Halal Industry: Challenges and Emerging Opportunities in the Economy of India

Abstract

The aim of this article is to explore the problematic challenges and massive opportunities for Halal industries in India. The demand for Halal certified goods is robustly growing, both domestically and internationally in India due to its large domestic population and categorised as the second largest Muslim population nation in the world .In addition to a thorough review of the literatures, four categories of Halal segments were further addressed to explore the problematic challenges and exclusive opportunities in India pertaining to Halal industry. The results obtained from this study has successfully proven that the upcoming market requirements and Halal industry-related valuable opportunities, are the main motivators for India to undertake significant regulatory, trade and industrial support initiatives to strengthen the status as a Halal hub in the Islamic economy's trade-driven business. Early adopters face many obstacles for each of the Halal modules, such as vague Halal guidance and lack of cooperation with leading agencies (i.e., Jabatan Kemajuan Islam Malaysia (JAKIM) and Halal Industry Development Corporation), a lack of cost-effective standards and a general misinterpretation of Halal practices. Furthermore, this study supports administration policy makers’ objective in identifying the issues that should be addressed in prompting industries players to approve Halal systems. This study adds up to the improvement of knowledge on the challenges and opportunities of adopting Halal certificate in India.