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HALAL ECONOMY

The Role of Technology in the Production and Distribution of Halal Food

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As the global Muslim population continues to grow, estimated to reach 2.8 billion by 2050, the demand for Halal food products has never been higher. Halal food companies have harnessed innovative solutions to keep up with this expanding market to enhance production, preserve quality, and streamline distribution.

Technology has emerged as a game-changer in this fast-paced era, empowering companies to meet customer needs efficiently and effectively. Join us as we explore how technology revolutionizes the global Halal food industry.

A Smarter Approach to Slaughterhouses

One of the most important advancements in the Halal food industry is the automation of slaughterhouses. Companies use technology to ensure that animals are handled as per strict Halal requirements. 

For instance, precise cutting and efficient blood draining are now achieved through automated systems, while sensors monitor and maintain blade sharpness. This ensures compliance with Halal standards and improves overall efficiency and productivity.

Quality Control in the Digital Age

Technology plays a pivotal role in maintaining the quality of Halal products. Automation has enabled consistent and accurate quality control checks, such as visual inspections, weight measurements, and temperature monitoring. By leveraging technology, companies can identify and rectify issues more effectively, ensuring that the final product meets the highest Halal standards.

Tracking and Traceability: A Transparent Supply Chain

Transparency is crucial for consumer confidence in the Halal food industry. Automated systems have made it possible to track products from farm to table, providing a clear and transparent record of the entire supply chain. This increased visibility allows companies to ensure that Halal standards are consistently maintained and fosters consumer trust in the products they consume.

Keeping It Clean with Automation

Maintaining cleanliness is paramount in Halal food production, and technology has made it easier than ever to achieve this. Automated cleaning systems now ensure that facilities are kept at the highest level of cleanliness, in line with Halal requirements.

Regular cleaning and sanitization of equipment, surfaces, and storage areas are now carried out more efficiently, reducing the risk of contamination and maintaining overall quality.

Speedy and Accurate Packaging and Labeling

Automated packaging systems have revolutionized how Halal products are sealed, labeled, and protected from contamination. These systems help prevent mislabeling or packaging errors, ensuring customers receive accurate product information. Moreover, automation enables faster, more efficient packaging processes, allowing companies to meet the ever-growing demand for Halal products.

Embracing Digital Distribution and Traceable Trade

The rise of e-commerce and digital platforms has made Halal food distribution more accessible. Online marketplaces now cater specifically to Halal consumers, providing them with a wide array of products from around the globe. This has allowed companies to expand their reach and tap into new markets, driving growth in the Halal industry. To further enhance this experience, traceable trade systems are being integrated, allowing consumers to verify the authenticity and origin of the products they purchase. Companies can also use data analysis and reporting tools to monitor consumer trends, optimize their product offerings, and identify new markets for expansion.

With the global Halal food market expected to reach a staggering USD 2.55 trillion by 2024, online sales of Halal food products are projected to grow at an impressive CAGR of 14.6%. This underscores the importance of technology in shaping the future of the Halal food industry.

Conclusion

Technology has played a transformative role in the production and distribution of Halal food. From slaughterhouse automation to embracing digital distribution through traceable trade, the industry has adopted innovative solutions to meet growing demand and maintain the highest quality standards. As technology evolves, we can expect even more exciting developments in the Halal food industry.


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HALAL ECONOMY

Halal do Brasil: Unlocking Global Opportunities for Brazilian Businesses in the Halal Market

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The global halal market is not just a trend; it’s a powerful economic force. Estimated to reach trillions of dollars in the coming years, it presents a golden opportunity for Brazilian businesses seeking growth and international expansion. At the forefront of this movement is Halal do Brasil, a dynamic partnership between the Arab-Brazilian Chamber of Commerce (ABCC) and the Brazilian Trade and Investment Promotion Agency (ApexBrasil). This initiative is not simply about halal certification; it’s a comprehensive strategy designed to equip Brazilian companies with the knowledge, resources, and connections they need to thrive in this dynamic and culturally nuanced market.

From educational seminars and targeted trade missions to in-depth market analysis and robust networking opportunities, Halal do Brasil is paving the way for Brazilian halal products to reach a global audience. This isn’t just about meeting religious requirements; it’s about understanding the intricacies of a global market. Halal do Brasil recognizes that success in the halal sector demands more than just adhering to Islamic guidelines. It requires a deep appreciation for cultural sensitivities, evolving consumer preferences, and the logistical complexities of international trade. Their comprehensive approach encompasses educational programs, strategic partnerships, and targeted marketing campaigns, ensuring that Brazilian businesses are well-prepared to navigate the halal landscape.

