Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

Halal Nutraceuticals_2014

1,541 views

Published on

This presentation was given by Shahlan Hairalah, CEO of Sahl International Pte Ltd, at the Vita Foods Conference in Hong Kong, 2-3 September 2014

Published in: Food

Halal Nutraceuticals_2014

  1. 1. Halal Nautraceuticals - Lessons from the Food Industry
  2. 2. Overview •2 Take-aways –The Demand –The Minefields •Consumers •Regulatory/Certification
  3. 3. The Market •Drivers to nutraceuticals industry –Changes in lifestyles –Mal-nutrition –Meeting basic nutrition needs –Diseases –Increased health awareness –A case in point: Obesity
  4. 4. The Market •Worldwide obesity has nearly doubled since 1980 •In 2008, more than 1.4 billion adults, 20 and older, were overweight. Of these over 200 million men and nearly 300 million women were obese •35% of adults aged 20 and over were overweight in 2008, and 11% were obese •65% of the world's population live in countries where overweight and obesity kills more people than underweight •More than 40 million children under the age of 5 were overweight or obese in 2012. •Obesity is preventable Source: WHO Factsheet No. 311
  5. 5. The Market •Due to –an increased intake of energy-dense foods that are high in fat; and –an increase in physical inactivity due to the increasingly sedentary nature of many forms of work, changing modes of transportation, and increasing urbanization Source: WHO Factsheet No. 311 Change of Lifestyle
  6. 6. The Market •Growing obesity rates •The problem was most acute in the Middle East and North Africa, •Bahrain, Saudi Arabia, Oman and Kuwait saw big increases Source: Reuters US - 28 May 2014; The Lancet
  7. 7. The Market Source: The Straits Times; June 2014 ARABIAN BUSINESS.COM GCC states named among world's most obese By Daniel Shane Tuesday, 9 July 2013 12:05 PM Populations in the Gulf have been rated as among the world’s fattest, according to a new United Nations report, with almost half of adults in Kuwait classed as obese. The State of Food and Agriculture study said that rising obesity rates could cost the global economy $47trn over the next two decades, due to loss of labour productivity and fees associated with treating lifestyle diseases such as diabetes and heart disease. Kuwait led the way in highest proportion of obese adults in the GCC, with 42.8 percent falling into this bracket in 2008, followed by Saudi Arabia at 35.2 percent. In the UAE, 33.7 percent of the population were identified as having a serious weight problem, while in Qatar it was 33.1 percent and Bahrain 32.6 percent. In terms of the Gulf, obesity was least prevalent in Oman, although at more than a fifth (22.1 percent), it was broadly in line with developed European countries. The report said that the prevalence of overweight and obese adults was rising in nearly all regions, with the global average increasing from 24 percent in 1980 to 34 percent to 2008. The countries with the world’s most endemic obesity problem were found in Oceania, with almost two-thirds (64.1 percent) of Cook Islanders falling into this category. “Overweight and obesity... impose economic costs on society directly through increased health care spending and indirectly through reduced economic productivity. Most of the losses occur in high income countries,” the report read. The UN study blamed rising obesity rates on factors including lower prices of food and increased availability of highly-processed food products, as well as genetic pre-disposition. “The most immediate cause of overweight and obesity is overconsumption of energy relative to physical requirements, yet nutritionists have long recognised that this does not explain why some people consume more than they need,” the report added. The GCC countries have some of the highest rates of lifestyle diseases in the world, with the International Diabetes Foundation last year forecasting that about 20 percent of the population is afflicted by the disease. Overall spending on healthcare in the Gulf, according to figures from Deloitte, is just $1,200 per capita, compared to $5,000 in developed countries. ARABIAN BUSINESS.COM GCC states named among world's most obese By Daniel Shane Tuesday, 9 July 2013 12:05 PM Populations in