by Halal food refers to food items and beverages prepared under Islamic dietary guidelines. It includes meat products such as poultry, lamb, goat and beef. Also included are cereals, grains, beans, legumes, vegetables, fruits and other foodstuffs. Strict guidelines govern Islamic dietary laws around origins, production, storage and distribution of food to ensure purity and hygiene. The global halal food market has witnessed significant growth owing to rising Muslim population globally. It is estimated that there are over 1.8 billion Muslims worldwide, with Muslim-majority countries concentrated in Asia and Africa. The growth of the Muslim population has spurted demand for certified halal food and beverages compliant with Sharia law.
The global Halal Food Market is estimated to be valued at US$ 992.19 Mn in 2023 and is expected to exhibit a CAGR of 6.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The global halal food market is driven by rising Muslim population globally as referred in the heading. According to World Bank estimates, the global Muslim population is projected to increase from 1.8 billion in 2015 to over 2.2 billion by 2030. This burgeoning population base observes strict Islamic dietary laws and purchases certified halal products. Moreover, another key driver has been growing non-Muslim demand for halal food items. Several non-Muslim consumers consider halal food to be healthier, more ethical and humane compared to conventional products. This evolving perception has augmented sales of halal meat and poultry among non-traditional customer segments worldwide.
Segment Analysis
The global halal food market is dominated by the processed food segment which accounts for over 40% share of the total market. Processed food products such as frozen meat, instant noodles and confectionery items are seeing huge demand from the young Muslim population across regions. The trend of working women and on-the-go consumption habits have further boosted the sales of processed halal food in recent years. Within processed food, meat substitutes led by faux meats is emerging as a high growth sub-segment due to increasing preference for plant-based diets among health conscious consumers.
PEST Analysis
Political: Governments in Muslim majority countries actively support the development of halal food industry through certification agencies and trade promotions. However, non-Muslim nations also represent opportunities owing to rising Muslim population.
Economic: Rising income levels and spending power in Muslim markets especially GCC and Southeast Asian countries is driving the demand for premium and branded halal food products. The halal food market is projected to grow twice as fast as conventional food over the next decade.
Social: Young urban Muslims are increasingly adopting Western lifestyles while still adhering to religious dietary restrictions which is propelling the demand for convenient yet halal certified food options. Social media is also promoting halal brands and influences purchase decisions.
Technological: Automation, blockchain and QR code based traceability solutions are being adopted by halal food manufacturers to ensure transparency, quality control and build strong credibility in the market. E-commerce is emerging as an important sales channel.
Key Takeaways
The Global Halal Food Market Demand is expected to witness high growth over the forecast period led by processed food and meat substitute segments. The global Halal Food Market is estimated to be valued at US$ 992.19 Mn in 2023 and is expected to exhibit a CAGR of 6.9% over the forecast period 2023 to 2030.
The Middle East remains the dominant region holding over 30% value share owing to availability of certification organizations and religious compliance. Countries like Indonesia, Pakistan and Nigeria are fastest growing regional markets for halal food driven by rising expenditure power and stricter implementation of halal standards.
Key players operating in the halal food market are Cargill Inc., Al Islami Foods, QL Resources Sdn Bhd, Haoyue Group, Kawan Food Berhad, BRF S.A., Saffron Road Food. Cargill Inc. leads the global halal food business with wide distribution network across 80 countries. Asian players like QL Resources and Haoyue Group are expanding their footprint in Middle Eastern and African countries. Saffron Road is among the prominent brands offering Western style halal certified products in North America and Europe.
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Source: Coherent Market Insights, Public sources, Desk research
We have leveraged AI tools to mine information and compile it
