Halal medications contain halal components and are manufactured in accordance with Islamic standards.

Furthermore, the materials utilised must be safe for people and not intoxicating, and they must not be processed on equipment polluted with Najis (impurity). Furthermore, halal pharmaceutical goods must be physically isolated from any other pharmaceutical products that do not fulfil the aforementioned standards during their preparation, manufacturing, handling, packing, storage, and distribution. The growing demand for the halal pharmaceuticals will create lucrative opportunities for the market’s growth.

Scope of the Global Halal Products Market

The study categorizes the halal products market based on product type, material, end user and distribution channel area at the regional and global levels.

By Product Type Outlook (Sales, USD Million, 2019-2033)

• Meat, Poultry & Seafood
• Fruits & Vegetables
• Milk and Dairy Products
• Cereals & Grains
• Oil, Fats, Cream, & Waxes
• Confectionary
• Others

By Material Outlook (Sales, USD Million, 2019-2033)

• Fresh Products
• Frozen Salty Products
• Processed Products
• Others

By End User Outlook (Sales, USD Million, 2019-2033)

• Households
• Food Services (HoReCa)
• Food Processing Industry
• Others

By Distribution Channel Outlook (Sales, USD Million, 2019-2033)

• Traditional Retailers & Departmental
• Stores
• Supermarkets & Hypermarkets
• Online Stores
• Others

By Region Outlook (Sales, USD Million, 2019-2033)

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Italy
  • France
  • UK
  • Spain
  • Poland
  • Russia
  • The Netherlands
  • Norway
  • Czech Republic
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Indonesia
  • Malaysia
  • Thailand
  • Singapore
  • Australia & New Zealand
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Colombia
  • Rest of South America
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • South Africa
  • Northern Africa
  • Rest of MEA

Meat, Poultry & Seafood segment accounts for the largest market share by product type

Based on the product type, the market is divided into meat, poultry & seafood, fruits & vegetables, milk and dairy products, cereals & grains, oil, fats, cream, & waxes, confectionary and others. The meat, poultry & seafood segment is expected to dominate the market share in 2022 in the global halal products market. The meat, poultry & seafood segment currently dominates in 2022, gaining a revenue share of around 24.5%. It is expected to grow at a CAGR of 5.1% throughout the forecast period in the halal products market. Due to the rising customer desire for bacteria-free meat due to health, hygiene, and safety concerns, demand for these products is expected to expand in the near future. According to a National Library of Medicine publication, by June 2020, 70% of customers in England choose halal meat over regular beef. Furthermore, 50.8% of customers eat meat once a week, 45.6% once a day, 3.2% once a month, and 0.4% only sometimes eat meat. Furthermore, regard for animal welfare and a degree of acculturation are important factors in the segment's growth.

Asia Pacific is expected to witness the largest market share by Region

Based on the regions, the global halal products market has been segmented across Europe, North America, the Middle East & Africa, Asia-Pacific, and South America. Asia Pacific is projected to account for the highest market share in 2022. Migration from Muslim-majority countries to other regions is one of the critical factors driving the Asia-Pacific region's rapidly growing Muslim population. Demand for various types of food has grown as the number of Muslims has increased, and this trend is expected to continue over the projected period, propelling the market in this area.

According to a Pew Research Centre study released in April 2019, India would have an 11.1% Muslim population in 2060. The constantly growing Muslim population, as well as their psychological development, are projected to drive the market throughout the forecast period.

Competitive Landscape: Global Halal Products Market

The halal products market is a significant competitor, and extremely cutthroat in the sector are using strategies including product launches, partnerships, acquisitions, agreements, and growth to enhance their market positions. Most sector businesses focus on increasing their operations worldwide and cultivating long-lasting partnerships.

Major key players in the global halal products market are:

• IFFCO
• Al Islami Foods
• Banvita?
• Cargill, Incorporated
• Changchun Haoyue Halal Meat Industry Co Ltd
• Allanasons Pvt Ltd
• Nestle S.A.
• Unilever
• Hebei Kangyuan Islamic Food Co.,Ltd
• Isla Délice
• Kawan Food Manufacturing Sdn Bhd
• Midamar Corporation
• One World Foods
• QL Foods Sdn Bhd
• RAMLY FOOD PROCESSING SDN BHD
• Rosen's Diversified Inc.
• Tesco.com
• NEMA FOOD
• AL-FALAH FROZEN FOODS
• NAMET

Recent Development

• In April 2022, Kawan Food Bhd’s wholly-owned subsidiary, Kawan Food Manufacturing Sdn Bhd proposed to acquire five parcels of leasehold industrial land in Shah Alam worth RM50.46mil from RGP Warehouse Solutions Sdn Bhd.
• In July 2021, IFFCO announced a joint venture between Griffith foods and IFFCO to create innovative, agile, and sustainable food solutions. The strategic joint venture was called GRIFFCO. GRIFFCO resulted from the strategic partnership between two companies that are purely driven by purpose and over 100 years of a solid family-based culture.  Griffith Food's worldwide reach, innovative skills, and core competencies were joined with IFFCO's deep-rooted legacy and superior regional infrastructure.
• In January 2021, In response to the increased demand for healthier vegan choices and in time for Veganuary, a global campaign encouraging people to adopt a plant-based diet in the New Year, Al Islami Foods unveiled its first plant-based product, a burger produced with sunflower protein. Al Islami’s plant-based burger is made using sunflower protein, fava beans and peas.
• In October 2020, In response to growing consumer preferences for nature-derived and sustainably sourced ingredients, Cargill entered into an agreement to acquire Floratech.
• In September 2020, Venus Medtech (Hangzhou) Inc. and Jilin Changchun Haoyue Halal Meat Co., Ltd. jointly announced the formation of Venus Haoyue Medtech Limited, a joint venture firm ("Venus Haoyue Medtech"). From the source of biomaterials, Venus Medtech and Venus Haoyue Medtech were stated to give entire therapeutic solutions for heart valve problems. It was expected to become a domestic firm with both surgical and transcatheter valves, allowing China to significantly improve its treatment of heart valve problems.

Key Issues Addressed

• What is the market size by various segmentation of the halal products by region and its respective countries?
• What are the customer buying behavior, key takeaways, and Porter's 5 forces of the halal products market?
• What are the key opportunities and trends for manufacturers involved in the halal products supply chain?
• What are the fundamental dynamics (drivers, restraints, opportunities, and challenges) of the market?
• What and how regulations, schemes, patents, and policies are impacting the growth of the market?
• What are the upcoming technological solutions influencing market trends? How will existing companies adapt to the new change in technology?
• The market player positioning, top winning strategies by years, company product developments, and launches will be?
• How has COVID-19 impacted the demand and sales of halal products in the global market? Also, the expected BPS drop or rise count of the market and market predicted recovery period.
• Detailed analysis of the competitors and their latest launch, and what are the prominent startups introduced in the target market? Also, detailed company profiling of 25+ leading and prominent companies in the market.