ON JAN. 15, 2026, the Philippines and the United Arab Emirates (UAE) signed the Comprehensive Economic Partnership Agreement (CEPA). Considered as a historic free trade deal between the two nations, the CEPA is expected to assist Philippine-based exporters through tariff reduction, greater market access for Filipino goods and services, capital mobility, and job creation for Filipinos both in the Philippines and the Emirates.
Against the backdrop of this historic free trade deal is the strategic positioning of the Philippine Halal industry as one of the beneficiary sectors because of the following reasons.
First, the CEPA not only provides greater market access to Philippine-based Halal exporters. The granted market access indirectly extends to the broader regional market of the Gulf Cooperation Council (GCC) since the UAE is considered the gateway for most export goods entering the Gulf Region. Philippine-based Halal exporters should explore and maximize the opportunities brought by CEPA, such as latching on UAE’s existing mutual recognition arrangements with its regional neighbors.
Second, the passage of Republic Act No. 10817 in 2016 provided Philippine-based Halal exporters the opportunity to avail the Halal certification services of certifying bodies recognized in the UAE.
As I discussed in a previous article, the global Halal trade differs from other areas of trade because the faith-based market is reliant with the mutual recognition arrangements (MRAs) of Halal certifiers across the globe – mostly codified among competing regulatory networks such as World Halal Council (WHC), World Halal Food Council (WHFC), and International Halal Accreditation Forum (IHAF). In this regard, the passage of RA 10817 in 2016 permitted the entrance of foreign Halal certification bodies, which can issue Halal certificates recognized in key Halal markets of the Gulf Region (e.g. UAE, Saudi Arabia, and Oman).
At present, a certain HCB based in Manila is catering to the certification needs of various Halal exporters in the country, aiming to ship their goods to the Middle East.
In this regard, how can the Philippines maximize the economic opportunities brought by this trade deal? Here’s my three-point recommendation:
- Greater support for other local Halal certifiers. For Philippine-based Halal exporters to access the UAE market, they must obtain certification from a Halal certification body (HCB) accredited by the Philippine Accreditation Bureau (PAB). As a member of the International Halal Accreditation Forum (IHAF), the PAB benefits from mutual recognition arrangements with UAE regulatory authorities, particularly the Emirates Authority for Standardization and Metrology (ESMA). Through these recognition mechanisms, only PAB-accredited HCBs in the Philippines can effectively guarantee export market access for Halal manufacturers seeking to enter the Gulf region.
At present, however, the PAB has accredited only one HCB. Expanding the number of PAB-accredited HCBs would significantly benefit the Philippine Halal industry in several ways. For instance, if other local HCBs—particularly those based in Mindanao—were to secure PAB accreditation, manufacturing plants and facilities outside Luzon could access certification services at lower cost. Exporters would no longer need to shoulder the travel and maintenance expenses of Halal auditors deployed from Manila. This would help expedite the production of Halal goods at reduced cost, thereby enhancing the international competitiveness of Philippine Halal-certified products.
- Continued dialogue between government bodies and certifiers. While the passage of Republic Act No. 10817 introduced important measures to support Halal exporters in the Philippines, regulatory bottlenecks continue to impede the integration of a cohesive nationwide Halal ecosystem. A key issue is the persistent disagreement between government authorities and Halal certifiers regarding the scope and limits of state intervention in Halal regulation. This debate is rooted in the legal constraints imposed by a 2003 Supreme Court decision, which affirmed the inherently religious character of Halal regulation and, in practice, limits the extent of direct government involvement in this faith-based market.
- Expedite the ‘Halalization’ of Philippine cosmetic industry. At present, the bulk of Philippine Halal-certified exports consists of agricultural and processed food products. Given that personal care products are among the priority sectors under the Comprehensive Economic Partnership Agreement (CEPA) between the Philippines and the UAE, stakeholders in the Philippine cosmetic industry should act swiftly to capitalize on the opportunities created by this trade agreement. This entails encouraging and assisting Filipino cosmetic manufacturers to pursue Halal certification, particularly for export-oriented production.
Despite being a Muslim-minority country, the Philippines has been positioning itself as an emerging global Halal player since the late 1990s. This trajectory was underscored by the 2022 Global Islamic Economy Report, which recognized the Philippines as a non-OIC country with a strong Halal industry presence. With the PH–UAE Comprehensive Economic Partnership Agreement (CEPA), the Philippines now has a concrete opportunity to translate long-standing aspirations into tangible export gains by embedding Halal development within its broader trade and industrial strategy.
