PRESIDENT Ferdinand R. Marcos Jr.’s economic agenda to turn the Philippines into a higher middle-income country is now firmly in place.
And so comprehensive is the President’s economic program that it includes turning the nation into the most Halal-friendly hub in the Asia Pacific region through the Philippine Halal Industry Development Strategic Plan (PHIDSP) 2023-2028.
This early, the administration of President Marcos is bringing a legacy for the Philippine Halal Industry with the Department of Trade and Industry (DTI) reporting it generated PhP7,913,844,994 ($134,132,966) in trade and revenue sales for Halal goods both domestic and export markets as of December 2024.
“This success reflects the Philippines’ strategic vision under Bagong Pilipinas to establish a strong and sustainable Halal ecosystem that meets global demand,” said Department of Trade and Industry (DTI) Secretary Cristina A. Roque.
President Ferdinand R. Marcos Jr. during a bilateral meeting with Malaysian Prime Minister Anwar Ibrahim at Perdana Putra, July 26, 2023. During his state visit to Malaysia, President Marcos explored new avenues for cooperation, particularly in areas of the Halal Industry and Islamic banking. PHOTO FROM PCO
“It is also a testament to the collective efforts of our industries and the government to drive business growth, attract international investments, and create meaningful job opportunities for Filipinos and the global Halal community,” the DTI chief said.
Halal food (lawful in Islamic teachings), the healthy and hygienic food preferred by Muslims throughout the world is one of the world’s fastest growing industries with 1.9 billion Muslim market.
The market covers food, finance, travel, fashion, pharmaceuticals, cosmetics, logistics, marketing, packaging, branding, media, and recreation sectors, which the Investment Promotion Agency of Qatar estimates will reach a whopping US$7.7 trillion by 2025.
The Department of Trade and Industry (DTI) launched President Marcos’ Halal program in January 2024. The four-year comprehensive development program is in response to the escalating global demand for Halal products and services.
The industry’s far-reaching influence expands to non-Muslim populations who are consuming Halal products due to the hygienic way they are prepared and marketed.
The DTI aims to capture this niche market and bring in an addition of P230 billion in investments, that will create 120,000 jobs, and double domestic and international output over the next three years, or by 2028, during the four-year implementation of the PHIDSP.
President Bongbong Marcos’ Halal program not only aims to position the Philippines as a major player in the global Halal market but will help thousands of micro, small and medium-sized enterprises (MSMEs) become Halal-certified and boost their entry to the growing international sector and expand their domestic and international influence.
The Plan is an upgrade of the Philippine Halal Industry Strategic Framework 2018-2022 that was built on the approved Philippine Halal Export Development and Promotion Board (Halal Board) roadmap established in November 2017.
The DTI engaged as early as August 2023 various stakeholders in the halal sector, culminating in a series of consultative meetings, workshops, and conferences from November 23, 2023 to January 10, 2024.
The workshops and strategic planning included interviews and discussions with the goal of identifying challenges faced by the Halal sector and developing solutions that will remove the barriers to its growt.
The DTI-led Halal Task Force was created following the State Visit of President Marcos to Malaysia which yielded around $285 million in investment pledges in September 2023.
The Department of Trade and Industry (DTI), spearheaded by Undersecretary Ana Carolina P. Sanchez, together with His Excellency Malaysian Ambassador Dato’ Abdul Malik Melvin Castelino, Her Excellency Brunei Ambassador Megawati Manan, other dignitaries, members of Philippine Halal Export Board, and other Halal key stakeholders graced the ribbon-cutting ceremony and unveiling of DTI Philippine Halal Pavilion on May 10, 2024. PHOTO FROM DTI HALAL INDUSTRY DEVELOPMENT OFFICE
The PHIDSP 2023-2028 under the Halal Board Resolution No. 24-01 launched Halal-friendly Philippines as an umbrella brand, whole-of-government national campaign that promotes the Philippines as a premium halal-friendly hub in the Asia Pacific region – a customer-centric, collaborative and competitive halal gateway, and destination.
