LONDON – New research by global market research company Euromonitor International shows that halal and vegan product labels are set to grow over 5 percent annually between 2015 and 2020.
According to the new research featured in Euromonitor’s new Ethical Labels database released Monday, the compound annual growth rate of over 5 percent annually of halal and vegan labels will translate into $13 billion of additional sales in the halal market and $708 million of additional sales in the vegan market.
The increase in demand for halal products is driven by ethnic and religious diversity, according to Euromintor. The halal market is currently worth $45.3 billion and set to reach $58.3 billion by 2020.
“Demand for halal meat, an important feature of the Muslim community, is growing rapidly. The Muslim community’s share in the global population has been increasing steady and is projected to reach about 26 percent by 2030,” said Ewa Hudson, head of health and wellness at Euromonitor.
“Vegan product labelling is one of the key categories to watch in the future, as an increasing number of companies are expanding their consumer appeal by staying away from animal ingredients whenever possible,” Hudson explained. “The rising demand and trend for vegetarian and vegan proteins indicates where the market is moving right now.”
The top three fastest growing vegan markets between 2015 and 2020 are China at 17.2 percent, United Arab Emirates at 10.6 percent, and Australia at 9.6 percent.
In 2015, the global market for ethically labeled packaged foods, soft drinks and hot drinks (excluding private label) was worth $793.8 billion. Expected global growth will bring the market to $872.7 billion by 2020 worldwide.
According to Euromonitor’s new research:
- China is the third-ranking market for ethical labels, behind the US and Japan.
- The US has the largest market share for Kosher products – 18 times that of Israel.
- The UK emerges as the leader in products with animal welfare labels with a market share of $30.1 billion in 2015.
For more information on Euromonitor’s Ethical Label research, go to http://blog.euromonitor.com/category/ethical-labels.