Halal Food Producers Urged To Improve Quality

The halal food industry has grown dramatically in recent years, driven by increasing demand from both Muslim and non-Muslim consumers. As a market that now represents a significant portion of the $2 trillion global halal economy, halal food producers are continually expanding their reach. While this growth has brought numerous opportunities, it has also highlighted certain challenges, especially regarding the consistency and quality of halal products. Recent events and growing consumer awareness have led to calls from various stakeholders for halal food producers to improve quality standards. This article delves into the factors contributing to these concerns, what improvements are needed, and the economic and ethical benefits of raising standards.

Why Is Quality a Concern for Halal Food Producers?

Halal, an Arabic word meaning “permissible,” encompasses more than just dietary requirements; it reflects a broader set of ethical and hygienic standards. These principles govern the entire process, from sourcing ingredients to processing and distribution. However, rapid market expansion, coupled with diverse certification standards, has resulted in quality inconsistencies.

Several key factors contribute to these concerns:

1. Industry Growth: The global halal food market has been growing at a compound annual growth rate (CAGR) of around 6.2%, reaching approximately $1.9 trillion in 2023. This rapid expansion has presented challenges for some halal food producers, who may struggle to maintain consistent quality across larger production volumes. As companies scale up, quality control becomes more difficult, and some producers may prioritize cost-cutting over quality to meet the rising demand.

2. Fragmented Certification: Unlike conventional food standards, there is no universally accepted halal certification process. Different countries, certifying bodies, and even regions within the same country often have varying requirements. For example, what is considered halal in Indonesia may not meet the standards in the United Arab Emirates or Europe. This lack of standardization has led to a situation where some halal food producers are operating under more lenient criteria, creating discrepancies in product quality.

3. Increased Consumer Awareness: Today’s consumers are more knowledgeable about the origins of their food and the processes involved in bringing it to market. For halal consumers, this awareness extends to the authenticity of halal claims, ethical sourcing, and hygienic standards. Any perceived lapses in these areas can erode trust, making it essential for halal food producers to go above and beyond in demonstrating quality.

4. Regulatory Concerns: With the emergence of fake halal certifications and reports of companies bypassing proper halal procedures, there is growing regulatory scrutiny. Governments in major halal markets such as Malaysia, Indonesia, and the Middle East have strengthened enforcement efforts to crack down on fraudulent practices. However, this highlights the need for halal food producers to adopt stricter self-regulation to avoid legal repercussions and protect their brand reputation.

Underscoring the Need for Quality Improvements

High-profile cases in the halal industry have brought these concerns into the spotlight. Consider the following examples:

• Malaysia’s Halal Meat Scandal (2020): A multi-year investigation revealed that imported non-halal meat was being smuggled into Malaysia, labeled as halal, and then distributed across the country. This scandal exposed vulnerabilities in the halal certification system and raised questions about oversight and transparency in halal food production. For consumers, it underscored the risks of relying solely on certification labels without considering other quality factors.

• Food Safety Issues in Indonesia (2022): In Indonesia, reports emerged of contaminated halal products, ranging from processed meat to dairy, which failed to meet hygiene standards. These incidents highlighted gaps in the implementation of halal guidelines, as well as the need for better food safety practices throughout the supply chain. This serves as a reminder that halal encompasses not just permissible ingredients but also cleanliness and safety (tayyib).

Steps Halal Food Producers Can Take

To address these quality concerns, halal food producers need to take a proactive approach by implementing stricter measures and adopting best practices that exceed minimum requirements. Here are some practical steps for improving quality:

1. Strengthening Certification Processes

The halal certification process varies widely across regions, with some certifying bodies known for stringent requirements while others are more lenient. The lack of a unified global standard makes it difficult for halal food producers to maintain consistent quality. To address this issue, producers should advocate for more standardized certification processes. Collaborative efforts like the World Halal Food Council’s initiative to harmonize global halal standards can help create a more cohesive system.

Producers can also benefit from obtaining multiple certifications recognized in different markets. For instance, a halal food producer exporting to the Middle East, Southeast Asia, and Europe could seek certifications from reputable bodies in each region, thereby enhancing the credibility of their products.

2. Improving Traceability and Transparency

Implementing traceability systems helps ensure that halal claims are verifiable at every stage of production. Blockchain technology, which creates an immutable digital record of each step in the supply chain, is gaining traction in the halal food industry. Companies like Carrefour in the UAE have successfully used blockchain to track the origins of halal-certified meat, providing consumers with a higher level of transparency.

For halal food producers, investing in traceability measures not only helps meet regulatory requirements but also appeals to ethically conscious consumers who demand to know where their food comes from and how it is processed.

3. Enhancing Hygiene and Food Safety Standards

The term “halal” is often paired with “tayyib,” which emphasizes wholesomeness, cleanliness, and safety. Halal food producers must therefore maintain high standards of hygiene and food safety at all stages, including slaughtering, processing, and packaging. To achieve this, companies can adopt recognized food safety management systems like Hazard Analysis Critical Control Points (HACCP) or ISO 22000. Regular audits by third-party inspectors can further ensure compliance with these stringent standards.

Additionally, automating certain production processes can reduce the risk of contamination by minimizing human contact with the product. For example, fully automated slaughtering facilities are increasingly being used to ensure that the halal guidelines are strictly adhered to.