Halal do Brasil Roadshows

Halal do Brasil’s commitment to empowering Brazilian businesses is vividly illustrated by its series of strategically located roadshows across São Paulo state. These events, held in key commercial hubs like Ribeirão Preto, São José do Rio Preto, and Marília, act as vital bridges connecting local businesses with the complexities and opportunities of the halal market. The roadshows offer a unique and invaluable combination of informative seminars and practical company visits, providing participants with both the theoretical foundation and real-world insights necessary for success.

The seminars, led by industry experts and market analysts, delve into a wide range of crucial topics:

  • Introduction to the Halal Market: This session provides a foundational understanding of the halal concept, its significance within Islamic culture, and the ever-evolving global landscape of halal consumption. Crucially, it explores the diverse interpretations of halal standards across various regions and the importance of tailoring products and services to meet specific consumer preferences. This includes discussions on the ethical and social considerations surrounding halal practices.

  • Halal Products and Services: This segment offers a comprehensive overview of the diverse range of products and services that fall under the halal umbrella, extending beyond food and beverages to encompass cosmetics, pharmaceuticals, fashion, tourism, and even financial services. Halal do Brasil emphasizes the critical importance of maintaining the integrity of the halal supply chain, from the initial sourcing of ingredients and raw materials to packaging, labeling, distribution, and even marketing.

  • Market Potential and Export Opportunities: This section focuses on identifying key global markets with significant Muslim populations, such as the United Arab Emirates, Egypt, Saudi Arabia, Malaysia, Indonesia, South Africa, Germany, France, and others. Participants explore the vast export opportunities available to Brazilian businesses and learn how to conduct thorough market research. Halal do Brasil offers market intelligence and data-driven analysis to assist companies in pinpointing promising target markets and developing effective, culturally sensitive export strategies.

  • Advantages of Halal Certification: This module highlights the multifaceted benefits of obtaining recognized halal certification, including significantly increased market access to Muslim-majority countries, enhanced brand reputation among halal consumers, and improved consumer trust in the quality and integrity of halal products. Halal do Brasil collaborates with accredited and globally recognized certification bodies to ensure that Brazilian products meet stringent international halal standards and are accepted in target markets.

  • Halal do Brasil Project Offerings: This session provides a detailed explanation of the wide array of support and resources provided by the Halal do Brasil project, including assistance with in-depth market research, active export promotion initiatives, and valuable networking events that connect Brazilian businesses with potential international buyers and partners. Information about available financial assistance programs, government incentives for exporters, and access to expert consultants is also provided.

The company visits offer an invaluable opportunity for participants to witness firsthand how other businesses have successfully integrated halal practices into their operations. This practical, on-the-ground experience is essential for companies looking to adapt their processes, ensure full compliance with halal requirements, and optimize their supply chains. These visits also foster crucial networking opportunities, enabling businesses to connect with potential partners, share best practices, and learn from each other’s experiences in the halal market.

Halal do Brasil’s Holistic Support System

The Halal do Brasil project extends far beyond the roadshows, providing ongoing and comprehensive support to Brazilian businesses throughout their journey into the global halal market. Their holistic approach includes:

  1. In-Depth Market Research: Providing Brazilian businesses with access to in-depth market intelligence on halal consumer trends, evolving regulatory requirements, competitive landscapes, and cultural nuances in key target markets. This research empowers businesses to make informed, data-driven decisions regarding product development, competitive pricing strategies, culturally sensitive marketing campaigns, and effective distribution channels.

  2. Strategic Export Promotion: Organizing and actively participating in prominent international trade fairs and exhibitions to showcase the quality and diversity of Brazilian halal products to a global audience of buyers, distributors, and potential partners. Halal do Brasil also facilitates business matchmaking and networking opportunities, connecting Brazilian exporters with qualified international buyers and fostering long-term, mutually beneficial trade relationships.

  3. Capacity Building: Designing and delivering targeted training programs and workshops on a wide range of topics related to halal standards, certification processes, best practices for halal production and distribution, and navigating the cultural sensitivities of different halal markets. These programs equip businesses with the specialized knowledge and practical skills they need to meet the specific demands of the halal market and ensure the integrity of their halal supply chains.

  4. Streamlined Halal Certification: Assisting Brazilian companies in navigating the often-complex process of obtaining halal certification from internationally recognized and accredited certification bodies. Halal do Brasil streamlines the certification process, provides expert guidance on meeting the requirements, and helps businesses prepare for audits and inspections.

