The Halal Trade Expo Korea 2018 was held in August that year at Seoul's COEX Mall. (Yonhap News)

By Sarah Oqelee and Lee Jihae

Of the 57 member states of the Organisation of Islamic Cooperation (OIC), Korea exports the most to Indonesia, Malaysia and the United Arab Emirates (UAE).

The Institute for International Trade under the Korea International Trade Association on Dec. 17 released a report on the export markets for halal consumer goods and expanding such exports. 

Indonesia had the biggest population and market scale in the OIC, Malaysia the highest economic growth rate and the UAE the highest per capita income, the report said, urging Korea to pay closer attention to the rapidly rising demand for consumer goods in the three countries.

A survey on 321 companies exporting goods to the three nations found that those with halal certification had more success than those lacking the qualification. From 2015 to last year,
58% of halal-certified companies reported export growth, while just 37.4% of noncertified ones did the same.

Based on a study of consumer preference for Korean goods in the three countries, market prospects for processed foods looked best in Indonesia (8.3 points), while those for cosmetic goods were highest in Malaysia (19.4) and those for medicine in the UAE (13.1).

Muslims comprise about 87% of the Indonesian population. Thus the number of people, urbanization and rising popularity of Korean cuisine there have fueled high preference for halal food, and higher living standards have raised awareness of health.

In Malaysia, COVID-19 has fueled the rise of noncontact marketing and online sales. The growth of consumer knowledge of skincare there has also boosted interest in anti-aging products.

Over 80% of all medicines in the UAE are prescription drugs, thus the rise in the number of patients with chronic diseases such as diabetes and cardiovascular disease means the country's market for such drugs is expanding.

The value of the global halal industry is expected to grow from USD 2.2 trillion in 2018 to USD 3.2 trillion in 2024 with average annual growth of 6.2%.

sarahoqelee@korea.kr