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Home / Insights

Featured Insights

Halal Industry

Halal pharmaceuticals offer rare chance at global harmonization

09 Sep 2025
Insight

Halal Industry
Japan’s halal food market poised for growth amid rising Muslim demand
30 Jul 2025
Insight

Halal Industry
Feeding the future: How IFANCA's Halal Food Conference is shaping a more ethical, inclusive, and sustainable world
21 Jul 2025
Insight

Halal Industry
Bridging Nutrition and Faith: Ensuring halal food access, one plate at a time
07 Jul 2025
Insight

Islamic Finance
How AI is powering the future of the Islamic economy
30 Apr 2025
Insight

Opinion
Australia rekindling relationships with the Muslim World  
24 Apr 2025
Insight


All Other Insights
Halal Industry
Halal pharmaceuticals offer rare chance at global harmonization

A new effort to harmonize halal standards for medicines, vaccines, and nutraceuticals could build trust and transform the future of pharmaceutical trade

The world’s first international halal standards for biopharmaceuticals, vaccines, and nutraceuticals are in the works - and they could reshape how medicines are traded, certified, and trusted worldwide.

Led by the Istanbul-based Standards and Metrology Institute for Islamic Countries (SMIIC), the initiative offers an opportunity to unify a fragmented system. If successful, experts say, it will cut costs, boost innovation, and open new markets well beyond Muslim-majority countries.

“By ensuring the production of safe, high-quality halal-certified medicines, a unified standard can strengthen patients’ confidence in the products they use,” Dr. Tariq Ali, professor and chair of pharmaceutics at Dow University of Health Sciences in Pakistan tells Salaam Gateway. 

Such a global standard, he argues, could even pave the way for a free-trade model among Muslim nations - streamlining supply chains and encouraging collaboration in drug development.

“This, in turn, will foster stronger research and development efforts - not only in pharmaceuticals but also in the production of biological products,” explains Ali.

A fragmented landscape

For now, the global halal pharmaceutical sector remains fragmented.

“Exporting medicines between countries is already much more complex than other products,” says Dr. Mohammed Ali Alsheikh Wace, Specialist and Technical Assistant at SMIIC, which operates under the Organisation of Islamic Cooperation (OIC) and has 45 member states.

“Pharmaceuticals require special registration with ministries of health or food and drug authorities to prove their safety, quality, and efficacy. This process involves extensive documentation and, in many cases, factory inspections.”

Halal certification adds an extra layer of difficulty. “If multiple national or regional halal standards exist, this creates confusion, higher costs, and additional inspections for producers. We already see this problem in halal food, where different national standards exist alongside the OIC/SMIIC standard,” Wace says.

Strategic opportunity 

Unlike halal food, however, pharmaceuticals present a rare chance for early alignment. So far, only Malaysia and Pakistan have introduced national halal pharmaceutical standards.

That gives the OIC/SMIIC 50 standard a head start, Wace explains. The framework consists of three parts: General Requirements for Halal Pharmaceuticals (50-1), Biopharmaceuticals/Vaccines (50-2), and Nutraceuticals and Related Products (50-3).

The general requirements (50-1) were published in 2022. The remaining two standards are now under development - and, crucially, will be global benchmarks in their categories.

“Notably, SMIIC 50-2 and 50-3 will be the first international standards in their fields, with no existing national equivalents. This provides a unique opportunity for global harmonization,” says Wace.

Companies that comply with these standards, he adds, will find their products more readily accepted across borders. This will cut costs and encourage innovation as firms will focus on developing new products, without worrying about conflicting national requirements.

Barriers on the ground

Yet uptake of OIC/SMIIC 50-1 has been slow. 

“An OIC-member accreditation body must accredit halal certification bodies (HCBs). This requires registering halal pharmaceuticals as a new field and paying additional evaluation fees. The high costs discourage many HCBs from applying, especially as the number of companies requesting certification remains small,” says Wace.

Most firms active so far are dietary supplement producers, which are usually certified under OIC/SMIIC 1 - the general halal food standard - given its less complex regulatory requirements.

“Regulations for dietary supplements are much simpler compared to full pharmaceutical products, so companies often choose that route instead of adopting OIC/SMIIC 50,” Wace explains.

Another major obstacle is the requirement for dedicated halal-only production lines. “For many manufacturers, this is a major barrier to certification,” he says.

Silver lining

Despite these hurdles, momentum in the halal pharmaceutical sector is building. 

Egypt, Nigeria, the UAE, Saudi Arabia, and Pakistan are among the OIC members strengthening regulatory frameworks for halal pharmaceuticals. Azerbaijan has adopted the OIC/SMIIC 50-1:2023 standard, while Indonesia has introduced comprehensive halal manufacturing guidelines for drugs, biological products, and medical equipment.

“Each year more companies are showing interest, and the trend indicates gradual but stable expansion in the application of OIC/SMIIC 50-1,” says Wace.

Transportation is not covered under this standard but rather in the halal supply chain series (OIC/SMIIC 17), he notes.

The role of partnerships

Industry partnerships are also driving momentum. In 2024, Duopharma Biotech teamed up with Universiti Kebangsaan Malaysia to advance halal healthcare standards, producing the first halal-certified oncology drugs and the world’s first halal-certified biosimilar.

Dr. Ali stresses that long-term progress will depend on global cooperation. “Establishing a truly globally accepted framework for the halal pharmaceutical industry requires mutual understanding, collaboration, and standardization among countries,” he says.

“Continued research and innovation will also play a vital role in advancing the sector. Achieving this vision will demand sustained effort, time, and strong commitment from all global stakeholders.”

What’s next

Wace expects demand to rise initially across specialized areas. 

“Based on studies and experience, I expect the first significant demand to emerge for heparin and low molecular weight heparins, followed by certain vaccines,” he says. “These areas will likely drive a wave of innovation and certification within the next three to five years.”

