Bahrain and Thailand Partner to Boost Global Halal Trade

The growing trade relationship between Bahrain and Thailand is set to make significant strides, particularly in the lucrative halal market. With the global halal industry experiencing exponential growth, the collaboration between Bahrain and Thailand is strategically aimed at tapping into this ever-expanding market, enhancing trade opportunities, and fostering economic growth in both countries. Thailand’s strong halal production capabilities and Bahrain’s role as a key player in the Middle Eastern market make this partnership particularly promising.

Rising Trade Between Bahrain and Thailand

Over the past few years, Bahrain and Thailand have seen a notable increase in their trade relations. According to the latest data, bilateral trade between the two countries increased by 30% in the first half of this year, with a significant portion driven by the halal sector. This trend reflects the growing demand for halal-certified products worldwide and the increasing interest of Bahrain and Thailand in capitalizing on this market.

The halal industry, valued at over $2 trillion globally, encompasses a wide range of products and services, including food, cosmetics, pharmaceuticals, and tourism. As both countries focus on expanding their share in this lucrative market, their partnership aims to align Thailand’s halal production expertise with Bahrain’s strategic position as a gateway to the Gulf Cooperation Council (GCC) region.

Halal Industry at the Core of Bahrain-Thailand Trade

The collaborative efforts between Bahrain and Thailand center around strengthening their halal food trade, which includes food production, halal expos, and the broader ecosystem that surrounds halal products and services. A recent business-matching event held in Bahrain emphasized the significance of developing joint ventures in halal certification, food standards, and the overall food supply chain.

During the event, Shaikh Rashid bin Khalifa Al Khalifa, Vice Chairman of the Bahrain Chamber’s Food Sector Committee, spoke about the synergy between Bahrain’s commitment to food security and Thailand’s position as a global leader in halal food exports. Thailand is recognized as a top exporter of high-quality halal food products, making it a valuable partner for Bahrain, which seeks to improve the quality and diversity of its food supply. This partnership presents opportunities for knowledge exchange in areas such as food processing, certification, and halal standards, ultimately allowing both countries to establish a more robust supply chain.

“Bahrain’s private sector is keen to partner with Thai businesses,” Shaikh Rashid stated. “By enhancing halal food offerings through a shared supply chain and common standards, Bahrain and Thailand can strengthen their positions in the global halal food industry.”

Trade Diversification in Bahrain

For Bahrain, food security is a top priority, and the government has been actively seeking to secure a reliable and diversified food supply. By fostering stronger trade relations with Thailand, Bahrain aims to reduce dependency on limited food sources and bring more variety to its market. Thailand’s extensive halal product offerings make it an ideal partner for Bahrain’s long-term food security strategy.

The Bahraini private sector is expected to play a pivotal role in driving this collaboration forward. Expanding the range of halal food products available in Bahrain, improving food processing technologies, and ensuring strict adherence to halal standards are some of the key areas where Bahrain stands to benefit. The strategic partnership with Thailand is seen as an opportunity to foster growth in the halal sector, create jobs, and boost Bahrain’s overall trade competitiveness.

Thailand’s Vision for the Halal Market

Thailand’s halal industry has seen rapid development in recent years, with the country setting ambitious goals to become a regional halal hub by 2027. The value of Thailand’s halal exports currently stands at around $6 billion annually, with the GCC countries, including Bahrain, being key destinations for these exports. As the demand for halal-certified products continues to grow within the GCC region, Thailand’s expanding presence in this market offers a win-win scenario for both Thai exporters and Bahraini consumers.

Nuttapat Chumnijarakij, Chargé d’Affaires of the Royal Thai Embassy, emphasized the growing economic ties between Bahrain and Thailand, noting that the halal industry plays a vital role in boosting trade. “We see a great potential to strengthen our halal sector cooperation with Bahrain, from food processing and production to hosting expos and collaborating within the broader halal ecosystem,” Chumnijarakij remarked.

Business Matching Event

The recent business-matching event in Bahrain brought together a diverse delegation of Thai businesses, offering a glimpse into Thailand’s extensive range of halal-certified products. From snacks and beverages to personal care products like toothpaste and kitchen tools, the showcase demonstrated the breadth of halal goods available for import into Bahrain. The Bahrain Chamber and the Thai Embassy co-organized this event, to promote bilateral trade and highlight the potential for Bahrain-Thailand trade in the halal sector.

Mohamed Alkooheji, Second Vice-Chairman of the Bahrain Chamber, expressed optimism about the future of Bahrain and Thailand trade. “The collaboration between Bahrain and Thailand is not just about food,” he said. “It’s about building a sustainable halal ecosystem that benefits both our economies and aligns with the growing global demand for halal products.”

Innovation in Halal Standards

As halal standards become increasingly complex and regulated, technology is playing a crucial role in maintaining the authenticity and quality of halal products. During the event, Dr. Winai Dahlan, Founding Director of the Halal Science Center at Chulalongkorn University in Thailand, emphasized the role of blockchain technology in enhancing halal product transparency and certification. By utilizing blockchain and other advanced technologies, Bahrain and Thailand can ensure that halal products meet international standards and cater to consumer expectations for quality and safety.

Blockchain technology provides an added layer of trust and traceability for halal goods, from production to consumption. The application of blockchain can help track the origins of food, ensure halal certification compliance, and provide consumers with the assurance that they are purchasing genuine halal products. By integrating such technology, Bahrain and Thailand aim to elevate the standards of their halal trade and establish themselves as leaders in this sector.

Halal Economy Through Bahrain and Thailand Trade

The Bahrain-Thailand partnership in the halal sector extends beyond food to include halal pharmaceuticals, cosmetics, and other products that meet the requirements of halal certification. The global halal economy is expected to reach $3 trillion by 2025, offering immense opportunities for both countries to expand their trade networks and capitalize on the growing demand for halal goods.

Both Bahrain and Thailand recognize the importance of fostering an environment conducive to business innovation and trade expansion. As Thailand aims to become a regional halal hub, the partnership with Bahrain provides a strategic foothold into the GCC market, where halal demand continues to grow. Bahrain, on the other hand, can benefit from Thailand’s expertise in halal production and its extensive product offerings, ensuring a diversified food supply and fostering economic growth.

The Future of Bahrain and Thailand Trade

The business-matching event and discussions between Bahrain and Thailand have laid a strong foundation for future collaboration in the halal sector. With shared goals of expanding the halal trade, leveraging technology, and enhancing product quality, the partnership is set to bring economic benefits to both nations. Thailand’s role as a rising halal hub and Bahrain’s focus on food security and trade diversification align well, creating a mutually beneficial relationship.

As the partnership develops, consumers in Bahrain can expect greater access to a variety of high-quality halal products, while Thai businesses will find new markets and opportunities for growth. This collaboration marks a significant step toward strengthening the global halal economy and fostering economic ties between Bahrain and Thailand.

A New Era for Bahrain and Thailand Trade

The collaboration between Bahrain and Thailand is a testament to the growing significance of halal products in global trade. From food and cosmetics to technology and certification, this partnership aims to strengthen the halal trade and create lasting economic opportunities for both countries. With Thailand positioning itself as a regional halal hub and Bahrain focusing on enhancing its food security and product diversification, the future of Bahrain and Thailand’s trade in the halal sector looks bright and promising. This strategic alliance is set to not only boost bilateral trade but also contribute significantly to the global halal economy, making it a key area to watch in the coming years.