Eight-point plan to move halal industry forward

The World Halal Conference 2014, themed Global Food Security-the Halal Perspective, closed on 10 April with a raft of resolutions for growing the halal industry. Thought leaders and industry players alike have pledged to move forward on providing halal products and services on a sustainable basis. 

Delegates recognised weaknesses in the halal supply chain, including an imbalance in food production and distribution, and the inability for suppliers to meet global demand for halal products and services. 

"It is envisaged that over the next few years there will be a phenomenal 70-100% demand-increase for food, causing a mismatch between agricultural production capability and global demand.

"In our perspective study of this depleting supply of halal provisions, the countries affected are not just Muslim-dominated ones but includes non-Muslim countries as well. The global halal market is supported by 1.8 billion Muslims but the countries involved in the halal food production and export trade are only a handful and amount to a mere 20% of food production. What happens to the remaining 80% is also now our immediate concern," said Dato' Seri Jamil Bidin, Chief Executive Officer of Halal Industry Development Corporation (HDC).

Countries engaged in the production of halal food, products and supply include Thailand, Indonesia, China, Turkey and Malaysia. The halal supply chain is most active in the food and beverage sector (47%) but also includes a complete range of other products and services, such as pharmaceuticals, personal care products, cosmetics, alternative ingredients, shari'ah-compliant banking products and services, and logistics.

"To my mind this situation could be more heart-warming if more countries could join in the food production fray and close up the gaps in the food supply picture," added Jamil.
Delegates recognised the next steps required to centre-stage the areas of improving and fortifying the halal production and supply chain, and concluded the conference with an eight-point resolution plan:   

1. Affirm Malaysia's commitment to the application and implementation of halal standards and promoting it as a holistic way of life;
2. Enhance awareness and realisation on the interrelationship between 'halal' and food security;
3. Recognise the integral role of halal practices in food waste reduction, biodiversity enhancement, and safety of product consumption for a sustainable global food security system;
4. Exchange of experience and innovative ideas from various countries and reflect upon the approach taken in these countries to develop a seamless point-to-point supply chain;
5. Address the issues of food security through a normative framework as the essential reference to ensure an effective food distribution system;
6. Link Islamic asset-based and asset-backed banking instruments to the financing of the halal industry to realise true convergence of Islamic principles throughout the industry;
7. The power of branding should focus on the people's needs, for example, addressing nutritional needs, safety and wholesomeness; and
8. Recognise the continuous need for research and development and innovation to develop halal alternative ingredients which can fulfil the food supplies requirement for the halal market.

The World Halal Conference is organised by HDC and hosted by the Ministry of International Trade and Industry (MITI) of Malaysia. The two-day conference had attracted close to 1,200 participants and international delegates from 52 countries. The event is part of World Halal Week, which runs from 9 to 12 April. 

Photos of the conference can be viewed here.