The Halal Food Market is estimated to be valued at US$ 992.19 Mn in 2023 and is expected to exhibit a CAGR of 12% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Halal food refers to food products permitted under Islamic dietary standards. The core products in the halal food market include meat and poultry, prepared meals and snacks, fruits and vegetables, grain products, sweet products, and other food products. Halal food ensures compliance with Islamic dietary laws and do not contain any alcohol, pork, blood or their by-products or any other forbidden items as per Islamic laws. The rising Muslim population globally is the key factor driving the demand for halal certified products.

Market Dynamics:

Two major drivers of the halal food market are-
Growing Muslim population worldwide- According to Pew Research Center report published in 2021, the global Muslim population is expected to increase by about 73% in the next 20 years reaching 2.8 billion by 2035. This will significantly boost the demand for halal certified food products.

Rising awareness about Islamic dietary guidelines- There is rising awareness among Muslim communities regarding compliance with Islamic dietary laws. This is strengthening the certification compliance standards and increasing consumer trust in halal products.

Segment Analysis

The global halal food market is dominated by the processed food segment owing to higher consumption of halal certified packaged and frozen foods. This segment has witnessed tremendous growth driven by increased availability of packaged goods in supermarkets along with rising working population relying on convenience food products. Processed food products like bakery items, frozen products, sauces, dressings and condiments constitute over 50% market share in the halal food industry.

PEST Analysis

Political: Many countries have introduced regulations for halal certification and standards to ensure credibility of halal claims made by food businesses and protect Muslim consumers. This has streamlined the halal food supply chain.
Economic: Emerging Muslim middle-class with rising disposable income especially in Southeast Asian countries is a key driver of halal food consumption. The industry has potential to attract billions in investments and trade.
Social: Following religious dietary guidelines is important for over 1.8 billion Muslims globally. This creates consistent demand for halal certified manufactured food products across regions.
Technological: Food technology innovations help optimize halal production and distribution processes. Traceability solutions ensure integrity of halal status is maintained throughout the supply chain.

Key Takeaways

The global Halal Food Market Size is expected to witness high growth, exhibiting a CAGR of 12% over the forecast period, due to increasing disposable income of population and strong global halal regulations. From a regional perspective, Southeast Asia is the fastest growing market for halal food attributed to sizeable Muslim populations in Indonesia, Malaysia, and other countries accepting halal tourism.

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. The market is very fragmented with the top five companies accounting for less than a quarter of the market share. Cargill Inc. is one of the leading global suppliers and investors in the halal food sector with a wide portfolio of ingredients, processed meat and poultry products.

The global halal food market size was valued at USD 992.19 Mn in 2023 and is expected to reach over USD 1,500 Mn by 2030. Indonesia has emerged as the largest halal food market in Southeast Asia driven by its large domestic Muslim population and rising middle class. The country accounted for more than 25% of halal food retail sales in the region in 2023.

Key players have brought in advanced food processing capabilities and invested in researcher to develop new ready-to-cook and ready-to-eat halal food products. This has supported broader market access and penetration beyond traditional Muslim-majority regions. Many manufacturers are also leveraging blockchain technologies for sourcing traceability to strengthen customer trust in halal credentials.

Read More: https://www.rapidwebwire.com/halal-food-market-demand-growth-drivers-and-outlook/