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In Southeast Asia, Halal Beauty Is Growing Due To Three Main Trends

Health and Beauty We examine the trends underlying the growth of the global marketplace in health, beauty and hygiene. Our analysts will point the way forward by highlighting critical innovations and behaviours that are driving industry evolution.

With increasing consumer awareness and demand, coupled with tightening regulations from authorities, a growing number of halal beauty brands and products are emerging in the market. Southeast Asia, being home to over 240 million Muslim consumers, will become the predominant market for the halal beauty industry.

What is halal beauty?

Captain Halal

Halal beauty consists of beauty products that are composed, produced and made from materials permitted under Islamic law. The main criterion for beauty products to be certified as halal is that the products must be made using ingredients and processes that do not involve animal-derived substances, alcohol, blood, or harmful ingredients. It is mandatory for the ingredients to be alcohol-free (although some standards allow up to 0.5%) and if they are derived from animals, they must be certified halal. For some water-resistant cosmetics like nail polish, the ingredient must be fully permeable by water to reach the nail bed or skin, making it possible to perform ablution. It is also important that hygiene and cleanliness are always maintained during the manufacturing, processing, preparation, transport and storage of halal cosmetics.

The majority of the population in Southeast Asian countries like Indonesia and Malaysia are Muslim, driving the growth of halal beauty products in the region. With the overall beauty and personal care industry expected to grow by around 10% in Indonesia and 15% in Malaysia in 2023, these two countries will see growth in the proportion of halal beauty products in the market.

The percentage of halal beauty products in Indonesia grew from 2.7% to 7.1% over 2019-2022.

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Rising awareness among consumers leading to growth in halal beauty products

Captain Halal

An increasing number of consumers trust products that have undergone a halal certification process and perceive such products to be more ethical. Due to this increased demand, more businesses are seeking to obtain halal certification to cater to a wider audience. Such products are not only perceived to be more ethical but also cater to individuals with religious beliefs and dietary restrictions. The availability of halal beauty products offers consumers a wider variety of options from which to choose.

Brands have started setting up halal factories to respond to growing consumer demand for halal beauty and personal care products. Singaporean oral care brand, Pearlie White, obtained its halal certification in June 2022. It has now established a halal-certified oral care manufacturing facility in Singapore and offers approximately 20 halal-certified oral care products to its customers.

Tightening regulations on beauty products push brands to obtain halal certification

Captain Halal

To be certified as halal, full product ingredients and manufacturing facilities must be inspected to make sure they are not contaminated with impurities. In countries with large Muslim populations, there are authorities responsible for granting halal certification to beauty products:

  • Islamic Religious Council of Singapore (MUIS)
  • Department of Islamic Development Malaysia (JAKIM)
  • Indonesia Council of Ulama (MUI). (LPPOM-MUI)

As the market in Southeast Asia with the largest Muslim population, Indonesia passed the “halal product assurance” regulation that will be obligatory for all beauty products by October 2026. It is expected that many more halal beauty brands will flock to the market in the coming few years. This requirement will push both local and international brands to obtain their halal certification in the next three years.

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Demand from non-Muslim consumers for ingredient transparency and cruelty-free products further fuels halal beauty growth

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Captain Halal

Halal beauty emphasises the need for ingredient transparency, which means that halal beauty products use only ingredients that are not harmful and comply with halal standards. This transparency allows consumers to have confidence in the products they use, knowing what ingredients are in them. Due to the growing demand for ingredient transparency in the beauty industry, many non-Muslim consumers are also seeking brands that prioritise transparency by providing detailed information about their ingredients. As a result, halal beauty is gaining popularity because it offers comprehensive ingredient lists, which avoid potentially harmful substances, making well-informed purchase choices much easier for consumers.

The growing demand for ethically produced or cruelty-free beauty products in Southeast Asia will also benefit halal beauty’s growth. According to Euromonitor International’s Voice of the Consumer: Beauty Survey, 19% of online consumers in Southeast Asia favour colour cosmetics and skin care products that are not tested on animals, are cruelty free and/or are 100% vegan. This goes hand in hand with the growth of halal beauty as these products are also produced by prioritising animal welfare and are typically not tested on animals. Furthermore, as sustainability grows to be a more important concept as each year goes by, halal beauty brands can reap the benefits as most of these brands often emphasise environmentally-friendly practices which could include using organic or natural ingredients, opting for eco-friendly packaging, or supporting fair trade practices.

Learn more about Beauty and Personal Care in Indonesia in our report to understand trends in Southeast Asia’s largest Muslim-majority country.


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