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Structural gaps holding back BD's halal industry: Experts

Participants at a discussion titled 'Development of Bangladesh Halal Industry: Challenges and Prospects', organised by the Dhaka Chamber of Commerce & Industry at its office in the capital on Saturday.
Participants at a discussion titled 'Development of Bangladesh Halal Industry: Challenges and Prospects', organised by the Dhaka Chamber of Commerce & Industry at its office in the capital on Saturday.

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Non-compliance with international halal standards, inadequate logistics, and a shortage of skilled manpower are among the key bottlenecks hindering the growth of Bangladesh's promising halal sector, industry experts and stakeholders said on Saturday.


Other major obstacles included tariff and certification challenges as well as a lack of modern laboratories, they said and advocated for a coordinated ecosystem to support the growth of the halal industry in the country.

These observations were made during a focus group discussion titled 'Development of Bangladesh Halal Industry: Challenges and Prospects', organised by the Dhaka Chamber of Commerce & Industry (DCCI) at its office in the capital.

The experts noted that despite the global halal market reaching an estimated value of US$ 3 trillion, Bangladesh's export earnings from this sector remain below US$ 1 billion.

In his welcome address, DCCI Senior Vice President Razeev H Chowdhury said Bangladesh has yet to fully capitalise on the halal industry's potential due to the absence of a unified halal ecosystem and the lack of an independent authority for issuing globally accredited halal certifications.

The rapidly growing global halal industry is currently valued at about US $ 3 trillion and is projected to reach US$ 9.45 trillion by 2034, he said, adding that Bangladesh's halal exports are limited to around US$ 850 million, mostly in agro-based products.

Chowdhury stressed the urgent need for an independent halal certification board and joint public-private collaboration to establish internationally accredited testing laboratories in the country.

In his keynote presentation, Dr. Mominul Islam, Assistant Professor at IUBAT, identified multiple structural and institutional shortcomings in the current system.


He pointed out that both the Islamic Foundation and the Bangladesh Standards and Testing Institution (BSTI) issue halal certifications, often leading to procedural complexities and inefficiencies.

Dr. Islam further identified other critical barriers such as lack of modern equipment in testing labs, weak international branding, limited participation of SMEs, absence of a unified national halal policy and inadequate supply chain infrastructure.

Md Abul Kalam Azad, Assistant Manager (Export) at Paragon Group, advocated for a digital certification and compliance auditing system to ensure halal product quality.

Sayadul Haq Bhuiyan, AGM and Head of Supply Chain at Bengal Meat, emphasised value addition and the use of blockchain technology to trace the life cycle of animals used in meat production.

He also underscored the need for certification authorities in Bangladesh to meet international accreditation standards.

Md. Abu Saleh Patwary, Deputy Director at the Islamic Foundation, noted that no single government body is fully capable of managing halal certification independently, which necessitates multi-agency coordination.

He emphasised the importance of stronger government oversight to ensure the quality of halal-certified products.

Baby Rani Karmakar, Director General-1 (Joint Secretary) at the Export Promotion Bureau (EPB), said that while the global halal market is growing at around 12 per cent annually, Bangladesh is lagging behind.

She called for coordinated efforts to increase the country's global market share.

Md. Ariful Hoque, Director General (Joint Secretary), International Investment Promotion at BIDA, said the halal sector could play a pivotal role in post-LDC export diversification.

He added that the government is actively considering the establishment of a dedicated halal industry economic zone.

During the open-floor discussion, M. Abu Hurairah, former Vice President of DCCI, highlighted the economic transformation in rural Bangladesh, with women increasingly involved in productive sectors.

He proposed offering small-scale financial incentives at low interest rates to encourage rural women's participation in animal husbandry, which could boost halal food exports.

Among others, DCCI Director Enamul Haque Patwary and former Senior Vice President Alhaj Abdus Salam also spoke.

DCCI Vice President Md. Salem Sulaiman, members of the board of directors, and key stakeholders from both public and private sectors were also present.

talhabinhabib@yahoo.com

 

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