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Halal board to boost export market, int’l standards for RP-processed foods

Cagayan de Oro City (27 August) — Aware of the huge market potential of halal products here and abroad, the Muslim Mindanao Halal Certifying Board, Inc. (MMHCBI) will meet here on Thursday (August 28) with the Northern Mindanao Poultry Growers’ Association on compliance with the Philippine Halal Standards in food and non-products preparation.

Ustadz Esmael Ebrahim, spokesperson for the MMHCBI, said the meeting will be held at the Pearlmont Hotel, Limketkai Drive this city.

The MMHCBI, the Philippines’ halal certifying body based in the Autonomous Region in Muslim Mindanao, will conduct a briefing on the religious and technical aspects of producing halal foods with representatives of prominent industry trademarks in attendance. Expected to attend the food certifying meet are members of the Mindanao Poultry Growers’ Association, particularly, San Miguel sister company Magnolia, Swift, Bounty-Agro Ventures, Inc. Fresh and Vista de Rio Farms.

Food companies have sought to enrich their technologies’ research and development for a market expansion that has to have strict compliance with the Philippine Halal Products Standards. By doing so, they are aiming for a fair share in the global halal market, now worth $ 150 billion in international food trade statistics.

Poultry production is fast becoming an investment opportunity in ARMM the BIMP EAGA and other parts of the country. Muslim countries, such as those of the Middle East have high demands for Halal products, meaning those that are processed in accordance with Islamic laws and tradition.

Being certified halal products by the MMHCB (for both food non food products like cosmetics, pharmaceuticals, etc.) will mean such products are good for Muslims and non-Muslims alike, because ‘halal certification’ means international health standards are complied with. These standards are: HACCP (hazard analysis critical control for products); GMP (good manufacturing practices (both prerequisite BFAD certification) and ISO (International Standardization Organization)

The MMHCBI, which crafted the Philippine Halal Products Standards, is composed of five muftis (Guardians of House of Opinion) of the ARMM provinces and food technologists, chemists, nutritionists and scientists of widely-recognized erudition in their fields of expertise on both the Islamic Sharia law and food science.

Local Governance Support Program in the ARMM (LGSPA) has aided the MMHCBI in numerous areas of capacity-building and institutional linkages, resulting among others to the crafting of the Philippine Halal Standards and its acceptance by Muslim religious authorities and food experts here and abroad. LGSPA is the capacity-building program of the Canadian International Development Agency (CIDA).

The MMHCB has also had the recognition of its equally reputable counterparts in Malaysia and Thailand with which it had entered into memorandums of understanding and agreements for a continuing working cooperation.

Ebrahim said the August 28 meeting, convened here by the Mindanao Economic Development Council (MEDCo), will also be attended by officials and representatives of the Department of Trade and Industry in the ARMM, the Department of Agriculture and Food in ARMM; the ARMM Regional Board of Investment, and national officials of the Department of Agriculture, the National Coordinator for Philippine Halal Industry Development and MEDCo officials.

In efforts at gaining for the country a share from the huge global market for halal, the meeting has been organized by the Department of Agriculture in Region 10, through DA Region 12 Assist. Director Ismael Mustapfa, the government’s national coordinator for its Halal Industry Development Program.

source : http://www.pia.gov.ph/default.asp?m=12&r=&y=&mo=&fi=p080827.htm&no=61

Brunei The Google Of Halal?

BANDAR SERI BEGAWAN, BRUNEI: “Can Brunei be the Google of Halal?” The question put forward by the leader of a global open source community project called ADempiere Bazaar based in Berlin, drew plenty of intrigue and interest from the audience during an international halal market conference in Brunei.

Introducing the concept of ‘halal software’ to an audience for the first time, ADempiere Bazaar’s Redhuan Daniel Oon said it rings an opportunity for Brunei to position itself to become the ‘Google’ among the Muslim nations in new applications built upon successful open source applications.

