Halal Industry

Euro Quality Lambs keeping up with highest halal standards


Photo: WERVERHOOF, THE NETHERLANDS - 21 SEPTEMBER, 2013: Four Sheep on a farm / Mauvries / Shutterstock.com

EURO QUALITY LAMBS LTD

Year of establishment 1992
Headquarters

Shropshire, UK

CEO

Satar Khalid  

Senior Director

Rizvan Khalid

Revenues

40 – 50 million British pounds ($60 million - $75 million)

COMPANY OVERVIEW

UK-based Euro Quality Lambs Ltd (EQL) started in 1992. It is a lamb and sheep abattoir capable of processing 10,000 – 15,000 carcasses a week with onsite boning and further processing facilities. The majority of EQL production is sold in carcass form, both to the UK and throughout Europe.

ACHIEVEMENTS

  1. One of the largest Muslim-owned lamb slaughterhouses in Europe, capable pf processing up to 15,000 carcasses a week, and with revenues exceeding $60 million.  
  2. Well-recognized in the halal and broader European meat industry, with Senior Director Rizvan Khalid asked to join the board of the Agriculture and Horticulture Development Board (AHDB), an independent UK-based organization that supports the UK agriculture industry.
  3. Awarded “Business of the Year” at the Al Rayan British Muslim Awards in 2015.
  4. Finalist at the 2014 Meat and Processing Awards in the UK for “Export Initiative of the Year”, which was ultimately won by Cranswick, a leading UK food products manufacturer.
  5. Highly respected in the British meat industry and asked to provide expert insight to two separate House of Commons Parliamentary groups seeking to understand the halal process from a practical, religious, and scientific perspective.

OPPORTUNITIES BEING ADDRESSED

  1. UK Muslim spend on food and beverage accounts for 4 percent of total UK spend, estimates the State of the Global Islamic Economy 2015/16 report produced by Thomson Reuters in collaboration with DinarStandard. The halal food market is estimated at up to $4.5 billion in 2014, according to the BBC.
  2. According to research undertaken by the Halal Industries Group, the European halal food market is worth approximately $15 billion serving over 50 million Muslims throughout the European Union (excluding Turkey), a population estimated to have grown by more than 140 percent in the last decade.
  3. Euro Quality Lamb is a long-established player in the European Halal Meat market and seeks to address rapidly expanding market opportunities throughout Europe.

COMPANY STRATEGY

High quality halal meat

  1. EQL has established itself as an industry leader, selling high quality meat to customers across Europe. It has built expertise in the meat industry over a 40-year period. Rizvan Khalid, the company’s Senior Director, told Salaam Gateway that his father and uncle learned the meat trade in Ireland in the early 1970s.
  2. It has achieved numerous standards certifications to build credibility, including Assured British Meat (later rebranded to Red Tractor Farm Assurance – Beef & Lamb), British Retail Consortium (Grade A), Quality Standard Mark, and is also being certified as Organic.
  3. The company employs a meat scientist, in-house veterinarian appointed independently by the Meat Hygiene Services section of the UK Government, and a Shariah advisor. According to Khalid the company is the only halal abbatoir in Europe to have a Shariah advisor.
  4. EQL has also established credibility among Muslim consumers, with its strict adherence to halal practices.
  5. The company actively engages the community to share its expertise. “We have regular visits from leading scholars, community leaders, schools and universities to increase understanding of the supply chain and halal processes,” said Khalid.
  6. EQL is also an active member of the International Halal Integrity Alliance whose purpose is to “uphold the integrity of the halal market concept in global trade through certification, collaboration and membership.”

Staying abreast of the latest technology and industry developments

  1. EQL upgraded its slaughtering facilities and production management system in 2014 in order to satisfy customer and regulatory requirements. It also implemented a new lamb kill line system.
  2. EQL executives have had critical training and play a key role in shaping industry developments.
  3. In July 2007 Rizwan Khalid was part of the first intake of the RMIF Fellowship of Manufacturing Management in the Red Meat Industry course – the inaugural collaborative course run by RMIF, Cranfield University, Cambridge andRoskilde aimed at developing the meat industry leaders of the future. Khalid also obtained a Masters in Meat Science & Technology at Bristol University.
  4. Rizwan Khalid has also been on the Halal Steering committee of the AHDB, and is considered an industry expert, being invited to speak at events across the UK and Europe.

Diversified revenues sources going beyond UK Muslim market

  1. Although the UK Muslim market is a core customer segment, the company has managed to build scale through addressing both the broader European and non-Muslim market.
  2. EQL has positioned itself as one of the leading exporters in the region, implementing HACCP systems to comply with recent EU regulations governing the abattoir industry and with long-established relationships with customers throughout Europe. Emphasizing the export opportunity, Khalid commented, “We are export-focused as the UK globally is the third largest exporter of lamb and we decided to focus on that market.”
  3. The company, through its emphasis on organic and high quality meat, also addresses the non-Muslim market.

OPPORTUNITIES

The company sees continued revenue growth, driven by the following:

  1. Capitalizing on continued growth in the European halal market. “The Halal market in Europe is fast-developing and there are opportunities in the food service and retail sectors to target the more affluent knowledgeable and discerning Muslim client base,” said Khalid.
  2. Expansion into the Middle East Market. The company is planning to exhibit at Gulfood in February 2016 to explore the Middle East marketplace.
  3. EQL also plans to open a new state-of-the-art Halal Food Park for slaughtering, meat processing and value-added services. “The concept is for the site to become a showcase site for religiously slaughtered product for the whole of Europe whilst also incorporating food trends of social, environmental and economic sustainability. We will be looking to issue corporate sukuk totaling between 10 and 20 million British pounds as our plans develop,” Khalid told Salaam Gateway.

CHALLENGES

EQL has found it challenging to keep up with changes in the industry, despite its qualifications and certifications. To manage this challenge, the company has relied heavily on consultants in the meat industry as well as recruiting industry specialists to ensure in-house expertise remains relevant.

The company has faced difficulties maintaining the highest standards at all times – in October 2012 it had to recall and destroy its lambs brains from distribution because they were not presented for post-mortem inspection and hence did not comply with specific hygiene rules for food of animal origin. 

KEY TAKEAWAYS

Make a clear, visible commitment to quality food products

Stay abreast of industry changes, and maintain technical expertise in-house

Broaden market reach beyond Muslims in a particular country to make the business scaleable

© Copyright SalaamGateway.com 2015


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Lamb
Meat
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