The halal consumer market is one of the fastest-growing segments globally, with an estimated value exceeding $2 trillion annually. This growth is fueled by an expanding Muslim population, rising awareness of halal standards, and increasing halal regulations from muslim-majority regions.
But why should businesses really pursue halal certification without having existing demand for it? Despite all the growing demand, halal certification might seem an unnecessary burden if your customers aren’t asking for it (yet).
For starters, without halal certification, your business risks being excluded from very lucrative collaborations. Certified companies in industries like food manufacturing, pharmaceuticals, cosmetics, and packaging often prioritize or are mandated to work exclusively with other halal-certified entities.
This literally means you’re losing out on substantial contracts, tenders, and partnerships that you never even get the opportunity of competing for purely because your competitors are seizing them because they are halal-certified.
In this guide, we break down why acquiring halal certification for a fraction of the overall regulatory budget companies have is the smartest move to make this decade.
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5 Reasons Companies Should Pursue Halal Certification
Here are 5 major reasons companies should pursue halal certification without existing customers demanding it:
1. Halal Certification Will Help Unlock Global Markets
Halal certification grants your business access to a consumer base of over 1.9 billion Muslims worldwide. Major regions like Southeast Asia, the Middle East, and North Africa have significant populations that rely on halal-certified products as a necessity, not a preference.
Additionally, countries like Indonesia and Saudi Arabia are starting to mandate halal certification for certain imported goods. If you aim to export to these regions, halal certification is a requirement. Therefore, by obtaining certification, you will open doors to these untapped markets and expand your brand’s reach globally.
2. Certification Will Help You Get Ahead of Competitors
Halal certification can also be a major competitive advantage. By obtaining certification before your competitors, you can position yourself as an industry leader and capture market share early.
This foresight will help your brand stand out and stay relevant in an increasingly competitive landscape. Moreover, halal certification also offers a specially unique selling point in saturated markets that appeals to both niche and broad audiences.
Moreover, being early to the game builds trust and establishes loyalty among halal-conscious consumers before competitors can enter the market.
3. You Can Stay Compliant with International Regulations
Several countries enforce strict halal certification laws for imported goods. Indonesia, for example, has made halal certification mandatory for nearly all consumer products within the next 2 years under its Halal Product Assurance Law.
Businesses without certification risk losing access to these markets or facing regulatory delays. Getting halal-certified now saves your business time and ensures seamless compliance with evolving regulations, allowing you to stay ahead of bureaucratic challenges.
Check Out: The Complete Indonesia Halal Certification Guide for Exports
4. You Can Tap Into the Growing Halal Economy
The halal economy is no longer limited to food. Industries like cosmetics, pharmaceuticals, logistics, and hospitality are experiencing surges in demand for halal-certified products and services.
The global halal market is valued at over $2 trillion annually and growing steadily. By obtaining halal certification, your business gains a unique edge in industries where halal compliance is becoming increasingly mainstream.
Read More: Is Halal Certification Only for Meat and Poultry?
5 Preparing for Future Consumer Demand
Consumer preferences evolve, and halal products are gaining traction in non-Muslim-majority markets due to their association with quality and clean-label production.
By getting halal-certified now, your business is ready to meet future demand as these trends grow. For example, millennials and Gen Z consumers prioritize sustainability and ethical sourcing, which align with halal principles. This forward-thinking approach positions your brand to meet tomorrow’s market needs today.
