Thursday , November 14 2024

Thailand challenges Malaysia for Asia’s halal crown

19-10-2024

BANGKOK: Wanitcha Amkham rotates her roti stall between the Thai capital’s food markets throughout the week, hawking pan-fried dough that has been perfected in recipes passed down generations.

Amkham is a Muslim and her roti, stuffed with fillings such as banana, cheese, chicken and onions, are all halal.

Over the years plying her trade on the streets of majority-Buddhist Bangkok, she has earned a loyal fan base among Muslim office workers, students and tourists but recently, Amkham has become concerned that other street vendors are abusing the halal label to lure unsuspecting customers.

“One time, my stall was located next to a fried squid stall,” the 39-year-old street vendor told media.

“I saw a halal sign at the stall but the seller bought food laced with pork and ate it, before returning to selling squid without proper cleaning. I asked him why he did this and he said the halal sign helped bring more customers. He also said it was too complicated to ask for a certified halal logo from authorities.”

Thailand is banking that its burgeoning halal industry will deliver a boost to its tourism-reliant economy, which has struggled to bounce back from the COVID-19 pandemic as quickly as many of its regional peers.

Bangkok’s ambitions, however, depend on the trust of Muslim countries and visitors, say analysts, which could be put at risk by fake halal products and gaps in certification in informal markets.

In July, the Thai government unveiled a halal industry action plan aimed at promoting Thai products and bolstering industry standards.

The centrepiece of the four-year plan, which is awaiting final approval, is the establishment of a “halal valley” for producing halal goods, which officials have suggested could be located in Thailand’s Muslim-majority southernmost provinces.

“Thailand’s strength lies in its food, beverage and agriculture sectors but Malaysia, which has long promoted itself as a halal hub, has gained more credibility and recognition in the Middle East market because it is a Muslim country,” Aat Pisanwanich, an expert on international economics and adviser to Intelligent Research Consultancy Co Ltd, told media.

“It would take a long time for Thailand to gain that kind of confidence and recognition for its halal hub drive.”

Thailand is currently home to some 15,000 companies, 166,000 products, and 3,500 restaurants that are halal-certified, according to government figures released in February.

After Malaysia and Indonesia, the country is the third-biggest exporter to Organization of Islamic Cooperation (OIC) countries in Southeast Asia.

During the first eight months of 2023, Thailand’s halal exports to the OIC market, including sugar, rice and frozen chicken, hit some $4.1bn, according to government data while an estimated 93 percent of Thais are Buddhist, the country’s efforts to cash in on a growing demand for halal goods follow in the footsteps of other countries with small Muslim populations.

Non-OIC countries, including Brazil, China, India, and the United States, are the biggest exporters of halal products to the market, accounting for more than 80 percent of imports, according to the 2022 Annual OIC Halal Economy Report.

The OIC report forecasts that the Muslim population will increase to three billion by 2060, or about 30 percent of the global population.

“Thailand is the centre of supplies,” Fuad Gunsun, vice president of the Thai Muslim Trade Association, told media. (Int’l Monitoring Desk)

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