Muslim countries urgently need to agree on a common standard for halal products to capitalise on a growing industry already worth US$2.1 trillion globally, Malaysian officials said today.

The chief executive of the government's newly formed Halal Industry Development Corporation (HDC) Jamil Bidin said achieving one standard was "critical" to the industry, and for multinational companies trying to cater to Muslim consumers.

"Even though the market is so big, this harmonisation of standards and certification is not there yet," Jamil told reporters.

"It will be much easier, because we have been getting a lot of enquiries, especially from the big producers like Nestle and Tesco. They say, 'Why have so many standards?'" he said.

Jamil said halal standards varied between Muslim nations such as Malaysia, Saudi Arabia and Iran. Differences of religious interpretation confused companies and forced them to seek halal certification for products in several countries.

"Harmonisation is very critical, so that it can facilitate the growth of industry much better," he said.

Under the concept of halal - meaning "permissible" in Arabic - pork and its by-products, alcohol and animals not slaughtered according to Quranic procedures are all "haram" or forbidden.

Single standard

Applying halal standards stretches beyond food to include products such as cosmetics, which may contain animal-derived ingredients, and conditions under which products are prepared and stored.

The halal industry is estimated to be worth US$2.1 trillion, with food products alone valued at US$150 to 500 billion.

Malaysia last year launched the World Halal Forum, an annual meeting aimed at developing the halal industry.

Jamil said harmonisation would feature in the next forum, in May 2007, expected to be attended by hundreds of officials and industry players worldwide.

He said Malaysia would try to convince other countries to look beyond religious debates over a single halal standard to trying to meet import standards imposed by key markets such as the European Union.

"If they can see it from that angle, hopefully they can understand that there is an urgent need for harmonisation, because we want to really promote the market," he said.