The DTI has created a Halal Task Force led by Program Manager Aleem Siddiqui M. Guiapal. The department likewise engages members of the Halal Board and other relevant government agencies, Halal certifying bodies (HCBs), academe, religious, business and other private sector representatives to fully implement the PHIDSP 2023-2028.
ROADSHOWS AND INVESTMENTS
Muslim Filipinos are estimated to be around 12 million, or 10 percent of the total population. This makes the Philippines with the third largest Muslim population in Southeast Asia next to Indonesia and Malaysia.
Hundreds of thousands of Muslims continue to relocate to other parts of the country including the capital Metro Manila. They are no longer concentrated in the Bangsamoro region, which underscores the importance of establishing a more comprehensive Halal infrastructure.
To raise export activities and cement the country’s position as a key player in the global Halal economy, the Marcos government launched outbound business matching missions, inbound business matching missions, and participated in trade exhibitions or roadshows abroad showcasing MSMEs involved in the development, manufacture and sale of Halal products. Following the launching of the PHIDSP 2023-2028 is the hosting of the 1st Philippine Halal Expo and the 7th Philippine National Halal Conference.
The strategy greatly benefits MSMEs by providing them with opportunities to reach new markets, meet potential buyers, generate sales and raise export incomes that allowed them to grow their businesses, spark investment interests, engage in and sustain networking with importers and distributors, and gain insights into local consumer behavior.
RAKING IN HALAL INVESTMENTS
At the DTI 2025 budget hearing of the House Committee on Appropriations, DTI Task Force Program Manager Guiapal said that the agency is working on PhP2.65 billion worth of investments that were committed from 2023 to 2024 to stimulate the local sector.
The proposed investments include a PhP2 Billion Halal-friendly hotel in Clark, Pampanga; a PhP350 million poultry facility in Tarlac; Agri-development projects in BARMM, Halal certification for MSMEs; and assistance for SMEs who are about to export and participate in upcoming trade missions. In addition is a PhP3 Billion (52M$) renewable energy to assist in building halal ecosystem.
Under the DTI’s halal blueprint, the country is targeting to double Philippine-made Halal certified products and services by 2028 to 6,000 from the current 3,000.
The industry’s growth is designed to attract investments from various domestic and foreign sectors that will bring in funds to businesses involved in the production, distribution, and marketing of Halal products.
DTI said a lot of investors from the 57 Islamic countries, which are believed to have a combined GDP of US$23.95 trillion, are actively looking for investment opportunities.
The Philippine government has issued a US$ l billion “Sukuk” (Sharia-compliant bonds) with a tenor of 5.5 years.
CHALLENGES
The government’s campaign to make the Philippines Halal-friendly, however, is not without its challenges.
The DTI-led team that established the PHIDSP identified bumps in the full realization of the Halal industry’s potential, which included restrictive regulations, a fragmented approach that caused market confusion and duplication of efforts, gaps in the value chain, and low awareness and visibility of Halal products that made their access difficult for consumers and the nation’s growing Muslim tourism industry.
The regulation issue has been pinpointed as a crucial factor in the success of government efforts to promote Halal products due to unresolved legal setbacks and a conflict between Halal accreditation bodies (HABs) and Halal certification bodies (HCBs).
Under the implementing rules and regulation of Republic Act No. 10817, or the ‘Philippine Halal Export Development and Promotion Act of 2016, no product promoted or branded as Halal can be exported unless they have been certified by accredited HCBs or recognized by foreign CBs.
To address this, the workshop attendees agreed to establish a customer-centric mechanism to recognize accredited HCBs and HCBs approved by the products’ market destination.
Likewise, a one brand-whole of government campaign, called “Halal-friendly Philippines,” was proposed to correct and unify strategies for Halal development, and to promote the country as a premium Halal-friendly destination in the Asia Pacific region.
The drive is also seen to address issues of supply and demand gap, and the low public awareness and visibility of Halal products. It is likewise expected to further boost production export, especially to Malaysia, United Arab Emirates, the Kingdom of Saudi Arabia, Singapore, Iran, Qatar and Kuwait.
