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Home > Well+Being > Halal Horizon

Navigating the Maze: Why Bangladesh Struggles to Certify Its Own Halal Economy

Graciela Maria Reporter / Updated : 2026-11-13 04:50:48
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For decades, halal was a deeply rooted, lived practice across Bengal. Families trusted their local butchers, and communities knew how food was prepared without needing a bureaucratic stamp. But in an era of globalized industrial supply chains and multi-billion-dollar trade, the halal label has transformed from a matter of faith into a critical economic instrument.

For Bangladesh, however, navigating this modern landscape has become an institutional headache. Despite being a proud, Muslim-majority nation with a rapidly growing export footprint, Bangladeshi food manufacturers frequently find themselves unable to use domestic halal certificates when trading with other Muslim nations.

The Cost of Fragmented Authority

The real-world friction of this policy gap is heavy. Take, for instance, Bombay Sweets, one of the country's most prominent snack makers. The company had to strip the halal logo off roughly 50 of its products and spend upwards of Tk 62 lakh redesigning its packaging. Why? Because Saudi Arabia—and several other destination markets—do not universally recognize halal certification issued within Bangladesh. To sell abroad, companies must often seek validation from accredited bodies in India, Thailand, Singapore, or Malaysia.

Consequently, local businesses produce goods certified as halal by their own government, only to erase the word or pay foreign entities to re-verify what is already culturally and religiously permissible.

According to global trade data, Muslim consumers spent over $1.5 trillion on halal food globally, with projections climbing steadily. Bangladesh’s own halal export sector is estimated at roughly $943 million. Yet, the country remains on the periphery of the global halal economy because of a domestic question of authority: Who holds the legal standing to declare a product permissible, and whose signature do foreign regulators trust?

The Turf War: Islamic Foundation vs. BSTI

The root of the dilemma lies in a long-standing division between two state institutions:

The Islamic Foundation: Operating under the Ministry of Religious Affairs, it has issued halal certificates since 2007, claiming that halal is fundamentally a matter of Shariah jurisprudence.
The Bangladesh Standards and Testing Institution (BSTI): Operating under the Ministry of Industries, BSTI stepped into the space in September 2021. It has since joined the Standards and Metrology Institute for Islamic Countries (SMIIC) and established a National Halal Laboratory equipped with advanced PCR technology to detect porcine derivatives.

While both agencies bring vital assets—the Islamic Foundation offers religious heritage and trust, while BSTI provides laboratory science and international standards alignment—the lack of coordination has created a regulatory bottleneck.

Exporters have borne the brunt of this confusion. Major enterprises like PRAN have had to secure overlapping approvals from local bodies as well as Malaysia's JAKIM, facing steep fees and bureaucratic delays. Furthermore, essential safety tests for heavy metals and pesticide residues often cannot be performed domestically, adding to industry overhead.

Lessons from Abroad and the Path Forward

Other nations have successfully streamlined these processes. Malaysia, consistently ranking at the top of the Global Islamic Economy Indicator, structured its agencies cleanly by separating religious enforcement, laboratory standards, trade promotion, and industry development under a cohesive national framework.

Experts and industry stakeholders argue that Bangladesh needs a similar, decisive structural shift. Rather than relying on temporary committees or dual-certifying agencies, Dhaka could establish a centralized Halal Development Authority backed by an act of parliament.

Placing such an authority under the Prime Minister's Office could bridge the gap across competing ministries. Under this proposed system:

*The Islamic Foundation would lead a national Shariah board to set binding religious standards.
*BSTI and scientific councils would manage laboratory testing.
*The Bangladesh Accreditation Board (BAB) would accredit certifiers against international benchmarks.
*A dedicated diplomatic team would actively negotiate mutual recognition agreements with key trading partners like Saudi Arabia, the UAE, Indonesia, Malaysia, and China.

By unifying these functions under a single, globally recognized national halal mark, Bangladesh could finally spare its exporters redundant administrative hurdles. For a nation of its size and faith, building a sovereign and efficient halal infrastructure is not merely a trade strategy—it is a long-overdue economic necessity.

[Copyright (c) Global Economic Times. All Rights Reserved.]

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Graciela Maria Reporter
Graciela Maria Reporter

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