How US Halal Food Companies Are Expanding into Global B2B Markets

Imagine a bustling trade show in Dubai, where a US-based halal food company unveils its latest line of certified chicken products to eager buyers from Saudi Arabia, Malaysia, and beyond. The booth is abuzz with executives sampling tender, ethically sourced meat, discussing supply contracts, and marveling at the transparency of blockchain-tracked certifications. This scene, once a rarity, is now a cornerstone of the global halal food industry, as US companies like Midamar Corporation and Crescent Foods seize opportunities in business-to-business (B2B) markets worldwide. With the global halal food market valued at $2.71 trillion in 2024 and projected to reach $5.91 trillion by 2033, US firms are leveraging their expertise, innovation, and strategic partnerships to capture a slice of this booming sector. How are these companies breaking into global B2B markets, and what challenges do they face? Let’s explore the strategies, successes, and hurdles driving this international expansion.

The Global Halal Food Market: A Lucrative Opportunity

The global halal food market is a powerhouse, driven by a growing Muslim population—projected to reach 2.76 billion by 2050—and increasing demand from non-Muslims seeking ethical, high-quality products. Halal, meaning “permissible” in Arabic, refers to food that adheres to Islamic dietary laws, prohibiting pork, alcohol, and blood, and requiring humane slaughter practices known as zabiha. These standards resonate with global trends toward transparency, sustainability, and clean eating, making halal food appealing to diverse B2B buyers, from distributors in the Middle East to foodservice providers in Europe.

US halal food companies are uniquely positioned to capitalize on this growth. The US, with its robust agricultural sector and stringent food safety regulations, produces high-quality halal meat, dairy, and processed foods that meet global standards. Companies like Midamar Corporation, the first US firm to export USDA-approved halal meat, and Crescent Foods, known for its organic chicken, are leading the charge. Their expansion into B2B markets—supplying restaurants, supermarkets, and manufacturers worldwide—reflects a strategic shift from domestic retail to international trade. This move is fueled by rising demand in Muslim-majority regions like the Middle East and Southeast Asia, as well as growing interest in non-Muslim countries like the UK and Singapore.

Strategic Investments in Halal Certification

Halal certification is the gateway to global B2B markets, ensuring products meet Islamic dietary requirements and building trust with buyers. US companies are investing heavily in certification from reputable bodies like the Islamic Services of America (ISA) and the American Halal Foundation (AHF). These certifications, which involve rigorous audits of sourcing, processing, and packaging, are critical for accessing markets in Muslim-majority countries, where halal compliance is non-negotiable.

For example, Midamar Corporation has built its global reputation by securing USDA-approved halal certifications, allowing it to export to over 30 countries, including Saudi Arabia and the UAE. This certification reassures B2B buyers—such as wholesalers or foodservice companies—that products meet strict standards, from humane slaughter to avoiding cross-contamination. However, certification comes at a cost, with compliance increasing product prices by 5–10%, a challenge for smaller firms competing with global giants like Nestlé or BRF SA. To overcome this, US companies are streamlining supply chains and partnering with certification bodies to reduce costs while maintaining credibility.

Certification also opens doors to non-Muslim markets. In countries like the UK, where retailers like M&S Food have launched halal ready meals, certification signals quality and ethical production, appealing to distributors serving diverse consumers. US firms leverage this dual appeal, positioning halal as a premium, ethical choice for B2B clients worldwide, from hypermarkets in Malaysia to cloud kitchens in Dubai.

Leveraging Technology for Transparency and Efficiency

Technology is a game-changer for US halal food companies expanding into global B2B markets. Blockchain, in particular, is revolutionizing supply chain transparency, a critical factor for B2B buyers who prioritize halal integrity. By scanning a QR code, buyers can trace a product’s journey from farm to table, verifying its halal status and ethical sourcing. Midamar, for instance, uses blockchain to provide distributors in the Middle East with detailed supply chain data, building trust and securing long-term contracts.