  5. Effective Brand Building: Developing and implementing targeted marketing campaigns and promotional materials to raise awareness of the quality, reliability, and unique value proposition of Brazilian halal products and build strong brand recognition in key target markets. Halal do Brasil leverages digital marketing, social media platforms, and public relations initiatives to reach a wider audience and effectively communicate the benefits of choosing Brazilian halal offerings.

The Significance of Halal in a Globalized World

The halal market is not a niche market; it represents a substantial and rapidly expanding segment of the global economy. With the global Muslim population projected to reach nearly 3 billion by 2050, the demand for halal products and services is poised for significant growth. Halal do Brasil recognizes the strategic importance of positioning Brazil as a leading and trusted player in this dynamic and increasingly competitive market.

The project’s multifaceted efforts are not only beneficial for individual Brazilian businesses; they also contribute significantly to strengthening trade relations between Brazil and Muslim-majority countries. By actively promoting halal exports, Halal do Brasil is fostering mutual understanding, building bridges between cultures, and creating new avenues for economic cooperation. This initiative also supports sustainable economic development within Brazil, generating jobs, stimulating local economies, and creating new opportunities for Brazilian communities.

Halal do Brasil: A Catalyst for Sustainable Growth

Halal do Brasil is more than just a project; it’s a strategic movement. It serves as a powerful catalyst for sustainable growth and innovation within the Brazilian economy, empowering businesses to tap into the immense potential of the global halal market. By providing the necessary tools, resources, and connections, Halal do Brasil is enabling Brazilian companies to compete effectively on the world stage, build long-term sustainable businesses, and establish themselves as trusted providers of high-quality halal goods and services.

The success of Halal do Brasil is a compelling testament to the power of collaboration between government agencies, industry associations, and private businesses. By working together in a coordinated and strategic manner, they are creating a thriving ecosystem for halal trade, benefiting both Brazilian exporters and consumers around the world. Halal do Brasil is not just promoting products; they are building trust, fostering strong relationships, and creating a more inclusive and interconnected global marketplace. Their work serves as a powerful example of how trade can be a force for positive change, promoting sustainable economic development, fostering cultural understanding, and building bridges between nations.

As the global demand for halal products continues its upward trajectory, Halal do Brasil will undoubtedly play an increasingly vital role in shaping the future of halal trade, solidifying Brazil’s position as a leading and reliable provider of high-quality halal goods and services. The project serves as a valuable model for other countries seeking to capitalize on the growing halal market, demonstrating the critical importance of strategic partnerships, in-depth market intelligence, a steadfast commitment to quality and cultural sensitivity, and a long-term vision for sustainable growth. Halal do Brasil is not just opening doors to new markets; they are building bridges to a more prosperous, interconnected, and culturally understanding future for all.


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HALAL ECONOMY

How Should Halal Businesses Prepare for Another Year of Geopolitical Tumult?

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The world is a busy and sometimes confusing place. Prices are going up, countries are facing new problems, and businesses everywhere are trying to figure out how to keep going. Halal businesses—those that follow Islamic principles—are no different. They have a big job ahead: how can they grow, help people, and stick to their values when the world feels so uncertain?

Halal businesses are special because they follow rules that make sure they do things the right way. They avoid things like riba (interest) or haram (forbidden) activities like gambling or selling alcohol. But they also do more than that—they focus on being fair, honest, and good to the planet. This makes people trust them, and trust is one of the most important things a business can have, especially when times are tough.

Let’s talk about how halal businesses can get ready for a year full of challenges and opportunities.

What Makes Halal Businesses Special?

Halal businesses don’t just avoid bad things; they actively do good things. They treat workers fairly, share profits equitably, and make sure their products are safe and ethical. This is why so many people feel good about supporting halal businesses.

Did you know that 78% of Muslim consumers say they care more about a business being ethical than about how cheap their products are? This was found in a recent survey, and it’s a big deal. It shows that people want to spend their money on things they can trust, even if it costs a little more.

So, how can halal businesses use this trust to grow? By being even more open and honest about how they make their products and by showing they care about the environment, workers, and communities.

Trying New Ideas and Expanding

When the world feels shaky, one smart way for businesses to stay safe is by diversifying, or trying out new ideas and markets. For halal businesses, this can mean doing things like using Sukuk instead of traditional loans. Sukuk is a Shariah-compliant way to raise money without interest.

