Can Pakistan grab a share in the $3 trillion global Halal markets? The answer to this question may depend on a whole host of internal and external factors for the country.
Strict compliance with a reliable halal certification system in place can help the country to take halal product exports to the US $5 to $6 billion annually and capture a sizeable share in the $3 trillion world Halal food industry.
Why Pakistan Lags Behind in the Global Halal Industry?
Perhaps, the single most important Pakistan has not been able to fully utilize its potential as a major halal food exporter is that it does not actively pursue halal business opportunities globally. The following is a list of the factors due to which the country lags behind in terms of its share of the global Halal market.
- Government has no consistency in its export policies
- The country does not have a reliable Halal certification system
- The private sector depends too much on government incentives instead of taking initiatives on their own
- The business community is uncertain about the general business environment
- Halal industry players lack quality
Speaking at a Round Table Conference on “How to boost Halal food exports?”, Meher Kashif Younis, former senior Vice President Lahore Chamber said in Lahore on Sunday that Pakistan can increase Halal food exports by formulating and implementing policies in association with the private sector. He said there is a need to increase Pakistan’s Halal food production and exports of semi-cooked meat which holds high demand in China and other Far Eastern countries. He said Europe is currently generating 80 percent of global halal revenue. The country along with Muslim countries needs to grab produce and export halal products to meet the growing needs of Muslims around the world.
How Could Pakistan Increase Halal Food Exports to Overseas Markets?
- Collaborate with other major Halal certification bodies in Malaysia, Indonesia, and the Middle East
- Develop an indigenous Halal ecosystem
- Train halal food exporters for globalizing their businesses
- Provide interest-free loans to potential Halal food manufacturers
- Promote its halal products in the international markets where the demand is high
The demand for halal products had increased manifolds because of the growing Muslim population worldwide. Therefore, the government should encourage exports of such products. The exporters should continue to explore the world market and focus on research and compliance, which is a must while doing business in the global marketplace.
Strict halal compliance, quality certification, and public sector support could help halal export to $5 to $6 billion. He said the government should offer a basket of incentives to boost the export of good quality halal food. Unfortunately not many Muslim countries feature among the top 10 halal meat exporters, although Pakistan and other Muslim countries can export Halal meat on a large scale.
Halal meat is one of the fastest-growing markets globally, contributing 16pc to world trade
China, Turkey, Malaysia, Indonesia, the Middle East, and the Central Asian states should be targeted for halal meat exports. Pakistan urgently needs to fully mobilize all institutions working for the promotion of halal food exports to achieve the desired results.
Mehr Kashif Younis said Pakistan has a 100 percent halal production base and has direct access to 470 million consumers in Central Asia, the Middle East, and Europe. Therefore, it has an excellent opportunity to gain a massive share in the global halal market by enhancing production and improving quality.
Halal meat is one of the fastest-growing markets globally, contributing around 16 percent to world trade. Still, Pakistan’s share is not as much as it should be, necessitating extra efforts on the part of the government and private sector to give a much-needed boost to this sector. Pakistan can play a significant role in the global halal meat industry and can become a market leader since it has all the required ingredients.
The country has to strengthen its Halal certification system, establish strong ties with other major Halal certification bodies, and use ways and means to find potential halal meat importers in various countries. b