E-commerce platforms are also transforming B2B transactions. Online marketplaces like OneAgrix connect US halal producers with global buyers, facilitating bulk orders for restaurants, retailers, and manufacturers. These platforms reduce geographic barriers, allowing companies like Crescent Foods to supply halal poultry to foodservice providers in Southeast Asia without physical storefronts. The rise of halal cloud kitchens, such as Kitopi in Dubai, further amplifies this trend, as US firms supply certified ingredients to these tech-driven operations.

Automation and AI are enhancing production efficiency, enabling US companies to scale up for international demand. For example, automated processing lines ensure halal compliance by minimizing human error, while AI-driven logistics optimize delivery to global markets. These technologies help US firms compete with established players like Malaysia’s QL Foods, which dominate Asian B2B markets with marine-based products. By adopting cutting-edge tools, US companies are meeting the needs of B2B clients who demand reliability, speed, and transparency.

Strategic Partnerships and Market Entry

Partnerships are a cornerstone of US halal food companies’ global expansion. Collaborations with international distributors, certification bodies, and trade organizations help navigate complex regulatory landscapes and cultural nuances. For instance, Midamar has partnered with the Halal do Brasil initiative, which connects US and Brazilian firms with Middle Eastern buyers at trade shows like Gulfood in Dubai. These partnerships provide access to high-demand markets like Saudi Arabia, where Muslim consumer spending on food represents 12% of global expenditure.

Trade shows are critical platforms for forging B2B relationships. At Gulfood 2024, US companies showcased halal products to buyers from the UAE, Egypt, and Qatar, securing contracts for meat, poultry, and processed foods. These events allow firms to demonstrate product quality and certification, addressing buyer concerns about compliance. Smaller companies, like Al Safa Foods, use these opportunities to connect with regional distributors, expanding their reach into Asia and Europe.

US firms are also forming joint ventures with local players in Muslim-majority countries. For example, a US company might partner with a Malaysian distributor to supply halal snacks to convenience stores, leveraging the partner’s knowledge of local tastes and regulations. These collaborations reduce market entry barriers, such as navigating halal certification standards in countries like Indonesia, where mandatory labeling laws were enacted in 2021. By aligning with local expertise, US companies ensure their products resonate with B2B clients and end consumers.

Diversifying Product Portfolios

To compete in global B2B markets, US halal food companies are diversifying their offerings beyond traditional meat and poultry. While meat remains a cornerstone—accounting for nearly 50% of global halal sales—categories like plant-based foods, snacks, and beverages are gaining traction. Crescent Foods, for instance, has expanded into organic and free-range poultry, appealing to B2B buyers in Europe who prioritize sustainability. Similarly, Saffron Road offers halal-certified frozen meals and snacks, targeting foodservice providers in the US and abroad who seek convenient, high-quality options.

Plant-based halal products are a growing segment, driven by demand for sustainable alternatives. Inspired by companies like Al Islami Foods, which launched a plant-based burger in the UAE, US firms are exploring vegan halal options for B2B clients like cloud kitchens and restaurants. This diversification aligns with global trends, as non-Muslim buyers increasingly choose halal for its ethical and health benefits, such as preservative-free ingredients.

Beverages, particularly non-alcoholic options, are another growth area. With a projected 7% growth rate in the Asia-Pacific region, US companies are supplying halal-certified juices and energy drinks to distributors in Malaysia and Singapore. By offering diverse products, US firms cater to the varied needs of B2B clients, from hypermarkets to hospitality sectors, strengthening their global market presence.

Tapping into Emerging Markets

While the Middle East and Southeast Asia remain primary B2B markets, US halal food companies are targeting emerging regions like Latin America, Africa, and non-Muslim-majority countries. Brazil, the world’s largest halal food exporter, has set a precedent with its robust trade ties to Muslim-majority nations, inspiring US firms to follow suit. For example, Midamar exports halal meat to Latin America, leveraging Brazil’s established trade routes to reach Muslim communities in the region.

Africa, with its 315 million Muslims, is another promising market. US companies are supplying halal poultry and processed foods to distributors in Nigeria and South Africa, where demand for certified products is rising. In non-Muslim-majority countries like the Philippines and Thailand, government initiatives to boost halal exports are creating opportunities. The Philippines’ four-year plan to develop its halal industry, aiming for 230 billion pesos in investments by 2028, has attracted US firms seeking B2B partnerships.

