The German Halal and Kosher Food Market

The German market

Germany has more than 83 million of the world's wealthiest consumers and is the EU's largest food and beverage market. In 2021, Germany's nominal GDP reached USD 4.21 trillion, making it the world's fourth-largest economy. Germany is a major producer of food and agricultural products and a major player in the global market. It is also the third-largest importer of agricultural products after the US and China. In 2021, food imports reached USD 108.5 billion, up 7.7% from 2020. Although 79% of imports come from other EU member states, the US is the largest supplier outside the EU. In 2021, total US agricultural-product imports were USD 2.1 billion. For the macroeconomic situation and key data of the German economy, please refer to the 2021 Exporter Guide.

Germany remains a price-centric market, but the share of consumers willing to pay for quality is increasing. More and more consumers treat their purchasing decisions as a lifestyle statement (non-GMO, free-range eggs, Vegetarian or Vegan), and they want traceability and information about production methods. Ethnic foods, beauty foods and superfoods, clean-label foods, "free-from" products (such as gluten-free or lactose-free), and locally grown produce are further trends attracting more and more German consumers. In Germany, Halal food and Kosher food are not a rising trend, but have established a foundation in the country's main communities. New trends are emerging in the food industry; they are no longer just exciting new flavors, but values and personal lifestyles that, more than ever, influence German consumers' eating behavior and purchasing patterns. Consumers are learning more about food production and paying more attention to sustainability issues, such as the origin and quality of food. Please see our report on German consumer trends for more information.

Halal food in Germany

Millions of Muslims live in Germany, and the Halal food market may be a multi-billion-dollar industry. Germany's Muslim population is not precisely known, but according to a representative survey, about 5.5 million immigrants and their descendants currently live in Germany. Islam is the country's second-largest religion after Christianity. Most Muslims in Germany have roots in Turkey, followed by Arab countries, the former Yugoslavia, Afghanistan, and Iran. Most Muslims live in the former West Germany, including West Berlin.

Although Muslims are an important target consumer group in other European countries such as France and the UK, Germany's Halal food market still has some backlog. There are only a few Halal-certified products on the shelves of Germany's major food retailers. To them, Halal is considered niche, and companies claim they are still "monitoring" the market. Therefore, small Turkish supermarkets in urban areas, such as "Eurogida" or "Oz-Gida" in Berlin, are the main sellers of Halal products. Unfortunately, there is no reliable data on Germany's Halal market. It is estimated that the market potential of Halal food in Germany could easily exceed USD 5 billion.

Germany has no unified Halal product certificate. In fact, the word "Halal" is not protected by food law in the EU or Germany. To date, there is no unified standard for the "Halal" products checked during the certification process. Therefore, there are many "Halal" labels on the market that differ from traditional or manufacturer-oriented certification bodies. This reduces transparency and weakens consumer trust in such labels.

Kosher food in Germany

Kosher products also have no unified certification standard. Therefore, there are also many different certificates. Most of them come from international Kosher certification bodies in the US or Europe. Besides a few internationally recognized Kosher seals (cRc, KLBD, Star-K, OK, OU, KOF-K), many national or local Kosher certification body seals are also common in Germany.

Contrary to the US, grocery stores in Germany do not have dedicated Kosher food sections. Some consumers have begun to regard Kosher cooking as part of a healthy diet, and as a result, Kosher food is becoming more popular. In addition, the Kosher community has grown over the past few decades, especially in large urban centers such as Berlin, Munich, and Frankfurt. In these cities, you can find some Kosher food suppliers, including fresh and packaged food.

Since German reunification in 1990, the Jewish population has been growing. The growth has been mainly driven by immigrants from the former Soviet Union. At the turn of the 21st century, Germany was the only country in Europe with a growing Jewish community. It is estimated that Germany has more than 200,000 Jews; about 100,000 are officially registered in Jewish communities. The center of Jewish life in Germany is Berlin. The Jewish community in the German capital is estimated at 120,000 people, accounting for 60% of Germany's total Jewish population.

Exporting Halal and Kosher food to Germany. The German market offers opportunities for US Kosher and Halal product exporters. Since there is no unified certification standard for Halal food and Kosher food, there is no proven method of certification and labeling. It is best to work with importers, choose a preferred certification body, or cooperate with a leading international one. In general, companies intending to develop a market for their products in Germany must be prepared to do the following:

• Provide products that comply with German/EU food law, packaging, and labeling requirements

• Pay special attention to animal-product health certificates, many of which are now filed using a new electronic system

• Invest time and money in developing the market, paying special attention to identifying the right marketing channels for your products

• Participate in food, beverage, and industry trade shows

• Explore marketing approaches based on strong social themes

• Highlight the sustainability attributes of specific products or industries