According to the State of the Global Islamic Economy Report 2024/2025, Muslim consumer spending on pharmaceuticals rose to $107.1 billion in 2023, up slightly from $106.9 billion in 2022. The market is projected to climb to $149 billion by 2028.

With the Muslim population growing and awareness of halal compliance rising, the question isn’t whether global standards will take hold - but when.

“The Muslim population represents a large and growing market, and as awareness increases, demand for halal-compliant medicines will naturally expand,” Wace adds. “It’s therefore only a matter of time before a global framework is established.”

09 Sep 2025
Insight
Halal Industry
Japan’s halal food market poised for growth amid rising Muslim demand

 As Japan’s halal food sector enters a decisive stage, its growth is being fueled by growing demand from Muslim-majority countries and an anticipated influx of Muslim tourists for upcoming international events.
 
One major influence on the market is Indonesia’s halal product assurance law, which will soon require mandatory halal certification for all imported goods. 
 
“There are currently more than 1,000 halal-certified companies in Japan, primarily focused on exports,” says Hind Remon, chairperson of the Japan Halal Association (JHA). “While food remains a key category, demand is now expanding to include raw materials used in cosmetics, ahead of Indonesia’s planned implementation of the law for non-food items in October 2026.”
 
These materials now account for about 60–70% of Japan’s halal-certified exports, according to Remon.
 
Consumer-ready halal goods represent a smaller portion of the market, although exports of halal-certified Wagyu beef—especially to Malaysia and Indonesia—are on the rise.
 
“While exact certification numbers are difficult to obtain, Japanese export-oriented companies are increasingly seeking halal certification, especially in the food ingredient and cosmetics sectors,” says Shinya Yokoyama, co-founder of Food Diversity Inc., Japan’s leading halal food information provider.
 
Domestic demand remains low
 
At home, Japan’s halal market primarily serves the country's growing Muslim population and inbound Muslim tourists. According to Kyodo News, Japan’s Muslim population grew from 110,000 in 2010 to 350,000 at the start of 2024
 
In terms of inbound tourism, Malaysia and Indonesia constitute a combined 2.8% of Japan’s total inbound arrivals in 2024, with 506,883 and 517,651 visitors, respectively. Meanwhile, travelers from the Middle East represented just 0.5%, or roughly 166,259 visitors.
 
According to Yokoyama, knowledge of halal remains limited among local consumers, with most choosing restaurants based on taste rather than halal authenticity. 
 
Proliferation of halal dining hubs and initiatives
 
Over the past decade, halal-friendly restaurants have sprung up across Japan, though they remain heavily concentrated in large cities such as Tokyo, Kyoto, and Osaka.
 
Tokyo, in particular, has become a hotspot for halal dining—especially the Ueno district, known for its popular halal yakiniku (Japanese-style BBQ) restaurants.
 
Beyond urban centers, Hitoyoshi City in Kumamoto Prefecture has emerged as a halal destination. There, the hot spring inn Ayunosato has gained popularity among Muslim tourists for serving what Yokoyama describes as "the freshest halal beef in Japan,” while Ryokan Ayu no Sato, a riverside inn, has been offering halal-certified meals since 2019.
 
Another success story is Malaysian food services provider Brahim, which partnered with Japanese retailer Muji in 2020 to sell halal-certified ready meals across more than 400 outlets. Brahim has since opened four food outlets in Japan, the most recent launching in April 2025.
 
The Aichi Prefecture opportunity
 
With Aichi Prefecture and its capital, Nagoya set to co-host the 2026 Asian Games from September 19 to October 4, preparations are underway to welcome a surge of Muslim visitors.
 
However, the region still has only about 30 halal restaurants—woefully short of what’s needed to accommodate an estimated 15,000 athletes and staff, plus 1.5 million visitors. In comparison, Tokyo has 298 halal restaurants, according to Halal Gourmet Japan.
 
Certification remains a stumbling block
 
Despite the sector’s potential, growth continues to be hampered by the complexity of Japan’s halal certification system and lingering doubts about its credibility.
 
Many restaurant operators are unfamiliar with key halal practices, such as preventing cross-contamination and sourcing certified ingredients.  
The total number of halal certifiers in Japan remains unclear, and many do not publicly disclose the number of certificates they issue.

Compounding the issue is the role that some local mosques have taken in offering halal certification—often through informal procedures. “For example, some mosques can provide a halal certificate in just one day at a very low cost, whereas certification through JHA involves a lengthy process and detailed documentation,” Remon notes.

 
There are exceptions, such as Malaysia’s JAKIM, which does publish such data, often covering food ingredient or cosmetic raw material manufacturers targeting export markets. “The rise in overseas Japanese restaurants [in Muslim-majority countries] may be contributing to this trend,” says Yokoyama.
 
A vision for the future
 
According to Remon, JHA has been working to raise awareness of the halal industry’s potential within the government, and there are signs that this effort is gaining traction. 

However, there remains a critical need for solid data to accurately assess the size, scope, and opportunity within the halal sector.
 
“While we observe these trends through our daily activities, having accurate statistics is essential for broader understanding and informed policymaking,” she says.
 
She believes that there’s scope for Japan’s halal sector to grow,  particularly by leveraging the country’s strengths in food technology and high-quality agricultural products. However, for the industry to truly thrive, it must be developed as part of a comprehensive ecosystem involving researchers, marketers, government agencies, and other key stakeholders.
 
JHA’s long-term ambition goes beyond market development, envisioning a self-sustaining platform where halal certification serves as a generator of waqf. These funds could help finance Islamic schools, scholarships for future Japanese Imams and scholars, halal slaughterhouses, supermarkets, and other essential services.
 
“The goal is to build a self-sustaining ecosystem where Muslims in Japan can live with peace of mind and dignity,” Remon says.  

*This article was later edited for clarity.

