The Department of Trade and Industry (DTI) is urging enterprises to invest in halal business this year, enticing them to penetrate a multitrillion-dollar market that the Philippines has yet to maximize.
Trade Secretary Ramon M. Lopez recommended those looking for business ideas this year to venture into the halal market. As the chairman of the Halal Export Development and Promotion Board, a policy-making body made up of public and private sector representatives, the trade chief said the halal market has the potential to attract more tourists to the Philippines.
“There is big potential in halal in the sense that there are many tourists that skip visiting the Philippines because there are only a few places where they can eat,” Lopez said in a news statement issued on Monday.
Lopez argued there should be a change in the mindset of entrepreneurs and start viewing halal as a lifestyle that can be enjoyed by everyone. He disclosed the Philippines is barely scratching the surface of the halal global market worth $3.3 trillion.
“[The] DTI is promoting this because halal certified food products connote positive attributes, such as being clean, healthy and pure,” Lopez explained.
“We encourage more companies to apply for halal certification because it opens more markets, so more consumers can buy their products,” the trade chief said. “Some local companies are already starting by certifying their canned tuna and corned beef products.”
At present, there are nine halal certifying bodies in the Philippines, but Lopez said he is pushing to increase this number to accommodate more applicants.
The Islamic Da’wah Council of the Philippines, Halal Development Institute of the Philippines, Mindanao Halal Authority and the Muslim Mindanao Halal Certification Board are permitted to do halal certification. Also allowed to certify goods as halal are the Halal International Chamber of Commerce and Industries in the Philippines, Islamic Advocate on Halal and Development, Philippine Ulama Congress Organization, Alliance for Halal Integrity in the Philippines Inc. and Prime Asia Pacific.
Lopez argued the Philippines can emulate Singapore in terms of domestic production of halal products. He said only 10 percent of the Singaporean population are Muslims, just like in here. However, there are many groceries in Singapore that sell halal products.
Last year the government initially targeted to expand halal exports by 6 percent to 8 percent to as much as $605 million, from $560 million in 2018. However, the goal was revised sometime in July to 4 percent to 5 percent on implementation of new halal standards in Gulf Cooperation Countries, such as in Saudi Arabia and the United Arab Emirates.
The halal global market is projected to expand to as much as $10 trillion by 2025 with Muslims estimated to account for over 25 percent of the world’s population, half of it residing in South Asia and Asia Pacific, making it geographically strategic for the Philippines to ship to.