Halal certification and compliance has gained much interest in traditionally run industries due to several main factors. Firstly, increasing demand from Muslim markets due to sizeable and growing Muslim population.1 Secondly, Muslim GDP per capita has grown faster annually than its global counterparts over the period of 1990-2010. The GDP per capita for Muslim worldwide has grown at a cumulative annual growth rate (CAGR) of 6.8% against global CAGR of 5.0%.2 Thirdly, the emergence of potential markets which are India and China with total number of 180 million3 and 30 million Muslims4 respectively has created unprecedented demands towards halal goods and services. Chinese halal market is estimated to worth around USD2.1 billion and growing at 10.0% annually.5

There are many halal certification bodies and standards globally but with the same premise of safeguarding the halal and toyyiban aspects in preparing halal products. The main challenge faced by the industry players in acquiring the certification lies in complying with various requirements of the halal certification from preparing the infrastructure, selecting ingredients, documentation, training their talents and post-certification maintenance. Nevertheless, with proper implementation strategy and sheer commitment from the management, the process of acquiring the certification can be both rewarding, in terms of business perspective, and knowledge enrichment.

There are three areas of concern but very integral in ensuring the success of halal certification. Those are shariah, toyyiban and regulatory requirements and they form the critical stage in determining the success in acquiring the certification. Regardless of the industry background, those three areas need to be properly assessed when one is embarking on halal certification journey.

[1] Halal Industry Development Corporation
[2] United Nations, IMF, PWC
[3] Economist, Why India’s Muslims are so moderate, 7 September 2014
[4] China Islamic Association
[5] Islamic Association of China