By: MENAFN – Khaleej Times
(MENAFN – Khaleej Times) The global halal food and lifestyle sector is expected to grow by six per cent by 2020, according to findings from the State of the Global Islamic Economy Report 2015/2016.
The report is commissioned and supported by the Dubai Islamic Economy Development Centre in partnership with Thomson Reuters, and in collaboration with DinarStandard.
The global Muslim market spent 142 billion on travel in 2014, and is expected to reach 233 billion by 2020. The most popular destination countries for Muslim tourists are Malaysia, Turkey and the UAE, which is outpacing other countries in terms of hotel development.
To meet that growth, new channels are being created, such as HalalBooking.com, a travel search and booking website for Halal-conscious travellers.
The website expects their bookings for their Turkey-based hotels to reach 10 million per hotel by the end this year and in 2016. Although the halal travel sector is expected to grow by 8.6 per cent by 2020, some investors are still reluctant to invest in Muslim-friendly hotels, for fear of revenue loss associated with not serving alcohol. Banqueting, however, is considered a viable alternative revenue-generating option for dry hotels.
According to Riyanto Sofyan, CEO of Sofyan Hotels: “The halal tourism industry is not limited to Muslims, but rather extols Islamic values that are universal and inclusive, helping to broaden our market reach and attract a wider customer base, regardless of religion.”
The halal food sector is expected to grow by 5.8 per cent by 2020, with the demand for ethical treatment of animals alone resulting in a 100 billion organic food market. Although the principle of treating animals is embodied within halal food, educating Organisation of Islamic Cooperation (OIC) countries about the halal sector and its standards and accreditation continues to be a challenge.
In partnership with the Dubai Islamic Economy Development Centre and the Dubai Chamber, Thomson Reuters is organising the second edition of the Global Islamic Economy Summit (GIES). Taking place on October 5-6, the summit is expected to bring together over 2,000 business leaders to discuss issues and opportunities in the growing Islamic economy. The summit will tackle challenges in family tourism, halal food, pharmaceuticals and personal care, fashion, media and recreation, as well as other important aspects of the Islamic economy.
The Muslim media and recreation sector, another topic of discussion at the 2015 GIES, has also seen an increase in demand, with new emerging media channels tailored for Muslims. This sector, expected to grow by 5.5 per cent by 2020, is still facing a number of challenges because of public perception that Islamic content is restricted to the religious or educational. Contrary to the rest of the fashion industry, which is facing financial pressures as a result of global recession, the modest or Islamic fashion sector continues to expand. The Islamic fashion sector accounts today for about 11 per cent of the global fashion industry, and is expected to grow by six per cent by 2020.