Halal is an Arabic word for lawful, permit or permissible. There are currently over one hundred Halal-certified products in Nigeria. According to available records, the global Halal market has hit $7tn and is projected to grow to $7.7 by 2025. Meanwhile, the Vice President Kashim Shettima has tipped Nigeria to become number one hub of opportunities in the global halal economy.
The Halal economy represents a tremendous opportunity for Nigeria to diversify its economy, generate foreign exchange, and achieve sustainable growth. He said the nation’s economic and demographic size puts it in a vantage position to map out a vibrant investment sector for the global halal economy projected to reach a market value of $7.7 trillion by 2025.
Shettima stated this on Wednesday, during the Halal Economy Stakeholders Engagement Programme held at the Banquet Hall of the Presidential Villa, Abuja. He noted that Nigeria must first reassess its weaknesses and prioritise its strength to achieve this economic feat. The project is part of initiatives to diversify the economy and tap into the burgeoning global Halal market- products and services that meet Islamic standards of permissibility and embodies ethics, integrity, and universal values that resonate across cultures and regions.
The program with the theme ‘Building A Vibrant Halal Economy: Unlocking Nigeria’s Potential’ seeks to stimulate Nigeria’s economy by enhancing more investments in the Halal market. Shettima further said the federal government will explore the opportunities that the halal market offers. According to him, the Halal economy holds vast potential that aligns with the economic agenda of President Bola Tinubu. He noted that Nigeria will target high level markets by developing a comprehensive Halal strategy.
The increasing Muslim populace globally is significantly contributing to the marketplace’s increase. Muslims are expected to incorporate over one-fourth of the global populace. With the expanded need, producers have increased their product portfolio by imparting numerous value-added halal food items, like pasta, vegetables, juice, milk, yogurt, and cheese. Further, sizeable corporations’ production of halal-certified meals will boost product visibility among purchasers.
Globally, Muslim consumer spending on food, clothing, media and recreation, pharmaceuticals, cosmetics, and travel was worth US$2.3 trillion in 2022. Nigeria’s Muslim consumer spend totals US$107 billion, accounting for 4.7% of the global spend and 22.7% of Africa’s spend. Nigeria’s Islamic finance assets were estimated to be worth US$3.3 billion. This positions Nigeria as the second-largest halal market in Africa after Egypt. In terms of trade, Nigeria is the 11th largest exporter of halal products to OIC within the African region. It exported a total of US$379 million in halal products (food, pharma, and cosmetics) to OIC countries.
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