the Gulf have been rated as among the world’s fattest, according to a new United Nations report, with almost half of adults in Kuwait classed as obese. The State of Food and Agriculture study said that rising obesity rates could cost the global economy $47trn over the next two decades, due to loss of labour productivity and fees associated with treating lifestyle diseases such as diabetes and heart disease. Kuwait led the way in highest proportion of obese adults in the GCC, with 42.8 percent falling into this bracket in 2008, followed by Saudi Arabia at 35.2 percent. In the UAE, 33.7 percent of the population were identified as having a serious weight problem, while in Qatar it was 33.1 percent and Bahrain 32.6 percent. In terms of the Gulf, obesity was least prevalent in Oman, although at more than a fifth (22.1 percent), it was broadly in line with developed European countries. The report said that the prevalence of overweight and obese adults was rising in nearly all regions, with the global average increasing from 24 percent in 1980 to 34 percent to 2008. The countries with the world’s most endemic obesity problem were found in Oceania, with almost two-thirds (64.1 percent) of Cook Islanders falling into this category. “Overweight and obesity... impose economic costs on society directly through
  8. 8. The Market •Ready Markets mentioned: –Kuwait –Qatar –Malaysia –Bahrain –Oman –Saudi Arabia These form parts of the Halal Market
  9. 9. The market •Modern lifestyle challenges leads to the rise in the importance of : –Balanced Diet (better nutrition, Support nutrition, super foods) –Work life balance (supports familial, mental and physical well- being –Stress management –Exercise –Lifestyle diseases •Diabetic treatment and drugs •Coronary heart disease treatments and drugs •Hypertension treatment and drugs
  10. 10. The market •Modern lifestyle challenges leads to the rise in the importance of : –Stamina and strength –Immunity –Virility –Beauty/Youthfulness –Sports Nutrition –Ageing “Facilitators” •The global share of older people (aged 60 years or over) increased from 9.2 per cent in 1990 to 11.7 per cent in 2013 and will continue to grow as a proportion of the world population, reaching 21.1 per cent by 2050 UN Report “World Pupulation Ageing 2013”
  11. 11. The market •Drivers for Halal demand –Increased in Health awareness –Demand is huge –Doubt: Unsure Halal or otherwise –Medicines: Non-Halal versions available but Halal alternatives preferred –In line with the Halal concept
  12. 12. The Market Lessons from the food industry ..What the Council says it has found in this year's re-audit of the Ajinomoto taste enhancer is that the company is now using the bactosoytone pig enzyme in its production process instead of the polypeptone enzyme it used in the past. The reason is that while both enzymes can be used as a medium to cultivate the bacteria needed to produce the compounds necessary for the production of the enhancer, the bactosoytone enzyme produces more bacteria and thus also more compounds. Some experts have argued that this is not really a problem since the pig enzyme does not actually get into the product. It is used only to grow the bacteria and is not included in the bacteria…… …..Fortunately, the Ajinomoto company has had the good sense to pay serious heed to the MUI's demands, thereby avoiding a possible confrontation. It has changed its bacterium growing medium to a plant derivative while promising to withdraw its dubious products from the market. excerpt from Jakarta Post, 4 Jan 2001
  13. 13. Source: News 5 – ChannelNewsAsia; Mediacorp The Market Lessons from the food industry
  14. 14. •Why did the market react the way they did? •What is stopping Halal consumers from buying seemingly beneficial products? •What is Halal anyway? •Why demand for Halal? The Market Lessons from the food industry
  15. 15. Important Concepts • Halal • Toyyib • Mashbuh • Toyyib • Najis • Khabith
  16. 16. Basic Concept of Halal Consumption •Halal - An Arabic word meaning “permissible” •Not limited to only eating and drinking •Includes consumption, usage, actions, words, and thoughts •Halal concept is a lifestyle concept – way of life •For Muslims, sinful not to live Halal