“What Brunei can do in the sense of becoming a ‘Google’ is that it can specialise in something and give a brand promise to the market. What Google promised was ‘I’m faster’. So Brunei can say something like, ‘I’m cleaner,’ or ‘I’m more focused because I’m not doing anything else,” he said. Redhuan, an advocate of the link between halal and open source, said the concept of ‘halal software’ is not just about software to support the halal industry but also about the handling of the software itself. (By HADI ADI DP MAHMUD/ The Brunei Times/ AsiaNews)

source : http://www.mysinchew.com/node/15367

McDonalds Opens Store In New York City For Only Halal Food

McDonalds fast food organisation has opened its first store in New York that will sell only Halal Food. They have made two delicous new burgers made with Halal meat called the McHal and the McLamb.

The McHal will cost only 99c and comes with a gaurantee that it has been made in the Halal way. The McLamb is going to be the bestseller!

Islamic people prefer to eat Halal food. (It means “allowed”) The animal has to be killed in an exact way not like in Western countries.

The McHal will be very popular with the New York Moslem people who will visit the store for breakfast lunch and dinner for their meals. Some were outside the shop today. One said

“We cant wait to eat the American food with ‘Islamic twist’. It smells great!”

source : http://www.thespoof.com/news/spoof.cfm?headline=s2i38589

Taiwan group keen to invest RM1.4bil in halal park

SARIKEI: A Taiwanese group is keen to invest RM1.4bil in organic farming and food processing activities in the Tanjung Manis Halal Food Park near here.

Sarawak Timber Industry Development Corp (STIDC) chairman Datuk Seri Awang Tengah Ali Hassan said the group was one of the four investors who had indicated their interest in the park, which was one of the four designated halal parks in the country.

Tanjung Manis, a new self-contained timber industry based township in the state central region, is managed by STIDC.

The other investors keen to invest in the park are Dubai World, an Arab group eyeing opportunities in port management services; the Khazanah group and a Japanese/Arab group keen to develop golf and resort facilities and high-end housing, Awang Tengah told Bernama in an interview.

“The Khazanah group is setting its sight on developing a 1,000ha site for herbal and fruit plantations,” he said.

Elaborating on the Taiwanese group, Awang Tengah, who is also Second Planning and Resources Management Minister, said they had asked for a 2,500 ha site for their activities.

“They are more into bio-tech prawn farming, eel and marine fish farming, chicken and egg production and health food production,” he said.

Meanwhile, he said the Government would spend RM4.9bil to develop the 9,000ha park.

He said a bulk of the expenditure – RM4.1bil – would go to preparatory work, RM376mil for its infrastructure development while electricity and communication facilities development would cost RM268mil.

When it is ready in 2012, the park will be the biggest of the four halal parks in the country.

“The new development will transform its image from originally a timber based industrial town into a hi-tech food production area,” he said.

Awang Tengah also said a RM360mil fisheries port, a RM100mil oil palm refinery complex and a RM150mil central oil distribution terminal would be three other mega projects in the area.

He said Tanjung Manis too would also house its share of the shipbuilding industry in the state with a site of 142 ha designated for it.

He said a local company had been tasked with developing its RM50mil ship repairing and building industrial zone, which would cater mainly to ocean going ships and vessels.–Bernama

source : http://biz.thestar.com.my/news/story.asp?file=/2008/7/5/business/21748001&sec=business

RP’s halal industry movers eye retailers’ participation

THE government agencies have unified to further strengthen the halal industry in Mindanao through initiatives aimed at attracting more players even from the retail sector.

“They shall be assisted in creating a niche in the global halal market by making their products highly compliant to both Shariah and science requirements to ensure product-acceptability in the international market,” said Laidan, who recently spoke at the 3rd World Halal Forum in Malaysia. (BSS)

source : http://www.sunstar.com.ph/static/gen/2008/06/09/bus/rp.s.halal.industry.movers.eye.retailers.participation.html

Abu Dhabi building platform to create globalised standards in Halal industry

Abu Dhabi is building a solid platform to create globalised standards in the Halal industry, a rapidly expanding business now reaching 1.8 billion consumers worldwide and worth an estimated US$2.1 trillion.

While Malaysia and Brunei have well established regulatory bodies to verify products that are Halal compliant, and levels of protection are in place in countries like the UAE and Saudi Arabia, there is a growing demand for a universal standard across all Halal products.

Meeting that demand will require a major combined effort between the industry and government authorities. Abu Dhabi’s role in creating and developing a comprehensive Halal trade event, bringing together major players and experts from around the world, was highlighted today as an important catalyst.

