Seattle, April 17, 2020 (GLOBE NEWSWIRE) - Halal cosmetics are body and skin care products that do not contain materials prohibited by Halal. By the end of 2027, the Asia-Pacific Halal cosmetics market is estimated to be worth US$4.8 billion.

Asia-Pacific Halal cosmetics market: drivers

The large influx of the Muslim population in the Asia-Pacific region is expected to drive the growth of the Asia-Pacific Halal cosmetics market during the forecast period. For example, according to the Pew Research Center, the number of Muslims in the Asia-Pacific region will increase from about 1 billion in 2010 to about 1.3 billion in 2030.

The presence of Halal-certified manufacturers is also expected to increase market growth. For example, Malaysia's Indochine Natural Sdn Bhd offers Halal-certified all-natural skin and hair care products.

Asia-Pacific Halal cosmetics market: opportunities

The expected increase in non-Muslim consumers' preference for high-quality and ethical products will provide lucrative growth opportunities for players in the Asia-Pacific Halal cosmetics market.

In addition, there is growing concern about the use of animal-derived ingredients (such as collagen and gelatin) in cosmetic products, which will contribute to market growth.

Asia-Pacific Halal cosmetics market: restraints

The lack of a standard regulatory scenario across various economies in the Asia-Pacific region is expected to restrain market growth. In addition, the presence of counterfeit products claiming to have Halal certification is also expected to hinder market growth.

Key takeaways:

By type, color cosmetics dominated the Asia-Pacific Halal cosmetics market in 2019, accounting for about 37.9% of the market share by revenue, followed by skin care, hair care and fragrances. The growth of the color cosmetics segment is attributed to the growth of disposable income. According to Coherent Market Insights' analysis, the global color cosmetics market was valued at US$62.36 billion and is expected to reach US$90.16 billion by 2025, with a CAGR of 4.22% during the forecast period (2017 to 2025).

By sub-region, Southeast Asia dominated the Asia-Pacific Halal cosmetics market in 2019, accounting for about 61.8% of the market share by revenue, followed by South Asia, East Asia and Oceania. The growing demand for Halal cosmetics in Southeast Asia is due to increasing awareness of using high-quality products and increasing government regulations on developing new Halal cosmetics.

Market trends/highlights

Major players in the market are focusing on adopting online distribution channels to increase their market share. This is attributed to the popularity of smartphones and the rapid growth of the e-commerce sector. For example, according to the India Brand Equity Foundation, India's e-commerce industry is expected to grow from US$38.5 billion in 2017 to US$200 billion by 2026.

Demand for Halal products in India is spiraling upward. This is due to the country's large Muslim population. For example, according to the Pew Research Center, India's Muslim population is expected to reach 311 million by 2050.

Regulations

In October 2019, Indonesia's Halal Product Law (the 'Halal Law') came into effect.

Under the law, consumer goods and related services in the country must now obtain Halal certification.

The law regulates the processing, materials and certification of Halal products.

The law authorizes the establishment of the Halal Product Certification Agency (BPJPH), a subordinate body of a government department, which will issue Halal certificates through a one-stop system.

According to BPJPH regulations, the mandatory Halal Food Labeling Law will first apply to food and beverages, followed by cosmetics, pharmaceuticals and other consumer goods, as well as services related to these goods, until 2022.

Asia-Pacific Halal cosmetics market: competitive landscape

Major players operating in the Asia-Pacific Halal cosmetics market include INIKA, Martha Tilaar Group, Wipro Unza, Clara International, Ivy Beauty Corporation Sdn Bhd, Paragon Technology & Innovation, and Brataco Group of Companies.

Asia-Pacific Halal cosmetics market: key developments

Major players in the market are focusing on adopting partnership strategies to expand their product portfolios. For example, in April 2020, Halal skin care product manufacturer SAFI partnered with Malaysian bubble tea chain Tealive, which will see the launch of four facial cleansers.

Taxonomy (scope, segmentation)

By type

- Skin Care

- Color Cosmetics

- Lip Care

- Eye Care

- Nail Care

- Face Care

- Hair Care

- Fragrances

By region

Southeast Asia

East Asia

South Asia

Oceania

FAQ

What is the size forecast for the Asia-Pacific Halal cosmetics market?
According to the report, by the end of 2027 the Asia-Pacific Halal cosmetics market is estimated to be worth US$4.8 billion. The growth drivers are mainly the large influx of the Muslim population—according to the Pew Research Center, the number of Muslims in the Asia-Pacific region will increase from about 1 billion in 2010 to about 1.3 billion in 2030—as well as the presence of Halal-certified manufacturers and increasing preference among non-Muslim consumers for high-quality, ethical products.
How is the Asia-Pacific Halal cosmetics market segmented by type and region?
By type, color cosmetics dominated in 2019 (about 37.9% market share), followed by skin care, hair care and fragrances; by sub-region, Southeast Asia dominated (about 61.8% market share), followed by South Asia, East Asia and Oceania. Major players include the Martha Tilaar Group, Wipro Unza, Ivy Beauty, and Paragon Technology & Innovation.
What are the main restraints facing the Asia-Pacific Halal cosmetics market?
The main restraints are the lack of a standard regulatory scenario across Asia-Pacific economies (lack of a unified standard) and the presence of counterfeit products claiming to have Halal certification, both of which may hinder market growth.