Unlocking the bigger potential of the Halal industry

In recent years, the Halal economy has expanded beyond the food and beverage market and has branched out to include other industries such as healthcare, cosmetics, pharmaceuticals, tourism, fashion, and logistics.

According to the Halal Industry Masterplan 2030, Malaysia has been a pioneer of the Halal industry for over 40 years with recent increase in domestic demand, although an estimated 80 percent of gap exists between demand and production of Halal products globally.

Within Asia Pacific, the Halal market is expected to grow by 75 percent, from US$1.6 trillion in 2018 to US$2.8 trillion in 2030, while Malaysia is expected to witness a 65 percent hike from US$68.4 billion to US$13.2 billion.

Haskell will be partnering with HDC on initiatives to further boost the country’s Halal industry to greater heights.

“We aim to transform the Halal ecosystem in Malaysia by providing a seamless integration of design and construction with conformance to Halal compliance set by the local authority,” Haskell’s APAC Operations Director, Matthew Schultz says.

The company’s experience in Engineering, Procurement, Construction and Project Management for the relevant sectors within the Halal industry, combined with HDC’s proficiency in Halal requirements and platforms is available to boost the Halal market.

HDC’s services include, Halal Integrated Platform, Halal Consultancy & Advisory, Halal Training Institute and Halal Parks.

“Being a global company, Haskell’s track record of excellence among our clients worldwide, with a solid 80% repeat customer base can facilitate the movement of local and global manufacturers looking to build their Halal facilities in Malaysia, with focus on clients in the relevant sectors.

That, combined with HDC’s expertise within the Halal market as well as the availability of resources of Halal investors via HDC’s platform, would hopefully be able to attract more business to dive into the production of Halal commodities thus pushing the industry towards a significant growth,” he says.

The partnership also aims to address the gap that exists among manufacturers especially within the Food & Beverage, Pharmaceuticals and Logistics industries looking to build a Halal-compliant facility. Both parties also aim to tackle a series of challenges and concerns through the partnership.

According to Schultz, when looking to be Halal-certified, there are certain set of standards and requirements to be met for a facility to be deemed as Halal. “These audits are typically conducted upon a completion of construction, leading to potential reworks on areas that fail to meet requirements,” he says.

Haskell and HDC aims to tackle this by working together in providing customers a seamless execution model – from design to construction via integration of Virtual Design Technologies into the design phase to monitor progress at every stage to ensure compliance to the Halal standards prior to commencement of construction, ultimately leading to a shorter construction schedule.

Additionally, site selection is also proving to be a rising challenge. This, however, can be tackled through HDC’s promoted Halal parks. Clients looking for a suitable location for their Halal project has the option of building their facility in HALMAS accredited Halal industrial parks.

In total, there are 14 Halal Manufacturing Parks throughout Malaysia under HALMAS, each having its own unique value proposition to offer to potential investors.

These Halal parks, Schultz says, have been accredited based on several facets, including but not limited to, cleaner production, pollution prevention, energy efficiency and green design. Building a Halal facility in parks listed under HALMAS, are for manufacturers looking to preserve the integrity of Halal products.

Together, both parties through the partnership aims to promote these Halal parks to customers and further encourage the manufacturing of halal products. Manufacturers looking to build in these accredited parks are provided with a wide range of incentives – from tax exemption to deduction of incurred expenses.

“Haskell, with their wide-range of capabilities that extends to also include Consulting services, will work together with HDC to ensure that customers receive the best solution for their Halal manufacturing needs; beginning from the site selection process to having a complete, Halal-compliant facility,” he says.

And in their attempt to raise awareness on the Halal market, both Haskell and HDC will be collaborating to provide seminars, webinars, as well as joint publications with the aim to raise awareness on the latest manufacturing trends within the Halal industry.

“Our events and publications targeted for Halal Manufacturing awareness also aims to familiarize the public, especially manufacturers, on the requirements of a facility to be Halal-certified.  This initiative hopes to attract manufacturers to learn more about the industry and spike their interest to explore Halal manufacturing and contribute to the robust growth of the Halal market in Malaysia,” Schultz concludes.

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