Halal Certification: Truth, Myth and the Way Ahead

Date:

Dr Tasleem Ahmad Rehmani

SPEAKING at a centenary celebration of Rashtriya Swayamsevak Sangh (RSS) recently, Uttar Pradesh Chief Minister Yogi Adityanath reignited discussions surrounding the halal business, presenting the topic in a highly contentious manner. His speech, lasting only a few minutes, was a mixture of assertions grounded in facts and others that lacked any substantiality. As he concluded his remarks and exited the venue, his words echoed far beyond Gorakhpur, prompting a vigorous national debate once again about the complexities and implications of the halal industry.

Certain media outlets which promote his views have attempted to support his claims using selective statistics; however, those in favour of the halal industry have responded in a rather dismissive manner without any authentic argument. In reality, neither party has fully addressed the complexities of the issue. The chief minister’s statements contain elements of truth, but they are also flawed in several respects.

The halal trade has been controversial in India since its inception in 1974, primarily due to the certification process rather than the commerce itself. Influential companies have politicised this issue to further their own business interests.

Indian companies are used to advertise their products clearly delineating from religious themes and sentiments. Their promotional material primarily spotlight the practicality and quality of their products, adhering closely to the stringent advertising regulations set forth by the government—regulations that most businesses respect without question. Any transgressions against these standards would typically result in reprimands from the courts, ensuring compliance and maintaining decorum in marketing practices.

But for last nearly two decades, a significant transformation has emerged in the marketing strategies employed by certain companies. These entities have begun to overtly disregard established ethical standards by utilising religious imagery and sentiments to promote their products, presenting them as items endorsed by specific religious communities. This approach aims to leverage the emotions and beliefs of the predominant demographic for commercial gain, thereby blurring the distinction between marketing practices and religious advocacy. Notably, while some companies have been compelled to issue public apologies following legal backlash, none have faced financial penalties or substantial punitive measures. This situation prompts a critical reassessment of the repercussions associated with such violations in the advertising sector.

Many companies often voice their concerns about the need for halal certification when it comes to exports. Without this certification, many food products and cosmetics can’t be sold in international market. In fact, most countries require halal certification for imports from India. While this process is mandatory, it plays a significant role in generating substantial foreign exchange and bolstering the national economy. Interestingly, a large number of the owners of these Indian exporting firms are our non-Muslim fellow citizens. As a result, both private business houses and the Indian economy stand to gain substantial profits from the halal system.

The global halal market, underpinned by certification, is estimated to exceed three trillion dollars. In the previous year, the export of halal products from India surpassed ₹3.55 lakh crore, only from the meat sector. The domestic market encompassing halal food, cosmetics, pharmaceuticals, hotels, and restaurants is currently valued at over ₹20 lakh crore annually and continues to demonstrate substantial growth. Data reveals that individuals from both Muslim and non-Muslim communities are increasingly opting for halal-certified products. The considerable scale of this trade depends and can be attributed to the trust and credibility associated with halal certification.

In India, a limited number of non-governmental organisations issue halal certificates. Among the largest are the two factions of Jamiat Ulema-e-Hind, which operate under the name Halal Trust India. Other organisations include Halal Corporation of India, Halal Certification of India (Jamiat Ulema Maharashtra), QFS Management, Axis Care Certification Pvt Ltd, and Corp Biz Pvt Ltd. These entities are primarily operated by Muslim organisations or individuals. The agencies assert that they utilise qualified laboratories, technical staff, and scholars to differentiate between halal and other products. Each organisation sets its own fees for certification services for each product separately. Moreover, separate annual renewal fees too are charged on annual basis. However, there is no public record available detailing these fee structures or earnings, indicating a lack of transparency in this sector.

The Government of India has not conducted any survey to assess the annual income generated by these private certifying bodies in the trade of halal certification sector. While audit reports are officially submitted, it is widely known how such audit reports are manipulated by companies; the preparation of such reports usually lack transparency. Given the multi-trillion-rupee scale of the halal trade, it is reasonable to understand that the certification industry itself is minting several hundred crores annually.

Prominent Indian corporations, including Reliance, Adani, Bajaj and Tata, along with firms such as Dabur, MDH, and Patanjali, actively pursue halal certification for specific products. Ironically, some of these companies, particularly within the food and pharmaceutical industries, have previously been blacklisted for supplying substandard or harmful products in the international market, reflecting poorly on the nation’s reputation.

Patanjali explicitly states that its products contain cow urine, which may appeal to certain consumer groups domestically. However, this declaration could limit export opportunities to Muslim-majority countries. As a result, companies pertinently need to obtain halal certification for international business organisations, often leading to increased costs and challenges. This economic factor usually contributes to the politicisation of the issue, shifting the focus from a commercial matter to a discussion encompassing cultural and ideological aspects.

The current halal certification system lacks transparency and is subject to unregulated private control, which calls for reform. Certification is only necessary for food and consumables with animal-derived ingredients, such as meat, cosmetics, and pharmaceuticals. For dried and natural items like rice, tea, or non-food products like textiles and construction materials, certification is not required. Agencies that mandate certification for these items are abusing the system and should be held accountable.

It is incumbent upon the government to establish transparent standards across all industries, akin to its existing rules, regulations, criteria and parameter set by various related ministries and agencies on weights and measures, drug safety, food adulteration, and import-export criteria. In this context, the creation of a halal department under the Ministry of Commerce or food and civil supplies is warranted. This department, composed of religious scholars, government laboratory representatives, and scientific experts, could serve as an autonomous body and standardised certification authority. Such an initiative would enhance India’s credibility within the global halal market, increase its transparency, reliability, authenticity and subsequently expand trade volumes, ultimately leading to a greater influx of foreign exchange for the nation.

Yogi Adityanath, as the chief minister of the most populous Indian state, has a responsibility to address the state’s affairs. Instead of publicly expressing concerns and passing controversial remarks he should consider establishing a statutory halal board to address this issue. His assertion that revenues from halal certification contribute to terrorism or religious conversion is contested and lacks substantiation. Additionally, some media outlets have been noted for sensationalising these statements.

Those who hold high public office must acknowledge their transition from opposition to custodians of governance. Having secured electoral victories, their paramount responsibility is to prioritise the national and collective good, rather than engaging in partisan politics.

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Dr Tasleem Ahmad Rehmani is president of Muslim Political Council of India and a prominent political analyst. The views expressed here are the author’s own and Clarion India does not necessarily subscribe to them.

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