HALAL ECONOMY

Exploring Malaysia’s Halal Food Market

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5 months ago

December 18, 2023

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By NURUL SUHAIDI

In Malaysia, the prioritisation of halal food is not seen as a burden but a fundamental aspect ingrained in our society as part of our cultural and majority religious practice that reflects a commitment to Islamic principles.

With the halal food lifestyle and demand for diverse and authentic dining experiences continuing to rise, the significance of obtaining a halal certification for restaurants cannot be overstated.

Navigating the halal restaurant market access is not only about meeting religious dietary requirements but also unlocking opportunities for wider market penetration, especially in the lucrative domain of export markets.

According to Halal Development Bhd (HDC) CEO Hairol Ariffein Sahari, engaging in halal food activities and values are fundamentally religious, they are not merely symbolic.

“This is because adopting halal values and perspectives is increasingly recognised by governmental organisations around the world, as well as by industry players and consumers.

“The rise in global tourism also has contributed to the demand for halal restaurants. Muslim travellers, in particular, seek dining options that adhere to their dietary requirements, creating opportunities for halal restaurants in popular tourist destinations,” he told The Malaysian Reserve (TMR).

Food businesses that embrace halal certification are winning in the export market as it provides them with global market access catering to the growing number of Muslim consumers worldwide.

The certification also will increase consumer confidence in the quality and authenticity of the food and products.

In addition, the halal certification adds to their competitive advantages as it allows Malaysian businesses to differentiate their products and services from competitors while making it easier for Malaysian food and beverage (F&B) businesses to navigate international trade agreements and regulations.

“Halal certification also enhances the credibility of F&B entrepreneurs and their products. It serves as a third-party verification of compliance with Islamic standards, building trust among consumers, retailers and business partners,” Hairol said in an interview with TMR.

Market Value

It is noted that the global Muslim population is growing, creating a larger consumer base for halal products. Estimates indicate that in 2030, global Muslim expenditure on the halal sector is projected to be worth US$3.5 trillion (RM16.34 trillion).

For the year 2022, Malaysia’s halal export for F&B was RM27.84 billion, an increase of 57.8% from 2021. This increase was due to the economic rebound and the overall trade improvement post-Covid-19.

Additionally, according to HDC, the global halal food market is quite promising as the market is forecasted to reach US$2.17 trillion by 2030.

Malaysia has very well-established halal standards that counter all sectors of food industries and the nation’s halal certification is recognised by the Department of Islamic Development Malaysia (Jakim) which is accepted globally, trusted and reliable.

Malaysia’s halal regulation also cannot be simply regulated by any organisation including the provider of halal training.

SIRIM Bhd is one of the technical committees in developing halal standards such as MS 1500, MS 2400, MS 2934, MS 2424, MS 2610, and MS 1900, and businesses may seek training, halal consultancy and explore deeper understanding and significance of having their business halal certified through those bodies.

In overseeing the halal training and consultancy, SIRIM halal department senior consultant Lizawati Mohamad Darwi said the demand for halal food is currently expanding worldwide, and in Malaysia, this is seen as a prerequisite for developing a business system and a foundation of the other system.

According to her, halal certification can streamline other restaurant business processes as it indirectly complements food safety standards such as Good Manufacturing Practice (GMP), Hazard Analysis and Critical Control Points (HACCP) and ISO which are required for food safety and security.

Not only that, given that the concept of halal emphasises not only halal sources but also in terms of hygiene in food production, most companies choose to integrate halal standards with other food standards that emphasise food safety and hygiene.

“For SIRIM, we can see the demand among food industries is increasing by the demand for training and consultancy service we received,” she said.

The increased demand is also due to the acceptance of Muslims only for halal-certified products to prevent “shubhah” or doubt resulting in them purchasing food with a clear halal logo on the label.

“Not only that, non-Muslims started to accept halal (status) due to the belief that halal also provides health benefits by consumption of good sources of food and well-ethical animal slaughtering or practices,” she said.

Product and Business Expansion Opportunity

Halal certification is important to build trust and confidence among consumers, leading to increased sales and brand loyalty. It is also a prerequisite for accessing Muslim-majority markets, which is impartial for exports.

Muslim-majority markets constitute a substantial portion of the global population and halal certification is a good starting point to enter the market, enabling more opportunity to expand product and business potentials.

The impact of gaining halal market access is also significant on the overall halal supply chain and ecosystem which assures that halal products are preserved from contamination hence influencing various stakeholders.

