Ningxia and Malaysia Reach an Agreement to Explore Halal Investment

January 4, Kuala Lumpur (Xinhua) - China's Ningxia Guanghe Textile Industry Bureau, a provincial agency promoting light industry, reached a cooperation agreement last Friday with Malaysia's so-called East Coast Economic Region to explore world Halal industry investment opportunities. The agreement, signed in Pahang, Malaysia, covers manufacturing, Halal certification, logistics, information-sharing policies, and industry-oriented R&D: from processed food and beverages to drugs, Muslim clothing and cosmetics. An ECER spokesperson told Xinhua reporters that the agreement is now at a preliminary stage, and specific details of the cooperation will be announced next month when Prime Minister Najib Razak launches a Malaysia-China joint industrial park in Kuantan. ECER is an economic development corridor on the east coast of Peninsular Malaysia involving four states. The 66,000-square-kilometer economic zone houses three Halal industrial parks, creating USD 2.13 trillion in revenue for Islamic goods and agricultural products and making a huge contribution to the global Halal market.

"There is also an International Halal Highway to promote the cross-border circulation of products and services. The MoU will promote bilateral trade between Malaysia and China and enable ECER and Ningxia province to strengthen the construction of this lucrative highway representing both sides' respective positions," said ECER CEO Jebasingam Issace John. He added: the economic zone will share with Ningxia partners its expertise in successfully planning and developing Halal industrial parks. The Ningxia Hui Autonomous Region, home to about 11% of China's 20 million Muslims, has been designated by the Chinese government as a production base for Halal food.

Second Article

Business Times, Fahirul N. Ramli

Kuantan: Pahang is set as a regional Halal hub under the collaboration between the East Coast Economic Region Development Council (ECERDC) and China's Ningxia Guanghe Textile Industry Bureau (NLTIB). The Ningxia Hui Autonomous Region, located in north-central China with a large concentration of Muslims, is the government-designated production center for Halal food products. With the development of socio-economic and industrial monitoring, NLTIB became the regional authorized agency. Menteri Besar Datuk Seri Adnan Yaakob said: the scope of cooperation will cover manufacturing, business support, Halal certification, warehousing and logistics, information-sharing policies, and research and development.

"Target industries include Halal meat, biological products, drugs and Muslim clothing." Pahang is positioned for priority development of the Halal industry for agricultural products. "We have various commercial agriculture and farms, all of which can benefit from this project," he said yesterday after witnessing the signing of the MoU between ECERDC and NLTIB. Adnan said the cooperation strategy will help improve employment and the development of entrepreneurs who eliminate poverty. ECERDC CEO Datuk Jebasingam Issace John said the agreement will promote trade between the two countries and enable ECER and Ningxia province to strengthen the construction of the lucrative International Halal Highway. According to the World Fair Trade Organization, the global Halal market is expected to grow by USD 2.13 trillion (RM 6.49 trillion) annually in the US, he said.

A Chinese delegation of seven members, including Wang Jing, director of the Investment Promotion Bureau of the Ningxia Hui Autonomous Region Department of Commerce, also visited the 80-ha Gambang Halal Park (GHP) in a special economic zone near ECER. With infrastructure - warehousing, transport and logistics services and facilities - GHP obtained the international HALMAS certification commissioned by the Halal Development Corporation of Malaysia, producing quality, integrity and safety Halal products meeting certification standards. Following previous efforts to strengthen inter-country ties, the latest cooperation established the Malaysia-China Kuantan Industrial Park (MCKIP). Prime Minister Datuk Seri Najib Razak announced the establishment of MCKIP last year to reciprocate China for a joint-venture project with Malaysia, reserving a 55-square-kilometer plot of land in Qinzhou, Nanning.

GHP and MCKIP are scheduled to launch in March.