With the supplements manufacturer seeing sales that double or triple from $58 billion in 2021 to $116 billion by 2031, product sales are expected to soar.
As a result of the COVID-19 epidemic spreading over the world, there has been a significant increase in the demand for halal-approved nutraceuticals, which include vitamins and health supplements. This is because people are looking to strengthen their immune systems.
According to the findings of a recent study, the global market for halal nutraceutical goods is expected to increase by a factor of two over the next ten years. The sales of these items were projected to climb from $58 billion in 2021 to $116 billion by 2031, according to a report that was issued in July of last year by Future Market Insights, which is situated in Dubai. The “adoption of uniform certification for halal products” is cited as a driving force in the market, according to the report.
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The survey predicted that an expanding and wealthier Muslim population around the world, which is expected to surpass 2.2 billion, will be a driving force behind purchases. A growing knowledge about the quality of halal components, as well as an increase in lifestyle-related health conditions (such as diabetes and obesity), will also contribute to an increase in sales, according to the report. An organization that provides certification services, Islamic Services of America, referred to the industry as “booming.” An emphasis on health care and good living is “becoming a trend among…millennials,” according to the research, which noted that millennials constitute an important minority customer population.
Shoeeb Riaz, operations director at The Halal Trust, an organization that certifies products and services and is situated in Birmingham, United Kingdom, told Salaam Gateway that the demand for halal certification requests for vitamins and supplements has increased since the beginning of the COVID-19 pandemic.
“The majority of supplement manufacturers have witnessed business growth in the double or triple digits,” he stated. He went on to say that the Muslim consumer in the United Kingdom “is adopting a similar cultural outlook for consumer behavior as their non-Muslim counterparts around wellbeing.”
The marketplace, according to Riaz, “is looking at a bumper couple of years with people understanding the link between vitamin deficiency and disease.” He further stated: “Muslim community middle classes are increasing (in size and wealth] and they have the option to go to the health store to buy supplements where historically they didn’t have sufficient income levels.”
During the COVID-19 pandemic, scientists and medical professionals have indicated that taking vitamin D has helped people avoid suffering the worst effects of the virus with its immunity-strengthening benefits. This advice has “Impacted the market greatly,” according to a spokesperson for Future Insights who spoke to Salaam Gateway. “Clinical recommendations have played a key role in impacting consumer preferences,” stated the physician.
According to Riaz, Muslim customers in the United Kingdom are “increasingly disconnected from their historic roots,” which are the areas where traditional herbal cures would have been relied upon. Because of this, many people are resorting to “products you would find in a high street health shop, such as high dose vitamin D recommended to fight off COVID-19.” Halal lines are likely to be more appealing to consumers who fall into this category.
Salaam Gateway was informed by a representative of Future Insights that promotions on social media will also contribute to the expansion of the halal nutraceutical market. “Customer reviews are an important aspect that helps to advertise products by including authentic feedback from the target demographic,” stated the executive.
Regarding sales in individual countries, Future Market Insights identifies the United Arab Emirates (UAE) as a market that has the potential to be relatively robust. It was the nation that was predicted to have the highest market for halal nutraceuticals throughout the projection year. Provider of statistics for businesses It is estimated by Statista that the whole national market for vitamins and supplements in the country is presently worth $59 million, and it is anticipated that this market will increase at a compound annual growth rate (CAGR) of 3.8% by the year 2025. In addition, Indonesia is anticipated to be a significant market due to decree number 748, which was published by the Ministry of Religious Affairs of the country in July 2021. This decree stipulates that health supplements must be labeled as either halal-certified or non-halal when they are marketed in the country, which has a population of 277 million people. At the very latest, by the year 2026, this regulation will be obligatory.
The Fl report observed that “market players in Indonesia are scurrying to get halal certification for the products, which is boosting market demand by a significant amount.” The legislation defines food supplements as substances that contain one or more components that are not derived from plants. These components may include vitamins, minerals, amino acids, and/or other non-plant materials such as fatty acids, probiotics, prebiotics, enzymes, isolates, metabolites, and synthetic compounds. These substances can be combined with plants.
According to experts at Future Insights, the market for halal nutraceutical products on the Western continent “will remain stagnant” in countries such as the United States of America, Germany, the United Kingdom, and other European nations. The high production costs of halal dietary supplements, as well as the lack of acceptability or awareness of halal standards among non-Muslims in European countries, “might restrict the growth” of the market, according to their statement. Given the “stringent rules” that these jurisdictions have in place to ensure that halal certification techniques are followed, this includes the high expenses associated with halal certification in both Europe and the United States. Because of this, the creation of “halal nutraceuticals…has become an intricate task for manufacturers,” which has forced them to make “technological advancements, increasing the cost of production.”
Naturally, technological advancements have been of assistance, as is customary. In an interview with Salaam Gateway, a representative from Future Insights stated that the growth of the halal vitamin business was aided by the creation of non-gelatine gummies. Halal vitamin gummies include goods manufactured by Chewwies, based in the United Kingdom, Flamingo Supplements, based in the United States, and Noor Vitamins, based in the United States.
“In developed economies such as North America and Europe, a surge in chronic disease, such as obesity and type 2 diabetes, that can be mitigated with vitamin supplements, has fuelled demand for gummy vitamins,” he continued.
This crucial halal market has been the focus of several innovators. Malaysia’s Duopharma increased the range of halal nutraceuticals it offers in 2021; these products have sold well throughout the pandemic. The company emphasized skin-related features in the rebranding of their vitamin C tablets, Flavettes. In the upcoming years, the company intends to expand its export markets to include the Philippines and Indonesia, with Thailand and Vietnam being identified as prospective markets.
The UAE-based company Blue Angel Farm announced in 2020 the release of Essentials, a halal multivitamin and mineral that has been approved by the Emirates Authority for Standardization and Metrology (ESMA) and was designed to address the unmet vitamin and mineral needs of Muslim women. For instance, data from the Henry Ford Health System suggests that Muslim women in Michigan, USA, may have lower-than-average vitamin D levels if their garb blocks off sunlight.
Additionally, Singapore saw the launch of Swisse Ultivite E-Senital multivitamins, certified halal, in 2021 by Australia-based Swisse. With this new offering, the company hopes to reach a wider audience in regions where the majority of consumers are Muslims and broaden its line of halal-certified products. The company claimed that the item was “packed with essential vitamins, minerals, antioxidants and herbs (and) supports energy level and mental performance and a healthy immune system.” The H&H Group subsidiary based in Hong Kong is optimistic that the worldwide halal nutraceutical sector will maintain its current level of strength.