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Finance | Islamic Finance

3rd Nigeria Halal International Seminar Explores How Nigeria Can Tap Into the US$2.3trn Industry

Aug 10, 2022   •   by Bukola Akinyele-Yisau   •   Source: WebTV   •   eye-icon 585 views

 As part of efforts to enhance and make the Halal market accessible in Nigeria, Africa and globally, the Halal Certification Authority, HCA, hosted its 3rd International seminar & exhibition in Lagos, which discussed the theme "Halal for All: Between Sustainability and Profitability." 

The event brought together experts, regulators, the Ministry of trade, NAFDAC officials, academia, finance experts, business owners, members, and individuals who want to tap into the Halal market. 

In his opening speech, Alhaji Nour S. Hanga, Chairman, Technical Committee on the Development of a Roadmap and Operational Framework for Halal Certification in Nigeria, provided insight into the dynamics of the industry.  

He said the concept of halal goes beyond food and beverages; it includes pharmaceuticals, cosmetics, safety, wellbeing, and peace for humanity. 

"The Halal food ensures that the product used is not with Haram ingredients."  He cited Thailand as a country that established a sector dedicated to Halal and equipped with advanced devices. 

"The global Halal economy is recording remarkable growth; it may grow 20% annually according to global Islamic report 2022. Also, the global sales of Halal products or services for 2020-2021 were $2trn each despite the COVID-19 pandemic."

Speaking further on the growth of the global Halal market, Alhaji Hanga encouraged manufacturers, farmers, suppliers, entrepreneurs, exporters, and banks to invest in Halal; he said Halal food symbolizes cleanness, richness, integrity, and safety. 

According to him, international conglomerates such as Nestle, Unilever, and Cadbury are at the forefront of Halal enterprise. Also, European and American conglomerates represent seven out of the ten world players in the global Halal market. 

He added that Halal is a profitable business worldwide for all who care about product quality and health. According to him, the international seminar and exhibition theme is essential to the industry, sustainable infrastructure equipment, and developments that could support its growth and profitability.  

On his part, Engr. Muhammad Lawal Maidoki, Chairman, Sokoto State Zakat and Endowment Commission, stated that Zakat, Waqf, and Sadaqat all come from halal income and are generated from halal businesses such as agriculture, construction, manufacturing, and the likes. He said the concept of Halal defines products, services and transactions permitted for consumption or engagement in Islam; Haram is the opposite. He believed that the importance of Halal certification could not be overemphasized.  

Citing the benefits of the Halal sector, the scholar said Nigeria stands to gain the much-demanded foreign exchange currency inflows from the sale of its products and services abroad. Also, the vast opportunities in the Halal industry can solve the food crisis, and this can be done through local and global partnerships and synergies between the Halal industry and Islamic social finance. 

He stressed the need for standardization in the sector with robust regulations to share knowledge widely and professionally. The expert noted that this would lead to quality assurance and best practices. 

He also emphasized the need for public awareness, translation to local languages, and collaboration with reliable, strong international partners to leverage their experiences, expertise, and infrastructure.   

In his welcome remarks, Chairman Management Team of the Halal Certification Authority, Prof Ibrahim Oreagba, said the theme of this year's seminar, was most appropriate at this point of Nigeria's development and aligns with the strategic objectives which is yet to develop human capacity in the field of Halal and its industry.  

 Prof. Oreagba pointed out that the "HCA vision is to be the foremost Halal certification body in Sub-Saharan Africa, to offer service to clients, local and international, under Islamic Law, using seasoned professionals and deploying state of the art technology for customer satisfaction while meeting stakeholders' expectations."  

The Chairman further stated that the global Halal industry is estimated to be worth around $2.3trillion a year and is one of the fastest growing markets despite the Covid19 pandemic.  

The scholar alluded to the fact that the Halal industry is no longer confined to food and food-related products, but instead includes pharmaceuticals, cosmetics, health products, toiletries, and medical devices, as well as service sector components such as hospitality, logistics, marketing, print and electronic media, packaging, branding, and financing.   

Speaking on the Halal Certification Authority landmarks, he said the institute has certified over 50 local and international clients, registered with the Malaysian Halal Council (JAKIM), 2019 and Halal Accreditation Agency Turkey, 2019, collaborating with other Halal certification Bodies in Nigeria during the Halal stakeholders' forum in 2020, HCA has ongoing partnerships with the federal Institute of Industrial Research Oshodi, (FIIRO) National Agency for Food and Drug Administration and Control (NAFDAC), Standard Organization of Nigeria (SON), Nigerian Institute of Food Science and Technology (NIFST), Abuja Chamber of Commerce (ACCI), Lagos State Government Ministry of Finance and Ministry of Agriculture. 

The special guest of Honour, Minister of State for Industry Trade and Investment Amb. Mariam Katagum represented by Dr.Sunday Jaja, spoke on diversifying the economy through the exportation of value and products.  

In his presentation, Dr. Jaja asserted demand for Halal-certified products globally, especially in the Middle East, North Africa, South Africa, and South He said the global Halal market is estimated at US$2.6trn, and Malaysia is already benefiting from the Halal economy, exporting to over 23 countries and earning about $7bn in exports.

The Minister acknowledged that Nigeria has not been able to take advantage of this vast market to achieve growth and attract investments.   

"Many people consume Halal products or services worldwide, and Nigerians should also enjoy the benefits."

Delivering the goodwill message, the Lagos state Commissioner for Agriculture's representative said the state is targeting the Halal market, particularly in the meat consumption space and is willing to train citizens to have deep knowledge of Halal.  

The Acting Vice Chancellor of Lagos State University of Technology (LASUSTECH), Dr. Nurudeen Olaleye, represented by Dr. Ibrahim Akosile, said the institute would partner with the Halal Certification Authority, HCA to further propagate Halal courses to make them available to the entire Lagos state and across the nation.         

Dr. Bola Oshinowo, Vice President. Nigerian Institute of Food Science and Technology (NIFST) said the partnership is vital and should be Halal-centric in all activities and transactions.  

The MD/CEO of Zakat and Sadaqat foundation said their strategy was to empower people and reduce poverty through Halal. The partnership with HCA was a welcome development. 

The 3rd HCA International Halal Seminar & Exhibition featured a panel that discussed "Nigeria Halal Industry: How vast is the Value Chain?”  It featured a representative of TajBank, Prof. Tajudeen Yusuf, President IIFP, a representative of Jaiz Halal Certification Group, GMD Flour Mills, and Mr. Akeem Oyewale, MD/CEO, Marble Capital Limited. 

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