Home Articles Cost of Halal Certification and Investment Potential

Cost of Halal Certification and Investment Potential

Find out the halal certification cost alongside the potential ROI from halal certification investment to explore the potential of the lucrative Halal market.
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In today’s dynamic marketplace, businesses need to constantly look for new avenues to expand their operations and offerings. The halal market, with its growing consumer base and rising purchasing power, presents a compelling opportunity for businesses seeking to tap into the growing halal market.

However, in order to cater to the halal market, businesses first need to get halal certified. Halal certification is the process of ensuring that products and services comply with the Islamic laws.

Halal certification providers conduct rigorous audits and inspections of businesses to enable them to become halal certified. This naturally means that halal certification also has costs associated with it, which is an important consideration for many businesses with regards to return on investment (ROI).

Keep scrolling to find out how much does halal certification cost on average, and whether or not it is worth the investment.

Why is involved in Halal Certification?

The Halal certification logo is not merely a marketing label, it is a rigorous process that ensures adherence to the strict principles of Islamic law. This process involves thoroughly assessing every aspect of the production chain, from ingredient sourcing to manufacturing practices and packaging materials.

To ensure the integrity of the halal certification process, independent certification bodies employ a team of experts who conduct audits, review documentation, and test products to verify compliance with halal standards.

Halal certification bodies invest significant resources in training and maintaining the qualifications of their staff, alongside in the implementation of the auditing protocols. These expenses are reflected in the halal certification costs, and are very important to ensure that the halal certification process remains credible and trustworthy.

How Much Does Halal Certification Cost

The cost of halal certification can range from $2000 dollars to more than $100,000 thousand dollars per year, depending on the nature of businesses. There are several factors that affect what the eventual halal certification cost to a business will be:

  • The type and size of the business operation
  • The number and variety of your manufacturing facilities
  • The number and variety of your products and production lines
  • The complexity and scope of the production processes
  • The location and frequency of the audits
  • The duration and validity of the certification

To get an exact quote on how much halal certification will cost your company, get in touch with an expert here.

Average ROI on Halal Certification Investment

By becoming halal-certified, companies can access new markets, particularly in Muslim-majority countries, and also cater to the Muslim population in non-Muslim countries.

Global expenditure on other halal sectors, such as cosmetics, pharmaceuticals, fashion, tourism, media, and finance, exceeded a whopping $2 trillion in 2021, and is expected to reach $5 trillion over the coming few years.

This naturally means that the ROI from halal certification investment will be significant. The average American Halal Foundation (AHF) client receives 11x on their investment in halal certification. This calculation does not include the increased value from brand awareness and the resulting equity value, which is of even further substantial value.

Businesses that have obtained halal certification have reported positive outcomes, including increased sales, expanded market reach, and enhanced brand image.

Learn more about the ROI from halal certification from successful case studies of different business types here.

Where to Get Halal Certification

Halal certification is primarily provided by halal certification organizations. There are many halal certification bodies in the market, each with their own set of standards and procedures.

It is very important to choose the right halal certification provider in order to avoid those with low standards of halal compliance and a lack of credibility among Muslim consumers. In addition to that, some halal certification providers may also charge hidden fees or commissions.

In order to avoid all that, we recommend you to check out our halal certification offerings for different industries. American Halal Certification (AHF) specializes in halal certification, and is also recognized by major Islamic organizations and authorities around the world.

AHF has a simple 3-step halal certification process:

  • Step 1- The first step is to apply for the halal certification through the website, which is completely free of cost and without any obligation.
  • Step 2- The second step is the halal audit process where an AHF Account Executive will include a thorough inspection of the processes alongside an intensive training of the personnel who will be responsible for overlooking the halal production.
  • Step 3- The final step is where the business will receive its halal certification after a successful audit. The business will be allowed to showcase the halal logo on all their premises, packaging, and website in order to target the growing halal consumer market.

Become Halal Certified Now

The process of getting halal certified requires commitment and investment from businesses. The global halal market has already become one of the most promising trends, making halal certification a very smart and strategic investment for businesses to expand their consumer base.

Check out the major benefits of getting your halal certification from AHF here, and become halal certified now by getting in touch with us today.

We will be happy to answer your questions, provide you with a free quotation, and meticulously guide you through the process of halal certification.

Get in Touch

Connect with a halal certification expert.

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Get in Touch

Connect with a halal certification expert.

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