Organisers IIR Middle East announced that the second edition of Halal World Expo, the GCC’s leading event dedicated to the global Halal industry, will take place at the Abu Dhabi National Exhibition Centre from 11-13 November, 2008.

In making the announcement the company said it was being encouraged by the Abu Dhabi government to ensure the event placed an emphasis on discussion and debate which can help reinforce moves to set up globalised standards for the Halal industry.

“Following on from the event’s successful launch last December, the government sees this year’s exhibition as another crucial step in increasing the role the UAE plays to meet the demand from Halal consumers worldwide,” said Christine Weaver, Exhibition Director for Halal World Expo.

“It will give national industry leaders the chance to work together with global professionals from countries such as Malaysia, South Africa, Brunei, Saudi Arabia and Indonesia which have Halal compliance systems in place.

Added Weaver: “It is often taken for granted that processed food and products available in supermarkets of an Islamic country like the UAE are fully Halal compliant unless stated as being for ‘non muslim’ consumption or use.”

“While there are currently systems in place to protect consumers in the UAE, the rapid growth pattern in the Halal consumer market means there is increasing demand for a globalised standard across all Halal products.  A universal standard will provide consumers with peace of mind when making buying decisions which are directly related to their lifestyle and beliefs.”

At a time when the UAE is set to capitalise on the growing Halal cosmetic market, currently worth an estimated Dhs2.06 billion worldwide, the diversity of the Halal industry will be highlighted by Halal World Expo.

This year’s event is introducing an Islamic Finance Pavilion to give particular emphasis to Shari’ah compliant financial services, a sector worth between US$200 and $500 billion annually and of growing interest for world financial markets. The exhibition will also focus on Halal lifestyle products, including Islamic fashion, cosmetics and other health care products, for which there is a growing demand in the UAE and other parts of the Middle East.

With its dense concentration of Muslim consumers, the Middle East is one of the premier users of quality Halal products, and there is huge potential for the Halal industry to produce and distribute high quality, regulation certified Halal products throughout the region.

In the UAE, 80 per cent of imported food is Halal, with products coming from countries such as Brazil and Australia, the latter exporting 43,071 tonnes of mutton, 17,685 tonnes of lamb and 3,312 tonnes of beef to the Middle East in 2006.

Last year the Emirates accounted for 7.77 per cent of the world’s lamb and beef imports and 15.38 per cent of all poultry imports, second only to Saudi Arabia.

The UAE is a major Halal industry hub, importing and channelling an estimated AED550 million worth of Halal merchandise each year, and the Gulf region as a whole has a huge requirement for Halal food.

Brazil is currently one of the biggest exporters of meat and agribusiness in the world, and a substantial percentage of its exports are Halal products.  Close to 70 per cent of its exports of one million frozen whole chickens to more than 100 countries is Halal-certified, and most of these go to the GCC countries.

The second edition of Halal World Expo takes place at the Abu Dhabi National Exhibition Centre from 11-13 November 2008.

source : http://www.albawaba.com/en/countries/UAE/228562

Bringing fresh perspective to global Halal market

A two-day International Halal Market Conference, with the visionary theme ‘The Emergence of the Halal Market Economy’, will be held on August 16 at the International Convention Centre. Held in conjunction with the 3rd International Halal Products Expo (August 14-18), it is set to bring a fresh perspective to the global Halal market.

As more related industry stakeholders are realising the importance of the maturing halal market, the industry has already diversified into Islamic finance, eco-tourism, logistics, pharmaceuticals, software development and scientific research, joining the huge market for food and personal care products.

With these new developments, Brunei’s focus on the emerging Halal Market Economy is vital in bringing a new integrated perspective to the market; a holistic approach that will carry a new level of understanding for public and private sector decision-makers as to how the market is likely to develop.

The areas of common interest and interaction between the related market sub-sectors is now being recognised as the new growth areas in the Halal market.

As an indication of their commitment to developing their own position in the global Halal scene, Brunei Darussalam has engaged Halal market specialists Imarat Consultants Sdn Bhd to assist the Ministry of Industry and Primary Resources with this year’s conference.

With experience in Southeast Asia, the Middle East, Europe and North America, Imarat Consultants has a growing reputation as industry leaders in Halal market intelligence and strategy development.