On top of that, the strategies to streamline the certification process benefit not only individual businesses but contribute to the overall efficiency and growth of the halal industry and are important to maintain the integrity of halal until it reaches consumers.

Global Halal Market Challenges

While halal certification plays a crucial role in expanding international market access, food businesses face challenges to meet the global halal standards especially due to the diverse certification standards across countries.

Different countries and regions may have their halal certification standards, including labelling, alcohol, emulsifiers and other food contents which lead to a lack of uniformity and difficulties to enter the export market.

“Businesses face the challenge of navigating and adhering to diverse requirements, making it complex and time-consuming to obtain certifications for multiple markets,” Hairol said.

Due to this, he added that the Malaysian government is currently promoting the principle of halal diplomacy to promote and ease the integration of international halal certification acceptance.

Additionally, the challenge is also in ensuring the entire supply chain complies with halal standards, especially for businesses operating in multiple regions.

“Maintaining consistency from raw material sourcing to production and distribution is crucial for obtaining and retaining halal certification,” he said.

Meeting halal standards also often requires thorough documentation and traceability throughout the production process. Maintaining accurate records can be a challenge and businesses must implement robust systems to track the source and handling of ingredients.

Apart from that, obtaining and maintaining halal certification can involve significant costs, including fees for inspections, audits and ongoing compliance. Whereas for small and medium enterprises (SMEs), the financial burden may be a barrier to entry into certain markets.

“To declare the product is halal, raw materials need to come from halal sources. Certain materials especially imported materials are more difficult to get the halal assurance,” Lizawati added.

Apart from raw materials, manpower issues and resources as well as the business process also pose challenges in maintaining the halal status for those who have obtained it, especially for the smaller food businesses.

Based on the regulations, the company is required to have at least two local Muslim workers in the production and operation. The high turnover among local workers often causes difficulties in complying with the requirements.

“To maintain minimum local workers sometimes is quite difficult, especially for small businesses. They tend to like switching jobs for better options. In that sense, it’s difficult for the company to maintain the local Muslim workers.

“Another challenge will be the auditing by Jakim where the department will conduct spot checks on the business to ensure they can maintain two Muslim workers in the production. Otherwise, it will affect their certifications,” Lizawati added.

Nonetheless, she said businesses need to be aware of the challenges, and requirements, and seek advice from relevant bodies to increase awareness to develop their product to ensure success and eventually contribute to expanding the halal market.

Navigating Halal Principles

GIVEN the growth of the Muslim consumer market, it is of utmost importance for restaurant owners who wish to cater to the Muslim segment to possess a comprehensive understanding.

Here’s how Malaysia’s restaurant and food and beverage (F&B) operators navigate the halal principle in attracting customers.

Mercure Kuala Lumpur Glenmarie GM Fariz Victor said there are no real challenges in coming up with a halal menu as the principle is to have all halal-compliant ingredients and products.

“Our traditional halal cuisine has been elevated by using only all halal-compliant ingredients and products which are then transformed into Western and/or international dishes infused with local and traditional elements.

“As we are not involved in the export market, the challenge in cooking the food for our guests is to ensure the ingredients are from halal sources and cooked in a clean and hygienic area,” he told The Malaysian Reserve (TMR).

The restaurant also builds relationships with halal suppliers and undergoes a stringent process where its halal and hygiene executive will check and verify that all ingredients and products from vendors are halal certified before purchasing the product.

Meanwhile, DoubleTree by Hilton Kuala Lumpur (KL) executive chef Gerald Chong said navigating the dining experience that caters to both halal and non-halal customers requires careful attention to diverse customers’ preferences and expectations.

Despite that, he said as a chef, it is increasingly important to push the boundaries of cuisine by exploring creative culinary techniques, incorporating diverse flavours and embracing global influences.

“Adhering to these principles in the business involves ensuring the entire food production process, from sourcing ingredients to the final product, complies with Islamic certification guidelines, certification of the product and process of handling as well,” he added.

Nonetheless, curating a menu or incorporating halal options into an existing restaurant while maintaining its specificity can present several challenges.

“Therefore, menu engineering needs to be straightforward without any speculation of ingredients or suspicious products.

“They also must be creative in adapting traditional recipes or creating new ones to cater to diverse tastes without diluting the uniqueness of the restaurant’s culinary identity,” Chong told TMR.

Overall, he said DoubleTree by Hilton KL maintains and builds relationships with reputable halal suppliers to cater to diverse guest needs with several specifications and quality enhancements from the chef.

“We have a halal committee who works alongside with our purchasing team to ensure we received the correct product specification, slaughterhouse number- ing and certification verification,” he concluded.

