This view was shared at a seminar on “market trends and opportunities for exporting Vietnamese agricultural products and processed foods to Halal markets,” co-organised by the Ministry of Industry and Trade and the Ho Chi Minh City Investment and Trade Promotion Centre (ITPC) in Ho Chi Minh City on September 5.

The Halal economy serves more than 2.2 billion Muslim consumers worldwide, with a market value exceeding US$2 trillion. Beyond Muslim-majority nations, demand for Halal-certified products is rising in countries such as France, Germany, the UK, and the US.

According to ITPC Deputy Director Ho Thi Quyen, this presents significant opportunities for Vietnam’s competitive products like farm produce, processed foods, cosmetics, and pharmaceuticals to build brands associated with Halal standards and expand international distribution channels.

Similar trends are evident in the Middle East and North Africa, where the Halal consumer market is valued at US$240–US$254 billion and projected to reach US$380 billion by 2030.

Agricultural and food products account for the largest share of imports, as many countries in the region lack sufficient domestic production. The Middle East also serves as a gateway for Vietnamese goods to access broader global markets.

Indonesia, home to the world’s largest Muslim population of nearly 245 million, represents another promising destination. With strong population growth, a fast-expanding middle class, and annual Halal consumption estimated at over US$330 billion, demand spans food, beverages, pharmaceuticals, cosmetics, fashion, and tourism.

However, Vietnam’s Halal exports to Indonesia remain modest at just US$54 million in 2024, less than 1% of Vietnam’s total exports to the country, concentrated mainly in confectionery and processed food produced by foreign-invested enterprises in Vietnam.

Despite strong demand, Vietnamese firms face significant barriers. According to Quyen, Vietnam still lacks internationally recognised Halal certification bodies, while domestic certification remains fragmented. This complicates export procedures, particularly for markets with strict quality control and logistics requirements.

Most Vietnamese food and agricultural processors are small and medium-sized enterprises with limited financial resources, weak management capacity, and a shortage of Halal expertise. In addition, businesses often lack strategic information about Halal markets.

Nguyen Thi Ngoc Hang, Marketing Director of Halal Certification Agency Vietnam, noted that Vietnam faces a shortage of professionals with in-depth knowledge of the entire Halal value chain, from production and packaging to logistics and distribution. Without addressing this gap, it will be difficult for Vietnam to integrate effectively into the global Halal supply chain.

Trade Counselor Pham The Cuong from the Vietnamese Trade Office in Indonesia added that certification procedures are time-consuming and costly, while Halal production standards are complex. Few Vietnamese companies have approached the Halal market in a systematic way, and brand visibility remains limited.

Experts agreed that Vietnam should adopt a national strategy to strengthen Halal competitiveness, enhance human resource training, and promote international cooperation.

Cuong suggested that domestic firms link up with established Halal companies abroad to learn best practices, join supply chains, and expand exports. Partnerships with local distributors in Muslim markets can also help Vietnamese products gain easier entry into both traditional and modern retail systems.

By developing clear strategies, improving product quality and safety, and pursuing recognised Halal certification, Vietnamese businesses could gradually build consumer trust and secure a stronger position in the rapidly growing Halal market.

Vietnam taps Halal market to boost agricultural exports

The signing of multiple trade cooperation agreements between Vietnam and Middle Eastern countries in late 2024 has opened new opportunities for Vietnamese goods to enter the Halal market, creating strong momentum and prospects for Vietnamese businesses, particularly those operating in agriculture.