Frost & Sullivan predicts that by 2030, the global Halal economy’s booming market would be worth $4.96 trillion.
New research by Frost & Sullivan, titled “Global Halal Economy Growth Opportunities,” confirms the expansion of the Halal market in response to rising demand for Halal goods and services among both Muslim and non-Muslim countries. The key forces that are propelling the Halal market are population growth, public policy, and private investment.
It’s predicted that the Halal food and travel industries are flourishing. Especially among more traditionally-minded non-Muslim consumers who value safety and health over novelty. Market projections will have it at $4.96 trillion in 2030, up from $2.30 trillion in 2020.
Frost & Sullivan Senior Economist Neha Anna Thomas predicts that as a result of rising halal trade and Islamic financing, the Halal economy will become more linked with global commerce and supply chains. Moreover, “governments are enhancing regulatory and policy support through national masterplans and certification scope expansion”. They would also propel the development of the Halal sector.
To that end, Thomas remarked, “Transparency and traceability along the Halal product value chain are vital.” Therefore, governments should promote the adoption of cutting-edge technologies like blockchain and the Internet of Things (IoT) when crafting Halal economy masterplans, and corporations should form strategic partnerships with innovative new technology firms.
Growth Opportunities in the Halal Market:
- In order to reduce the number of certification requirements and advance Halal trade, governments around the world should work to harmonize Halal standards and accreditation processes.
- To boost customer confidence, it would be beneficial for food producers to work with tech firms to enhance traceability and transparency.
- Pharmaceutical companies around the world can benefit from catering to the growing demand for Halal pharmaceuticals in Islamic nations by including Halal-certified items in their portfolio (perhaps through joint ventures).
The most recent report on the Halal economy’s success in Muslim to non-Muslim countries, Global Halal Economy Growth Opportunities, is available to members of the Frost & Sullivan Leadership Council. These reports help businesses find ways to thrive in an ever-changing market.