30 Jul 2025
Insight
Halal Industry
Feeding the future: How IFANCA's Halal Food Conference is shaping a more ethical, inclusive, and sustainable world

In an increasingly fractured global landscape, where conflict, climate change, and chronic illness are reshaping the way we live, one question has become impossible to ignore: What does it mean to eat well in the 21st century? For the Islamic Food and Nutrition Council of America (IFANCA), the answer is clear: halal is not simply about dietary restriction but about dignity, discipline, sustainability, and shared humanity.

These ethos and vision were front and centre at IFANCA's 22nd International Halal Food Conference, held from April 14–15, 2025, at the Hyatt Regency O'Hare in Chicago. Under the theme "Navigating change together: Connecting the global halal community," the gathering brought together scholars, regulators, scientists, and industry leaders from over ten countries. What unfolded was more than a technical exchange about certification standards; it was a call to reimagine the global food economy through an ethical lens grounded in faith, justice, and cooperation.

Summing up about the importance of the conference, Dr. Muhammad Munir Chaudry, President and CEO of IFANCA, noted, “This conference is not just a platform for dialogue but a collaborative engine to shape the future of the Halal industry. Our mission at IFANCA is to ensure Halal integrity while fostering global cooperation.”
 

Dr. Muhammad Munir Chaudry, IFANCA’s Founder and CEO, began the evening with a welcoming address at the IFANCA Banquet Dinner.


 From shared plates to shared purpose
 One of the most stirring moments of the conference   came during Shaykh Hamza Yusuf's keynote address,     which wove together prophetic teachings, personal   reflection, and global challenges. He began with a   reminder from the Prophet Muhammad (peace be upon   him) that encapsulated the theme of sharing: "The most   beloved dish to God is the one with the most hands in it"   (Sunan ibn Majah 3272). The act of eating, said Shaykh   Hamza, has always been a communal ritual in Islamic   culture that fosters mindfulness, humility, and presence.

 In modern life, however, food has lost much of its   meaning. With business lunches replacing shared   meals and eating on the go, in isolation or haste,   becoming the accepted norm, he said, humans faced a   growing disconnect between our consumption habits   and our spiritual, physical, and ecological well-being.   But it wasn't anything that couldn't be reversed simply   by holding onto our traditional Muslim practices. 

 From communal eating, the talk shifted naturally to the   ethics of consumption. Shaykh Hamza pointed to the   Qur'anic injunction, "Eat and drink, but not to excess" (Qur’an 7:31), as a timeless guide in an age of rampant overconsumption and chronic disease.

Citing the rise in obesity, diabetes, and inflammation-related illnesses, he emphasized that the crisis isn't simply about what we eat but how much and how mindlessly we consume. He praised Islamic practices like voluntary fasting, which were long recognized for promoting self-discipline and are now gaining traction in secular health circles through concepts like intermittent fasting.

"We know how much food the average person needs," he said. "But we lack self-restraint. That's a spiritual crisis, not just a dietary one."

The global halal economy: Ethical and expanding
That ethical framing echoed throughout the two-day conference. With delegates from Indonesia's BPJPH, Malaysia's JAKIM, Saudi Arabia's SFDA, Turkey's SMIIC, the UAE's Emirates International Accreditation Center (EIAC), Singapore's Majlis Ugama Islam Singapura (MUIS), Thailand’s CICOT, and others in attendance, the agenda covered everything from global standardization and laboratory testing to market development and food innovation. Speakers stressed the importance of science-based certification and global regulatory alignment to protect the integrity of halal systems in a rapidly evolving marketplace.

Keynote speaker Rafi-uddin Shikoh, CEO of DinarStandard, drove home the economic case: the halal market, representing 2 billion consumers and nearly 20% of global spending, is no longer niche. "If you haven't considered producing for these markets," he said, "then a large opportunity is missed." But more than numbers, Shikoh spoke of a broader shift, one where the halal ethical economy contributes to a new, multipolar world order grounded in values like transparency, sustainability, animal welfare, and fair trade.

Laura LaCourse, representing one of the clients, highlighted the importance of the gathering: “We truly value the partnership with IFANCA. We need these programs. It is hard to bring everyone from industry, dignitaries from all around the world, and the real community together—bringing this group together is important.”

The conference's Banquet & Awards Night on April 13, 2025, served as both a celebration and a symbol of this growing momentum. Honorees included Kerry (Company of the Year), Abbott (Nutritional Ingredients), McCormick (Flavors), Darigold (Dairy), and McCain (Retail Products), all recognized for their leadership in halal-certified innovation. The event, held in the Grand Ballroom of the Hyatt Regency, showcased not just the diversity of the halal food sector but the shared values that drive it.

The last session of the Conference gave industry professionals an opportunity to ask questions and engage in dialogue with the leading halal authorities from Malaysia, Singapore, Saudi Arabia, and Turkey.

Food, faith, and the fragile future
Shaykh Hamza's closing reflections circled back to food not just as fuel or commerce but as a symbol of what binds and breaks us as a species. He warned of the environmental costs of our current path: polluted soil, acidic oceans, and dying bees, creatures so vital to food systems that their collapse threatens global agriculture. "There's a chapter in the Qur'an called 'The Bees,'" he said. "That's not accidental. They are essential, and we are failing them."

He called for scientific focus to shift from warfare to food systems, for soil to be seen as sacred, and for the Earth to be treated not as a commodity, but as a trust from God. 

A movement rooted in meaning
As halal continues to mainstream global trade and public policy, IFANCA's role has never been more critical. With decades of experience and credibility across 70+ countries, the organization has become a linchpin for halal compliance in food and pharmaceuticals, cosmetics, and institutional food systems. Whether it's guiding public school districts like Chicago's or advancing food justice through programs like the Faith by Plate Act in Illinois, where IFANCA supported the Muslim Civic Coalition in moving the legislation forward, IFANCA is setting the gold standard for faith-based inclusion. 

“We are deeply committed to advancing food security and equitable access for children, schools, and underserved communities,” says Asma Ahad, Director of Halal Market Development at IFANCA. “Proper nutrition is what enables our future generations to thrive.”