Adding further, KARLS Group’s Skillet KL co-owner and executive chef Raymond Tham said he believes everyone should able to come in to enjoy its foods, and businesses require a lot of halal menu research and development in providing halal options while maintaining their restaurant speciality.

“All our outlets are pork-free and use halal-sourced ingredients. We draw inspiration across Malaysia and some of the dishes are inspired by the classic dishes,” he told TMR.

“Most of the suppliers that we use have been around for many years. They also supply to international hotel chains in Malaysia. So, we are very sure they can guarantee the authenticity,” Tham added.

However, the group so far has no plan to obtain halal certification as many of their guests prefer to have alcoholic beverages to go with fine dining meals. Nonetheless, it might consider opening up a halal-certified outlet in the future.

To ensure compliance among staff in the halal food preparation and avoid cross-contamination, he said sufficient training is needed and the group takes responsibility to inform the guests if they ask.

“Most of our chefs graduated from culinary school. They already have the basics. All the guests who dine with us expect a good and memorable dining experience, from the friendly and welcoming service to the taste and presentation,” he concluded.

This article first appeared in The Malaysian Reserve weekly print edition

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HALAL ECONOMY

Top 8 Ways Halal Cosmetics Are Reshaping Fashion in 2024

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4 days ago

May 6, 2024

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By Aamer Yaqub

In recent years, the global cosmetic industry has witnessed a significant shift towards more ethical, sustainable, and inclusive products, with halal cosmetics emerging as a powerful trend reshaping fashion in 2024. This isn’t just a niche market anymore; it’s a burgeoning phenomenon that’s making waves across the fashion industry, influencing consumer choices and brand strategies alike. Here’s a look at the top 8 ways halal cosmetics are transforming the landscape of fashion today.

1. Expanding Consumer Base

One of the most significant impacts of halal cosmetics is their appeal to a broader audience. Initially targeted at Muslim consumers who seek products that comply with Islamic law, halal cosmetics have transcended cultural boundaries to attract non-Muslim buyers too. This broad appeal is largely due to the ethical manufacturing processes and the absence of harmful ingredients, which resonate with the growing global demand for cleaner, safer beauty products. This expansion is not just reshaping who shops for these products but also how companies market them.

2. Emphasis on Ethical Production

Halal cosmetics are not only defined by their compliance with Islamic law but also by their commitment to ethical production standards. These products are often cruelty-free, not tested on animals, and manufactured using fair labor practices, which appeals to ethically conscious consumers. As sustainability becomes a cornerstone in consumer products, halal cosmetics lead the way, showing how fashion and ethics can coexist harmoniously.

3. Boost in Natural Ingredients

At the heart of many halal cosmetic products is the use of natural and organic ingredients. Avoiding alcohol and animal-derived substances is a requirement for halal certification, which has encouraged brands to innovate with plant-based and mineral-based ingredients. This shift is significantly influencing broader fashion trends, as consumers increasingly seek products that are both ethically produced and beneficial for their health and the environment.

4. Influence on Product Transparency

Transparency is a big buzzword in the beauty industry, and halal cosmetics are at the forefront of this movement. Brands specializing in halal products often provide extensive information about ingredient sourcing, manufacturing processes, and supply chains. This transparency reassures consumers and sets a standard that many other brands are now aspiring to meet, thus reshaping expectations and demands within the fashion industry.

5. Enhancement of Brand Images

Companies that offer halal cosmetics are often viewed favorably for their inclusive and ethical business practices. This positive brand image can translate into increased customer loyalty and market share. As fashion brands seek to differentiate themselves in a crowded market, adopting halal principles can be a powerful tool for enhancing their reputation and attracting a diverse customer base.

6. Innovations in Product Offerings

The rise of halal cosmetics has spurred innovation across the beauty industry. From halal-certified nail polishes that allow water penetration for wudu (Islamic purification rituals) to breathable makeup that maintains skin health while meeting religious standards, these innovations are not only practical but also revolutionary, influencing broader beauty trends and consumer expectations.

7. Growth in Market Niches

Halal cosmetics have carved out significant niches in the beauty market, prompting even mainstream brands to develop halal-certified lines to cater to this growing demographic. This development is reshaping the competitive landscape, compelling brands to diversify their offerings and consider religious and ethical factors in product development.

8. Global Market Expansion

Finally, the global reach of halal cosmetics highlights the impact of globalization in the fashion industry. With major growth in regions like Southeast Asia, the Middle East, Europe, and North America, these products are fostering cross-cultural exchanges and broadening the global market landscape. Brands are not only selling internationally but also incorporating global influences into their products, which in turn influences fashion trends worldwide.

