Bringing Vietnam into the trillion-dollar global Halal market

The Middle East market is very fond of Vietnamese pangasius fish exported according to Halal standards - Photo: THAO THUONG

On April 17, at the workshop "Vietnam's Halal Economic and Trade Development", experts pointed out the current situation of bringing Vietnam into the global Halal market (products that are permitted and legal for use according to Islamic Law, with strict requirements from the smallest ingredients to processing and transportation).

Halal market has fast growth rate, high profit

Speaking at the opening of the workshop, Mr. Nguyen Hoang - Principal of the University of Commerce (Hanoi) - said that the global Halal market has great potential in terms of scale, spending level, diversity of fields and growth prospects.

Mr. Nguyen Hoang - Principal of University of Commerce - delivered the opening speech at the conference - Photo: NGUYEN HIEN

In recent years, the Halal industry has become the fastest growing segment in the world. The annual growth rate is about 5.2% with the most profit and influence in the global food business.

A report from market research platform MMR forecasts the total revenue of the Halal food market to reach over USD 5,200 billion by 2030 and USD 15,000 billion by 2050.

This increase in market value shows that Halal has evolved from a mark of religious compliance to a global economic model.

Iranian Ambassador to Vietnam Ali Akbar Nazari shared that the country has a population of 89 million people, most of whom are Muslims, and all food produced in Iran is Halal.

In 2020, Iran ranked 6th among 73 Muslim and non-Muslim countries in terms of Halal food production.

One of the most important sectors of the Halal economy is the Halal food industry, accounting for about 65% of total Halal trade.

In 2023 alone, this sector generated revenue of up to 2.3 trillion USD. In the near future, Halal food is expected to account for up to 20% of global food trade.

"These figures show the huge opportunities that the Halal economy brings, not only for Muslim countries but also for countries like Vietnam, which are in a strategic position to participate in this potential market," said Ambassador Ali Akbar Nazari.

There are more and more stores specializing in serving the shopping needs of Muslim tourists and Muslims living in Ho Chi Minh City - Photo: N.BINH

Opportunities for Vietnamese businesses in the Halal market

According to Mr. Bui Van Huyen - Director of the Institute of Socio-Economics and Environment, Vietnam has many outstanding advantages to become an important link in the global Halal supply chain.

Vietnam has an abundant supply of agricultural products (rice, coffee, pepper, tropical fruits, etc.), suitable for the consumption needs of Halal markets.

Vietnam also has a strategic location in Southeast Asia, facilitating access to large Halal markets such as Indonesia, Malaysia and the Gulf Cooperation Council countries.

In addition, there is a well-developed system of seaports and maritime trade networks, acting as a transit point for Halal products to Europe and the Middle East.

However, currently Vietnamese enterprises can only export about 20 products to Muslim countries in the ASEAN region.

Mr. Dinh Cong Hoang - Institute of South Asia, West Asia and Africa Studies - pointed out measures to bring Vietnam's Halal products to the world.

Firstly, research and build specialized information centers on Halal. Establish institutes with functions of research, training, providing information and consulting on all issues related to Halal standards.

Second, strengthen trade promotion and participate in international fairs and exhibitions to connect Vietnamese businesses with Halal partners globally.

Third, the export business Need to be more proactive and flexible in updating information, researching deeply about target markets and economic and political fluctuations to make decisions about export timing.

Source: https://baoquangninh.vn/dua-viet-nam-vao-thi-truong-halal-toan-cau-tri-gia-hang-nghin-ti-do-3353951.html