A step toward understanding halal in Phl

Eid’l Fitr marked the end of Ramadan, offering a moment of reflection for all Filipinos, Muslim or not. With renewed spirits and gratitude, now is the ideal time to explore the world of halal, both as a religious practice and as a system of ethical and quality standards benefiting everyone.

Halal? It is Arabic meaning “permissible” — in Islam referring to actions, foods, and products that comply with Islamic law (ethical, hygienic, lawful standards). It is usually associated with food but includes various industries (cosmetics, finance, tourism, etc.). Principles of cleanliness and ethical sourcing, though rooted in Islamic teachings, align with global consumer trends toward organic and cruelty-free products.

Halal, a sunrise industry in the Philippines, extends beyond food. A Business Wire report projected the global halal market to grow from $2.67 trillion in 2024 to $5.96 trillion by 2033.

Locally, the Department of Trade and Industry (DTI) targets to generate P230 billion in halal trade by 2028. As a key player in the global halal market, doors for growth, cultural understanding, and stronger global ties will surely open.

The DTI and the National Commission on Muslim Filipinos (NCMF) are actively promoting halal as an inclusive economic sector. The Philippine Halal Export Development and Promotion Act of 2016 (RA 10817) provides a legal framework to standardize and promote halal industries, enhancing credibility for all.

In 2024, the DTI put up “Halal-friendly Philippines” to promote the country as a premier halal-friendly hub in the Asia Pacific, a customer-centric, collaborative, comprehensive and competitive halal gateway and destination. DTI’s plan includes attracting halal investments, generating halal jobs, and growing halal businesses covering the entire country.

Another area of growth is the finance industry. Essentially, we can attract capital from Muslim countries through Islamic finance. Domestically, the Al-Amanah Islamic Bank (a subsidiary of the Development Bank of the Philippines) can be supported through greater capital infusion that would encourage the bank to expand and bring in current-world banking products and services.

Likewise, the Bangko Sentral ng Pilipinas (BSP) can encourage established commercial banks to open an Islamic banking window alongside their conventional banking operations. In November 2024, Pru Life UK received the first Takaful license (Islamic insurance) from BSP. This will not only promote Halal financing but also foster good competition among banks, including the Al-Amanah Islamic Bank.

Tourism is another sector for growth as this promotes local employment. In 2023, we welcomed 500,000 Muslim tourists, an evident enthusiasm for the halal market. Developing this market can offset those that may have flatlined. With the BARMM gaining ground, the area can also be explored.

In my recent past as a public servant, I had the privilege of attending various DTI activities relative to the halal industry during the tenure of former undersecretary Abdulghani Macatoman. He led many initiatives like the development of the Philippine Accreditation Bureau’s Halal certification scheme and the capacity-building of MSMEs, both of which are being continued to date.

Various opportunities for the exploration of Halal practices through government-private partnerships and collaboration exist. One of these is Mindanao State University (MSU) system’s collaboration with partners like the Raheemah Economic and Development Center and Muslim countries like Malaysia. A new course, Halal 101, will be offered this coming academic year on its main campus.

Halal represents an ethical and economic system that would benefit the entire Philippine society. With greater awareness, policy support, and innovation, halal can drive economic growth, cultural understanding, and inclusivity for all Filipinos.

On a personal note, I am happy that appreciation and acceptance of our Muslim brethren’s practices, like halal principles, have improved greatly.