RIYADH, Feb 18: With global demand for halal food rising rapidly, the market today for such foods presents exciting opportunities. This is a sector Pakistani food companies and entrepreneurs need to look at closely and tap properly.

According to the International Market Bureau, a Canadian firm, from an estimated $150 billion in 2005, the global halal food market could rise to $500 billion. Countries in the region could exploit this market to their benefit. Pakistan could also be a beneficiary of this market.

Analysts here believe there are massive opportunities for local and regional producers to tap into and network with international distributors to cater to the demand for halal foodstuffs globally. As a market, the halal food market sector has a strong built-in customer base.

As a demographic group, they spread across countries, typical diets and income groups, creating both a marketing and distribution challenge for exporters. On the distribution side, many of the companies producing halal food are primarily not from Muslim countries. Major meat producers tend to come from Argentina, Australia, Canada, China, India, New Zealand, the UK and the USA. In fact some Indian brands, such Al-Kabeer, are now established throughout the Gulf. It is a roaring business for them.

The global nature of the market and its potential for growth is generating excitement within the food industry, from primary food producers through to the manufacturers of equipment for halal food preparation. Opportunities abound within and beyond traditional Muslim countries — the UK halal market alone currently accounts for $4 billion.

The Gulfood 2006 exhibition next week in Dubai is therefore targeted at local and regional producers, enabling them to maximize their exports and consolidate their national presence.

While the demand for halal foodstuffs internationally is growing, as per the World Bank, the GCC’s annual food imports alone exceeded $12 billion in 2005. This is, therefore, a huge market for international distributors and producers to create opportunities to build the essential relationships to do business in the region.

Pakistani entrepreneurs need to look at this market closely. Besides generating additional foreign exchange, this would also serve the needs of the growing number of Muslims now travelling all around the globe and who look for halal food. Some sort of standardization and trade mark indicating a certain product as halal would also be welcomed by the market.