At a time when food insecurity, environmental degradation, and social fragmentation dominate the headlines, the halal framework offers a refreshing, holistic approach. It isn't just about what's on your plate; it's about who you share it with, how it got there, and how you treat the Earth that produced it.

In the end, it was Shaykh Hamza who put it best: "Whoever wakes up healthy, safe, and with enough food for the day, it is as if they own the whole world."
 


This article is produced and sponsored by IFANCA.

21 Jul 2025
Insight
Halal Industry
Bridging Nutrition and Faith: Ensuring halal food access, one plate at a time
In today’s age of bite-sized nuggets of information constantly overloading our senses, critical issues that deserve our immediate attention sometimes get swept away. One such pressing issue is that of food insecurity and global hunger.
07 Jul 2025
Insight
Islamic Finance
How AI is powering the future of the Islamic economy

Artificial intelligence (AI) is rapidly emerging as a transformative force within the Islamic economy, driving innovation across sectors from finance and food to tourism and education. 

By enhancing Shariah compliance, improving accessibility, and enabling personalized services, the technology is reshaping how the Islamic economy operates, while preserving its ethical foundations.

More broadly, the technology’s potential economic impact is substantial - AI could contribute up to $320 billion to the Middle East's economy by 2030, according to PwC.  

“The synergy between AI and the Islamic economy is immense,” says Badr Saidi, quality manager and technical auditor at Halal Consulting S.L., a Spain-based halal certification body.  

“By leveraging AI in areas like Shariah compliance, ethical finance, halal supply chains, smart cities, tourism, and education, we can drive sustainable growth while staying true to Islamic ethical principles.”

To succeed, Saidi emphasizes the need for collaboration between AI developers, Islamic scholars, and industry leaders to ensure technological advances align with religious values.

Transforming Islamic finance

AI’s most visible impact is unfolding in Islamic finance, where it is streamlining compliance processes, improving fraud detection, and fostering financial inclusion.

“With AI, Islamic banks and financial companies can better understand their customers - how they invest, what they need, and even their risk tolerance,” says Sara Husain Hammad, innovation and technology project manager at Bahrain-based General Council for Islamic Banks and Financial Institutions (CIBAFI). 

“This helps create personalized financial products that comply with Islamic guidelines while still being innovative,” she says.

AI-powered tools are already transforming traditional processes. According to Saidi, machine learning algorithms are now automating the verification of financial transactions to ensure they adhere to Shariah law, avoiding elements such as Riba (interest), Gharar (excessive uncertainty), and prohibited investments.

He adds that AI-driven robo-advisors are also curating tailored halal investment portfolios, while predictive analytics are optimizing Sukuk (Islamic bonds) issuance and improving fraud detection in Takaful (Islamic insurance).

Banks across the Muslim world are already deploying AI. Dubai Islamic Bank (DIB) is using AI tools to assess the Shariah compliance of companies and financial instruments. Bahrain Islamic Bank has launched a digital platform offering access to more than 1,800 Shariah rulings to help simplify complex regulations and encourage industry collaboration. 

Outside of the GCC, Bank Muamalat Malaysia has partnered with Google Cloud to to deploy generative AI and advanced data analytics to help it evolve into a fully digital Islamic institution. Egypt’s Faisal Islamic Bank has embraced AI to modernize and expand its services.

AI is also helping extend financial services to underserved communities. By analyzing alternative data - such as mobile payment history and social behaviour - AI can help individuals with limited credit histories, including those in rural areas or small business owners, to qualify for financing. This supports Islamic finance’s mission of ethical and inclusive banking.

“Combined with Islamic finance’s focus on ethical and community-centered banking, AI can open doors for more people to access financial services in a way that respects their beliefs,” says CIBAFI ‘s Hammad.

Securing the halal supply chain

Beyond finance, AI is shoring up the halal economy by ensuring product traceability, authenticity, and safety. One of the biggest challenges in halal certification is verifying that ingredients and production processes comply with Islamic dietary laws. 

“AI can assist in several ways, including in ingredient label analysis. AI-powered Natural Language Processing (NLP) can scan product ingredient lists and detect potential non-halal components like gelatin, alcohol, or animal-based enzymes,” says Saidi.

AI-powered blockchain platforms now provide end-to-end tracking of halal products, from source to shelf, while computer vision systems monitor production lines for contamination, he adds. Image recognition tools are detecting fraudulent halal logos, and IoT sensors help safeguard halal-certified goods during transportation and storage.

AI is also playing a crucial role in laboratory testing. Advanced spectroscopy and chemical analysis, supported by AI, can identify traces of non-halal substances in food, cosmetics, and pharmaceuticals with high accuracy. Meanwhile, AI-driven analytics are helping businesses forecast demand for halal products, ensuring better inventory management and reduced waste.

However, standardization remains a challenge. According to Saidi, differing certification criteria across countries make it difficult to create a universal AI model, and smaller enterprises may struggle with the costs of adopting these technologies.

Enhancing Muslim-friendly travel

The Muslim-friendly travel market is another area where AI is making strides. According to the State of the Global Islamic Economy Report 2023/24, AI is enabling personalized travel experiences and improving customer service with virtual assistants and predictive analytics.

“Platforms can now generate customized itineraries for Muslim travelers, factoring in prayer times, halal food, nearby mosques, and Muslim-friendly accommodations,” says Saidi.

The Saudi Tourism Authority is pioneering AI-powered services, having recently launched "Sara," a virtual tour guide offering real-time travel advice. The authority has also partnered with Visa to create a Tourism Data Lab to analyze visitor behaviour and spending trends.

Facilitating Islamic education

AI’s role in Islamic education is growing rapidly. NLP models can help scholars and students in deepening their understanding of Quranic and Hadith texts, while AI-based edtech solutions can offer personalized Islamic education and smart learning platforms for different age groups, according to Saidi.

