Middle east & Africa Halal Food & Beverage Market Outlook, 2029

The Middle East region boasts a rich food culture deeply rooted in Islamic traditions, emphasizing halal food preparation and consumption across most countries. Dishes are typically prepared using fresh, locally sourced ingredients, with lamb, poultry, grains, rice, and an array of spices playing a central role in meals. Halal dietary laws are a significant aspect of food culture, guiding food preparation and consumption, especially given the predominantly Muslim population in countries like Saudi Arabia, the UAE, Egypt, and Qatar. Awareness about halal food is widespread, not only in homes but also in the hospitality industry, where hotels and restaurants prioritize halal compliance to cater to both local and international Muslim guests.

Major Middle Eastern countries such as the UAE, Saudi Arabia, and Qatar are known for their vibrant hotel cultures, blending traditional hospitality with luxury. High-end hotels offer diverse dining options, ensuring all food meets halal standards, while also integrating international cuisines to accommodate global travelers. The demand for halal-certified food has extended into all aspects of tourism and hospitality in the region, highlighting the importance of halal awareness in both food production and dining experiences, making the Middle East a major destination for halal-conscious tourists.

According to the research report, “Middle East & Africa Halal Food and Beverage Market Outlook, 2029”, the market is anticipated to add USD 365 Billion from 2024 to 2029. The growing awareness of halal food and its positioning as hygienic and healthy food among, both, Muslim and non-Muslim communities, has resulted in an increase in the consumption and acceptance of halal food, which is expected to drive the demand over the forecast period. Furthermore, the assurance of integrity throughout the Halal supply chain has become a major concern for Muslim consumers, with fraudulent Halal certification and physical contamination of food products on the rise.

Hence, supply chain integrity needs to be protected right from the point of animal slaughter and including transportation, storage, to the handling of Halal products. The increased demand for halal-certified products in the past few years is attributed to the growing population of Muslims and the rise in disposable income to utilize these products and services, and the same factors are expected to further augment the growth of the market over the coming years. Finally, there is greater awareness among Muslims on the need and necessity to consume only Halal food. Halal products are gaining wider recognition as they meet Sharia requirements and hygiene, sanitation, and safety aspects. Islam is now the fastest-growing religion in the world. Thus, the growing Muslim population and economic development in countries with large populations of Muslims make halal food and beverages a profitable segment to invest in to meet the demand.

The halal food and beverage market in the Middle East and Africa encompasses a diverse range of product segments, including halal meat, poultry, seafood, dairy products, fruits, vegetables, grain products, beverages, and other items. Halal meat, poultry, and seafood are the leading categories, primarily due to the high consumer demand for these essential proteins in everyday meals and special occasions. Given the substantial Muslim population in the region, halal meat products are crucial as they comply with religious dietary regulations, establishing this category as the foundation of halal food consumption. Following closely, halal milk and dairy products maintain a significant presence, as dairy is a staple in traditional cuisines.

Additionally, halal-certified fruits and vegetables, along with grain products, play a vital role in many dishes across the Middle East and Africa, fulfilling the need for fully halal-certified meals. The beverage segment, which includes juices and non-alcoholic drinks, is also expanding, reflecting cultural preferences for alcohol-free options. The 'others' category comprises halal snacks and processed foods, which are gaining popularity as convenient choices. Nevertheless, halal meat, poultry, and seafood continue to dominate the market, solidifying their role as the primary catalyst for growth in this sector.

In the Middle East and Africa halal food and beverage market, the sales channel segment includes hypermarkets/supermarkets, traditional retail, online, and others. Hypermarkets and supermarkets lead the market, serving as primary shopping destinations for halal-certified foods due to their extensive product range and convenience. These retail formats offer consumers easy access to a variety of halal products, including meats, dairy, grains, and packaged goods, all within a single location, making them highly preferred for everyday shopping.

Traditional retail, encompassing local markets and small neighbourhood shops, also plays a crucial role, particularly in more rural areas, where consumers rely on familiar, nearby retailers for fresh and packaged halal products. While online sales are growing, especially for niche or specialty halal items, this channel is still secondary to physical retail in terms of overall market presence.

Turkey has the biggest chunk of market share in the Middle East and Africa halal foods and beverages market, accounting for more than 25% of the total market. It is imperative to note that in the Middle East and African region, the Rest of MEA region other than major economies like UAE, Saudi Arabia, Qatar, Turkey, South Africa, accounts for more than half of the total halal foods and beverages market in the region. The market has a huge scope of consolidation in order to create a more robust supply chain. Halal meat, poultry and seafood products are the most consumed halal foods and beverages market in the region, but other halal products of the categories like bakery, confectionery and other products are growing at a CAGR of over 10%.

