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The $2trn battle for the halal market
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<blockquote data-quote="ibnanv" data-source="post: 14596162" data-attributes="member: 218596"><p><span style="font-size: 12px"><strong>Halal: a fragmented market</strong> In its simplest form, halal refers to a product that complies with Islamic law and the teachings of the Qur'an. Traditionally, this stamp has been restricted to meat, but the concept is now applied to a whole host of items; from travel to finance, food and cosmetics.</span></p><p> <span style="font-size: 12px">While certifying cosmetics halal, for example, an independent body will look at the source of the raw ingredients and how and where it is manufactured.</span></p><p> <span style="font-size: 12px">It is a consumer myth that anything that is not certified as halal is automatically assumed haraam. Halal certification is simply a reassurance from an independent third party. “Halal is a default meaning everything is halal except for these haraam items,” says Darhim Dali Hashim, the CEO of the Malaysia-based International Halal Integrity Alliance.</span></p><p> <span style="font-size: 12px">Halal food standards, however, vary significantly depending on the country of origin, simply because there are no global halal standards. While all certifiers agree that a halal animal must have its throat cut using a swift, deep incision which severs the neck, the jugular vein and the carotid arteries on both sides but leaves the spinal cord intact, that is usually where the similarities end.</span></p><p> <span style="font-size: 12px">The process of stunning an animal prior to its death comprises one of the biggest debates among halal certifiers. Other significant differences include mechanical slaughter and whether or not gelatin is halal. Brunei, which does not allow stunning, gelatin or mechanical slaughtering, is one of the strictest countries in the world when it comes to halal meat. Halal bodies in Malaysia, Indonesia and the Gulf states, which do allow stunning, are less strict.</span></p><p> <span style="font-size: 12px">The issue of stunning is a heated one among the Muslim community. When the supermarket chain Ahold began selling halal food in Holland it faced a backlash from animal rights activists for its use of non-stunned meat. It was quickly forced to switch certifiers to a body that permitted stunning, but then came under fire from conservative Muslims.</span></p><p> <span style="font-size: 12px">Several countries, including Malaysia, are working to streamline regulations but the industry remains deeply fragmented. In the UK, for example, there are over 20 different certifying bodies and in France there are more than 50, all of which have various rules and regulations. The GCC Standardisation Organisation (GSO), which oversees the halal process in the six Gulf states, has achieved a degree of homogeny.</span></p><p> <span style="font-size: 12px">“The GSO covers all six [countries] but that’s only in theory. In practice they do vary even within the emirates. Even from Dubai to Sharjah there may be some issues,” says Hashim.</span></p><p> <span style="font-size: 12px">In 2007, Turkey announced plans to develop a set of unified halal standards, which it hoped to spin out across all Islamic countries. To date, however, a global standard remains a pipedream.</span></p><p> <span style="font-size: 12px">“Turkey acts like a gateway to Europe so there maybe neighbouring countries such as Turkmenistan or Azerbaijan who comply with that standard but I don’t see the stronger countries like Egypt, Saudi or Pakistan going with it as I’m sure they feel that they have the best standard,” observes Hashim. “The initiatives are there to try and harmonise [the industry]. There may be a stage where there will be three standards based on the largest trading blocs.”</span></p></blockquote><p></p>
[QUOTE="ibnanv, post: 14596162, member: 218596"] [SIZE=3][B]Halal: a fragmented market[/B] In its simplest form, halal refers to a product that complies with Islamic law and the teachings of the Qur'an. Traditionally, this stamp has been restricted to meat, but the concept is now applied to a whole host of items; from travel to finance, food and cosmetics. While certifying cosmetics halal, for example, an independent body will look at the source of the raw ingredients and how and where it is manufactured. It is a consumer myth that anything that is not certified as halal is automatically assumed haraam. Halal certification is simply a reassurance from an independent third party. “Halal is a default meaning everything is halal except for these haraam items,” says Darhim Dali Hashim, the CEO of the Malaysia-based International Halal Integrity Alliance. Halal food standards, however, vary significantly depending on the country of origin, simply because there are no global halal standards. While all certifiers agree that a halal animal must have its throat cut using a swift, deep incision which severs the neck, the jugular vein and the carotid arteries on both sides but leaves the spinal cord intact, that is usually where the similarities end. The process of stunning an animal prior to its death comprises one of the biggest debates among halal certifiers. Other significant differences include mechanical slaughter and whether or not gelatin is halal. Brunei, which does not allow stunning, gelatin or mechanical slaughtering, is one of the strictest countries in the world when it comes to halal meat. Halal bodies in Malaysia, Indonesia and the Gulf states, which do allow stunning, are less strict. The issue of stunning is a heated one among the Muslim community. When the supermarket chain Ahold began selling halal food in Holland it faced a backlash from animal rights activists for its use of non-stunned meat. It was quickly forced to switch certifiers to a body that permitted stunning, but then came under fire from conservative Muslims. Several countries, including Malaysia, are working to streamline regulations but the industry remains deeply fragmented. In the UK, for example, there are over 20 different certifying bodies and in France there are more than 50, all of which have various rules and regulations. The GCC Standardisation Organisation (GSO), which oversees the halal process in the six Gulf states, has achieved a degree of homogeny. “The GSO covers all six [countries] but that’s only in theory. In practice they do vary even within the emirates. Even from Dubai to Sharjah there may be some issues,” says Hashim. In 2007, Turkey announced plans to develop a set of unified halal standards, which it hoped to spin out across all Islamic countries. To date, however, a global standard remains a pipedream. “Turkey acts like a gateway to Europe so there maybe neighbouring countries such as Turkmenistan or Azerbaijan who comply with that standard but I don’t see the stronger countries like Egypt, Saudi or Pakistan going with it as I’m sure they feel that they have the best standard,” observes Hashim. “The initiatives are there to try and harmonise [the industry]. There may be a stage where there will be three standards based on the largest trading blocs.”[/SIZE] [/QUOTE]
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