The Global Halal Industry is one of the fastest growing industries in the world, Muslims spent US$2.1 trillion in 2017 which provides the Islamic economy with its steady growth, and is expected to grow in the future over its different sectors in the economic industry. The Global Halal Industry is expected to reach US$2.6 Trillion by the year 2023, exhibiting a CAGR of more than 11% during 2018-2023.
In a recent report by Thomson Reuters, it has been estimated that global Muslim spend across lifestyle sectors was US$2.1 trillion in 2017, while the Islamic finance sector has US$2.4 trillion in total assets. Food and beverage industry takes the lead in the category at US$1.3 trillion, followed by clothing and apparel at US$270 billion, media and entertainment at US$209 billion, travel at US$177 billion, and spending on pharmaceuticals and cosmetics at US$87 billion and US$61 billion respectively. US$177 billion, and spending on pharmaceuticals and cosmetics at US$87 billion and US$61 billion respectively.
The growing Muslim population makes the Halal Industry an
important economy for businesses to flourish and take benefit from.
Halal Food Industry
The Halal Food industry has the most companies than any other sector in the Islamic Economy and the most famous sector in the Halal Industry. Many food companies who have identified themselves as halal certified companies have seen a growth in their business. The steady improvement in the halal food industry has proved this as a lucrative sector in the economy.
Muslim spend on food and beverages growing at 6.1 per cent and forecast to reach US$1.9 trillion by 2023, there are significant opportunities for investment and the creation of global halal food brands
The halal travel and tourism industry has been booming with the latest rise in social media trends people tend to go out and explore their options in various different countries. Muslims travelling seek out for halal restaurants, halal hotels and flights with halal food for the best experience. To help the travelers there has been a rise in halal travel websites and blogs. The Muslim spend on travel was US$177 billion in 2017 and is forecasted to reach US$274 billion by 2023.
The modest fashion has been introduced in the mainstream fashion now with models wearing hijab being normalised in the runaway for luxury brands in Europe and magazines with models wearing hijabs, the fashion industry has taken inclusivity to the next level. High-end brands and also retail brands such as H&M and Marks & Spencer have launched their modest line of clothing.
Other representations from OIC countries are also seen, with Muslims setting new trends in both Muslim and non-muslim majority countries.
The Halal Finance sector is also one of the fastest growing sectors, Islamic finance overtook conventional loans in Malaysia and is on the rise in the UAE. Islamic finance refers to the means by which corporations in the Muslim world including banks and other lending institutions raise capital in accordance with Shariah or Islamic law. It also includes the types of investments that are permissible under this law.