Monday 19 September 2016

US halal sales projected to $20 billion this year



New York, (IINA) - From restaurants to supermarkets, halal sales in US are expected to reach $20 billion this year, up by one-third since 2010, according to the Islamic Food and Nutrition Council of America, which certifies halal food and promotes education on the topic.
In grocery and convenience stores and similar outlets, research firm Nielsen estimates that sales reached $1.9 billion in the 12 months through August, a 15 percent increase from 2012.
Whole Foods Market Inc., which has been among the pioneers, ranks halal among its fastest growing categories, with double-digit sales growth in each of the last five years. It's been running Ramadan promotions since 2011, The Australian Financial Review reported.
A look at the demographics makes halal seem less of a risk. There were 3.3 million US Muslims last year, but the number's projected to grow to 8.1 million by 2050 -- and about halfway through that time, Muslims will surpass Jews as the largest non-Christian religious group in the US, according to Pew Research Center.
Chief Executive Officer of American Halal Co., Adnan Durrani, estimates that as many as 80 percent of consumers who buy his Saffron Road brand aren't trying to follow Islamic law, they're just food-lovers who want better frozen meals. Saffron Road is a star performer at Whole Foods, and is also sold at branches of Kroger Co., Safeway Inc. and Giant Food Stores, among more than 12,000 locations.
The market still hasn't reached enough of a tipping point for some of the big names in packaged food to fully commit. Mondelez International Inc., the global snack giant, is a player in predominantly Muslim countries like Indonesia, where halal is the standard. So far it only sells a handful of halal products in the US Nestle, the world's largest food company, has 151 halal factories, from Malaysia to Pakistan, and distributes hundreds of certified products across the world. But in America, Nestle mainly sells the food through its healthcare unit, which supplies hospitals.
Something similar applies with retailers: Wal-Mart features halal products at about 400 of its 4,600 stores, and Kroger carries them only where there's local demand.
It's possible that halal could be "held back by the stigma" that some Americans attach to Islam, said Krishnendu Ray, associate professor of food studies at NYU Steinhardt. "Or, it could eventually be like kosher, which is identified as fresher, more virtuous food."
Durrani and Amanullah both recall being served kosher food when they were growing up: halal was hard to find, and for their families it was the next-best thing. Now, it's easily available to diners-out, as well as eaters-in. Some of the credit goes to Halal Guys, which started as a street cart serving meat dishes in New York City. They proved so popular that the company plans 300 sit-down restaurants across the US in the next several years.
The Halal Guys have tapped into something that transcends demographics: taste. On a recent Friday at lunch hour, about 20 people, a mix of office workers and tourists, waited to order at the original Halal Guys food truck in New York. They said they'd come for lamb and chicken over rice, not because of religious dietary restrictions.

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