  17. 17. •Tayyib –Wholesome; good. Nutritious; benefit to growth and repair; SAFE –Do not cause you harm; cancer causing, allergens •Muslims are strongly encouraged to consume Halal & Tayyib Basic Concept of Halal Consumption
  18. 18. •Mashbuh (dubious; doubtful) –Means food that is doubtful of its Halalness –Halal and Tayyib on the outset but feels unsure –Muslim customers are taught to stay away from actions or items that are considered Mashbuh •To prevent doing non-Halal action or consuming non-Halal food accidentally; doing or consuming non-Halal food is not allowed and sinful Basic Concept of Halal Consumption
  19. 19. Najis •An Arabic word, literally meaning filthy / dirty •Items which are not allowed to be on the body when performing prayers; it is sinful if it does •Non-Halal for consumption •There are two types of Najis: oNajis substances are well-defined in the Islamic religion oThings that are tainted with the Najis substances. e.g Halal drinks that are mixed with alcoholic beverages Basic Concept of Halal Consumption
  20. 20. •Najis substances Blood Non-Halal slaughtered poultry and meat Non-approved animals for slaughter (incl, meat, innards) Alcoholic beverages Swine Dogs/Loosed hair of cats Urine Feces Vomit Basic Concept of Halal Consumption
  21. 21. Light Intermediate Heavy Urine of: • <2 year old boy • fed on mothers’ milk only • Alcoholic beverages • Blood • Excrement • urine • non-Halal chicken/beef • pigs • dogs Spray with clean water and wipe clean Wash with detergent/soap and water until no trace of • smell • colour • texture 2 step wash: 1.Wash 1x with earth solution 2.Wash 6x with clean water Examples Cleaning Method Basic Concept of Halal Consumption
  22. 22. •Khabith (Disgusting) items/substances Category is generally defined by community at large Considered as non-Halal Eg. Most insects (eg. Ophiocordyceps sinensis) Sago Worm Larvae/earthworm/bamboo worm Tree Lizards/monitor lizards Garden snails Basic Concept of Halal Consumption
  23. 23. •It is a religious requirement for Muslims customers to consume Halal and Wholesome (Tayyib); sinful if not •Muslims cannot consume Najis substances, or food that are tainted with Najis substances; in medicine, where there are Halal alternatives – it will be strongly preferred •Khabith (disgusting) items are non-Halal for consumption. Some are considered Najis •Always manufacture using raw materials, processing aids and other materials that are Halal and Tayyib (Tayyib concept applies to all) •Consumers have various levels of understanding of Halal and food manufacturing Basic Concept of Halal Food
  24. 24. •Looks like ( or with images of najis/non-Halal) Religious Sensitivity & Cultural Discomfort
  25. 25. •Taste like (similar tastes like najis/non-Halal) –tastes or creation of perception that bears resemblance of : •Alcoholic beverages; wines etc –Technology in food is so advanced –Friends can identify the taste Religious Sensitivity & Cultural Discomfort
  26. 26. •Sounds like (names of najis/non-Halal) –Names that create the of perception that bears resemblance of: •Pigs/pork –Bak Kut Teh •Alcoholic beverages –Non-Alcholic wines; Tonic wines Religious Sensitivity & Cultural Discomfort
  27. 27. Regulatory and Certification
  28. 28. Regulatory and Certification •Regulations –Halal-related laws in various Halal markets exists including : •USA (eg. New York, Maryland) •Singapore –Different approaches to enforcement of laws –Not all markets has got Halal Laws; labeling laws
  29. 29. Regulatory and Certification •Certification –No ONE Halal standard •Not all certification recognised by all •Competition –“unclear” or perceived to be lack of transparency –inconsistent requirements –“inefficient” or perceived to be lack of urgency
  30. 30. Regulatory and Certification •Approach the Halal market as import requirement –Legal requirements –Consumer requirements •Approach the Halal market sensitively –Market/consumer dynamics –Certification dynamics •Approach the Halal market with commitment
  31. 31. Conclusion •Halal market for food and nutraceuticals is huge and growing..a market worth growing into •A market with religious sensitivities –It is a religious market –Approach carefully –Can potentially be more explosive than a health scare
  32. 32. Thank you

×