STAR BUSINESS REPORT

Bangladesh is failing to tap into the $3 trillion global market for halal products as exports remain below $1 billion, mainly due to the absence of a proper ecosystem and an independent authority to issue accredited certifications, said businesspeople.

This rapidly growing industry is projected to reach $9.45 trillion by 2034. However, Bangladesh’s exports of mostly agro-based products are limited to around $850 million, they added.

The comments came at an event organised by the Dhaka Chamber of Commerce and Industry (DCCI) in the capital yesterday.

Razeev H Chowdhury, senior vice-president of the DCCI, said that in addition to Muslim consumers, many non-Muslim countries are now showing growing interest in halal products due to their quality and hygienic production processes.

Given the current pace of expansion in the global halal market, Bangladesh has a significant opportunity to tap into this sector, he added.

“As the fourth-largest Muslim-majority country in the world, and with abundant agricultural, livestock, and fisheries resources, Bangladesh holds strong potential,” he said.

However, Chowdhury expressed disappointment that currently, non-Muslim countries produce most of the halal products available worldwide.

“Bangladesh’s readymade garment sector has already demonstrated its capabilities on the global stage. Now, it is time to develop the halal industry as a new driver of our economy,” he added.

Despite the vast potential, Bangladesh faces several structural and institutional challenges in developing the halal industry, including low awareness of halal standards, lack of modern laboratories and technology, and a shortage of skilled manpower, he said.

Chowdhury suggested implementing an automated certification system, establishing advanced laboratory facilities, and strengthening traceability and logistics support to overcome these barriers.

He also emphasised the need to form a “Halal Certification Board” comprising representatives of the state-run Bangladesh Standards and Testing Institution (BSTI) and the Bangladesh Islamic Foundation (BIF) to ensure global recognition of local certificates.

Additionally, he said, Bangladesh must strictly follow the guidelines of the Standards and Metrology Institute for Islamic Countries and take strong diplomatic and commercial initiatives to promote its halal products internationally.

In a presentation, Mominul Islam, assistant professor at the International University of Business Agriculture and Technology, pointed out that both the BIF and BSTI issue halal certificates, often resulting in procedural complexities.

He added that key barriers to the sector’s development include the lack of modern equipment, skilled human resources, and supply chain systems; weak country branding; limited small and medium enterprise participation; and the absence of a unified halal policy.

Md Abul Kalam Azad, assistant manager for export at Paragon Group, emphasised the need for a digital, technology-based halal certification system and compliance audits to ensure product quality.

AGM Sayadul Haq Bhuiyan, head of supply chain and export at Bengal Meat, underscored the importance of value addition and the use of blockchain technology to trace animal life-cycle data.

He also stressed that halal certification authorities in Bangladesh must achieve international accreditation standards.

Abu Saleh Patwary, deputy director at the BIF, mentioned that currently no government entity is capable enough to independently issue halal certificates, for which several institutions coordinate this process.

He also emphasised enhanced government monitoring for quality assurance of halal products.

Baby Rani Karmakar, director general-1 at the Export Promotion Bureau, highlighted that the global halal market is growing by approximately 12 percent annually, but Bangladesh is still lagging behind.

She called for concerted efforts to increase Bangladesh’s market share in the global halal industry.

Ariful Hoque, director general of international investment promotion at the Bangladesh Investment Development Authority, stated that Bangladesh’s halal sector could play a vital role in export diversification following its graduation from least developed country status.

He said the government is seriously considering establishing a dedicated economic zone for the halal industry.

Aminul Islam, director general of the Bangladesh Accreditation Board, said Bangladesh is lagging behind in global halal market participation and that coordinated efforts could help unlock the sector’s full potential.