Halal Products Development Company Partners With Believe To Enhance Halal Cosmetics Sector

Halal Products Development Company (HPDC) announced today the signing of a binding agreement to invest in Believe, a company specializing in halal cosmetics and personal care products. This move underscores HPDC's commitment to enhancing the halal industry ecosystem in Saudi Arabia and providing high-quality products compliant with Islamic standards both locally and globally.

The investment aims to relocate Believe's headquarters from Singapore to Saudi Arabia, establishing the Kingdom as a central hub for exporting the company's products worldwide. Additionally, it plans to localise cosmetics and personal care production by setting up a factory in Saudi Arabia. This facility will adhere to the highest global standards, manufacturing the company's brands and offering contract manufacturing services for local and eventually global brands.

The investment also focuses on transferring research and development knowledge, empowering local companies, particularly small and medium-sized enterprises. Value-added services will be provided alongside contract manufacturing, including advanced formulas, product and brand design, sourcing raw materials, manufacturing, packaging, and building high-quality Saudi brands for export.

Strategic Partnership

Fahad Al Nuhait, CEO of HPDC, stated, "Our investment in this sector marks an important initial step that acts as a key catalyst for the development and localisation of halal cosmetics and personal care manufacturing. It enhances the sector's efficiency and supports research and development efforts to elevate services provided locally and globally." He added that this partnership with Believe represents a strategic opportunity to transfer expertise and resources to Saudi Arabia while contributing to Vision 2030 by creating direct and indirect employment opportunities.

Global Expansion

Ankit Mahajan, CEO of Believe, commented, "This partnership represents a strategic opportunity for us to expand our scope, establish manufacturing capabilities, and offer high-quality halal cosmetics and personal care products that align with Islamic standards. Having HPDC as a strategic investor enhances our ability to achieve our goals in the region and globally." He noted that relocating their headquarters is in response to Saudi Arabia's pivotal position in the Islamic world.

Market Potential

The global cosmetics and personal care industry was valued at approximately $352 billion in 2022. The halal segment accounted for about $70 billion of this market. The sector is expected to grow at rates exceeding historical industry growth rates.

This strategic investment by HPDC not only aims to bolster the halal cosmetics industry but also aligns with Saudi Arabia's Vision 2030 goals by fostering local talent and creating job opportunities.

With inputs from SPA