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November-December . 2024 | @ Halal
Cover Story
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Leading the way
Aiming high , the Halal Industry Development Council ( MPIH ) strengthens Malaysia ’ s position as a global halal hub
THE halal industry has evolved into one of the most dynamic and rapidly growing sectors globally . With an increasing demand for halal-certified products and services , countries are positioning themselves to lead in this highly competitive market .
Malaysia , already a recognised leader in the halal industry , continues to refine its strategies to ensure long-term dominance .
The Halal Industry Development Council ( MPIH ), chaired by The Deputy Prime Minister of Malaysia , Dato ’ Seri Dr Ahmad Zahid Hamidi , plays a pivotal role in shaping the nation ’ s path forward .
By fostering innovation , protecting vital industry knowledge , and ensuring inclusive growth , MPIH is working to secure Malaysia ’ s place at the forefront of the global halal ecosystem .
KNOWLEDGE SHARING
The halal sector in Malaysia is taking a more calculated approach in an era when industries are increasingly open to sharing information and best practices .
In an exclusive interview with @ Halal , Zahid noted : “ Our competitive edge should remain within our borders , protecting the knowledge and technologies that have enabled Malaysia ’ s leadership in the halal ecosystem .”
This selective approach allows Malaysia to safeguard proprietary insights while cultivating a halal ecosystem that remains innovative and resilient .
“ We are open to sharing our leading halal ecosystem with other nations , but some strategic advantages need to remain within Malaysian companies to ensure their resilience ,” he added .
MPIH ’ s approach aligns with Malaysia ’ s broader economic policies and aspirations , as laid out in the New Industrial Master Plan 2030 ( NIMP 2030 ) and the Twelfth Malaysia Plan ( RMKe-12 ).
These plans aim to elevate Malaysia into a high-income , advanced nation by focusing on key sectors , including manufacturing , technology , and services . Within this framework , the Halal Industry Master Plan 2030 ( HIMP 2030 ) serves as the nation ’ s blueprint for halal industry growth , outlining seven strategic thrusts and 23 initiatives to enhance the halal ecosystem further .
With the support of Malaysia ’ s Ministry of Investment , Trade and Industry ( MITI ) and the Halal Development Corporation Berhad ( HDC ), MPIH is tasked with ensuring that the industry ’ s growth supports Malaysia ’ s socio-economic development goals .
Together , these bodies foster a streamlined halal certification process , boost SME participation , and create international networking opportunities that allow Malaysian companies to capture foreign market share .
STRATEGIC RESTRAINT
In a competitive global industry , the halal sector ’ s potential for innovation is immense . However , balancing open information exchange with strategic restraint remains a challenge . Malaysia ’ s approach is to drive innovation through controlled information sharing , which Zahid emphasised as crucial .
He explained : “ Intellectual discourse on challenges and opportunities within the ecosystem promotes new ideas and innovations .
“ By selectively engaging in intellectual exchange , MPIH ensures that the industry remains vibrant while safeguarding sensitive knowledge that could give foreign competitors an advantage .”
To support innovation , MPIH prioritises the integration of science , technology , and innovation ( STI ) across the halal ecosystem .
This means that Malaysia is actively investing in research and development ( R & D ), encouraging product innovation , and exploring advanced technological applications , all of which are expected to transform the halal sector .
By establishing a knowledge platform equipped with market intelligence , MPIH aims to help halal businesses anticipate technological disruptions and adapt proactively .
Zahid , acknowledging the inevitable technological shifts across industries , including the halal sector , said : “ This ongoing trend is observed not just within the halal industry but in other economic activities as well . It is timely for science , technology , and innovation to be emphasised in the development of the halal sector moving ahead .
Dato ’ Seri Dr Ahmad Zahid Hamidi
“ By leveraging technological advancements , Malaysia is ensuring that its halal businesses remain competitive on a global scale , ultimately strengthening the national halal economy .”
MARKET INNOVATIONS
Through this approach , Malaysia aims to lead in halal market innovation while ensuring that technological advancements support the industry ’ s core values .
This includes efforts to enhance product quality , increase production efficiency , and meet evolving consumer needs .
He added : Technological advancement - especially in product R & D and business innovation - is one of the critical enablers of a thriving halal ecosystem .”
A crucial aspect of MPIH ’ s strategy is inclusive growth , which extends support to halal businesses in East Malaysia .
Given the logistical and economic differences between East Malaysia and Peninsular Malaysia , MPIH is working to ensure that East Malaysian businesses receive the same level of support and opportunity as their counterparts .
Zahid noted : “ Halal certification is an essential part of doing business in the halal sector , and an integrated certification process is vital for companies to succeed .
“ To achieve this , MPIH has integrated various government entities involved in halal certification , including JAKIM , MAIN / JAIN , and HDC , to streamline the certification process .
“ By creating an inclusive environment , MPIH is ensuring that more East Malaysian companies can become export-ready and capture global market share .”
FORWARD-THINKING
MPIH ’ s support extends beyond certification , with a strong focus on capability development for local enterprises .
By providing targeted resources and programmes , MPIH is equipping Malaysian businesses , particularly SMEs , to become competitive halal exporters .
This initiative is well-aligned with the government ’ s 2025 budget , which allocated RM20 million to build local business capacities in pre- and post-halal certification processes .
Zahid sees this support as essential for positioning Malaysia as a global halal hub .
“ Our goal is to increase the number of export-ready halal companies . This funding allows us to develop local talent and strengthen businesses so they can access international markets and meet global halal standards .
“ Through programmes aimed at skillbuilding and business expansion , MPIH hopes to empower SMEs , especially those in East Malaysia , to play a significant role in Malaysia ’ s halal industry .
By supporting technological innovation , promoting targeted knowledge-sharing , and prioritising inclusive growth , MPIH is helping Malaysia maintain its leadership position while preparing for future challenges .
As Zahid puts it : “ Our approach is to establish Malaysia as a global leader in the halal industry , strategically innovating while safeguarding the integrity of our ecosystem . “ Through these efforts , Malaysia ’ s halal sector is not only meeting current demands but also laying a foundation for sustainable leadership in the global market .” –