Business Standard

Halal food production on rise in the Balkans

Image

AFP Sarajevo
Trying to fight back against the persistent economic crisis in the Balkans, food producers here have turned towards halal food, targeting rising demand from markets in Western and Muslim countries.

At a recent three-day halal food fair in the Bosnian capital, the first of its kind in the Balkans, some 30 producers from the region gathered to present their goods -- meat products, cheese, sweets, pastry, oils and even halal cosmetics.

"The halal market represents more than one billion people across the globe. It is a young market with an important purchasing power," said Amel Kovacevic, one of the organisers of a halal food fair in Sarajevo.
 

The demand for halal products is "growing between 10 and 20 per cent per year" globally, he estimated.

In addition to low labour costs, he said Balkans-based companies can try to take advantage of their geographical advantage: located in the Mediterranean basin, they are near both European and Middle Eastern markets.

The Brajlovic factory, near Sarajevo, is among some 150 food producers in the Balkans which have obtained halal certificates for a total of 2,000 food products.

"Halal should not been seen as something that will immediately accelerate production and make profit grow in a day," Asim Bajraktarevic, in charge of production in the processed meat factory, told AFP.

With its capacity to offer some 15 tonnes of products daily, the factory, which obtained a halal certificate three months ago, now aims to "improve product quality and create the conditions for growth once we enter foreign markets," he said.

Halal, an Arab word meaning "lawful", refers to all things and actions permitted by the Koran to practising Muslims.

With regard to food, it notably concerns ensuring that approved types of meat have been slaughtered according to ritual, as well as ensuring that processed foods as well as pharmaceuticals and cosmetics do not contain any non-halal products.

Amir Sakic, head of a halal certification agency in Sarajevo, said that the number of companies getting the licence for halal production in the Balkans is now growing by between 30 and 40 per cent per year.

The number of products they offer is also rising up to 40 percent per year, while annual sales are now estimated at around USD 708 million, Sakic said.

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: May 22 2013 | 2:45 PM IST

Explore News