China Halal Food & Beverage Products Market Size, Share, Growth and Industry Analysis By Type & Application, Regional Insights and Forecast to 2024-2032

Growth Factors of China halal food & beverage products Market

The China halal food & beverage products market is witnessing rapid expansion driven by rising Muslim population, growing consumer trust in halal certification, and an increasing shift toward safe, high-quality food products. According to the 2024 market analysis, the China halal food & beverage products market reached USD 77.71 billion in 2024, and is projected to rise to USD 85.95 billion in 2025, ultimately reaching USD 217.10 billion by 2034. This strong progression reflects a healthy CAGR of 10.84% during the forecast period, highlighting China's growing position as a major halal food production hub in Asia.

Key Market Drivers

One of the primary forces behind market growth is the expanding Muslim population in China, particularly among ethnic groups such as the Uygur and Hui. As per the 2020 China Population Census, there were over 25.95 million Muslims in the top 10 Muslim-majority ethnic groups nationwide, including 11.17 million Uygur and 11.37 million Hui. These communities significantly contribute to the rising demand for halal-certified meat, dairy, beverages, grains, and processed foods.

Additionally, the popularity of halal-certified products has expanded beyond Muslim consumers. A rising number of Chinese consumers-especially health-conscious and safety-focused individuals-perceive halal foods as cleaner, safer, and higher in quality. This perception, combined with increasing investments in halal certification by manufacturers, is strengthening domestic market penetration.

International companies are also entering China's halal sector, supported by preferential government policies and growing cross-border e-commerce. Chinese firms like Yili Group, Mengniu Dairy, and Shandong Grasshome Halal Food continue to expand their halal product portfolios, driving market competitiveness.

Market Restraints

Despite strong growth, the sector faces challenges from counterfeit halal products. China lacks a unified national halal certification authority, resulting in varied regional certification standards. The absence of centralized regulation exposes consumers to fake labels and fraudulent claims, thereby eroding market trust. Furthermore, counterfeit products may contain haram ingredients such as pork-based gelatin and alcohol additives. These concerns threaten brand reputation, consumer confidence, and overall industry growth.

Market Opportunities

Growing demand is encouraging companies to expand local manufacturing capacities, offering promising opportunities for domestic and foreign halal producers. Establishing production facilities within China reduces logistics costs, import duties, and dependency on foreign suppliers. Products labeled "Made in China" carry strong consumer appeal due to the perception of freshness, authenticity, and regulatory oversight.

Government-supported partnerships further boost opportunities. For instance, in September 2022, Malaysia's Halal Development Corporation and MATRADE signed an MoU with HYT Cross Border Sdn Bhd to facilitate Malaysian halal exports into China through JD.com. Such collaborations strengthen international trade and broaden the halal product portfolio available in China.

Market Challenges

Price fluctuations in raw materials-including rice, wheat, sugar, fruits, dairy, and meat-pose significant challenges. Climate change, high labor costs, import-export restrictions, and global supply chain instabilities raise production costs. As a result, manufacturers face pressure to maintain competitive pricing while preserving quality.

Market Trends

One of the fastest-growing trends is the rising demand for plant-based halal-certified foods and beverages. With growing health awareness and an increase in vegan and flexitarian diets, plant-based milk alternatives such as soy, almond, oat, and coconut milk are gaining popularity. These products appeal to both Muslim and non-Muslim consumers due to their low-calorie, lactose-free, and nutrient-rich profiles.

Segmentation Overview

The meat & meat products segment dominated the market in 2024 due to cultural dietary preferences and high nutrition value. Meanwhile, milk & milk products are expected to grow fastest as major dairy brands increase halal-certified production.

Supermarkets and hypermarkets held the largest distribution share in 2024 due to wide product availability, while online sales are projected to experience the fastest growth supported by digital payments and rapid delivery systems.

Households accounted for the largest end-user segment, supported by rising demand for ready-to-eat and routine consumption of halal-certified essentials.

Competitive Landscape

The market is highly fragmented with notable players including Yili Group, China Mengniu Dairy, Shandong Grasshome Halal Food, Hebei Kangyuan Halal Food, and Qingdao Alliance Food Corporation. These companies collectively account for 22.74% of the market. Industry developments such as the launch of halal-certified beverages, dairy products, snacks, and frozen foods strengthen competitive positioning.

Conclusion

Overall, the China halal food & beverage products market is on a strong growth trajectory, rising from USD 77.71 billion in 2024 to USD 85.95 billion in 2025, and expected to surpass USD 217.10 billion by 2034. With rising population demand, expanding certification, and increasing domestic production, China is set to become one of the world's most influential halal food economies.

Segmentation By Type

• Milk and Milk Products
• Fruit and Vegetables
• Grain Product
• Beverages
• Meat and meat products
• Confectionery
• Food additives
• Others

By Distribution Channel

• Supermarkets/Hypermarkets
• Convenience Stores
• Online Sales
• Bulk Suppliers
• Others

By End-Use

• Foodservice Sectors
• Households