Innovators are developing AI-powered Islamic chatbots, voice assistants, and digital Da’wah tools to facilitate knowledge sharing.

Startups are already making an impact. Pakistan’s Xeven Solutions recently launched Shahada GPT, offering Quranic translations, Hadith explanations, and halal guidance. Similarly, India-based QuranGPT answers religious queries. 

“The primary motivation behind developing QuranGPT was to bridge the gap between religion and modern individuals,” says Raihan Khan, an AI applications engineer and creator of QuranGPT. 

“Nowadays, people don’t want to spend hours flipping through books to find an answer or determine if something aligns with the teachings of the Holy Quran. QuranGPT simplifies this process by providing instant responses in natural language.”

However, combining AI with religious guidance carries significant risks. Without human oversight, AI can easily misinterpret Islamic teachings, spread misinformation, and inadvertently cause harm.

“While AI has the potential to enhance various aspects of the Islamic economy, its intersection with religion must be approached with extreme caution,” Khan warns.

“The biggest concerns lie in the inherent biases of AI models, the risk of misinformation, and the challenge of ensuring religious authenticity. Without strict monitoring, AI could do more harm than good in this space,” he adds.

Limited adoption

Despite AI's promise, adoption in the Islamic economy remains in its early stages. Most Islamic tech startups have yet to fully embrace AI, focusing instead on basic automation rather than sophisticated, AI-driven innovation.

“As of now, AI’s role in fostering innovation in the Islamic economy - particularly in tech startups or digital finance - is minimal,” says Khan. “While AI has the potential to enhance areas like Islamic banking, halal certification, and ethical investment screening, most Islamic tech startups have yet to fully explore or implement AI-driven solutions.”

30 Apr 2025
Insight
Opinion
Australia rekindling relationships with the Muslim World  

There was a palpable silence at the end of a premier screening of the documentary ‘Before 1770’ held late last year, punctuated only by distant sobs and the ruffling of tissue packets emanating from the audience of largely Muslim Australians.  

The reason why the feature documentary - showcased in multiple screenings across the country - evoked such an impassioned response was because it represented the connection Australia and its First Nations people held with the Muslim world.  

This deep connection, starting sometime in the mid-1600s, lasted for centuries until 1907 when the last ‘Perahu’ (sailing boat) from Makassar visited Arnhem land in Northern Australia. 

Dr Imran Lum (Image source: Supplied)

The reason why it resonated strongly with Muslim Australians, was because it was an untold story omitted from Australian history books; a tale intricately linking them with Australia’s First Nations people and their legacy. 

Before White colonisation, Muslim Bugis and Makassar traders would sail with the monsoon winds via the Flores and Savu seas, arriving on the shores of Northern Australia in places like the Kimberley and Arnhem Land to meet First Nations trading partners like the Yolŋu people.  

They would trade in trepang, a type of sea cucumber which was a delicacy and an aphrodisiac they would sell to lucrative Chinese markets. While their motivations for visiting Australia might have been for trepang, this was all part of wider regional trade patterns which connected Arab, Indian and Chinese markets via the Malay Archipelago.

These same Bugis seafaring traders would find themselves immersed in mercantile activity in historic port cities dotted across the Indian ocean like Aden, Muscat, and even as far as Zanzibar.  

Australia for them, was just part of an ancient maritime silk road that swapped out camels for Perahu sailing boats that covered vast distances with monsoonal winds. 

Fast forward a hundred years or so with the rise of the modern global Islamic economy, the vibrant Australian Muslim community like the Bugis before them, are rekindling historic linkages with the Muslim world through trade, halal food and Islamic finance.  

Australia is a melting point of a vibrant and dynamic Muslim population base comprising more than 70 different ethnicities. Nearly a million Muslims - more than half under the age of 25 -reside in growth areas in all the major cities and help create robust networks for business and investment opportunities.  

Halal food is now an AU$2 billion industry that helps serve the local Muslim community as well as major export markets such as Indonesia, Malaysia, the UAE and Saudi Arabia. Over 70% of Australian abattoirs are now reported to be halal certified.  

Muslim students from around the world are fostering long-lasting linkages with Australia. More than 30,000 students from Malaysia, Indonesia, and Pakistan and over 15,000 from the GCC are enrolled across universities and higher education institutes in the country. The Brunei government sends hundreds of students on scholarships to Australian universities each year. 

Education services with Muslim-majority countries amount to nearly AU$4 billion annually, generating revenue as well as creating investment opportunities across several quarters, including student accommodation, migration and employment, and halal food services. 

Lastly, Islamic finance is perhaps an untapped gold mine for Australia, having remained under the radar of Islamic investors worldwide for decades. For enterprising investors, Australia emerges as an unexpected yet compelling destination for Islamic investment. 

For select Islamic investors, Australia is not a distant continent, rather a destination that is geo-strategically situated on the fringes of vibrant Southeast Asian economies and one that offers a unique combination of a well-regulated market alongside growth opportunities for Islamic-conscious capital. 

The recently signed Australia-UAE Comprehensive Economic Partnership Agreement is the first Free Trade Agreement between Australia and a Middle Eastern country, facilitating investments in local projects. Shariah-compliant real estate investment has gained ground too, with institutions such as the National Australia Bank (NAB) offering Islamic products, enabling Muslims to finance their projects.

This unique offering has facilitated numerous partnerships between Islamic investors from the GCC and Southeast Asia and the vibrant and entrepreneurial Muslim business community in Australia. 

Shariah-compliant fixed-income solutions is another area of opportunity with Australia one of the rare AAA rated countries in the world according to Moody's, S&P and Fitch. There is a slew of ASX100 companies that are investment grade and above, offering a huge opportunity for Islamic fixed-income products or Sukuk bonds. 

With ongoing tariffs and geopolitical realities, perhaps Australia is not as far away as one might believe. With its growing young and dynamic Muslim community, Australia offers a combination of economic stability, diverse investment sectors, and financial governance. Throw delicious halal food in the mix and we have a sweet spot of opportunities. 

