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Azerbaijan’s halal food industry takes shape

The halal food sector is undeniably one of the fastest-growing
segments of the global food market, driven by the increasing demand
from Muslim consumers worldwide. Despite being in its early stages,
Azerbaijan’s halal food industry is showing a promising trajectory,
positioning the country to emerge as a major player in this market.
The recent “Azerbaijan Halal Business and Tourism Forum” (AZHAB
Forum) held in Baku highlights Azerbaijan’s ambitious growth. With
support from the Ministry of Economy, the Small and Medium Business
Development Agency (KOBIA), and the State Tourism Agency, the forum
successfully brought together officials and business leaders from
20 countries to explore lucrative opportunities in halal business
and tourism.

Despite the challenges of implementing halal food standards,
interest in this sector is growing every year. The increasing
interest is driven by the lucrative opportunities and impressive
growth potential of the halal products market. In 2009, the global
halal food market was valued at $500 billion. According to the
State of the Global Islamic Economy Report, it is projected to
reach $2.4 trillion by the end of 2024, representing an almost
fivefold increase. This surge means that halal products will make
up over a fifth of the global food market, creating a vast and
rapidly expanding sector that numerous food producers are eager to
enter.

The Role of Tourism in Accelerating Halal Industry
Growth: A Compelling Perspective

The halal food sector’s growth in Azerbaijan is closely linked
to the country’s tourism prospects, especially from Muslim-majority
countries. Azerbaijan’s position as a Muslim-majority nation and
its rich Islamic heritage make it an attractive destination for
halal-conscious travelers from regions like the Middle East, North
Africa, and Southeast Asia. The ongoing efforts to promote halal
tourism alongside the halal food sector will serve to enhance the
country’s appeal in this regard. Notably the current tourist season
has proven exceptionally favourable for expanding Azerbaijan’s
tourism ties with various countries, including afore-mentioned
Muslim States. According to the State Statistics Committee, in the
first six months of 2024, the number of visitors from Persian Gulf
countries reached 258.8 thousand, marking a 39.6% increase in
comparison to the previous year. In particular, the AZHAB Forum
spotlights the potential for halal tourism, encouraging
collaboration between local businesses and international
stakeholders to build a solid infrastructure that can cater to the
needs of halal-conscious tourists. Services such as halal-certified
hotels, restaurants, and entertainment options are essential
components of this strategy, as Azerbaijan seeks to attract a
larger number of Muslim travelers. Azerbaijan is actively pursuing
the introduction of a “Halal Hotel” certification for tourist
facilities, following the establishment of a new state standard for
halal tourism services. This bold initiative aims to draw
significant tourist traffic from Arab and Central Asian countries,
as well as Iran and Turkey, establishing a robust client base for
domestic halal hotels. As a result, a substantial rise in tourist
numbers can be anticipated in the upcoming calendar year.

Another crucial milestone towards Azerbaijan’s development of
the halal food sector is the establishment of a robust halal
certification system. The “Halal” certificate is a vital tool
designed to instill unwavering consumer confidence in halal
products and services, guaranteeing strict adherence to
international standards. This proactive step is poised to propel
substantial growth in both the domestic and export markets.

“Halal product certification in Azerbaijan will be
categorized into four areas: the slaughter of cattle, poultry, milk
and dairy products, and processed goods,” announced
Goshgar Tahmazli, head of the Azerbaijan Halal
Certification Organization (APBA), during the forum. Efforts are
actively being made to streamline the application process,
introduce innovative communication solutions for public catering
entities, and set up certification and arbitration committees to
facilitate the halal certification process.

The Azerbaijan Standardization Institute’s “AZSTANDART Halal”
Certification Body has successfully obtained accreditation from
Türkiye’s Halal Accreditation Body (HAK), empowering it to issue
halal certifications that fully align with international
accreditation requirements. The primary objective of this
certification is to unequivocally ensure that products, services,
and management systems strictly conform to the high halal standards
that consumers demand. Furthermore, in 2022, Azerbaijan proudly
secured membership in the Organization of Standardization and
Metrology of Islamic Countries (SMIIC), further cementing the
country’s formidable position in the global halal market.

Azerbaijan’s entry into the halal food market illustrates the
country’s progressive approach to economic diversification. With a
robust certification framework and a thriving tourism sector, the
country is strategically positioning itself to access the lucrative
global halal market. Furthermore, by aligning the halal food sector
with the country’s broader tourism objectives, Azerbaijan can
attract a new wave of Muslim tourists, thereby contributing to the
growth of its non-oil economy.

Akbar Novruz is AzerNews’ staff journalist, follow him on
Twitter: @ykwiua

Follow us on Twitter @AzerNewsAz

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