The Year in Halal: Key Global Developments and Milestones in 2024

The global halal industry has experienced a transformative year in 2024, redefining its role as a dynamic and inclusive economic powerhouse. From regulatory reforms to technological advancements, halal ecosystems have evolved to address the complex needs of modern consumers while unlocking new opportunities across food, finance, tourism, and trade. In this special edition, we highlight the most pivotal milestones that shaped the halal landscape and explore their broader implications for businesses and communities worldwide.

1. Strengthening Halal Certification and New Regulations

This year marked a global shift toward the institutionalisation of robust halal certification frameworks, reflecting an urgent need for harmonisation across markets.

• Indonesia: The government enforced mandatory halal certification for food & beverages, food raw materials and slaughtered products sold within the country starting 18 Oct 2024. However, small businesses producing such products and imported products have up till 2026 to comply. This significant move, aimed at enhancing consumer confidence, was accompanied by stricter penalties for non-compliance. 

• India: While debates over halal certification intensified, India introduced new guidelines to streamline the halal certification process, focusing on harmonisation with international standards to boost exports. With effect from 16 Oct 2024, meat and meat products will be allowed to be exported as halal certified to 15 countries only if such goods are produced or processed and/or packaged in a facility certified under the ‘India Conformity Assessment Scheme (I-CAS) - Halal’ of the Quality Council of India (QCI).

• Azerbaijan: The country introduced its first-ever national halal certification framework, a move designed to support local producers and position Azerbaijan as a trusted source for halal products in the Caucasus region. 

2. Muslim-Minority Countries Embracing the Halal Economy

2024 saw an unprecedented rise in efforts by Muslim-minority countries to establish and grow their halal ecosystems. This signals the universal appeal and economic potential of halal markets:

• Cambodia: Cambodia unveiled its Halal Industrial Park on 14 Sept 2024, a landmark initiative aimed at attracting foreign investment and supporting local businesses in producing halal-certified goods for ASEAN and beyond. The park, Cambodia’s first halal-focused special economic zone project, will include the establishment of a multi-level satellite halal central kitchen and dedicated halal zones, within a surrounding cluster of small to medium-sized businesses.

• Vietnam: On 24 Apr 2024, Vietnam launched its first-ever halal certification authority, known as the Vietnam Certification Centre (HALCERT), enabling local businesses to tap into lucrative halal markets, particularly in Southeast Asia and the Middle East. HALCERT, operating under the Vietnam Certification Centre (QUACERT), will oversee certification activities and facilitate discussions, training and international cooperation in the Halal sector.

• Thailand: Already a major player in halal food exports, Thailand announced its ambitious goal of becoming ASEAN’s halal hub by 2027. The country has set guidelines for developing and driving the country’s halal industry over the next four years to expand the country’s industrial GDP by 1.2%, totalling 55,000 million baht. Three key strategies will be adopted to solidify its position - (i) promote international trade and strengthen the supply chain for halal products, (ii) develop production capabilities and standards for Thailand’s Halal industry, and (iii) improve the environmental factors affecting its Halal industry.

3. Innovations in Halal Food and Technology

This year, the halal food sector balanced tradition and innovation, fuelled by advancements in science and technology.

• Singapore and Cultivated Meat: Singapore took a bold step by issuing a religious ruling on 3 Feb 2024 declaring cultivated meat halal if conditions are met, setting a precedent for sustainable and ethical food solutions. This position will go a long way  in supporting the country’s food security agenda that aims to increase local food production to 30%, from 10%, by 2030.

• California’s Inclusivity Law: California mandated the inclusion of halal and kosher meals in public schools, ensuring greater inclusivity for students and setting an example for other regions to follow. The bill will take effect in the 2025-2026 school year. Schools where more than 5% of the population express a preference for halal or kosher options will be required to provide these meals.

