Analysis of the advantages and disadvantages of China's Halal industry in developing international markets_Industry News_Halal Certification_Jacob's Star

Analysis of the advantages and disadvantages of China's Halal industry in developing international markets

2025-05-15
Analysis of the advantages and disadvantages of my country's Halal industry in developing international markets

According to relevant statistics, the global annual trade volume of halal food and products has exceeded US$2 trillion, of which halal food accounts for over US$150 billion. However, my country's halal food exports have hovered around US$100 million in recent years. This contrast not only demonstrates the country's halal food industry's limited ability to compete in the international market, but also suggests significant potential for expansion into the international market.
How to adapt to the development trend of the international market as quickly as possible and integrate into the international halal food market access and certification system as early as possible, so as to enhance the competitiveness of my country's halal food products in the international market, has become a problem that needs to be urgently solved by my country's halal food industry, which is known as a "sunrise industry".
In the past two years, relevant international trade organizations and commercial departments have jointly held international halal food and Muslim products exhibitions in Qinghai, Ningxia and other major Muslim-populated areas and major halal food production areas in my country, trying to promote the international development level of my country's halal food industry and bring new opportunities for the development of my country's halal food industry.


my country's halal food industry expands its international market with the help of international exhibitions

Halal food, which has its own system with the characteristics of "only good food, careful selection, strict hygiene, emphasis on nutrition, and focus on health care", is closely linked to the unique national cultural beliefs and food culture customs. It is not only a necessity in the daily life of Muslims, but also deeply loved by non-Muslim consumers. People from different races and religions have higher requirements and dependence on halal food.
As of 2007, the world's Muslim population exceeded 1.5 billion. Including non-Muslim consumers, the number of global halal food consumers is no less than 2 billion, and global annual halal food consumption exceeds $150 billion. However, due to objective factors such as a limited number of international brands, fragmented operations, and the lack of a comprehensive certification system, my country's halal food industry has struggled to compete in the international market.
In response to this situation, based on market research, the China Council for the Promotion of International Trade, the China Islamic Association, the China Food Industry Association and other relevant institutions jointly launched the "China (Qinghai) International (halal) Halal Food and Products Exhibition" as an international exchange and cooperation platform in Qinghai Province.
It is understood that the inaugural exhibition in 2007 attracted companies from over 20 countries, including Iran and Malaysia, as well as over 90 domestic enterprises, with actual transaction volume exceeding US$190 million. The recently concluded 2008 China (Qinghai) International Halal Food and Products Exhibition also attracted nearly 200 professional merchants from 16 countries and regions, including Malaysia, Iran, Saudi Arabia, Indonesia, and Singapore, as well as over 300 companies from 20 provinces, autonomous regions, and municipalities in China. The final contract value and trade volume reached US$213 million.

Zhang Wei, vice-chairman of the China Council for the Promotion of International Trade, said that with the help of the China (Qinghai) International Halal Food and Supplies Exhibition, Chinese halal food production companies not only achieved immediate results in trade volume, but more importantly, through exchanges and cooperation with Malaysia and other leading countries in the halal food industry, Chinese halal food production companies realized that my country has many advantages in developing the halal industry, such as high-quality raw materials, relatively low costs and good quality. At the same time, compared with these countries, my country's halal food industry still has a large gap and shortcomings in technical standards, product certification, production management, processing technology and brand building.
Only by correctly understanding and analyzing the advantages and disadvantages of my country in developing the halal food industry, leveraging its strengths and avoiding its weaknesses, relying on its own cultural and resource advantages, focusing on cultivating more well-known halal food brands, and integrating into the international halal food market access and certification system as soon as possible with the help of international exhibitions, can my country's halal food industry win a place in the huge international halal food market.


Advantages of my country's Halal Food Industry in Participating in International Market Competition

Information revealed at the two China (Qinghai) Halal Food and Products Exhibitions showed that due to the uneven economic and social development of Muslim regions around the world, the 22 member states of the Arab League and Southeast Asia are still the largest consumer markets for halal food and are also the main export destinations for my country's halal food.
At present, my country, ASEAN and Arab countries are all in a period of rapid economic development, which is mainly characterized by rapid development, rapid industrial upgrading, rapid economic expansion and a high degree of outward orientation. Against this background, the huge and rapid changes have released a sudden increase in economic and trade opportunities, which has provided new opportunities for China's halal food industry to expand cooperation and exchanges with these regions.
my country has a Muslim population of over 20 million and a history of halal food production of more than 1,200 years. The many favorable conditions such as the vast Muslim communities, the strong traditional Muslim cultural atmosphere and the abundant resources are the biggest advantages for the development of my country's halal food industry and the expansion of the international market.
1. A strong traditional Muslim culture. According to Islamic law, halal food refers to food permitted for consumption under Islamic law. The selection of raw materials, as well as the production, manufacturing, processing, transportation, and storage processes, must adhere to certain religious taboos and ethnic customs. Due to the relatively concentrated population of Muslims in my country and the country's consistent policy of freedom of religious belief, Muslim regions in my country have a strong Muslim cultural atmosphere, making it easier for Chinese halal food production to gain international recognition.
Second, resource advantages. The abundant natural pasture resources of the unpolluted Qinghai-Tibet Plateau, the Inner Mongolian grasslands, and the Northeastern grasslands provide my country with an inherent advantage in developing its beef and mutton industries. Because these areas produce some of the world's highest-quality forage, the halal beef and mutton products and their associated products fully meet the certification requirements of international halal food certification bodies.
3. In recent years, with the help of the favorable opportunity of rapid economic development and international halal food and supplies exhibitions, my country's halal food production companies have not only accumulated a certain amount of capital, but also stimulated their awareness of actively participating in international market competition. The scope of cooperation between my country's halal food industry and the world's Muslim countries has become broader and the forms of cooperation have become more and more diversified.
Fourth, the Arab League and Muslim countries in Southeast Asia have recognized China's halal food industry. As China continues to expand economic and trade cooperation with Muslim countries in the Arab League and Southeast Asia, they have gradually come to understand and recognize my country's halal food market. Pakistan's Commercial Counselor in China, Shahzad Issain Nalla, expressed his warm welcome to Chinese companies investing in Pakistan's beef processing industry and expressed hope that businesses from both countries can collaborate to develop the international halal food market. Malaysian authorities have stated that they will soon establish multiple halal food centers in places like Qinghai in western China to promote halal food trade and business exchanges between the two countries.