Brunei’s moves to diversify their economy away from over-dependence on oil and gas has led to increased development of their own Islamic Finance, Halal industry and Eco-tourism sectors.

As a Malay Islamic Monarchy that is developing its own economy along Syariah-compliant lines, Brunei Darussalam is well placed to be hosting the first conference to examine the subject of the Halal Market Economy and the role that this new market paradigm will play in the coming years.

source : http://www.brunei-online.com/bb/wed/may28h19.htm

Global sukuk market to reach $200bn by 2010

Appetite for Islamic bonds is growing at an unprecedented rate due to the support of regulators and governments in the Gulf and Muslim Asia. And the sukuk market is expected to reach $200 billion (Dh734.61bn) by 2010 on the back of Gulf oil wealth and sovereign debt sales by the United Kingdom, Japan and Thailand, said a report by Damac Capital International.

Between 2006 and 2007, the market for sukuk more than doubled, reaching $62bn – up from $27bn. From 2001 to 2006, sukuk grew by a compound annual growth rate of 123 per cent, the recent report found.

The increasing acceptance of Islamic finance applications – which are becoming more of a global phenomenon – has played a major role in this rapid growth. Currently, the Islamic banking and finance market is worth more than $500bn and is growing at 15 to 20 per cent annually, Hany Hussein, vice-president and head of asset management and equity research at Damac, told Emirates Business.

“Affluent Muslim investors are looking for some serious investment options that comply with Shariah,” he said. “It is estimated that 20 per cent of Muslim investors, with billions to invest, would now spontaneously choose an Islamic financial product over a conventional one with a similar risk-return profile.”

Mohammad Faiz Azmi, global Islamic finance leader at PricewaterhouseCoopers, said Islamic finance is no longer just a niche market and is now considered mainstream. “If you look at the region, most of the funding is through sukuk and not through commercial bonds,” he told Emirates Business.

“Sukuk are shooting throu-gh the roof,” he added. “The middle class’s demand is driving Islamic finance. Now that they have money, they want choice. If they can invest money, then why not do it in a halal way? Now you see sukuk that are almost always oversubscribed. It is because while there are many interested in halal products, there are not so many halal products being offered.”

As per Moody’s estimates of the Islamic finance market, 50 sukuk worth $19bn came to the market from the Gulf last year, with 28 in Bahrain, 12 in the UAE, five in Saudi Arabia, four in Kuwait and one in Qatar.

The UAE’s sukuk market, which registered only seven transactions in 2006, has thus increased by 70 per cent up in one year alone. Volume issuance of UAE sukuk rose by nearly 27 per cent to reach $11.1bn. Moody’s report noted the majority of issuance came from the financial services and real estate sectors, including sukuk transactions from DIB, JSL, Dubai Investments, Aldar and a residential ABS transaction from Tamweel. In 2007, three UAE sukuk, amounting to more than $1bn each, were issued by JSL and DP World.

According to the report by Damac, more countries are issuing sukuk, and there are expectations other non-Muslim countries will enter the field. In 2007, 10 countries issued sukuk, as opposed to only two in 2001.

The UAE and Malaysia continue to be the two main locomotives of sukuk issuance. More than $25bn of sukuk or 75 per cent of all sukuk issued in 2007 originated from these two states.

Standard & Poor’s has said it expects them to continue to be the giants in the market. However, analysts hope the Gulf will eventually adopt the Malaysian model of a single national Shariah board overseen by the government, rather than individual banks maintaining their own boards.

But for Azmi, there is no right or wrong model. “It’s what the investors want that matters,” he said, adding Malaysia – where 56 per cent of the world’s sukuk issues originated – is talking to the Middle East about creating a banking model that could span the two regions.

He said: “In 2002, we made a major decision in Malaysia that rather than just make products acceptable to ourselves, we started reinventing some other products to make them acceptable to the GCC. So there were two sukuk and that was unusual because for the first time they used a different basis [global Shariah] that was acceptable to the GCC. Now in Malaysia we have two types of bond, one is called the local Shariah and the other is called a global Shariah.”

The West is also upbeat about joining the sukuk bandwagon. The UK has set out plans to become the first Western government to issue sukuk this year. There has been a lot of discussion and preparatory work done by Her Majesty’s Treasury specialists and various Islamic finance experts from the City of London prior to the launch. London has already been named as a leading financial centre with regard to Shariah-compliant finance and experts agree it is currently the strongest European centre for the industry.

