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Local News
@ Halal | November-December . 2021
12th MALAYSIA PLAN
A major contributor Halal industry to contribute 8.1 per cent to nation ’ s GDP
ACCORDING to the 12th Malaysia Plan ( 12MP ) announced recently , the halal industry is predicted to contribute 8.1 per cent to the country ’ s GDP and produce RM56 billion in export revenue in 2025 , up from RM30.6 billion in 2020 .
As a result , the halal sector would be reinforced , allowing domestic halal industry participants to capture a more significant global halal market share .
“ Measures will be taken to boost the halal industry ’ s capacity and capability by encouraging the development of halal talent , establishing halal professional recognition , accelerating industry development , including Bumiputera participation , increasing product competitiveness , and positioning Malaysia as a global halal hub ,” announced Prime Minister Datuk Ismail Sabri .
The halal supply chain would be improved , and Malaysia would be promoted as a prime destination for halal investment through various international platforms , such as ASEAN , the Organisation of Islamic Cooperation ( OIC ), and chambers of commerce , to position Malaysia as a global halal hub , it said .
Local major firms and multinational corporations ( MNCs ) would use their regional networks and distribution channels to promote export-oriented products and services .
Existing distribution centres , including the Digital Free Trade Zone ( DFTZ ), Port Klang Free Zone ( PKFZ ), and halal e-commerce platforms , would also foster seamless halal supply chain connectivity , said Ismail Sabri .
“ By enhancing the function of halal parks to be more industry-friendly , it will attract new investments and expand current enterprises , while a holistic development approach will be employed to revitalise existing failing halal parks ,” Ismail Sabri stated .
In addition , incentives would be strengthened to encourage strategic partners to engage in halal-promoted products and services , including establishing a syndicated Islamic fund and a digital advising platform to give financial solutions to local and
By enhancing the function of halal parks to be more industry-friendly , it will attract new investments and expand current enterprises , while a holistic development approach will be employed to revitalise existing failing halal parks .” — Prime Minister Datuk Ismail Sabri
Prime Minister Datuk Ismail Sabri international businesses .
Ismail Sabri stated that , through collaboration with the sector , the halal occupational framework would be broadened to accommodate skill requirements in high-potential areas such as pharmaceuticals , cosmetics , and medical devices .
“ Accreditation and streamlining of academic programmes and training modules will be implemented . According to the Malaysian Qualifications Framework ( MQF ) and the National Occupational Skills Standards ( NOSS ).
“ Higher education and skills training institutes would be encouraged to offer more halal-related programmes to generate graduates with holistic halal knowledge and abilities ,” added Ismail Sabri .
Furthermore , engagement between governmental research institutes and the corporate sector will be bolstered to develop a pool of halal researchers and engineers , boosting the ability to provide high-value halal products and services .
According to Ismail Sabri , the Halal Professional Board ( HPB ), which is under the Department of Islamic Development Malaysia ( JAKIM ), will be restructured based on new regulations to broaden the accreditation of halal professionals for the global market .
Mechanisms related to halal professional practises , standards , codes of conduct , and competency assessment will also be identified .
Meanwhile , through implementing the Halal Sector Master Plan 2030 ( HIMP 2030 ), the industry will be further developed by leveraging domestic strength , primarily by increasing the participation of Bumiputera enterprises to improve industry competitiveness .
Halal services , such as halal ecosystem consulting , would be made available to interested countries , including non-Muslim majority countries , to boost Malaysia ’ s halal brand awareness .
“ The halal-related Malaysian Standard ( MS ) will be improved as a major enabler to boost product and service competitiveness ,” he said .
The industry rose by an average of 5.5 per cent per year under the 11th Malaysia Plan . At the same time , the value of halal exports increased marginally by 0.8 per cent per year from RM39.4 billion to RM40.6 billion from 2016 to 2019 .
However , the GDP contribution from activities focusing on developing halal standards and certification , branding and promotion , and commercialisation of halal products and services fell to RM92.7 billion in 2020 , while exports were RM30.6 billion .