Disadvantages of my country's Halal Food Industry in Participating in International Competition

my country's halal food industry faces unprecedented opportunities in participating in international competition. Its advantages in resources and markets are very obvious. However, it cannot be ignored that there are also many unfavorable factors. Some of these problems are common problems brought about by the globalized economy, while others are problems that my country's halal food industry, a special industry, will inevitably encounter in its development.

Sha Pengcheng, president of the Xi'an Muslim Enterprise Chamber of Commerce, who has long been concerned about and researching the halal food industry, believes that the disadvantages hindering the international development of my country's halal food industry include at least the following aspects.

First, most companies lack long-term strategic and brand awareness. The international market has very high requirements for halal food. However, the development of Chinese halal food manufacturers is limited by regional economic and geographical constraints, as well as traditional conservative concepts. Overall, their development is low, and their strategic vision is vague. Most companies lack the courage and ability to expand abroad and develop international markets. Currently, few brands have achieved international recognition.

Second, a weak sense of competition. Most of my country's halal food companies are family-owned businesses with a generally low level of corporate culture. Operators are highly empiricist, and there is a lack of communication and healthy competition between companies and between companies and the market. This is still far from meeting the requirements of participating in international market competition.
Third, capital, technology, talent, and information are lagging behind. Currently, most halal food and product manufacturers in my country operate on a small, decentralized scale. Their production processes are largely unregulated, focusing on crude processing and low-end products. Capital accumulation is slow, and they generally face financing difficulties, leaving them with little time to invest in developing technology, talent, and information. Furthermore, government support for the halal food industry is insufficient.
Fourth, the international halal food market lacks a unified standard certification system. The issue of unified halal food certification is an international one. Currently, there is no unified certification system acceptable to all Muslim countries. Countries generally agree on the halal food certification standards developed by Malaysia. my country urgently needs to make breakthroughs in this area.


Actively participate in international exchanges and cooperation to resolve the disadvantages of my country's halal food industry development

my country's Qinghai Province has successfully held two international halal food and supplies exhibitions. In addition, major Muslim-populated areas such as Ningxia and Xinjiang have also held various forms of international halal food and Muslim supplies exhibitions in the past two years.
Zhang Wei believes that international halal food and supplies exhibitions have had a positive impact on helping Chinese halal food companies expand foreign trade, cultivate international brand awareness, and establish a relatively comprehensive halal food standard certification system that is aligned with the international market. By hosting and participating in international exhibitions and actively integrating into international exchanges and cooperation, my country's halal food industry can overcome unfavorable factors and expand foreign trade.
Judging from the results achieved so far, the most significant achievement of the International Halal Food Products Exhibition is that it has effectively promoted the construction of a unified certification standard system for my country's halal food production industry, which will bring about a fundamental change in my country's halal food industry.
At the 2008 China (Qinghai) International Halal Food and Products Exhibition, my country held its first international halal food certification training. Senior experts from international halal product certification management organizations in countries like Saudi Arabia and Malaysia presented international standards and advanced Chinese experience and management concepts in this field to over 200 participating Chinese companies. He Zengfang, Director of the Halal Food Management Office at Jinmailang Food Co., Ltd., who attended the training, said that this training provided the Chinese halal food industry with a comprehensive understanding of the management and certification standards currently in force in the international halal food market, which will help Chinese companies develop unified standards in this area.
Secondly, the exhibition provides an information exchange platform for communication and cooperation between my country's halal food production enterprises and Arab countries and Southeast Asian Muslim countries. It not only directly promotes the export of my country's halal food, but also helps to introduce advanced foreign management experience, technology and funds into the country. Through joint ventures and cooperation with strong domestic enterprises, my country's halal enterprises will be made bigger and stronger, thus changing the development situation of small scale and few well-known brands.
Zhang Wei said that in the future, my country will strive to build the International Halal Food and Products Exhibition into an international brand, so as to promote my country's halal food industry to participate in international market competition and cooperation.

 

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