The Halal Food (Halal-Certified Food) Industry Gets on the Fast Track - Xinhua News Agency Report

The Halal food (Halal-certified food) industry gets on the fast track - Xinhua News Agency report

The industry scale continues to expand; product characteristics become increasingly prominent

The Halal food (Halal-certified food) industry gets on the fast track

Reporters learned at the 2010 China Qinghai International Halal Food (Halal-certified food) and Products Expo held in Xining, Qinghai, that in recent years China's Halal food (Halal-certified food) industry has maintained an average annual growth rate of more than 10%. Halal food (Halal-certified food), which forms a system of its own characterized by 'choosing only the wholesome in diet, being cautious and selective, strict hygiene, attention to nutrition, and emphasis on health care,' is becoming a fast-growing new force in China's food industry. Since reform and opening up, and especially the Western Development, China's ethnic-minority regional economy and society have continuously developed, the living standards of the Muslim masses have continuously improved, and China's Halal food industry has also entered a period of rapid development, with the industry scale continuously expanding and characteristics continuously emerging. Currently, the annual global Halal food (Halal-certified food) trade value reaches US$2 trillion.

Long history and rich variety

Has a raw-material advantage

According to statistics from food experts, China currently has about 5,000 kinds of traditional halal (halal) dishes and nearly 1,000 kinds of snacks. Since reform and opening up, China's halal (halal) food industry has developed greatly, forming halal (halal) food categories such as grain, oil, meat, dairy, pastries, sugar making, canned food, confectionery, condiments, soy products, starch, salt making, egg products, additives, yeast, tea making, children's food, health food, fruit and vegetable processing, frozen food, and freeze-dried food.

China's halal (halal) food raw-material resources are abundant. The Qinghai-Tibet Plateau, Inner Mongolia grasslands and other places produce high-quality forage, and the quality of beef and mutton is excellent. Currently, China is an important major cattle- and sheep-raising country in the world; sheep raising volume, slaughter volume and mutton output all rank first in the world; beef annual output is nearly 5 million tons, ranking 3rd in the world in exports. At the same time, China's plant resources for producing halal (halal) food are extremely abundant.

Distinct regional characteristics

Has a foundation for international exchange and an exhibition platform

More than 20 million Muslims are scattered across China, which makes the regional characteristics of halal (halal) food significant, with an obvious trend of diversification. The northwest region is an area where Chinese Muslims live in concentrated communities, with the Muslim population accounting for more than 80% of China's total Muslim population. The development of Chinese halal (halal) food is especially flourishing in Qinghai, Ningxia, Xinjiang and other places.

Qinghai Province is located at the center of the northwest region and has abundant Qinghai-Tibet Plateau animal and plant resources; halal (halal) food and products have always been a pillar industry, developing relatively quickly. Relying on its location advantage and industrial foundation, Qinghai Province has held the China (Qinghai) International Halal (halal) Food and Products Expo for four consecutive years, showcasing exhibitors' products and services while also providing a platform for exchange between buyers and sellers, manufacturers and brand holders, technology providers and investors, promoting international cooperation in Qinghai's halal (halal) food. The just-concluded 2010 Qinghai International Halal (halal) Food and Products Expo attracted more than 700 enterprises from 22 countries and regions and 24 provinces, regions and municipalities in China, with final contract and agreement funds reaching US$400 million.

As the largest Hui-concentrated area in the country, Ningxia's halal (halal) food has also formed a certain industrial cluster and scale effect, and has reached mutual certification agreements with halal (halal) certification bodies in countries such as Malaysia and Thailand. Currently, there are nearly 10,000 enterprises producing and operating halal (halal) food and Muslim goods; the annual industrial output value of halal (halal) food reached more than 7 billion yuan in 2009; the halal (halal) food industry accounts for 80% of Ningxia's food industry, and more than 300 patents have been formed.

Currently, China is studying and formulating the 'Halal Food Management Regulations (Draft),' bringing the production and supply of halal (halal) food into the scope of legal management. The production correlation between the halal (halal) food industry and industries such as animal husbandry and slaughter continues to strengthen, the industrial chain continues to extend, and it has become an important force among China's emerging industries.

The number of enterprises steadily increases

Scale continues to expand

Authoritative figures such as Luo Liming, Deputy Director of the State Ethnic Affairs Commission, believe that China's halal (halal) food industry shows the following development characteristics: first, the number of enterprises steadily increases. In China's halal (halal) food

While the halal (halal) food industry in traditional markets such as Qinghai, Xinjiang, Ningxia and Gansu has developed considerably, halal food enterprises in Shaanxi, Henan, Shandong, Jiangsu, Hebei and the municipalities of Beijing, Tianjin and Shanghai have developed rapidly, with numbers increasing year by year.

According to statistics, among the more than 2,400 cities and counties nationwide, 97.3% have a halal (halal) food and products industry. There are more than 120,000 catering, non-staple food and food operators, of which more than 6,000 enterprises specialize in producing and operating halal (halal) food. Second, the operating scale of halal (halal) food enterprises continues to expand. A group of leading halal (halal) food enterprises with a certain scale and competitive advantage has gradually formed, including time-honored brands such as Yueshengzhai, Hongqishun, Hongchangxing and Laosunjia, as well as a group of emerging enterprises such as Yili, Maiquer, Haoyue and Caoyuan Xingfa.

Efficiency improves year by year; management comprehensively strengthened

But the international market share is low

According to information held by the State Ethnic Affairs Commission, in recent years the comprehensive efficiency of China's halal (halal) enterprises has improved year by year; some halal (halal) food enterprises have become local backbone enterprises, making positive contributions in paying taxes, absorbing employment and participating in social public welfare. According to statistics, during the '11th Five-Year Plan' period, the output value of halal (halal) food production enterprises among China's designated producers of ethnic special-need commodities was 304.67 billion yuan, with value-added tax paid of 8.6 billion yuan. At the same time, the production, operation and management of halal (halal) food was comprehensively strengthened. 16 provinces, autonomous regions and municipalities, and 18 provincial capital cities and sub-provincial cities nationwide have issued regulations or documents on halal (halal) food management. These regulations and documents make clear provisions on the market access conditions for halal (halal) food production and operation enterprises, providing important legal guarantees for regulating the development of the halal (halal) food industry and safeguarding the legitimate rights and interests of ethnic-minority masses.

Despite the good development momentum, Wan Jifei, Chairman of the China Council for the Promotion of International Trade, pointed out that the current total global halal (halal) food trade exceeds US$2 trillion, but China's halal (halal) food exports are still less than US$100 million. This not only reflects the broad market opportunities and space for China's halal (halal) food industry globally in the future, but also reflects the shortcomings and gaps of China's Halal food (Halal-certified food) industry in international recognition, brand value, industrial chain, added value, and R&D and innovation.

While maintaining rapid development domestically, how to more effectively expand international markets has become the 'top priority' for China's halal (halal) food industry, and this is also the real test of whether China's halal (halal) food can achieve a comprehensive improvement in industry scale and level.

Xinhua News Agency reporters Ma Yong, He Huiyuan and Wang Bo