More than 1/3 of the sales in the region’s halal foods and beverages market is delivered though traditional sales channels such as convenience stores but online stores are the fastest growing sales channels in the region. Even though hypermarkets and supermarkets are developing rapidly in the region, the traditional ways of retailing have a greater growth rate than supermarkets/hypermarkets channels but does not have a material difference. During the forecast period, Saudi Arabia is likely to be the fastest-growing country and holds the largest market share in the halal food and beverage market of the region. The country is also the largest food and beverage producer in the Gulf region. However, the rapidly increasing population has surpassed the food supply and forced the country to depend on imports, which fuels the demand for Halal food products. The Government of Saudi Arabia has been introducing new policies to support the production of more halal food. These policies are anticipated to make the country self-sufficient in food and beverage production and offer better opportunities for domestic producers to vary in livestock, such as poultry, camel, sheep, and dairy production.

COVID-19 Impacts

The unprecedented outbreak of the COVID-19 pandemic has not only been a tragic health issue globally but has severely impacted the global economy on account of restrictions set by the government. However, despite its massive impact on the industries worldwide, the challenges posed to the Halal food industry in the middle-east and Africa region have not been significant enough, owing to the ever-increasing demand for halal food & beverage products majorly across countries like Saudi Arabia, United Arab Emirates, Kuwait, Egypt, and Bahrain, among others. Also, Ramadan was a period amidst the pandemic, which accelerated the sales of halal products in the region.

Additionally, consumers shifted to home cooking, and online shopping for their daily essentials. The Saudi supermarket BinDaWood Holding reported their e-commerce sales increased by 200%, according to the World Halal Authority. With manufacturing, production, and logistical operations being disrupted, key exporters have had a challenging year financially, but, an increase in e-commerce, increased the demand for food security initiatives, and more clear labeling of healthier foods including halal products in the region.

Major Companies Present In the Market

Al Islami Foods Co., Midamar Corporation, Unilever, Cargill, Nestle S.A., BRF S.A.

Considered In the Report

• Geography: Middle East & Africa
• Historical year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecasted year: 2029

Countries covered

• UAE
• Qatar
• Turkey
• Saudi Arabia
• South Africa

Aspects Covered In the Report

• Market Size By Value for the historic time period (2018-2023)
• Market Size By Value for the forecast time period (2024-2029)
• Market Share by Product (Halal Meat, Poultry & Seafood, Halal Milk & Milk Products, Halal Fruits & Vegetables, Halal Grain Products, Beverage Products, Others)
• Market Share by Sales Channel (Hyper Market/ Supermarket, Traditional Retail, Online, Others)
• Market Share by Country (2018, 2023 & 2029F)

The approach of the report

We keep an eye on evolving markets and try to evaluate the potential of the products and services. If we find the market interesting, we start working on it and create the desired table of content, considering all aspects of the business. We start by creating separate questionnaires for C-level executives, national/regional sales personnel, company owners, dealers, distributors, and end-users. Once the questionnaires have been finalized, we start collecting the primary data (mostly through phone calls) and try to understand the market dynamics regionally or tier-wise.

This process gives us in-depth details of the market, including all present companies, the top-performing products with reasons why they dominate; we get the details of new players and their innovative approaches; market trends; dynamics; and all the small details of the market. After the collection of primary inputs, we then cross-check the same with secondary sources that include associations, trade journals, annual reports, paid databases, newspapers, magazines, press releases, government sources, etc. From this, we get a rough estimate of the market and start checking existing product price variants, trade, production, raw material scenarios, policies and regulatory landscape, etc. Then, to finalize the market, we start collecting financials of each player present in the market, including limited, private limited, and LLPs. Moreover, we perform cross-industry and cross-region analysis of the product, and based on collected primary inputs and using statistical modeling, we start forecasting the market. We follow our forecasting algorithm, which is unique for each product but gives more weight age to primary inputs. At the same time, the content team starts preparing company profiles, market dynamics, market trends, five forces, PEST analysis, etc. Once the data is verified by the data expert, the team (primary team, content team, and data team) together crosscheck the segmentations, validate the market, and then the designing team starts plotting the graphs. Once the file is ready, the content team completes the report and makes sure that all the discussed points have been covered and provides their valuable inputs in the form of strategic recommendations for new as well as existing players. The QC team then checks the overall report that includes spell check, data verification, and makes the same dispatch ready and error-free.

Intended Audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the halal food & beverage industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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