Here’s an example: In 2024, Indonesia used Green Sukuk to raise $3 billion. They used this money to build solar power plants and protect their rainforests. Investors earned steady profits while helping the planet—a win-win for everyone. This kind of creative thinking is what halal businesses need to do more of in 2025.

Besides Sukuk, halal businesses can expand into fast-growing industries like modest fashion, halal cosmetics, or Islamic financial technology (fintech). Platforms like LaunchGood and Ethis are making it easier for halal businesses to raise money to grow in these new areas. This means businesses don’t have to depend on just one product or one market—they can spread out their risks and reach more people.

Using Technology to Stay Ahead

Technology can be a game-changer for halal businesses. It’s not just about using computers or apps—it’s about finding new ways to make things easier, faster, and better for customers.

For example, blockchain technology can track where a product comes from and how it’s made. Imagine scanning a package at the grocery store and seeing every step it went through to make sure it’s halal. That kind of transparency builds trust. Companies like HelloGold are already using blockchain to make gold investments that follow Islamic principles.

AI, or artificial intelligence, is another helpful tool. It can predict what customers might want to buy, help manage stock more efficiently, and even reduce waste. Halal businesses can also use apps to keep customers updated and engaged, making them feel more connected to the products they’re buying.

Caring for the Planet

Islamic values teach us to take care of the Earth, and halal businesses can lead the way in doing this. As people become more worried about things like pollution and climate change, businesses that care about sustainability will stand out. One example is Indonesia’s Green Sukuk project. The money they raised helped protect rainforests and build solar power plants. This shows how businesses can grow and help the planet at the same time. Other ways halal businesses can go green include using renewable energy, reducing plastic in packaging, and recycling waste. These changes not only help the environment but also attract customers who care about saving the planet.

Building Strong Relationships

When times are tough, having strong partnerships can make a big difference. Halal businesses can work with governments, trade groups, and other companies to share ideas and solve problems together.

For example, in Nigeria, a huge halal market is being built to connect businesses and customers across Africa. Projects like this show how halal businesses can grow globally by teaming up with others. Partnerships can also help businesses save money on shipping, find new customers, and get the supplies they need more easily.

Being Flexible and Thinking Ahead

The most successful businesses are the ones that can adapt. For halal businesses, this means staying true to their values while also being open to new ideas. It means planning for the future, even when the present feels uncertain.

Here’s how halal businesses can prepare:

  • Stay ethical: Always be honest and fair. Customers notice and appreciate this.
  • Diversify: Don’t put all your eggs in one basket. Explore new products, industries, or markets.
  • Use technology: Find tools that make your business run more smoothly and build trust with your customers.
  • Go green: Show that you care about the environment. It’s good for the planet and your business.
  • Build partnerships: Work with others to grow stronger together.

Halal businesses have something special—they follow principles that make them trustworthy, fair, and ethical. This is what will help them stand out in a world full of challenges. By trying new things, using smart tools, and caring for the planet and people, halal businesses can not only survive 2025 but thrive in it.

The world might feel uncertain, but halal businesses are built on values that never change. With creativity, flexibility, and a strong commitment to doing good, they can show everyone that success doesn’t have to come at the cost of what’s right. In fact, it’s often the other way around. When you do what’s right, success follows.

Courtesy: The Halal Times


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HALAL ECONOMY

Why Halal SMEs Need Islamic Banking to Conquer the Global Market

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Imagine a young entrepreneur in Jakarta, crafting halal-certified skincare products that fuse tradition with modern science, or a visionary in Istanbul, developing a halal-friendly travel app for millions of Muslim travelers. Their ideas are bold, their ambition limitless, but they face a common obstacle: finding financial support that aligns with their faith. For countless halal-focused small businesses and startups, the absence of Shariah-compliant funding isn’t just a hurdle—it’s a critical barrier threatening to curb their global potential.

Funding Gap Harmful for the Booming Halal Economy

As the halal economy is projected to exceed $3 trillion by 2028, these SMEs and startups represent a vast, untapped goldmine of innovation and growth. Yet, their success depends on more than just brilliant ideas. To truly scale and compete on a global stage, these enterprises need Islamic banking to rise to the occasion, offering tailored financial solutions that empower their growth while staying true to Shariah principles.

The halal industry is no longer confined to food and beverages; it has evolved into a global lifestyle economy encompassing modest fashion, halal cosmetics, pharmaceuticals, and even Islamic fintech. A 2023 report by the State of the Global Islamic Economy revealed that consumer spending on halal products reached $2.2 trillion in 2022 and is expected to soar in the coming years.

