Malaysia: "Halal" Is Not Only About Food

The halal industry has much more meaning beyond its obvious custom-related characteristics.

Halal authorization marks help Muslims make the right choices in their daily lives and benefit others; they have no other order and are bound to comply with the convention.

Malaysia has 13 halal standards, used not only to certify food and food-business premises, but also cosmetics, personal care, pharmaceuticals and logistics.

Compared with many countries in this region, especially those with large Muslim populations, this further consolidates the country's pioneering position in the global halal industry.

Halal Industry Development Corporation (HDC) CEO Datuk Seri Jamil Bidin said: most countries are just starting out, or have not yet moved beyond the food industry. In addition to the food and pharmaceutical industries, players in Malaysia's halal industry have also been actively producing halal vaccines, health products (dietary supplements and medicinal food ingredients), and equipment used in medical surgery. These industries have already seen all kinds of new products and developments. As for the nutritional food industry, there are some emerging large companies, such as a Malaysian chemical company, producing halal supplements. In the service sector, this industry focuses on halal logistics and healthcare; for example, we have KPJ Healthcare Berhad, which has been providing halal treatment options for patients.

Malaysia is the only country in the world whose halal industry development agenda is supported by the government, which means the existence of a unique ecosystem that allows synergy between the private and public sectors.

HDC CEO Datuk Seri Jamil Bidin said: 'In this ecosystem, we have private players focused on production, manufacturing and services, while at the same time, public institutions such as HDC and Malaysia's JAKIM promote and coordinate the industry's progress by providing certification and training. You won't see this kind of cooperation elsewhere in the world. In most countries, private enterprises will dominate their halal industry.'

JAKIM Halal Hub Director Datuk Sirajuddin Suhaimee said that since 2014, Malaysia has been producing halal pharmaceuticals (HPs) under halal certification. These seven schemes include food, logistics, manufacturing, cosmetics, slaughterhouses, consumer products (such as cosmetics) and pharmaceuticals. For each scheme, there is a dedicated team responsible for supervising the certification process, and they will cooperate with various industries. For cosmetics, we cooperate with the cosmetics, toiletries and fragrance association, and on the manufacturing side, we have the Federation of Malaysian Manufacturers. We cooperate closely, support and complement each other. For example, when they face problems with pharmaceutical products, we will work together to solve them, especially how to produce HPs,' he said.

Sirajuddin also said that the center also has a committee of experts and researchers from higher education institutions, who study all the controversies and problems encountered by the industry in meeting Malaysia's halal standard requirements. Another committee will propose a groundbreaking pharmacopoeia (an encyclopedia of HPs), expected to be published in 2020. The pharmacopoeia is not only a reference for industry players interested in producing HPs, but also a guide for consumers to make more informed purchasing decisions.

HDC CEO Datuk Seri Jamil Bidin said that the active efforts of halal industry players, including HDC, signal economic growth for the country, bringing healthy returns and creating jobs. Before HDC was established 10 years ago, everyone was talking about certification, but that alone did not bring economic returns, because it was just a process. In the years after HDC was established, we were able to see real returns to our economy, coming from the sale and export of products, job creation and investment.

According to Jamil, the halal industry contributes more than 7% to the country's gross domestic product (GDP). It also exported US$42 billion worth of halal products, attracted US$12 billion in investment, and created nearly 250,000 jobs.

He said that although there are already comprehensive standards, the country's halal certification system still has room for improvement to ensure its leading position in the global halal industry. Our system not only looks at the requirements of Islamic countries or Islam, but also focuses on health and safety aspects, which have long been part of our standards. However, the standard should also consider environmental issues, adopt fair trade measures, prevent child labor, and reach a level comparable to European standards. This is because, in halal toyyiban (permitted for consumption), the word 'toyyiban' means something wholesome, so this also means it is beneficial to different areas of the environment and society.