Perhaps now is the time for Islamic investors to set their sails Down Under. 
 
Dr Imran Lum is the head of Islamic finance at a major Australian bank. He is the host of the ‘Muslim Money’ Podcast and the author of 'A Comparative Study of Riba and Islamic finance in Australia and the UK (Routledge)'.

The opinions shared here are his own and do not reflect the views of his employer
 

24 Apr 2025
Insight
Halal Industry
Challenges, sensitivities dent lab-grown meat uptake  

Sustainable life choices and the desire to eat clean are encouraging people to seek alternate proteins, but challenges stymie its acceptance and uptake. 

Lab-grown – or cultivated – meat is not a novel concept but for all its growth and progress over the past two decades, it has struggled to take off after the initial wave of optimism. 

Lab-grown refers to meat developed outside the body of an animal, as opposed to the traditional method of slaughtering living animals. Stem cells are extracted from an animal, cultivated in large tanks called bioreactors, and fed an oxygen- and nutrient-rich cell culture medium. Stem cells differentiate into components such as muscle, fat, and connective tissue, which are later harvested, prepared, and packaged, according to the Good Food Institute (GFI).

Its uptake, though, remains fairly modest, with the number of companies dedicated to cultivated meat development worldwide totalling 170 in 2023, according to a GFI report.

Lab-grown meat offers several advantages over conventional farming and slaughtering, including a lower environmental footprint, minimized water usage and lesser refrigeration costs.

Supply chain touchpoints are also limited as opposed to those of traditional meat, which generally include farm and feedlot operations, packing, processing, and retail operations, leading to a carbon footprint of 22kg carbon dioxide equivalent per kg of live weight, according to a DP World insights piece published last September.  

However, several reasons have stymied the growth of lab-grown meat, including religious sensitivities, protection of agricultural industries and the safeguarding of farmers’ interests.

Some view the adoption of cultivated protein as an attack on traditions, leading to varied acceptance across major jurisdictions and markets.

In Muslim-majority countries such as Malaysia, the uptake of cultivated meat is expected to bank on religious and cultural sensitivities.  

“Since Malaysia is a Muslim-majority country, the acceptance of lab-grown meat depends on its halal status. The Department of Islamic Development Malaysia (JAKIM) plays a crucial role in determining whether the process and ingredients used comply with Islamic dietary laws,” Saliza Binti Mohd Elias, associate professor at the Universiti Putra Malaysia’s department of Environmental and Occupational Health tells Salaam Gateway. 

“We understand that consumer acceptance of cultivated meat varies, especially in different cultural and religious contexts. For Muslim consumers, we are fully committed to ensuring our cultivated meat and fish are halal-compliant,” Jason Ng, vice president manufacturing of Cell AgriTech Sdn Bhd tells Salaam Gateway. The company claims to be the first cultivated meat company in Malaysia. 

“According to our survey, cost is the main concern for most consumers in Malaysia and Singapore. However, as long as the taste, texture, and price are on par with traditional meat, people are open to buy especially since cultivated meat is healthier and more sustainable.”

Singapore’s Islamic Religious Council issued a guidance last year, permitting Muslims to consume cultivated meat based on certain conditions, broadening its potential consumer pool across the multi-ethnic country. 

From a price standpoint, cultivated meat may obtain cost parity with conventional meat by the end of the decade, with its market worth $25billion in size by then, according to McKinsey & Company. Companies operating in the space must then work on reducing production costs for economic viability. 

The tissue-engineering techniques fuelling cultivated meat is a key area of regenerative medicine and has long been used across the pharmaceutical industry. For the production of lab-grown meat, Cell AgriTech has replaced pharmaceutical-grade equipment and materials with food-grade alternatives, reducing production costs. 

“The goal of our tissue engineering platform is to produce structured meat and fish tissue with the right texture, nutrition, and mouthfeel - without relying on scaffolds made from non-food materials. This approach allows us to make cultivated meat affordable, scalable, and closer to the texture and experience of traditional meat,” adds Ng. 

Besides cost concerns, long-term health implications of lab-grown meat also remain unknown, which could potentially dent its acceptance. 

Cultivated meat may not have the same micronutrient profile as traditional meat, potentially lacking essential compounds found in natural animal tissue, according to Mohd Elias.

“If not properly monitored, contamination with bacteria or unwanted chemicals during the production process is possible.” 

Lab-grown meat is considered safe, but potential health concerns include unknown long-term effects, differences in nutrient composition, and risks related to growth factors, contamination, and additives, notes Dr. Mian N. Riaz, associate department head and holder of the Professorship in Food Diversity in the Department of Food Science & Technology at Texas A&M University.

“There is also speculation about potential immune responses, though no strong evidence supports this,” Dr. Riaz tells Salaam Gateway. 

On the flipside, because cultivated meat is grown in sterile conditions, it is free from harmful bacteria like Salmonella and E. coli, which are often found in conventional meat and can cause foodborne illnesses, ads Ng. 

Other factors such as traditions and protecting the sanctity of agriculture are also manifesting as key obstacles in the growth of this space.  

Italy, France and Australia submitted a note to the Council of the European Union in January last year stating that artificial cell-based food production practices represent "a threat to primary farm-based approaches and genuine food production methods that are at the very heart of the European farming model.”

The note, supported by nine other countries, added that European agriculture stands out for its farm-based and primary production approach. 

Acrosst the Atlantic, three US states – Mississippi, Florida and Alabama – banned the sale of cultivated meat products, months after authorities approved companies to produce them. Florida’s commissioner of agriculture Wilton Simpson hailed the move, stating at the time that they must protect “farmers and the integrity of American agriculture.” The state of Iowa passed a bill mandating specific labelling for cell-cultivated meat. 

Dr. Riaz adds that while other states like Arizona, Tennessee, and Nebraska have considered similar measures, opposition and legislative hurdles have prevented additional bans. 