• Malaysia’s AI Leverage: Malaysia’s Islamic Development Department (Jakim) announced efforts to develop an artificial intelligence (AI) system to simplify and expedite the approval for halal certificate applications. This technology will be a key enabler as the organisation strive to meet market demands and issue halal certificates within 30 days. Additionally, the Halal Industry Development Corporation signed a MOU to leverage AI to help Malaysian businesses enhance operational efficiency and navigate the complexities of halal certification and compliance.

4. Halal Tourism on the Rise

Post-pandemic recovery has accelerated the growth of halal tourism, with countries investing heavily in infrastructure and tailored experiences to attract Muslim travelers.

• Philippines: The Philippines has introduced several key initiatives to enhance the country’s appeal as a halal and Muslim-friendly destination. Among others, it has developed a set of Guidelines Governing the Operations and Recognition of Muslim-friendly accommodation Establishments, which aims to set standards for accommodations, restaurants, and services that cater to the specific needs of Muslim travelers. It has also launched a private beach dedicated to Muslim women on 10 Sept 2024 within one of Boracay’s mixed-use leisure and resort developments.

• Indonesia: The Republic’s Ministry of Tourism and Creative Economy established collaboration with the Indonesian Ulema Council to support the development of halal tourism and halal creative economy through capacity building and information exchange. The Ministry also kicked off its acceleration programme to fulfil the country’s halal certification mandate in 3,000 tourist villages.

• Hong Kong: Hong Kong wants to be more Muslim-friendly and is making a push to offer a greater range of halal food options across its dining scene. On 28 Nov 2024, its Tourism Board announced a new Muslim-friendly accreditation system for hotels and the certification of its first Chinese fine dining eatery - a significant milestone to help the food and beverage sector expand its foray into the Muslim market.

5. Islamic Finance and Financial Inclusion

Islamic finance continued to expand its reach, bringing ethical financial solutions to a wider audience:

• Canada: Prime Minister Justin Trudeau announced plans to introduce a government-backed halal mortgage program, addressing long-standing barriers for Muslim homeowners seeking Sharia-compliant options and fostering a more inclusive society. Manzil Wealth has launched a comprehensive halal wealth management solution in Canada, as it aims to provide enhanced support for clients seeking ethical and Islamic financial products.

• Technology in Islamic Banking: Bank Muamalat has embarked on AI-driven digital Islamic banking transformation with Google Cloud to offer personalised and inclusive digital banking services. Sharjah Islamic Bank announced its joining of the ‘haifin’, a digital trade platform supported by blockchain technology and AI to increase the level of security, transparency, and efficiency in its financial operations by verifying commercial financing deals in real-time and preventing potential fraud through duplicative transactions.

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6. Expanding Global Halal Trade

International collaborations have been instrumental in expanding market access and harmonising standards across halal trade.

• Malaysia-Uruguay: After a 15-year hiatus, the Malaysian market was reopened to halal beef and sheep meat exports from Uruguay. Both countries plan to negotiate a MOU to enhance cooperation in livestock production, encompassing genetic material exports and training in nutrition, management, and traceability systems.

• Saudi Arabia-Thailand: Thailand and Saudi Arabia are collaborating to elevate global halal standards through enhanced trade, technical cooperation, and certification processes. These efforts aim to expand market opportunities and strengthen the global reach of Thai halal products.

• Indonesia-New Zealand: Indonesia emphasised the potential of halal-certified beef and lamb trade with New Zealand to improve the declining trade balance between the two countries, which dropped by 18.82% in 2023.

• Cambodia-Sarawak: Sarawak and Cambodia are set to strengthen economic ties by focusing on trade, direct flights, and halal market opportunities. This partnership aims to unlock economic potential, particularly in sectors such as agriculture and halal products, fostering mutual growth and development.

Looking Ahead

As we reflect on 2024’s achievements, the year ahead promises transformative growth, driven by innovation, strategic collaboration, and expanding inclusivity. Stay tuned for our upcoming newsletter, where we’ll explore key trends set to redefine the halal industry in 2025.

Warm regards,

Dewi Suratty
Editor, Halal Market Mastery