Halal cosmetics are more than just a compliance label; they are a movement towards more ethical, inclusive, and conscientious fashion. By addressing the needs and values of a diverse consumer base, promoting ethical production practices, and driving innovation, halal cosmetics are indeed reshaping the fashion industry in 2024. As this trend continues to grow, we can expect to see even more significant transformations in how products are made, marketed, and embraced by consumers around the globe. Whether you adhere to a halal lifestyle or simply seek more ethical beauty solutions, the rise of halal cosmetics is a development that offers exciting possibilities for everyone in the fashion ecosystem.

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HALAL ECONOMY

Sanctity of Hijab Being Undermined by the Liberal Media Globally

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1 week ago

April 30, 2024

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By Hafiz M. Ahmed

The hijab—a traditional headscarf donned by countless Muslim women as an emblem of their modesty and deep-rooted faith—has long captivated global media attention. Yet, despite its religious significance, the portrayal of the hijab in the media frequently strays far from its true intent. It’s disheartening to see such a profound symbol of personal and religious commitment often twisted into something barely recognizable. Let us unpack the troubling ways the hijab is misrepresented in the media and explore the ironic twist of how these portrayals can sometimes feed into the very issues of vulgarity and objectification they purport to criticize. The media’s approach is not just misleading—it’s harmful, reinforcing stereotypes and widening cultural divides. It’s time for a change.

Media’s Misrepresentation of the Hijab

The hijab’s portrayal in global media varies widely, but common themes often emerge that skew its intended meaning and significance:

Stereotyping and Sensationalism: Media often pigeonhole the hijab as a tool of oppression, ignoring the agency of countless women who choose to wear it for personal or religious reasons. This narrative is not only reductive but also erases the diversity of Muslim women’s experiences and identities. It fosters a misunderstanding of the hijab as something imposed rather than chosen, overshadowing the empowerment many women derive from wearing it.
Focus on Controversy: The hijab frequently appears in media stories related to bans or legal battles in Western countries, framing the garment as a point of contention rather than a personal article of faith. This focus on controversy rather than understanding reinforces negative stereotypes and places Muslim women who wear the hijab in a defensive position.
Sexualization in Media Portrayals: Ironically, while the hijab is intended to divert attention from a woman’s physical appearance and emphasize her character and values, some media portrayals sexualize the hijab. By focusing excessively on the hijab in contexts related to sexuality or freedom, these portrayals link the garment to the very vulgarity and objectification it seeks to avoid.

How Misrepresentations Promote Vulgarity

The paradox of the hijab’s portrayal in the media is that the misrepresentations can contribute to the societal issues they ostensibly critique:

Objectification: By framing the hijab as a symbol of oppression or sexual repression, the media inadvertently focuses undue attention on the bodies and choices of hijab-wearing women, thus objectifying them. This attention can strip the hijab of its intended purpose, turning a personal and spiritual decision into a public spectacle. And, it is happening in many places like France, America, and so many other countries.
Cultural Misunderstandings: Misrepresentations can lead to broader cultural misunderstandings and tensions. When the hijab is portrayed primarily through a lens of controversy or oppression, it perpetuates a view of Muslim women that is limited and often negative. This can hinder cross-cultural understanding and respect.
Increased Scrutiny and Harassment: The sensationalist coverage increases scrutiny and pressure on hijab-wearing women, making them targets for harassment or discrimination. Such outcomes are starkly at odds with the media’s purported advocacy for freedom and women’s rights.

Steps Towards Accurate Representation

For the media to better serve global understanding and respect for cultural differences, several steps can be taken:

Inclusive and Diverse Reporting: Media outlets should strive to include the voices of hijab-wearing women in their reporting, providing a platform for them to share their experiences and perspectives directly.
Educational Programming: Media professionals should be encouraged to participate in cultural competence training, helping them understand the diverse reasons behind wearing the hijab and the broader context of Islamic practices.
Highlighting Positive Stories: Focusing on the positive aspects of wearing the hijab and the success stories of Muslim women around the world can help counterbalance the prevailing negative stereotypes and provide a fuller picture of the hijab’s role in various societies.

