Halal Economic: Challenges and Emerging Opportunities in Malaysia

Abstract

The purpose of the paper is to investigate the challenges and opportunities for halal industries in Malaysia. Since the market for certified Halal products is developing robustly, both domestically and internationally and Malaysia has become the leader and centre of reference for the world. This research builds on existing research published in the Munich Personal RePEc Archive on challenges and opportunities in halal industry. In addition to an extensive literature review, four segment of halal categories were discussed in order to discover the challenges and opportunities with regards to halal industry in Malaysia. The results show that the future market demands and the competitive opportunities related to halal industry are the main motivators for Malaysia to undertaken the significant initiatives across regulation, trade and industry support to strengthen the status as a Halal hub in the trade-driven of Islamic economy. The early adopters for each of halal segments face several challenges such as ambiguous halal guidelines, lack of international halal certification, lack of collaboration among governing agencies (i.e. Jabatan Kemajuan Islam Malaysia (JAKIM) and Halal Industry Development Corporation), a lack of cost-effective standards and a general misunderstanding of halal practices. The findings of the present study may help government policy makers recognise the issues that should be addressed in motivating industries players to adopt halal practices. This study contributes to the advancement of knowledge on the challenges and opportunities of adopting halal certificate in Malaysia. Keywords: Challenges, Halal industry, Islamic economic,Opportunities

Challenges and ways forward for the Malaysian SMEs in the Halal food industry: a systematic review

“…The government is strategically focused on expanding its portfolio of Halal products to enhance Malaysia's standing as an international Halal hub. Positioned at the forefront of the Halal food market, Malaysia is a moderate and progressive Islamic country boasting over 3,500 food companies, contributing to a total production value exceeding USD 9 billion [63]. In line with this ambition and recognizing the need for comprehensive infrastructure, Malaysia has established special economic zones known as Halal Malaysia Industrial Parks.…”

“…Furthermore, with approximately 16 million Muslims in Malaysia showing a growing interest in authentic Halal products, the country can boost its export potential and domestic demand. Capitalizing on the increasing spending power of consumers in other Muslim markets is key [63]. The demand for Halal products extends beyond the Muslim world, driven by factors such as the healthy lifestyles of non-Muslims and the emigration of Muslims to countries where they are not the majority.…”

Halal Vocation Game: The New Edutainment For A Career Pathway In Halal Field

“…Recently, customers have expressed concern regarding the manufacturing method of halal products rather than merely purchasing products with the halal logo. As a result, in order to preserve and improve the reliability of the halal status assurance, the process of halal product manufacture must adhere to Halal standards (Nadzirah et al, 2020).…”