Halal food is big business. According to Thomson Reuters, the global halal food market will be valued at USD 1.9 trillion by next year. Malaysia has been at the forefront of halal food development with the government stating it wants the country to be a global halal hub.
The next steps towards this goal were taken with the launch of Halal2Go, a food delivery app focusing on clean and safe halal food from well-known restaurants and select home-based chefs in Malaysia.
Halal2Go was launched by Serba Dinamik IT Solution Sdn Bhd, a subsidiary of international energy services conglomerate Serba Dinamik Holdings Bhd. The app is designed to fill a need in the country. Malaysia already has a number of online food delivery service providers but Halal2Go can provide better peace of mind for consumers.
The firm is committed to holistic growth at the domestic level at first but does envision regional and international expansion in the future.
“With this holistic planning, we expect the company’s revenue to increase by MYR 50 million (USD 11.5 million) by the end of the year,” Serba Dinamik Group Managing Director and Chief Executive Officer Datuk Mohd Abdul Karim Abdullah explained during a digital press conference. “Starting from Shah Alam and Subang, Selangor, we will expand to the international market including Singapore, Indonesia, India, the United Kingdom and the United Arab Emirates.”
The potential of halal food delivery in Asia
In the e-Conomy SEA report published by Singapore state investment firm Temasek and Google, it was noted that the food delivery market in Southeast Asia could be worth as much as USD 8 billion by 2025. And while players like Food Panda, Deliveroo, Grab and others have already staked their claim, room remains for innovators.
With its focus on halal food delivery, Halal2Go could be poised to tap into both food delivery and another large and growing market. Southeast Asia is home to more than 240 million Muslims accounting 42 percent of the total population. The region is already a leading halal food producer, the technology and service side of halal food remains underserved.
According to the State of the Global Islamic Economy Report 2018/19, spending on halal food and beverages could reach USD 1.9 trillion by 2023. This spend is increasingly going to food delivery as consumer habits continue to shift in the region. This means Halal2Go could have a very important role in reaching a population with growing demand.
The company’s expansion ambitions may also align nicely with Malaysia’s own target of being a global halal exporter. The country sent USD 9.7 billion worth of halal products overseas in 2019 and is a trusted supplier of halal goods. Currently, the focus is on producing end products, but technology and services could be next.
