Globally, the halal market is estimated to reach around USD 2.3 trillion in 2023, covering various sectors including food and beverages, tourism, finance, cosmetics, and pharmaceuticals.
The largest segment is halal food and beverages, valued at approximately USD 1.27 trillion, followed by halal fashion at around USD 295 billion, and halal cosmetics and pharmaceuticals at USD 95 billion. The annual growth rate for the global halal market is projected to be around 7.3% until 2027, potentially increasing its market value to nearly USD 4.96 trillion.
Key growth drivers include the rising global Muslim population, expected to reach 2.2 billion by 2030, and increasing consumer awareness of halal products as safer, cleaner, and more ethical. Government support and halal certification also aid in expanding the market, even in non-Muslim countries.
Indonesia and Thailand’s Position in the Global Halal Market
Indonesia is one of the largest halal markets in the world. The country has a very large Muslim population, which drives high demand for halal products. Additionally, Indonesia enforces strict halal certification regulations, reinforcing its position as a major hub in the global halal industry.
As of February 2024, there are 3,920,811 halal-certified products globally, with 1,350,947 of these using the self-declaration method. From January to October 2023, the trade value of Indonesian halal products reached a total of USD 53.43 billion, consisting of USD 42.33 billion in exports and USD 11.10 billion in imports.
Furthermore, the Halal Product Assurance Organizing Body (BPJPH) of the Ministry of Religious Affairs has praised 15 Indonesian halal product companies for dominating half of the Top 30 OIC Halal Products Companies 2023, according to a report by Salaam Gateway in collaboration with Dinar Standard.
Meanwhile, Thailand has emerged as a key player in the halal market, especially in the Muslim-friendly tourism sector. Although not as large as Indonesia in terms of Muslim population, Thailand leverages market potential by enhancing trade and promotion of halal products. Thailand is also actively forming partnerships and expanding the reach of halal products to international markets.
Thailand is also ranked among the top 10 destinations for Muslim-friendly tourism, highlighting its significant role in this sector and the strong interest from Muslim travelers. Additionally, Thailand is actively promoting halal products and establishing partnerships to extend their reach in international markets.
In essence, both Indonesia and Thailand play crucial roles in the growth and expansion of the halal industry, with Indonesia being one of the largest markets and Thailand serving as an important hub for halal products and Muslim-friendly tourism.
The Future of the Halal Industry
The global halal industry is estimated to be worth around USD 2.3 trillion, growing at an annual rate of about 20%, reaching a value of approximately USD 560 billion annually.
In the future, the halal industry is expected to expand further into lifestyle services such as tourism, hospitality, fashion, and cosmetics, driven by an increasing number of affluent Muslim consumers. Additionally, interest from non-Muslim consumers in halal food is rising, driven by awareness of health, food safety, and ethical practices.
Notably, the concept of “halal” is no longer limited to food and beverages but also includes cosmetics, fashion, tourism, finance, and overall lifestyle. The global halal market is becoming a competitive force in the international business arena.