“Lab-grown meat could disrupt traditional farming by reducing demand for conventionally farmed meat and impacting rural economies, especially if policies favour cultivated meat. However, it also presents opportunities for coexistence by meeting growing protein demand, promoting sustainability partnerships, and allowing farmers to diversify their businesses.” 

07 Apr 2025
Insight
Halal Industry
Fragmented landscape dents Canada's promising halal food space

With a sizeable Muslim population that has doubled in the last two decades and continues to grow, interest in Canada’s halal food sector has intensified, driven by a mix of rising Muslim demographics and growing mainstream interest in ethically-sourced foods. 

The Canadian halal meat sector, is forecasted to hit an estimated $300 million by 2031, growing at an annual rate of 10 to 15%, according to Salima Jivraj, account director and multicultural lead at Nourish Food Marketing, a marketing agency specializing in the food sector. 

The epicenter of debate, however, is the country’s fragmented certification landscape. The lack or absence of a single regulatory body has led to confusion, inconsistent standards, and widespread frustration among consumers and businesses alike. While these challenges remain mostly confined to the certification and labeling domain for now, their potential economic and social effects could reverberate far beyond, shaping industry practices and consumer trust for years to come.

Canada presents a rapidly expanding halal food industry
The Canadian halal food sector is no small niche, tied as it is to the influx of immigrants. The country welcomes roughly half a million new immigrants each year, according to the Canadian government's stated goals, a sizeable percentage of whom reportedly spend over $1 billion on halal products annually.  

This is in line with global trends. According to Salaam Gateway's State of the Global Economy Report 2023/24, Muslim spending on food increased by 9.6% in 2022, reaching US$1.4 trillion, and is forecasted to reach US$1.89 trillion by 2027, growing at a CAGR of 6.1%.

While that is a significant increase in itself, what warrants attention is Canada’s position in the global meat trade, which forms the backbone of its domestic halal market. 

According to the United Nations COMTRADE Database, Canada imported approximately $2.58 billion worth of meat and edible meat offal in 2023 and exported $7.01 billion during the same period. 

Although these figures do not exclusively represent halal products, they highlight both the magnitude of the country’s meat sector and its capacity to supply and capitalize on international halal demand.

Regional dominance and emerging markets

Ontario and Quebec have traditionally led the halal food scene in Canada. Their significant Muslim communities underpin a robust ecosystem of halal-certified retailers, restaurants, and specialized grocers. However, provinces such as Alberta and British Columbia are fast catching up, propelled by higher immigration levels and rising consumer curiosity for speciality foods.

With the addition of e-commerce platforms and delivery services such as Uber Eats and Instacart, the reach and scale of halal items continues to grow. 

Industry giants and public sentiment

The potential of the halal food sector has led to big brands entering the market with mixed results. In May 2023, KFC Canada found itself at the center of social media backlash after reports suggested certain Ontario locations might switch to serving halal-only chicken. 

Other big brands such as Popeyes, Mary Brown, Boston Pizza, and Osmow’s have likewise introduced halal items at select outlets. Yet, they do not consistently disclose all measures taken to prevent cross-contamination, often prompting skepticism among observant consumers. 

On a consumer level, the push toward authentic halal offerings is manifesting in shifting brand perceptions, deeper skepticism of incomplete claims, and renewed calls for a more credible regulatory framework. 

While critics decry what they see as inadequate transparency, supporters point to this being a step in the right direction. While not all stages of the halal food process are certified, the moment still marks an inflection point for notable commercial brands entering the halal food market.  As Canada’s Muslim population climbs - reaching nearly 5% of the total population by 2021, as per Statistics Canada - producing and marketing halal options can be highly lucrative. 

Jivraj also pointed out that KFC’s halal offerings were part of a broader trend driven not just by population growth but also by increased interest among non-Muslim Canadians. 

"The criticism came mostly from a vocal minority amplified by social media," she explained, adding that poultry is a leading product in Canada’s halal sector, which she estimated to be worth about $1.5 billion. 

"Restaurants, fast food chains, grocers, and food manufacturers are increasingly exploring this space," Jivraj said. "This growth is being driven by both Muslim consumers and non-Muslims who recognize halal certification as a value-added quality marker."

However, integrating halal production into existing operations requires strategic planning and expertise. "Success depends on finding the right partners and understanding the nuances of the halal market," she explained. "Every business is different, and so the approach needs to be tailored."

Fragmented certification landscape
Despite reason for much optimism, Canada’s halal industry faces a critical dilemma: the absence of a unified, nationwide certification standard.

Currently, the Canadian Food Inspection Agency (CFIA) requires products labeled as halal to be certified but does not regulate the certifiers themselves. 

Current oversight relies on independent entities such as the Islamic Food and Nutrition Council of Canada (IFANCC), the Halal Monitoring Authority (HMA), and the Halal Advisory Group (HAG). 

“It’s a big challenge,” said HMA’s COO, Omar Subedar, emphasizing that without a comprehensive and uniform certification process, consumer trust can be compromised. 

To receive halal certification, products must undergo a thorough evaluation by an accredited halal-certifying organization. This involves a detailed review of the entire supply chain and manufacturing process to ensure that no elements or practices compromise the halal integrity through cross-contamination. 

The nuances extend beyond slaughtering protocols; cross-contamination, permissible feed for farmed seafood, and inclusion of non-halal ingredients like pork-based gelatin can all invalidate a product’s halal status if not carefully managed.

While the steps involved in certification are generally clear-cut, there is currently no universally accepted global authority governing halal certification. 

Critics argue that this fractured system 'dupes' consumers, who may believe that simply using halal meat is enough to ensure compliance. In reality, even minor contamination by non-halal substances - ranging from pork-based additives to cooking oils shared with non-halal items - can invalidate the halal status. 

Subedar and fellow members of the Canadian Council for Muslim Theologians corroborated this in 2004 by conducting a wide-ranging assessment of the halal meat sector. 

