Brazil’s Halal Industry Reaches $6 Billion, Key for Economy

The President of the Arab-Brazilian Chamber of Commerce (CCAB), Ambassador Osmar Chohfi, stated during the Global Halal Brazil Business Forum that businesses related to Brazil’s halal industry generate between $5 billion and $6 billion per year in Brazil. These industries employ hundreds of thousands of people, significantly contribute to the Brazilian economy, and continue to grow.

Chohfi noted that Brazil’s involvement in the halal market dates back to 1977 when the country started trading chicken meat for oil with Saudi Arabia. Since then, Brazil has become the world’s largest exporter of halal poultry and beef products. Approximately 30% of protein exports are destined for Muslim countries with halal certification, a label that ensures adherence to Islamic traditions in animal rearing, slaughter, and processing.

Muslims, constituting nearly two billion people, or a quarter of the world’s population, generate approximately $1.2 trillion annually in the food sector alone. By 2050, their population is expected to reach 30% of the world’s total, resulting in increased demand for various products, including food, medicine, cosmetics, and more.

In 2022, Brazil exported $23.41 billion worth of food and beverages to the 57 majority-Muslim countries within the Organization of Islamic Cooperation. These exports made Brazil the largest supplier of food products to the Muslim world and represented a 41% increase compared to the previous year.

Export Diversification

Osmar Chohfi advocated for the need to diversify Brazil’s export portfolio, including high-value-added products. This can be achieved by promoting Brazilian halal products abroad and expanding the availability of certified halal industrial goods, ranging from cosmetics and pharmaceuticals to clothing and tourism services.

In September 2022, the CCAB and the Brazilian Trade and Investment Promotion Agency (Apex) initiated the Brazil Halal Project, aimed at stimulating the presence of Brazilian halal products through international promotion and certification efforts.

In a message to the event read by Chohfi, Brazilian President Luiz Inácio Lula da Silva affirmed that the Brazil Halal Project aims to support and encourage companies to export to Muslim markets through training, certification, and commercial promotion in the halal segment. President Lula expressed hope that this initiative would encourage businesses to explore higher-value segments within the halal market, including cosmetics, medicines, clothing, and processed foods.

President Lula highlighted that in 2022, Brazil’s exports to Arab League countries reached a record revenue of $17.74 billion. The total trade volume also reached an unprecedented $32.78 billion. These numbers not only reflect the trust Arab nations place in Brazilian product quality but also the nation’s capacity to meet the demands of this market. President Lula expressed gratitude for the invaluable social, economic, political, and cultural contributions of over 12 million Arabs and their descendants who call Brazil home.

Brazil’s Foreign Minister Mauro Vieira noted the crucial role of Brazilian diplomacy in establishing the country as a major food supplier to the Muslim world. Decades of cultural exchange fostered by Brazilian diplomacy have yielded positive outcomes today. The country’s leading food export companies have invested in complying with halal standards. They have also benefitted from national certification agencies working to ensure the integrity, compliance, and quality of Brazilian production.

Source: O Presente Rural 

To read the original news publication, access: https://opresenterural.com.br/mercado-halal-movimenta-cerca-de-us-6-bilhoes-por-ano-no-brasil/

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