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Studies have found that Muslim consumers have become more religious in their purchasing decision and are more Halal conscious.
Polarisation in Meaning and Understanding It is widely known that the way in which people respond to different situations is socioculturally and individually constructed, and there are different impressions of the Halal and Haram concept over time. What is acceptable for one ethnic or cultural group or a country may not be acceptable by another ethnic, group or country. Even within an individual country or society, different ethnics or groups may understand, perceive and respond to this concept differently, depending on regional situations, ethnic backgrounds, socio-economic conditions, and so on. Based on surveys conducted by the KasehDia Research and Consulting division (as summarised in the article “Awareness Level on Halal Food Products” on page 24), the awareness level on meat and meat-based products still remain the highest as this is the range of products with maximum exposures to Shariah principles (such as slaughtering of animals, production, processing, animal welfare, and so on). On the other hand, for other types of food products (including specialty processed food products), Halal awareness level is still low but is increasing. Hence, it is important to note that Muslim consumers are also global consumers. They have all the characteristics of being global consumers, and they also expect and demand for the The Halal Journal | Mar+Apr 2010 |
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Halal products they purchase to not only be safe for consumption and of high quality, but also to be produced and processed in a manner that is safe for the environment. In the world’s most discerning markets such as in Europe, Muslim consumers also expect issues such as animal welfare, biodiversity, being ecology friendly and having ethical producers who deal in fair trade and are socially responsible, to be taken into account and embodied within the whole production chain. When the polarisation issue and the existence of many Halal standards in the world are given priority, the current situation shows the need for similar or globally accepted standards, guidelines or manual for Halal production, processing, logistics and others. Studies have found that Muslim consumers have become more religious in their purchasing decision and are more Halal conscious. The second and third generations of Muslims in western countries have shown higher Halal awareness level than their elder generation. For them, the appearance of trusted Halal logo/ labels will satisfy their needs and provide them with an assurance of integrity and thus, peace of mind. Negative Labelling: Haram Label Halal labelling and certification is a form of positive labelling system to indicate and certify that certain products are compliant to Shariah
Awareness on Islamic Finance products/ services By Dayana Nordin
Islamic banking has attracted more attention in recent years and is one of the world’s fastest growing financial sectors. Unlike conventional banking, Islamic banking operates in accordance with Shariah. Major principles of Shariah are a ban on interest, a ban on contractual uncertainty, adherence to risk-sharing and profit-sharing, promotion of ethical investments that enhance society, and asset-backing. While these principles were used in earlier times of Prophet Muhammad (p.b.u.h) more than 1,400 years ago, it is only in the late 20th century that a number of Islamic banks were formed to apply them to commercial institutions within the Muslim community. Islamic banking has materialised to be a key segment in global finance and has attracted growing interests from many non-Islamic countries for its growth potential. It has also attracted more attention in the aftermath of the global financial crisis as investors are increasingly looking for alternative, ethical ways of investing. In addition to the large and untapped global Muslim population, Islamic banking is beginning to attract non-Muslim customers who are interested in this alternative way of banking and are troubled by the turmoil in the western banking system. International awareness on Islamic banking and finance is continuously increasing through the development and distribution of Islamic financial products as well as through cooperation and investment in exhibitions and conferences. Since the inception of Islamic banking more than three decades ago, the number and reach of Islamic financial institutions worldwide have risen from one institution in one country in 1975 to over 300 institutions operating in more than 75 countries. Although Islamic banks are concentrated in the Middle East and Southeast Asia, it is fast gaining acceptance in Europe and the United States as niche players. In Europe, UK has taken the lead since 2004 with the first Shariahcompliant retail bank, the Islamic Bank of Britain. In 2009, the French government announced its wish to change the regulation to allow Islamic banking, and Germany will open its first Islamic bank this year in Mannheim, a city with a large ethnic Turkish population. Currently, the total assets of Islamic banks worldwide are estimated at about USD500