A parallel to broader regulatory realities
The closest example of a solution for Canada’s halal food labeling dilemma is the US, where the state of New Jersey has the Halal Food Consumer Protection Act. This act allows legal repercussions if companies mislabel or falsely advertise halal status. 

The lack or absence of a standard regulating body has repercussions that extend beyond the border and affect Canadian halal exports as well. Advocates for greater consistency point out that ongoing confusion can also stifle exports to Muslim-majority nations. Globally, there is no single, universally recognized halal certification authority. 

Countries such as Indonesia, Malaysia, Turkiye, and the United Arab Emirates require certifications from specific government-approved agencies. 

Canadian producers who wish to export often find themselves juggling multiple certifications, each with varying definitions of what constitutes halal. Failure to meet any of these sets of rules risks losing out on promising foreign markets that have a growing appetite for Canada’s high-quality products.

What's in store for halal food brands?
The future of Canada’s halal food industry hinges on its long-term halal food outlook with industry leaders remaining bullish. 

Driven by a younger generation of Muslims seeking convenient, read-to-eat halal foods that fit modern lifestyles, Agriculture and Agri-Food Canada projects the Canadian halal food sector primed for entrepreneurship and innovation. 

Analysts expect the Canadian halal food and beverage market - already pegged at $1 billion to $2.6 billion, depending on the forecast - to rise at a double-digit rate in the coming years.

According to Sayarun Nessa, director at Halal Commerce Canada Inc., investments in blockchain solutions and IoT (Internet of Things) can streamline the halal supply chain.

“Without a reliable system to trace a halal product from farm to fork, confusion will persist,” she states, underscoring the potential for technology-driven transparency to address fraud and unify protocols.

These developments highlight the promising potential of the halal food sector in Canada despite the need for transparency, oversight, and collaborative efforts among certifiers, government bodies, and industry stakeholders.

06 Apr 2025
Insight
Halal Industry
How has the UK's halal food space evolved?

The halal food market in the United Kingdom has grown tremendously over the past several years, reflecting an increase in the country's Muslim consumer base and a rising interest in ethical and healthy eating options.  

The sector in the UK is now worth billions, with projections of continued growth. Major supermarkets and grocery chains, such as Tesco, Sainsbury's, Morrisons and Asda, offer halal-certified products all year round, with expanded offerings around the holy month of Ramadan and the Eid festival.

This seasonal time is currently one of the biggest commercial events in the calendar, reinforcing a commitment to inclusivity and highlighting the economic draw of this space. From a trade standpoint, halal is also showcased at many exhibitions and trade shows in the UK and abroad. 

However, this wasn’t always the case. Halal foods' commercial journey in the UK is one for the books, starting more than two decades ago, from a modest family shop and progressing to find shelf space at a retailer in 2007, as part of the world foods category. The products on offer at the time included halal meat counters, prepacked halal meat, halal chilled products, halal sweets & confectionery. 

It didn’t stop there. Having worked in the space for years, I know that the initial opportunity could create a domino effect across the UK retail landscape and there was much to be done. Being a Muslim, the halal agenda is lived daily, and I, for one, was passionate about driving this market.

This commitment helped me launched the first ever Ramadan and Eid event at a UK retailer in 2008 - lasting 12 weeks. The event provided an opportunity to display halal offerings throughout highly-frequented stores, supported with marketing campaigns. Other retailers followed suit, one of which I supported to launch a similar campaign. The launch of Haribo Halal Sweets and halal Ramadan countdown calendars in the UK were also a few of my endeavours. 

Noor Ali BEM (Image: Supplied)

Fast forward to today, the halal food landscape has transformed. The dining out market is booming, with all manner of fare including Mexican, Far Eastern and Malaysian cuisines. Fast-food chains are massively growing, catering to a broader customer base, including non-Muslims. Brands like KFC and Nandos are betting big on halal outlets. Online shopping for halal products is also on the rise, with e-commerce platforms and specialized online retailers offering a gamut of halal products, especially at key times like Ramadan and Eid.

Challenges stymying sector growth
Whilst there are many opportunities for growth and expansion, key challenges such as misconceptions about halal practices and the need for consistent quality checks and certifications remain.

Retailers must navigate these challenges effectively to capitalise on the market's potential, recognising the cultural significance of halal practices and the dietary restrictions of Muslim consumers. This understanding can influence product selection and marketing strategies. 

Supply chain complexities and lack of education are some of the obstacles that hinder the progress of a thriving halal foods ecosystem. 

Supply chain – The halal supply chain is complex, and finding reliable suppliers offering halal-certified products consistently can be difficult. Retailers must ensure that suppliers meet quality standards and offer certifications, which would require ongoing monitoring and auditing. 

Any supermarket or independent shop offering halal products need to establish partnerships with reliable suppliers and manufacturers. This means having the resources but also the knowledge and awareness of different halal certification standards and processes.  

Education - It would be ideal for businesses offering halal products to conduct regular employee training and skilling/reskilling activities, apprising workers of cultural and religious sensitivities around halal practices. Offering customers timely information can help create a conducive shopping experience.

Building trust with the wider Muslim community is also essential. This could include outreach activities such as collaborations with local mosques and community organizations, and conducting community events and workshops to promote halal offerings and facilitate discussions around halal practices.

Understanding the customer - Probing deeper into the customer’s shopping habits would be another route to gaining valuable insights. Conducting regular market research to understand the varying facets of an average consumer’s shopping experience, such as his/her product preferences, purchasing habits, price and religious sensitivities, could help address preferences and concerns.

Facilitating online and in-store feedback to gather customer opinions and suggestions would also allow for adjustments based on consumer needs.

Addressing these challenges is critical for retailers aiming to successfully incorporate halal offerings and cater to a growing and diverse customer base. 

Noor Ali BEM is a UK-based world foods and halal category expert

 

11 Mar 2025
Insight
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