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Eid-ul-Adha is celebration of sacrifice, which comes two months and ten days after ‘Eid-ul-Fitr, the Eid that follows Ramadan. We can turn our attention to the Qur’an to find the real meaning and significance of sacrifice. In Surah Al-Hajj it clearly states:
And to every nation did we appoint rites (of sacrifice), that they might celebrate the name of God over the sustenance He gave them from animals (fit for food), and your God is the One God: Submit then your wills to Him (in Islam): and give thou the good news to those who humble themselves. (Al-Qur’an 22:34)
The sacrificial camels We have made for you as among the Symbols from God: in them is (much) good for you: then pronounce the name of God over them as they line up (for sacrifice): when they are down on their sides (after slaughter) eat ye thereof and feed such as (beg not but) live in contentment and such as beg with due humility: thus have we made animals subject to you that ye may be grateful (Al-Qur’an: 22:36).
It is not their meat nor their blood that reaches God: it is your piety that reaches Him: He has thus made them subject to you that ye may glorify God for His guidance to you: and proclaim the Good News to all who do right (Al-Qur’an: 22:37).
The above verses clearly show that the idea of atonement is totally foreign to Islamic sacrifices and God is not pleased at the shedding of the blood, but He likes the deeper impression left by sacrifice on the heart. That deeper impression can better be felt than be expressed. It is the awakening of the latent moral faculties of man to greater sacrifice and deeds of action than mere animal slaughter. It demands of a man that for the sake of establishment of God's unity, propagation of truth, restoration of peace, freedom of conscience and preservation of the bonds of fraternity of mankind, the highest sacrifices be offered without demur and hesitation. It is called Eid of sacrifice because it stands for fortitude of forbearance in order to gain proximity and nearness to God and win His favour. If we ponder over the whole celebration, we will see that Eid-ul-Azha has much social significance:
(a) Just as meat is shared with the poor, money, time, and comforts are also shared. God, as He says in the Quran, does not delight in the flesh or the blood, but He will appreciate the symbol of sharing the meat with the poor, with the fellow men, with the hungry. It advocates for a caring and sharing society, where nobody is deprived.
(b) God stopped Prophet Abraham (peace be upon him) from sacrificing his own son. This shows that Islam abolished the practice of human sacrifice prevalent in past history.
(c) Each Eid is a Thanksgiving Day where the Muslims assemble in a brotherly and joyful atmosphere to offer their gratitude to God for helping them to fulfill their spiritual obligations. This form of thanksgiving is not confined to spiritual devotion and verbal expressions. It goes far beyond that to manifest itself in a handsome shape of social and humanitarian spirit. Muslims, who have completed the course of Hajj at Makkah, as well as those who are at home, offer their sacrifices by slaughtering oblations to be distributed among the poor and needy. The distribution of alms and oblations constitutes a major part of the Eid’s highlights. This Islamic way of thanksgiving is a wholesome combination of spiritual devotion and humanitarian benevolence.
(d) Each 'Eid is a Day of remembrance. Even in their most joyful times the Muslims pray to God and glorify His name to demonstrate their remembrance of His favours. Along with that course, they remember the deceased by prayer for their souls, the needy by extending a hand of help, the grieved by showing them sympathy and consolation, the sick by cheerful visits and utterances of good wishes, the absentees by cordial greetings and sincere considerateness, so on and so forth. Thus the meaning of remembrance on the Day transcends all limits and expands over far-reaching dimensions of human life.
(e) Eid is a Day of victory and empowerment. The individual who succeeds in securing his/her spiritual rights and growth receives the Eid with a victorious spirit. The individual who faithfully observes the duties, which are associated with the Eid, is a triumphant one. S/he proves that they hold a strong command over their desires, exercises a sound self-control and enjoys the taste of disciplinary life. And once a person acquires these qualities s/he has achieved the greatest victory, because such a person is free from sins and wrongdoings, from fear and cowardice, from vice and indecency, from jealousy and greed, from humiliation and all other causes of enslavement.
(f) Eid is a Harvest Day for the Muslims. All the good workers in the service of God, all the faithful believers reap the fruits of their good deeds on the Day, as God grants His mercy and blessings abundantly. The Islamic society, on the other hand, collects the due subscriptions to religious brotherhood, sorority and social responsibility, and they are paid in the shape of mutual love, sympathy and concern. Every member of the Islamic society will be reaping some fruits or collecting some revenue in one way or another. God gives infinitely, especially to those who are sincerely concerned with the general welfare of their fellow human beings. Those beneficiaries who cannot give will receive, along with God's enormous grants, the contribution to their fellow benefactors. The haves and have-nots will all enjoy the providence of God in a most plural fashion, and the Day is indeed a Good Harvest Day.
(g) Each 'Eid is a Day of forgiveness. When Muslims assemble in the congregation of the Day, they all whole-heartedly pray for forgiveness and strength in faith. And God has assured those who approach Him with sincerity of His mercy and forgiveness. In that pure assembly and highly spiritual congregation, any true Muslim would feel ashamed of himself/herself before God to hold any enmity or ill feelings towards others. A true Muslim would be deeply impressed by this brotherly and spiritual assembly, and would overcome hidden ill feeling if s/he has been exposed to any. Consequently, s/he would find themselves moving along with others responding to the spirit of the Day to purify heart and soul. In any case, s/he would forgive those who might have wronged them; because s/he themselves would be praying to God for forgiveness, and would do their best to acquire it. The spirit of this highly devotional assembly would teach Muslims that forgiving others would earn forgiveness for themselves. And when one forgives, the virtue of forgiveness will be mercifully exercised by God, and widely exchanged between the Muslims. And that marks the Day as a Day of Forgiveness.
(h) Each 'Eid is a Day of peace. When a Muslim establishes peace within his/her heart by obeying the Law of God and leading a disciplinary life, s/he has certainly accomplished a most enviable treaty of peace with God. Once a person is at peace with God, he is at peace with himself/herself and, consequently, with the rest of the universe. So when Muslims celebrate 'Eid in the right manner, they actually celebrate a Peace Treaty between themselves and God, and this marks 'Eid as a Day of Peace.
God clearly mentions that the real intention or the inner motivation of sacrifice, rather than blood or meat, goes to Him. Behind all these activities, the basic and only purpose is to please God, though some Muslims fail to appreciate the actual significance of the sacrifice. Muslims should bear in mind that sacrificing animals on Eid occasion for any intentions (like showing off their wealth by sacrificing high-priced animals or showing pride, pomp and grandeur) other than pleasing God would eventually reinforce a clear segregation and polarization between rich and poor, whereas the real spirit of sacrifice is to bring about a convergence between rich and poor of the community.
Exchange of gifts during Eid is a good thing, and has been encouraged, but the danger lies when the whole celebration gets a colouring of commercialization and profit-making rather than social cohesion. The different business institutions, rather than one’s moral code and individual choice, now determine what to buy and what to wear. Eid advocates for a caring and sharing society with utmost community feelings, though it cannot be denied that many people miss the real significance because of their mixing it up with parochial and narrow mentality.

‘How perfect You are O Allah, and I praise You. I bear witness that none has the right to be worshipped except You. I seek Your forgiveness and turn to You in repentance.’