Target US$3.5TN market
JAMAICAN entrepreneurs are being urged to tap into the global halal market, projected to reach US$5 trillion by 2030, as a new area to pursue growth, with demand for such products from Muslims and non-Muslims increasing.
The urging came from a group of Muslim business people who gathered at The Summit (formerly Knutsford Court Hotel) in St Andrew on Sunday for an empowerment seminar and business expo.
Halal refers to anything that is permissible as prescribed by Islamic law, and while the term has long been confined to food, it has expanded to refer to a range of businesses that are compliant and consistent with Islamic law.
The areas now being pushed in Jamaica are halal meat, halal tourism and halal financing. But research shows the concept applies to other areas, including child care, fashion, pharmaceuticals, cosmetics, travel, media, recreation, and so on. The list is not exhaustive.
Frost and Sullivan, a US-based marketing research company, found that the halal economy is experiencing an upward trend. In 2020, the market for the global halal economy reached US$2.30 trillion; it is expected to reach US$3.5 trillion in 2023.
Halal food accounts for the largest segment in the overall halal industry at US$1.9 trillion. Halal travel stands at US$274 billion.
“How much of that can Jamaica hold onto for ourselves? Not only is halal travel/tourism a great opportunity for revenues, but on the export side there are many opportunities in the halal food space as well,” Michael Gillett-Chambers, director of the Jamaica Foundation for Islamic Chariy told his audience at the expo.
“We have seen where forward-thinking governments such as New Zealand, Australia, Brazil, and several others, have carved out a space for themselves exporting halal meats to Muslim countries as well as non-Muslim countries worldwide who have had challenges sourcing halal food for their populations.
He pointed out that halal food is simple: no pork, no alcoholic or intoxicant ingredients, animals have been slaughtered in a manner that causes all the blood to drain from the animal and the animals must be treated humanely, the Almighty is thanked for the provision, and the slaughter is performed in a merciful manner, no electrical shocks, no clubbing, the veins are cut without decapitation and the animal is allowed to bleed out peacefully.
Halal cosmetics and pharmaceuticals are made without any pork by-products, and only halal ingredients are included. Halal media and recreation are those which do not include any haram (forbidden) behaviour or features.
Frost and Sullivan points out that companies across the world, both Muslim and non-Muslim entities, are increasingly incorporating halal products and services into their solution portfolios. Additionally, the report states that non-Muslim consumers are increasingly purchasing halal food because it is healthy and safe, and non-Muslim families may opt for halal tourism for a family-friendly experience.
It is why Kareema Muncey, CEO of Home Choice Enterprises, is trying to get more Jamaican business people to consider the segment that serves 25 per cent of people in the world or just about 2 billion individuals.
“With higher levels of halal trade and Islamic finance potentially accelerating infrastructure development, the halal economy is poised to become more integrated with global trade and supply chains,” Neha Anna Thomas, a senior economist at Frost and Sullivan, was quoted as saying recently in the Middle East Eye, an online publication.
So what is this halal economy? What are the proposals being outlined to Jamaicans?