The Kingdom secures third place among top participants at the world’s largest halal trade fair, marking its growing influence in the $5 trillion halal industry.

Saudi Arabia made a significant impact at the Malaysia International Halal Showcase (MIHAS) 2024, held in Kuala Lumpur from September 17 to 20, claiming third place among the top five participating countries. As the largest halal trade fair in the world, MIHAS 2024 attracted participants from 66 nations, showcasing Saudi Arabia’s commitment to expanding its role in the global halal market.

The Kingdom demonstrated its growing influence by hosting 38 booths, where Saudi companies highlighted their halal products and services. This year’s event was especially noteworthy as MIHAS achieved a Guinness World Record for the largest attendance at a halal trade show, with 38,566 visitors at MIHAS 2023. Saudi Arabia’s strong presence, along with countries like China, Indonesia, and South Korea, underscored the event’s international appeal and the increasing importance of halal trade.

The trade show was organized by the Malaysia External Trade Development Corporation (MATRADE) and hosted by Malaysia’s Ministry of Investment, Trade, and Industry. MATRADE Chairman Reezal Merican Naina Merican expressed optimism about the future of trade relations between Saudi Arabia and Malaysia, particularly in the halal sector, which remains central to MIHAS’s goals.

Saudi Arabia’s presence at MIHAS 2024 aligns with its broader efforts to bolster the halal industry as part of its Vision 2030 initiative. The Kingdom aims to diversify its economy by expanding industries like food processing, pharmaceuticals, and cosmetics. During the event, Ghaydaa Medical, a Saudi-based healthcare supplier, emphasized the importance of halal certification for maintaining product quality and meeting the growing demand for halal products in the Gulf region.

The Malaysian halal market continues to thrive, with the country’s halal export value reaching nearly 55 billion Malaysian ringgits ($13 billion) in 2023. Malaysia’s Minister of Investment, Trade, and Industry, Utama Zafrul Abdul Aziz, stated that the food and beverage sector accounted for the largest share, followed by halal ingredients, cosmetics, and pharmaceuticals. The event also served as a launchpad for MIHAS’s international expansion, with plans to hold the first MIHAS@Dubai, aiming to reach a new audience in the Middle East and North Africa.

Analysis:

Political
Saudi Arabia’s participation in MIHAS 2024 reflects its strategic efforts to position itself as a key player in the global halal industry. This initiative aligns with its Vision 2030 goals to diversify the economy, reduce reliance on oil, and promote sectors like food processing, pharmaceuticals, and healthcare. By participating in international events like MIHAS, Saudi Arabia strengthens its diplomatic and trade ties with key markets in Southeast Asia and beyond. The Kingdom’s collaboration with Malaysia in the halal industry is particularly significant, given Malaysia’s leadership in halal certification and trade. These partnerships further Saudi Arabia’s political and economic reach, promoting cultural diplomacy and fostering trade relations with other halal-focused economies.

Social
Saudi Arabia’s active participation in the global halal market is a reflection of its commitment to promoting Islamic values through trade and commerce. The Kingdom’s involvement in events like MIHAS underscores the growing global awareness of halal standards, which extend beyond religious practices to include ethical considerations such as sustainability, fair trade, and health consciousness. The expansion of the halal industry offers Saudi businesses the opportunity to introduce products that align with these values, enhancing their appeal to both Muslim and non-Muslim consumers. This shift in consumer consciousness is fostering a more inclusive and ethical market, where halal certification is viewed as a mark of quality and integrity.

Racial
The expansion of the halal market offers a platform for greater cross-cultural exchanges between Saudi Arabia and other regions. MIHAS 2024, with its participation from 66 countries, highlighted the diversity of the global halal economy, bringing together businesses and consumers from a wide array of racial and ethnic backgrounds. Saudi Arabia’s presence in this multicultural environment reflects its efforts to engage with different markets while promoting the values associated with halal. As the global halal industry grows, it also promotes inclusivity by appealing to a wide range of consumers, regardless of race or ethnicity, who seek high-quality, ethical products.

Gender
The growth of the halal industry presents new opportunities for women in Saudi Arabia, especially in the fields of entrepreneurship, food production, and retail. As Vision 2030 encourages greater female participation in the workforce, the halal sector offers a space where women can play a crucial role in business development and innovation. Events like MIHAS provide a platform for Saudi women entrepreneurs to showcase their products and connect with international buyers. The rising demand for halal cosmetics, pharmaceuticals, and healthcare products also creates a market niche where women-led businesses can thrive, contributing to both gender equality and economic growth in Saudi Arabia.

Economic
Saudi Arabia’s participation in MIHAS 2024 is a testament to its growing economic ambitions within the global halal market, which is projected to reach $5 trillion by 2030. The Kingdom’s focus on halal products—ranging from food and beverages to pharmaceuticals and cosmetics—aligns with its Vision 2030 goal of diversifying its economy. The Saudi government has been actively investing in industries that cater to the halal market, creating jobs and fostering innovation. With 38 booths at MIHAS, Saudi companies showcased their commitment to meeting the growing global demand for halal-certified products. Ghaydaa Medical’s focus on halal healthcare supplies, for example, highlights the potential for Saudi companies to expand their reach in niche markets across the Gulf and beyond.

Saudi investments in Malaysia have also grown significantly, with approved projects totalling $1.65 billion as of June 2024, creating thousands of jobs in sectors like pharmaceuticals, electronics, and food processing. The trade partnership between Saudi Arabia and Malaysia remains strong, with bilateral trade reaching $11.06 billion in 2023. These trade dynamics underscore the mutual benefits of the halal market, where both countries can leverage their strengths to foster economic growth. Saudi Arabia’s expanding presence in the halal industry offers new opportunities for businesses to tap into a global market that is increasingly driven by ethical consumption and the demand for high-quality, halal-certified products