Industry
The Right Food Choice
Halal Foods
Currently valued at approximately $1.1 trillion a year, the global market for halal food and products is forecast to be worth $10 trillion by 2030. The GCC region has always been a central hub for the halal food industry, and because of its vibrant cosmopolitanism, its hydrocarbon rich and growth-oriented economy, and its unique geographical location, Dubai is establishing itself as the undisputed world leader in halal. As if to prove the point, Dubai Industrial City has announced the establishment of a dedicated “Halal Cluster” in the UAE, aimed at driving growth in the halal food, cosmetics, and personal care sectors.
In Arabic, halal literally means “permitted.” The Quran and the Sunnah—the life and teachings of the Prophet Muhammad—encourage Muslims to eat within the guidelines that the texts mandate, and also state various prohibitions on the consumption and preparation of food. Under the strictest definition of halal, Muslims are implicitly forbidden to eat spurting blood, pork, or any meat from an animal that has not been slaughtered according to traditional guidelines—these types of food are known as haram. The idea of halal is deeply woven into many aspects of the various Muslim cultures; in the modern world it combines the practices of a diverse and vibrant global culture with the one of the most basic human needs. Saleh Abdulla Lootah, Managing Director of Al Islami Food, says it this way; “When we talk about halal food, it is about practicing the accepted values common to all religions. When people think about halal, they think it is only about how to properly slaughter an animal.” He continued by saying, “this is an incorrect understanding of the word. The meaning of halal includes how you treat consumers, and how you treat your employees and suppliers.”
Yet, Halal isn’t simply about culture, history, or even cuisine; it is also big business. As a major global center for halal food, Dubai imports meat from a number of markets. Based on Dubai Customs data, Brazil accounted for more than half of Dubai’s meat imports in 2013, supplying 53% of the market share, far ahead of the US in second place at 14%, with Australia a distant third, taking just a 9% market share. Modern forms of halal production, trade, and consumption are proliferating on a global scale. Business opportunities in the global halal food market are not limited simply to food production, but span the entire halal food value chain and its associated industries. This value chain includes businesses that provide inputs such as seeds and fertilizer, food processing facilities, the farms that raise livestock, various technologies for food production, logistics companies moving food items, importers and exporters of food, and finally the retail outlets selling halal products.
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