Vietnamese producers have way to go to gain ground in Halal markets

Jul 16th at 07:03
16-07-2023 07:03:46+07:00

Vietnamese producers have way to go to gain ground in Halal markets

Vietnamese producers still have a lot of work to do to gain ground in theglobal Halal industry, which is expanding rapidly and is expected to reach US$10 trillion in value by 2028.

A production line of coconut milk in Bến Tre Province. Coconut milk is one of the most popular beverages among Muslim consumers. — VNA/VNS Photo Huỳnh Phúc Hậu

Nguyễn Tuấn, Vice President of the Investment and Trade Promotion Centre in HCM City, said the Halal food sector catered to around 2 billion Muslim consumers around the world, topping $7 trillion in value in 2022.

Việt Nam is well-positioned to become a prominent exporterin the sectorthanks to its geographical proximity to large Halal markets, such as Southeast Asia ($230 billion in value) and South Pacific ($238 billion), according to Tuấn.

However, there is a lot of work to do to get there, giventhat the country is still in the early stages of entering the markets. Specifically, merely50 Vietnamese producers get Halal-certified annually, indicating ample room for improvement.

Lý Thị Kim Chi, Chairwoman of the Food and Foodstuff Association of HCM City, said the global demand for Halal products had been soaring in recent years thanks tothe increasingpopulation of the Muslim world and their growing popularity among non-Muslim consumers.

Despite the untapped potential, it would be no mean feat forVietnamese producersto expand their commercial presenceinIslamiccountries because the countriesset the bar veryhigh on Halal-certified imports.

It was also worth noting thatHalal markswerenot permanent and not the same across countries. Vietnamese producers would have to apply for different marks when entering different markets and re-apply for the marks when they expire.

Malaysian Consul General Wong Chia Chiann revealed that "Halal" is an Arabic word that means "permissible" and "lawful".

Halal foods are those that are made, produced, manufactured, processed, and stored using machinery, equipment, and utensils that have been cleaned according to Islamic law.

The main obstacle in the way of Vietnamese producers trying to enter Halal markets is that not many specialistsin Việt Nam are trained in Halal certification. However, that does notmean the door is shut for good.

The diplomatsuggested Việt Nam develops its own Halal certificationsand strengthen its ties with experienced partners to keepproducers well-informed about the foodstandards.

Haji Machdares Samael,Chairman of the Muslim Committee in HCM City, said Islamic countriesraising the bar on imports would have a profound effect on Vietnamese exports.

There are multiple Halal systems in the world, so it is essentialforViệt Namto cooperate with other Halal-granting organisations to get its own Halal marks recognised by them.

Bizhub





NEWS SAME CATEGORY

Aviation market predicted to strongly rebound in H2

The domestic aviation market is projected to grow by 7-10 per cent during the summer compared to the same period in 2019, reaching 3.5-3.7 million passengers per...

Hanoi attracts international visitors to heritage tourism

Tourism in Hanoi is increasing, thanks to a focus on connecting cultural and natural heritage sites.

Nebraska pledges to support Vietnam in hi-tech agriculture

Nebraska has been increasing its exports of key agricultural commodities such as corn, soy, beef, and other dry grains to Vietnam in recent months.

Over 300 businesses attend trade connectivity, promotion programme in HCM City

More than 300 businesses from 18 southern provinces and cities are taking part in the “Connecting suppliers in the South with distributors, exporting businesses and...

Largest LNG terminal warehouse project gets greenlight

Bình Thuận Province has just approved the investment of the Sơn Mỹ Liquefied natural gas (LNG) terminal warehouse project in the south-central province’s Hàm Tân...

Thomson Medical Group to acquire Vietnam largest private hospital for US$381 million

Vietnam's growing private healthcare market is driven by favorable macroeconomic tailwinds with significant growth potential in healthcare spending.

Agro-forestry-fishery sector displays vitality

The agro-forestry-fishery sector has ridden out the storm since early this year, setting ambitious export goals despite increased barriers from foreign markets.

EVN's operational breaches behind persistent power cuts in the North: probe

Viet Nam Electricity (EVN)’s unbalanced operations and slow investment in power sources and grids caused power shortages in the dry season, the Ministry of Industry...

Audit finds loss of more than VND20 trillion at EVN

In its recently audited financial report, the Vietnam Electricity (EVN) announced a loss of VND20 trillion, attributing it to the acquisition of electricity at...

Hanoi to expand model of agricultural and rural tourism

Many localities in Hanoi have not seen the potential of agricultural and rural tourism, of which a large number of tourist spots not cooperating with each other and...


MOST READ