4. Investing in Workforce Training

A knowledgeable workforce is a key asset for maintaining high standards in halal food production. Training programs should cover both the technical aspects of halal compliance and the ethical significance behind the guidelines. Training employees to identify and address potential quality issues can prevent problems before they arise.

Halal food producers should consider collaborating with local Islamic authorities to provide certification courses for employees, ensuring that workers are not only skilled in food production but also understand the religious and cultural implications of halal practices.

Benefits of Improving Quality Standards

The benefits of improving quality standards in the halal food industry extend beyond compliance and consumer safety. There are also significant economic advantages that halal food producers can gain by raising the bar for quality.

• Access to New Markets

Raising quality standards can enable halal food producers to access new markets with strict regulatory requirements. The European Union, for example, has stringent food safety standards that must be met before products can be imported. By meeting these standards, halal food producers can tap into a rapidly growing market with a significant Muslim population seeking high-quality halal options. In 2023, the halal food market in Europe was estimated at $70 billion, offering substantial growth potential for quality-conscious producers.

• Gaining the Trust of Non-Muslim Consumers

Halal products are not just for Muslims. Many non-Muslim consumers choose halal-certified products due to their perceived ethical standards, particularly in terms of animal welfare and hygiene. Improving quality standards can broaden the appeal of halal products, allowing producers to attract a wider audience. This trend has been particularly noticeable in markets like the UK and Australia, where non-Muslims are increasingly opting for halal-certified meat due to concerns about ethical sourcing.

• Enhancing Brand Loyalty

Quality is key in building brand loyalty, especially in a competitive market where consumers have many options. By consistently delivering high-quality products, halal food producers can strengthen their brand reputation, encouraging repeat purchases and positive word-of-mouth. This is especially important in markets where halal products are abundant and consumers are discerning.

Case Studies: How Leading Halal Food Producers Are Setting Quality Benchmarks

Several companies have set themselves apart in the halal food industry by prioritizing quality and transparency, showing that it is possible to achieve high standards while still being commercially successful.

1. Al Islami Foods (UAE): A leading halal food producer in the Middle East, Al Islami Foods has implemented rigorous quality control measures, including the use of advanced technology to monitor hygiene and food safety. Their quality management system aligns with international standards, such as ISO 22000, ensuring consistency across their product range. This has positioned Al Islami Foods as a trusted brand in the region.

2. Midamar Corporation (USA): Based in the U.S., Midamar is one of the oldest halal food producers in North America. The company has a long-standing commitment to maintaining high standards for halal certification and food safety. Midamar not only works closely with recognized Islamic certifying bodies but also conducts regular audits to verify that its products meet halal requirements.

Challenges in Improving Quality Standards

While improving quality standards offers numerous benefits, halal food producers may face certain challenges that need to be considered and addressed.

• High Costs of Compliance

Implementing advanced quality measures and certification processes can be expensive, especially for small and medium-sized halal food producers. Upgrading equipment, adopting new technologies like blockchain, and providing employee training all come with a cost. Governments and industry bodies could alleviate this burden by offering grants, tax incentives, or subsidies to producers who commit to raising their quality standards.

• Multiple Regulatory Systems

As the halal food industry expands globally, producers face the challenge of complying with different regulatory standards across countries. For instance, the halal requirements in the Gulf Cooperation Council (GCC) states may differ from those in Southeast Asia or Europe. This complexity can increase costs and create logistical challenges for producers. Efforts to harmonize halal standards on a regional and global level could significantly reduce these obstacles.

• Educating Consumers

For many non-Muslims, the term “halal” is often associated only with religious slaughter. However, halal encompasses a broader range of ethical practices, including hygiene and food safety. Educating the public about the full scope of halal can help halal food producers differentiate their products and appeal to consumers who prioritize ethical and sustainable food choices.

The Future of the Halal Food Industry

The halal food industry is expected to continue its impressive growth trajectory, with estimates suggesting it could reach a market value of $3 trillion by 2030. To sustain this growth, halal food producers must prioritize improvements in quality, embrace new technologies, and stay ahead of consumer trends. Key areas to watch include:

1. Technological Innovations: Blockchain, automation, and artificial intelligence are likely to play a significant role in enhancing traceability, improving efficiency, and maintaining high standards in halal food production.

2. Greater Standardization: Organizations like the Halal Standards Institute of Malaysia and the International Halal Integrity Alliance are pushing for greater standardization across regions, which could create a universally accepted halal certification standard.

3. Increased Consumer Demand: The trend towards ethical and sustainable consumption is not going away. Halal food producers who emphasize ethical sourcing, transparency, and quality will be better positioned to capture this growing market segment.

Quality of a Thriving Halal Industry

For halal food producers, the industry’s future success hinges on their ability to improve and maintain quality standards. It’s about more than just meeting regulatory requirements or catering to consumer demands—it’s about staying true to the core values that define halal. By investing in certification processes, embracing technological advancements, and fostering a culture of continuous improvement, halal food producers can ensure the integrity of their products and build a sustainable future.

In the end, quality is not an option for halal food producers; it’s a necessity. As the industry continues to grow, raising quality standards will benefit not just producers, but also consumers, regulators, and the global economy at large.