towards a halal economy

Towards aHalal Economy

the power of values in global markets

A Halal Agenda for the New Decade

Abdalhamid Evans, Director, World Halal Forum

World Halal Forum 2011 ~ A Halal Agenda for the New DecadeThursday, 7 April 2011

■ A journey, a direction, an intention, a strategy

■ Growth and evolution

■ Guided by belief and values

■ Values are actions. Actions are values

■ It is not a topic...it is what we are doing

■ There is no such thing as ‘business as usual’

2Towards a Halal Economy


we’re all in the Marketplace now

■ Live in a consumer reality

■ One big marketplace

■ Goods, services, money & messages

■ Corporations wield more power than governments

■ Marketplace is the arena of power

■ Our challenge is to make the marketplace Halal

3


Re-defining Shared ValuesHalal Values acquire Commercial Value within the Halal economy

Islamic values merging with eco-ethical moral values in todayʼs market arena

4

‣Lawful‣Safe‣Nutritious‣Healthy‣Humane‣Aware‣Equitable

‣Products‣Services‣Companies‣Management‣Leadership

‣Ethical‣Moral‣Spiritual

Halal

Thursday, 7 April 2011

Evolution of a Market ForceBeing defined as we speak

Where are we going to take it?5

‣Policy‣FTAʼs‣Finance‣Investment‣Media‣Social‣Global

‣All Foods‣Ingredients‣Non-food‣Pharma‣Logistics‣Accreditation

‣Meat‣Poultry‣Slaughter

Halal


6

Governments

Consumers

Industry

Compliance

Media

Finance

The Halal Market Components

World Halal Forum 2011 ~ A Halal Agenda for the New Decade

Halal Values

in Action


7

Governments

Policy issues

Muslim and non-Muslim

GeoPolitical and Social implications

Free Trade Agreements

Inward Investment

Export earnings

Employment

Engine for economic stimulus

Have to understand the issues


8

Compliance

Certification as ‘cottage industry’ is going to end

Clear Standards

3rd Party Audits

Transparent transactions

Overseen by Accreditation agencies

Port-to-port protocols

Halal as a ‘screen’ for index-linked investment funds


9

Industry

Halal goes Mainstream

Mainstream goes Halal

Boardroom decision issue

Risk assessment

BRC dynamics will emerge

SME’s have to raise their game

Market is global

Strategic alliances

Have to promote understanding


10

Finance

Halal and IF in silos

Convergence has started

SAMI Index

Halal becomes an Asset Class

Index-linked funds

Venture Capital

Micro-Finance

Food Security issues

Sovereign wealth funds


11

Media

Shaping Opinion

Reaching the Customer

Going Social

Pro-active engagement with culture

Values-driven content

Global Urban Muslim

Post-cultural Islam


12

Consumers

3rd Billion ~ China, India & Muslim Consumers

Unrecognised power

Generational shift taking place

Next chapter, new rules

Online communities

Unknown areas between Shariah and consumer preference

Uncharted market dynamics


slaughter farm-to-fork-to-finance

meat full range of foods

13Halal Sector Dynamics

ideology policy

certification accreditation

standards procedures

religious eco-ethical

legal consumer preference

outer structure inner identity

rules values

food only non-foods products


➡ New Accreditation agencies

➡ End to unregulated certification

➡ Clear verifiable standards

➡ Third-part independent audits

➡ Elimination of conflicts of interest

➡ Port-to-Port protocols and networks

➡ Supply chain track & trace

➡ Investment screening

➡ Halal becomes an asset class

➡ Islamic funds to Halal sector

➡ New investment opportunities

➡ M&A and conversion

➡ Index-linked funds

➡ Cross-pollination between Shariah scholars

➡ New regulatory infrastructures

AccreditationFood & Finance

14

Four Major Trends - Two Are Structural/Instutional


➡ Merging of values

➡ Global Urban Muslim

➡ New media platforms

➡ New media content

➡ Reflecting new values

➡ ‘Post-cultural’ Islam

➡ New ‘East-West’ relationships

➡ Recognition of this reality

➡ by policy makers

➡ by industry

➡ by consumers

➡ Numbers count, Size matters

➡ New Consumer networks

➡ Online is a must

Melting Pot of ValuesConsumer Power

15

Four Major Trends - Two Are Dynamic/Social


~ Defining The Next Decade ~


16


A Final Thought

“The best way to predict the future is to invent it”Alan Kay

Thank You!


towards a halal economy

Business