The Intersection of the Halal Industry in the Influence of Sharia Economic Lifestyle on the Global Economy

DOI

10.2991/978-94-6463-646-8_15How to use a DOI?

Keywords

Halal Industry; Sharia Economy; Global Economy; Sharia Economy Lifestyle; Sustainable Business Practices

Abstract

The study reveals the growth of the sharia-compliant halal industry, with global consumption of halal products by Muslim consumers reaching USD 2.29 trillion and projected to grow to USD 3 trillion by the end of 2023. This growth, at a CAGR of 6.11%, is taking place in both Muslim and non-Muslim majority countries such as Japan and Europe, where companies are starting to innovate and raise awareness of the benefits of halal products. The trend of halal consumption, especially in cosmetics, reflects the Muslim community’s awareness of sharia values and health, with global spending on halal cosmetics projected to reach USD 81 billion in 2021. Indonesia and Malaysia have emerged as key players in this market. The study also highlights the positive impact of the halal industry on the global economy, creating new opportunities for both Muslim and non-Muslim countries. Countries such as the United Arab Emirates and Malaysia are leveraging the halal industry to diversify their economies, while Brazil and Japan are benefiting from participating in the halal supply chain. Islamic finance contributes through ethical investment instruments, such as sukuk, to support the development of halal infrastructure. To achieve this goal, the study uses a qualitative approach with a focus on developing theories based on the data collected. The research design aims to understand the phenomenon through literature review and secondary data analysis. This approach highlights how Islamic economic principles, such as fairness and sustainability, influence the development of the halal industry. In addition, the study explores halal industry trends as well as changes in consumer behavior, shifts in government policies, and business innovations rooted in Islamic principles.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Download article (PDF)

TY  - CONF
AU  - Wiwit Musaada
AU  - M. Izdiyan Muttaqin
PY  - 2025
DA  - 2025/01/31
TI  - The Intersection of the Halal Industry in the Influence of Sharia Economic Lifestyle on the Global Economy
BT  - Proceedings of the International Conference on Strategic and Global Studies (ICSGS 2024)
PB  - Atlantis Press
SP  - 224
EP  - 239
SN  - 2667-128X
UR  - https://doi.org/10.2991/978-94-6463-646-8_15
DO  - 10.2991/978-94-6463-646-8_15
ID  - Musaada2025
ER  -