Read More: Rise of Plant-Based and Clean-Label Halal Food Products
Cost vs. Long-Term Benefits of Halal Certification
| Aspect | Cost | Long-Term Benefits |
| Initial Certification Fees | One-time fees for application, documentation, and audits. | Access to a global market worth over $2 trillion annually. |
| Compliance Adjustments | Potential costs for modifying processes, sourcing halal-compliant materials, or staff training. | Enhanced quality control, trust with consumers, and streamlined supply chain partnerships. |
| Ongoing Certification Costs | Annual renewal fees for maintaining certification. | Continuous market eligibility in regions requiring halal certification, ensuring seamless exports and global trade. |
| Time Investment | Time spent on preparation, audits, and process documentation. | Long-term savings on compliance delays, regulatory fines, or supply chain disruptions in countries with mandatory halal regulations. |
| Marketing Costs | No additional expenses for promoting halal certification to target markets. The halal logo is sufficient. | Differentiated brand positioning, broader appeal to both Muslim and non-Muslim consumers, and stronger reputation. |
| Opportunity Costs | Short-term investment may delay other initiatives. | First-mover advantage in the halal market, staying ahead of competitors, and securing early loyalty from halal-conscious customers. |
Steps to Get Halal Certification
Here’s a structured guide to obtaining halal certification for your business, ensuring compliance with global halal standards and access to lucrative markets.
Step 1. Choose an Accredited Halal Certification Body
- Select a recognized halal certification body that aligns with your market needs.
- Verify their credentials and ensure they are accredited by international halal authorities, such as the World Halal Food Council (WHFC).
Step 2. Prepare Your Documentation
Compile all required documents, including:
- Product ingredient lists and raw material sourcing information.
- Manufacturing process details.
- Supply chain and distribution flowcharts.
- Hygiene and sanitation policies.
- Employee training records related to halal compliance.
Step 3. Conduct Internal Assessments
- Evaluate your existing processes to ensure they meet halal requirements:
- Raw materials must be free from non-halal (haram) substances, such as alcohol or pork derivatives.
- Production lines should prevent contamination with non-halal products.
- Implement necessary changes in sourcing, production, and handling.
Check Out: Halal Checklist for Certification [Free Download]
Step 4. Apply for Halal Certification
- Submit your online application.
- Include the required documents.
- Provide any additional information requested during the review process.
Step 5. Facilitate an On-Site Audit
A halal auditor will inspect your facility to verify compliance with halal standards. Be prepared for them to assess:
- Raw material sourcing.
- Production processes.
- Cleaning and sanitation procedures.
- Packaging and labeling compliance.
Step 6. Receive Halal Certification
- Once approved, you’ll receive a halal certificate valid for a specified period (typically 1-3 years).
- The certificate allows you to label your products as halal-certified and market them accordingly.
Get in Touch With AHF
At the American Halal Foundation (AHF), we simplify the halal certification process, helping businesses comply with global halal standards while maximizing their market potential.
Contact our experts at +1 (630) 759-4981 or simply mail us at info@halalfoundation.org to learn more.
Frequently Asked Questions (FAQs)
1. Which industries need halal certification?
Halal certification is essential for:
- Food & Beverages: Ensures ingredients and preparation processes are halal.
- Cosmetics & Personal Care: Confirms halal-sourced raw materials and no alcohol usage.
- Pharmaceuticals: Verifies compliant ingredients and manufacturing practices.
- Logistics: Ensures halal integrity in supply chain management.
2. Is halal certification only for Muslim-majority countries?
No. Halal-certified products are in high demand globally, including in non-Muslim-majority regions like Europe, North America, and Australia. Many consumers associate halal with quality and ethical practices.
3. How long does the halal certification process take?
The process typically takes 4-8 weeks, depending on the complexity of your operations and your readiness with documentation and compliance.
4. Does halal certification need to be renewed?
Yes. Halal certification must be renewed periodically (usually every 1-3 years) through a re-audit to ensure ongoing compliance.
5. What are the costs of halal certification?
Costs vary based on factors like the product type, facility size, and audit complexity. Obtain a quote here.
6. What happens if my product isn’t compliant during the audit?
AHF provides a detailed report outlining non-compliance areas. You can make the necessary adjustments and schedule a follow-up audit to meet certification standards.
Mohammad Hussaini is the executive director of the American Halal Foundation and is dedicated to working with brands globally to achieve halal certification. With a dynamic background and experience in marketing, finance, compliance, and business development, he takes a multi-disciplinary approach to helping bridge the trust bridge between brands and halal consumers, thus driving growth for AHF’s clients.
