Green Halal Industry: Integrating Halal Principles and Sustainability in Urban Development

Abstract

Twenty-first-century urban development requires a balance between economic growth, environmental sustainability, and social welfare. In this context, the halal industry has evolved not only as a means of fulfilling religious needs, but also as a strategic instrument for promoting sustainable urban economic transformation. This article aims to analyze the concept of the green halal industry and its relevance to sustainable urban development through the integration of halal principles, thayyib, and sustainability. The study employed a qualitative approach using the literature review method by examining scientific articles, policy reports, and academic publications related to halal supply chains, green industry, and urban sustainability. The analysis was conducted through theme identification, concept categorization, and critical interpretation of previous findings. The results indicate that the green halal industry has substantial potential to improve production efficiency, reduce waste, strengthen supply chain transparency, and enhance consumer trust. The integration of digital technologies such as the Internet of Things, blockchain, and big data further supports the implementation of adaptive and efficient halal systems in urban areas. In addition, this model can enhance the competitiveness of MSMEs, expand investment opportunities, and strengthen Indonesia’s position in the global halal market. Nevertheless, its implementation still faces challenges, including limited business literacy, capital constraints, certification costs, and weak policy coordination. Therefore, collaboration among government, business sectors, and society is required to establish an inclusive and competitive green halal ecosystem. This article concludes that the green halal industry can serve as a new paradigm of urban development that integrates ethics, innovation, and sustainability