Kitty Ussher, MP and economic secretary to the Treasury, said on the sidelines of the Norton Rose Women in Islamic Finance Summit in London that the UK was “keeping up the momentum”. While she was unable to give a date as to when the UK would issue a sovereign sukuk, she said the response to a consultation paper finished in April would be published on June 2.

Financial analysts agree a major challenge in Islamic finance is the lack of standardisation and homogeneity. Because there is no single interpretation of Islamic law, each financial institution has a board of religious scholars who determine which products are Islamic. And what one bank considers Shariah-compliant may be unacceptable for another.

Azmi shrugs off this argument saying differences should not come as a surprise. “In anything that is used by different countries, inherently there will be some interpretation challenges. But the interpretation issue is not unique to Islam. There are examples from the conventional world where they cannot get it right, either.”

Currently, the key issuers are corporations and financial institutions who view sukuk as a source of stable funding for their long-term projects and as a remedy for their maturity gaps.

According to Hussein, financial institutions and governmental agencies were the first to tap the market and accounted for 58 per cent and 42 per cent, respectively, of the total issuance in 2003.

As of 2007, corporations’ share of the sukuk market has amounted to a significant 71 per cent. The share of financial institutions and governmental agencies am-ounted to 26 per cent and three per cent, respectively.

“Companies issue sukuk to diversify their source of funding and to benefit from the strong demand for Islamic finance products,” Hussein said. “Sukuk issues have ranged from the simple sale and leaseback [Ijara] structures, such as the $1bn Dubai Department of Civil Aviation sukuk issued in 2004, to the $2.53bn trust finance sukuk structure issued by Aldar Properties in 2007, demonstrating the flexibility of Islamic finance principles.”

Largest islamic bank to open in June

The UAE’s largest Islamic bank will be launched in Abu Dhabi on schedule next month with a capital of Dh4 billion and is already optimistic about performance, its head of personal banking said. Al Hilal Bank has obtained a licence from the Central Bank as a full Shariah-compliant Islamic bank and is in the process of setting up branches throughout the country, Mohammed Zaqout told Emirates Business. (Nadim Kawach)

source : http://www.business24-7.ae/Articles/2008/5/Pages/05292008_1e5715576a6f42acaf7e9b2b43301ee9.aspx

Tabung Haji to invest RM300 million in halal business

“The halal food sector has been identified as a new investment focus due to its potential returns,” group managing director and chief executive officer Datuk Ismee Ismail told reporters at the signing of a strategic alliance between TH and Silver Bird Group Bhd.

TH is currently involved in the property, plantation, real estate development and services sectors.

“We are open to more alliances in the food business, not only with listed companies but also with private companies, which will provide TH with the platform to compete regionally and internationally,” Ismee said.

He said the statutory body was currently holding 29.4 percent stake in bread maker Silver Bird, 9.89 percent interest in fast food chain operator QSR Brands, and 9.78 percent stake in food producer Lam Soon (M) Bhd.

Silver Bird will also produce a range of bakery and confectionary products to be marketed by TH under a new brand name which will be unveiled within the next two to three months, he said.

TH’s fund size currently stood at RM17.1 billion with more than 4.2 million depositors. It has about RM6.0 billion in equity investment in private companies as well as those listed on Bursa Malaysia.

Silver Bird’s group managing director Datuk Jackson Tan Han Kook said the alliance with TH will further reinforce the company’s position in consumer bread market.

“This arrangement will help us to enlarge our market share very significantly,” he said, adding that Silver Bird now has about 30 percent of the domestic bread market.

source : http://www.nst.com.my/Current_News/NST/Tuesday/NewsBreak/20080506150744/Article/index_html

Malaysia To Help OIC Formulate Halal Standards

KUALA LUMPUR, May 6 (Bernama) — Malaysia will help the members of the Organisation of Islamic Conference (OIC) develop OIC-based halal standards, a move which will likely pave the way for the evolution of global halal standards.

He said by adopting a strong standards culture like the non-OIC countries, it would be much easier for local manufacturers to enter into any market in dire need of good quality products and services. 

source : http://www.bernama.com.my/bernama/v3/news_lite.php?id=331016