These emerging markets offer significant growth potential but require tailored strategies. US companies adapt products to local tastes, such as offering halal versions of regional dishes like Thai curries or Filipino adobo, to appeal to B2B buyers like restaurants and retailers. Cultural sensitivity and local partnerships are key to navigating these diverse markets successfully.

Challenges in Global B2B Expansion

Expanding into global B2B markets is not without hurdles. Certification costs are a major challenge, particularly for smaller US companies. Compliance with halal standards, including separate storage and transportation facilities, can increase operational costs by 5–10%, making it harder to compete with larger players like Nestlé. Smaller firms often struggle to secure certifications for multiple markets, as standards vary across countries like Malaysia and Saudi Arabia.

Supply chain complexity is another obstacle. Maintaining halal integrity requires dedicated facilities to prevent cross-contamination, which can strain logistics for US exporters. The COVID-19 pandemic exposed vulnerabilities in global supply chains, with labor shortages and disruptions affecting production. To address this, US companies are investing in local partnerships and regional production hubs to streamline logistics and ensure compliance.

Cultural and regulatory differences also pose challenges. In Indonesia, mandatory halal labeling laws require compliance with local certification bodies, which may differ from US standards. Navigating these regulations demands expertise, often requiring US firms to hire local consultants or partner with regional distributors. Misconceptions about halal food in non-Muslim markets, such as viewing it as niche, can also hinder B2B sales, necessitating education campaigns to highlight its universal appeal.

Success Stories: US Companies Leading the Way

Several US halal food companies exemplify successful B2B expansion:

Midamar Corporation: As the first US company to export USDA-approved halal meat, Midamar supplies distributors in over 30 countries, from the Middle East to Southeast Asia. Its use of blockchain for transparency and partnerships with trade organizations like Halal do Brasil have secured major contracts.

Crescent Foods: Known for its organic poultry, Crescent Foods has expanded into foodservice markets, supplying halal chicken to US universities and international restaurants. Its focus on sustainability appeals to B2B buyers in Europe and Asia.

Saffron Road: This brand’s halal frozen meals and snacks are sold to retailers and foodservice providers globally, leveraging e-commerce and digital marketing to reach B2B clients in emerging markets.

These companies demonstrate how certification, technology, and partnerships drive B2B success, positioning the US as a key player in the global halal market.

The Future of US Halal Food in Global B2B Markets

The future of US halal food companies in global B2B markets is promising, with several trends shaping their trajectory. Sustainability will be a key focus, as B2B buyers demand eco-friendly packaging and ethically sourced products. US firms are likely to invest in plant-based halal options, following the lead of companies like Al Islami Foods. Digital platforms will continue to transform B2B transactions, with AI-driven marketplaces predicting demand and optimizing supply chains.

Emerging markets will offer new opportunities. Africa’s growing Muslim population and Asia’s expanding middle class will drive demand for halal meat, snacks, and beverages. US companies will need to adapt to local preferences, such as offering halal-certified versions of regional cuisines, to secure B2B contracts. Trade agreements, like those between the US and OIC countries, will further facilitate exports, reducing tariffs and regulatory barriers.

Education will remain critical. As non-Muslim B2B buyers increasingly choose halal for its quality and ethics, US companies must invest in marketing campaigns that highlight these benefits. Events like Gulfood and partnerships with certification bodies will amplify their reach, ensuring halal becomes a global standard of trust and quality.

US halal food companies are carving a significant niche in global B2B markets, driven by strategic certification, technological innovation, and partnerships. From Midamar’s blockchain-tracked exports to Crescent Foods’ organic poultry, these firms are meeting the demands of a $2.71 trillion market while appealing to diverse buyers. Challenges like certification costs and supply chain complexity persist, but the opportunities—tapping into emerging markets, diversifying products, and leveraging technology—are immense. As the global Muslim population grows and non-Muslims embrace halal’s ethical appeal, US companies are poised to lead, transforming the B2B landscape with faith-based quality and innovation. The next time you see a halal product on a global supermarket shelf, it might just be from a US company shaping the future of food.