The Philippine Halal Export Development and Promotion Board issued and published Board Resolution No. 24-02 Series of 2024 or Board Resolution for the Approval of the Guidelines for the Recognition of Halal Certification Bodies (HCBs) to support the progressive and developmental approach in the recognition of Philippine Halal Certification Bodies (HCBs) that were recognized by foreign countries.
The Board is also expected to address harmonization and mutual recognition of Halal Certification Bodies (HCBs).
GLOBAL HALAL INDUSTRY LEADER
During the 7th Philippine National Halal Conference at the World Trade Center from November 14 to 15, the DTI championed the Philippines’ growing reputation as a global Halal industry leader and held the 1st Philippine Halal Expo showcasing the best of the Philippines Halal products and services spearheaded by the Halal Development and Trade Office under the Investment Promotions Group.
With the theme, “Your Gateway to the Fast-Growing Halal in the Asia Pacific Region,” the event organized by the DTI-HDTO and the Halal Expo Philippines 2024, gathered key stakeholders in the Halal sector and fostered partnerships, addressed challenges, and promoted growth in the sector.
At the conference, the Department of Science and Technology (DOST) said it has set up four Halal Verification Laboratories (HVL) that offer testing services to ensure Halal compliance and product authenticity.
The laboratories have advanced technologies and can conduct analyses, such as nutritional analysis, chemical and microbiological testing, porcine DNA detection, and advanced nuclear-based techniques.
On the other hand, the Department of Agriculture (DA) outlined its projects to improve Halal certification for agricultural products. It also said it has developed a strategic plan for Halal industry development, with a special focus on food security, trade, and regional development.
It added it is refining efforts to improve Halal certification processes for agriculture and food products to ensure adherence to global standards.
The Department of Tourism (DOT) said it is developing Muslim-friendly hotels and restaurants and sponsoring specialized training to tourism professionals to sell the country as a premier tourist destination and lure in more Muslim tourists.
It said that by developing such infrastructures, the travel experience of Muslim visitors will be enhanced, leading to the growth of both the Halal and tourism sectors.
Senator Mark Villar reaffirmed his support for the development of the Philippine Halal industry during his keynote address at the Philippine National Halal Conference.
He cited the establishment of hundreds of Halal-certified accommodations and restaurants nationwide as milestones in meeting both local and international demand for Halal products and services.
Following the $285-Million commitment investment pledge of Malaysia to the Philippines. DTI Secretary Ma. Cristina Roque met with Amb Dato Malik Melvin Castelino to strengthen collaboration in Halal Industry Development. In the pic with DTI Halal Industry and Investment Promotions Program Manager Aleem Guiapal and Malaysian Trade Commissioner Intan Zalani. PHOTO FROM DTI HALAL INDUSTRY DEVELOPMENT OFFICE
SIGNIFICANT GROWTH
Villar also pointed out the significant growth in the country’s Halal exports, which have gained traction in key markets such as Malaysia, Saudi Arabia, and the UAE. He emphasized that these accomplishments reflect the potential of the Philippine Halal industry to compete globally.
“Investing in the Halal Industry is investing in a Philippine economy that is resilient, diverse, and sustainable,” said DBM Secretary Amenah F. Pangandaman.
“The Halal industry is not just a niche market. It is a strategic imperative for the Philippines to tap into the vast global Halal economy and achieve sustainable and inclusive growth,” the DTI chief said.
As of December 2024, the DTI generated PhP7,913,844,994 ($134,132,966) in trade revenue from its participation in international trade missions.
With programs like the Malaysia International Halal Showcase (MIHAS), generating an impressive $7.9 million in sales with 20 exhibitors, and the Saudi International Halal Expo, achieving an extraordinary $105.7 million in sales with 15 exhibitors, the Philippines is solidifying its position in the global halal market.
Local initiatives, such as the SALAAM Halal Travel and Trade Expo and the International Food Exhibition (IFEX) Philippines, have also driven substantial growth, with combined sales reaching millions while fostering MSME development.
Capacity-building efforts, including training for over 100 MSMEs and 12 Halal certification bodies, further underscore the government’s dedication to establishing a robust halal economic corridor.
With total generated sales exceeding $134 million, the country’s halal initiatives are creating opportunities for local entrepreneurs while strengthening its presence in the international market.
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