COVID-19 Direct Hit... Malaysia Finds Breakthrough Through Halal Exports

Food Certification for Plant-Based and Seafood Products
Expansion to $10 Billion by 2030
Support for SME Online Platforms Included

[Image source=AP Yonhap News]

[Asia Economy Kuala Lumpur Correspondent Hong Seong-a] Malaysia, a representative Islamic country in Southeast Asia, has decided to foster the halal industry as a core sector and presented a concrete blueprint. Halal certification applies to foods that Muslims can consume, including plant-based foods such as fruits, vegetables, and grains, all seafood such as fish and shellfish, and meat such as goat, chicken, and beef that are slaughtered, processed, and handled according to Islamic law. As the domestic economy was hit hard by the impact of the novel coronavirus disease (COVID-19), Malaysia has turned its attention to the halal industry, which can create stable demand targeting Islamic cultural regions.

According to local media on the 1st, the Malaysia Halal Industry Development Corporation (HDC) recently announced plans to increase halal product exports to $100 billion (approximately 118.3 trillion KRW) by 2030. Through this, the share of the halal industry in Malaysia's gross domestic product (GDP) is planned to rise to 11%.

The competitiveness of export companies will also be significantly strengthened. According to HDC, last year, the export volume of halal products was 40.2 billion ringgit (approximately 11.4 trillion KRW), with 1,800 halal product exporters. HDC has prepared support measures focusing on four areas: the Halal Integrated Platform (HIP), Halal Park, training, and consulting.

Accordingly, small and medium-sized halal product companies will be supported to build an online export ecosystem through the online platform, Halal Integrated Platform. The Halal Integrated Platform, to be launched in the first quarter of next year, will enable about 200,000 small and medium halal product companies to expand their overseas export channels online.

This plan is an extension of the halal industry master plan that the Malaysian government has been promoting. Previously, Malaysia established the 11th Malaysia Plan (2016-2020) in November 2016, aiming to become the global hub of the halal industry. According to the plan, the share of the halal industry in Malaysia's GDP is expected to increase to 8.7% this year, up from 7.4% last year. Related export volume is also expected to increase to 50 billion ringgit (approximately 14.2 trillion KRW).

Malaysia's halal product export value ranked 7th worldwide at 40 billion ringgit (approximately 11.36 trillion KRW) as of 2018. The country that purchased the most Malaysian halal products was Singapore, buying 4.6 billion ringgit (approximately 1.3 trillion KRW) worth. The order follows China (4.5 billion ringgit), Japan (2.5 billion ringgit), the United States (2.4 billion ringgit), Indonesia (1.9 billion ringgit), and India (1.6 billion ringgit).

This content was produced with the assistance of AI translation services.