China has a big Muslim community, with around 26 million Muslims, with the majority living in Northwest China, but is also starting to develop in neighbouring regions. This is mostly a young community, who is aware of the new trends and healthy living. This will most likely help boost the sales of halal food in the region.
The demand for halal products in China comes from the Muslims, but not only. Halal food is seen as a safer option among many Chinese people, being healthier and more hygienic than other traditional, branded products. It is becoming more and more true especially after the many food safety scandals happening recently.
The halal industry in China is having difficulty developing, especially regionally from the lack of qualified staff and having financing difficulties. This, while being a challenge locally, can benefit greatly companies willing to export their halal products to China, as the demand is definitely there and increasing.