6 HALAL INDUSTRY IN LAOS:

OPPORTUNITIES

AND

CHALLENGES

“ M R . P H O N E S AVA N H L AT M A N Y

JAPAN ALUMNI OF

LAOS (JAOL)

Halal Industry in Laos PDR:

Opportunities and Challenges

Presented by: Phonesavanh Latmany

Date: 09 Sep 2017

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

The Constitution of Lao PDR (1991) states that:

All citizens have rights in education, health, land use and

ownership, domicile of choice, and economic development

regardless of sex, religion, social status, education, or

ethnicity; as well as freedom of religion, freedom of speech;

freedom to peacefully assemble and to protest.

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

History of Muslim people in Lao PDR

According to the article by Yoginder Sikand (2008) on “Hidden

Beyond the Mekong: Muslims in Laos”, some findings are:

The first Muslims in Laos are said to have arrived in the early 20th

Century during the French colonization

Most of them, single men, from South India and Bay of Bengal

Later joined by Muslim people from Pakistan

In the mid-1960s, Muslims estimated around 7000 people

After mid-1980s, Cambodian Muslims arrived

Recently, largest number of Muslims in Laos: Cambodian Muslims,

Muslims from Pakistan, and Tamil-Muslims from India respectively

Tamil-Muslims mostly engaged in cosmetics trades, importing

goods from China, Vietnam and Thailand

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

Present number of Muslim people in Lao PDR

Source: Population Census 2015

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

Today Muslim people living in Lao PDR

Source: Yokinder Sikand (2008) Hidden Beyond the Mekong: Muslims in Laos

• Majority of Muslims are residing in the

Capital City of Laos

• Muslims from different origins recently

joined to set up the Muslims

Association of Laos overseeing

Muslims community affairs and liaising

with the government

• Mosque in Vientiane

“Our relations with the Lao Government have always been

very good and we face no problems at all in our religious

affairs. The Lao people in general are very gentle and

affectionate” says President of the Association

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

Halal Industry in Laos

• Very small due to small size of Muslim population

• No Halal Committee to inspect and certify

• Food products are mainly imported

• Most of Vientiane's Muslims are businessmen, involved in

the textile business, various branches of import-export, or

in servicing their own community as butchers and

restaurateurs.

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

Halal Food products

Most Halal food products are imported from Thailand,

Malaysia and India

Vientiane Muslims often cross the border to buy Halal

foodstuffs at Makro Stores in Thailand

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

Halal Restaurants

• Most of the Halal restaurants are found in Vientiane and a few restaurants in some major cities

• There’s no different procedure to get the Halal restaurant

established in terms of permit from the Government of Laos

• Restaurant owners must be Muslim and the Association

guarantees

• Halal meats for commercial use are always bought in Thailand

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

Opportunities of Halal Industry in Laos

• No restriction on Halal food products available in the market

(products with multiple labels allowed)

• Cattle farming on the rise and Halal meats perceived with

high potential for export to neighboring countries • Japanese company to invest USD 70 million in commercial

cattle farming in Northern Laos throughout 30 yeas of

concessional period

• As of now, 859 live cows including 250 dairy cows imported

• Tourism sector

0

5000

10000

15000

20000

25000

30000

35000

40000

2011 2012 2013 2014 2015

India

Malaysia

Indonesia

Brunei

Number of tourist arrivals

from selected countries

ASJA ASCOJA Symposium on "ASEAN-Japan Trade Opportunities: Tapping into

Halal Market"

Challenges of Halal Industry in Laos

• Very small in size and demand, economy of scale

• No Halal Committee to certify any locally produced food

products for commercial purpose

• In terms of tourism, what does Laos have to offer so Muslim

tourists come back again

Thank you for your kind

attention

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