From halal-certified meat in supermarkets across the United States to the global rise of modest fashion, the halal economy is transcending borders and resonating with both Muslim and non-Muslim consumers. This growth presents unprecedented opportunities for small and medium enterprises (SMEs) and startups eager to innovate within this expanding market.

Yet, these businesses often face a critical challenge: accessing the right type of financing. Conventional loans, which typically involve interest, are incompatible with Islamic principles, leaving many entrepreneurs without viable options to fund their ambitions. The funding gap is one of the most significant hurdles for halal SMEs and startups. A 2022 Islamic Development Bank (IDB) study found that over 60% of halal entrepreneurs cited limited access to financing as a major barrier to growth. Unlike larger corporations with established credit histories, small businesses often lack the financial resources to meet stringent requirements for Islamic financing. This leaves many struggling to scale, even as demand for halal products grows globally. “Without access to funding that aligns with our values, it feels like our growth is constantly capped,” says Aisha Malik, founder of a halal cosmetics startup in Dubai. “Islamic banks have the tools to support us, but many are hesitant to invest in smaller, riskier ventures.”

The Role of Islamic Banking in Empowering Halal Businesses

Islamic banking, grounded in Shariah principles, offers an alternative to conventional loans by focusing on risk-sharing and ethical investments. Financial models such as Mudarabah (investment partnerships) and Musharakah (joint ventures) allow banks and entrepreneurs to share both profits and risks, creating a framework that supports sustainable growth.

These principles align perfectly with the values underpinning the halal economy, yet Islamic banking institutions have been slow to extend their reach to halal-focused startups. While some banks have embraced innovation, offering products tailored to SMEs, many still view startups as too high-risk.

Despite these challenges, there are inspiring examples of Islamic finance empowering halal enterprises:

  • Malaysia: A global leader in the halal economy, Malaysia’s Islamic banks actively support SMEs through programs like Maybank’s SME Digital Financing, which offers working capital tailored to halal certification needs.
  • Dubai: The Dubai Islamic Economy Development Centre (DIEDC) connects startups with Islamic banks through initiatives that provide funding, mentorship, and market access. HalalBooking, a travel platform catering to Muslim travelers, credits its rapid growth to these partnerships.
  • Indonesia: The world’s largest Muslim-majority country has introduced initiatives like Shariah-compliant microloans to support small halal businesses.

These success stories underscore the transformative potential of collaboration between Islamic banks and halal-focused enterprises. While halal food and beverages dominate the market, other sectors are emerging as growth drivers, offering even more opportunities for Islamic banks to make an impact:

  1. Halal Tourism: Muslim-friendly travel is booming, with companies like HalalTrip catering to observant travelers. Scaling these businesses requires significant capital for partnerships, marketing, and infrastructure.
  2. Modest Fashion: Valued at $277 billion in 2023, the modest fashion market is thriving. Islamic banks could support designers and manufacturers by financing production and global expansion.
  3. Halal Fintech: Startups like Wahed Invest, a Shariah-compliant investment platform, are revolutionizing finance. Partnerships with Islamic banks could accelerate their growth and innovation.

To fully realize the potential of the halal economy, a global framework is essential. Standardized halal certification across borders would reduce compliance costs and streamline export processes, enabling SMEs to compete in international markets.

Islamic banks can play a pivotal role by offering trade financing, easing the financial burden on exporters, and providing access to new markets. Governments in Muslim-majority countries could incentivize these efforts through tax breaks and subsidies for banks that invest in halal-focused enterprises.

The success of halal SMEs and startups hinges on bold, forward-thinking partnerships between Islamic banks and entrepreneurs. To remain relevant, Islamic banks must innovate, embracing technology and rethinking traditional risk models to better support the unique needs of startups. “The halal economy represents one of the fastest-growing markets in the world,” says Fatima Hussain, an economist specializing in Islamic finance. “But to unlock its full potential, Islamic banks need to see halal entrepreneurs as partners in growth, not risks to be avoided.”

The halal economy is a goldmine of opportunity, and its SMEs and startups are the key to unlocking it. By providing tailored financial solutions, fostering innovation, and championing collaboration, Islamic banks can empower these businesses to thrive globally.

For halal entrepreneurs, the journey to global success may be challenging, but with the right financial support, their impact can be transformative—not just for the halal economy but for the broader global market. The time for Islamic banking to lead the charge is now.

Hafiz Maqsood Ahmed is the Editor-in-Chief of The Halal Times


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