The repeated misrepresentation of the hijab by the liberal media not only distorts public understanding but also challenges the dignity of countless Muslim women who choose to wear it. It is high time we question these portrayals and push for a narrative that respects and reflects the true values of modesty and faith embodied by the hijab. Let us know your thoughts. How have you seen the hijab portrayed in your community or media outlets? Do you believe these portrayals accurately reflect the intentions and personal choices of hijab-wearing women? Join the conversation below and share your insights. Together, we can foster a more informed and respectful discourse

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HALAL ECONOMY

Promoting Halal Entrepreneurship Among Students: Opportunities and Challenges

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2 weeks ago

April 23, 2024

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Today’s globalized world has made “halal” a huge corporate force, not just a religious term. Halal entrepreneurship is seen in food, cosmetics, medicines, and banking. It is a growing industry that offers great chances for new ideas and community growth. So, encouraging students to start their own halal businesses is becoming more popular as a key way to improve education and the economy. But what opportunities does this present, and what challenges do aspiring entrepreneurs face? Let’s dive in and explore.

The Rise of Halal Entrepreneurship

Understanding the Market

Halal entrepreneurship involves starting Islamic businesses. These businesses serve Muslims, but non-Muslims are increasingly drawn to them because they associate halal with ethical buying, quality, and sustainability. Fast market growth is fantastic. Global halal sales are likely to soar in the next years. But what does this growth mean for students and aspiring entrepreneurs?

A Platform for Innovation

For students, the halal market offers a platform for innovation. There are many opportunities to be creative and develop new halal-certified products and services for Muslim customers. Innovation goes beyond product creation. Their sale, use, and marketing matter too. New ideas and technology skills from students can have a tremendous effect.

The Importance of Good Writing Skills in Halal Entrepreneurship

Writing is crucial in halal business. Good writing skills get ideas across, persuade people, and create engaging product and service stories. They also go well with a business spirit. Students who wish to create halal enterprises must clearly and convincingly express their goals, ideals, and company details. This is crucial for business strategies, product descriptions, marketing materials, and daily interactions with buyers, partners, and investors.

In halal commerce, where morality and Islamic rules are paramount, precise speech is crucial. Students must describe their products and services, as well as how they follow halal rules and why. You must understand religion and audience expectations to do this. This requires clear, intentional communication. Strong writing abilities are essential to educate a wide audience about halal items and resolve any ambiguities.

Improving these writing skills is a continuous process, one that can be significantly enhanced with the support of experienced professionals. For students looking to excel in halal entrepreneurship, seeking assistance from EduBirdie essay writers for hire can be a game-changer. These experts can help you organize, persuade, and write clearly. Professional writers can help students persuade a wide audience by developing a business plan and marketing materials or improving their communication skills. Expert writing help may be essential in halal companies, where competition is tough and details matter.

Opportunities for Student Entrepreneurs

Bridging Tradition and Modernity

Halal company enables students to combine old values with current business practices, which is great for them. They must follow Islamic laws and use cutting-edge business and communication techniques to reach and help Muslims worldwide. By doing this, student businesses can help bring the halal market up to date and make it bigger.

Educational and Career Advancements

Students who take part in halal entrepreneurship get a one-of-a-kind learning experience that lets them deal with real-life business problems and use what they’ve learned in the classroom in real-life situations. In addition, this journey into entrepreneurship can make students’ resumes look much better, which can lead to job chances in the global halal industry and beyond.

Challenges in Promoting Halal Entrepreneurship

Navigating Regulatory Complexities

Student businesses in the halal sector struggle to label and market halal products due to the many regulations and certifications. These standards vary per country, making it difficult for students unfamiliar with halal licensing to learn rapidly.

Access to Capital and Resources

Halal startups need money and tools to get off the ground, just like any other business. However, it can be especially hard for students to get funding because they might not have the security or track record that investors and financial institutions normally look for. Furthermore, finding halal-compliant funding options adds an additional layer of complexity.

Overcoming the Challenges

Leveraging Technology and Networks

To overcome these challenges, student entrepreneurs can leverage technology and networks. Digital platforms can facilitate access to halal certification information, mentorship, and even funding. Additionally, building a strong network within the halal industry and the broader entrepreneurial community can provide valuable support, advice, and opportunities.

Educational Institutions’ Role

Educational institutions play a pivotal role in supporting halal entrepreneurship among students. By educating entrepreneurship and the halal industry, undergraduate and graduate schools may prepare students for the halal market. Students can also connect with lecturers, professionals, and investors through institutions.

Conclusion

There are many benefits and drawbacks to fostering halal business among students. When the halal market grows, creative, ethical entrepreneurs are needed more than ever. Students may establish outstanding businesses and make the halal industry more dynamic, open, and long-lasting by seizing chances and overcoming challenges. Halal business owners confront many hurdles, but the rewards can be great if they are ready.

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