Help for SMEs seeking halal status

KUALA LUMPUR: The Halal Industry Development Corp (HDC) has inked an agreement with Malaysian Islamic Development Department (Jakim) to provide training to small and medium size enterprises (SMEs).

HDC chief executive officer Datuk Seri Jamil Bidin said the partnership's aim is to assist SMEs when they apply for halal certification.

"Due to lack of awareness and knowledge, sometimes SMEs fail to comply to the requirement for halal certification, that's why application takes a long time. For example, they do not give enough information on the ingredients, on cleanliness and product safety," he said during a media briefing yesterday.

Also present at the ceremony were Deputy Minister in the Prime Minister's Department Senator Dr Masitah Ibrahim and Jakim director-general Datuk Wan Mohamad.

Under the agreement, Jakim will provide the halal certification while HDC will provide its expertise in four areas, namely training and consultancy, industry relations and linkages, knowledge sharing and information, and promotions.

The training modules include both food and non-food items: Halal Food Training Modules, Halal Cosmetic Training Modules, Halal Logistic Training Modules and Halal Pharmaceutical Modules, which is currently being developed.

"A majority of SMEs would appreciate getting more acquainted with the halal certification process and procedures. Obtaining the right information and knowledge sharing is the objective under this joint agreement," said Jamil.

The partnership will run for a period of two years. To date, HDC has conducted a total of 482 training sessions and a total of 10,066 companies have attended its training since the prog-ramme was founded in 2007.

The contribution of halal industry to the country's gross domestic product is expected to grow to 5.8 per cent by 2020 from less than 2 per cent currently.

The growth will be driven by a rising demand for halal products and services driven by 1.7 billion global Muslim population as well as greater awareness on the industry by non-Muslims due to safety and hygiene factors.

The local halal industry, currently estimated to be valued at RM15 billion, is growing at 5 per cent annually.

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