Halal Goes Global
Halal_Goes_Global-web(1)
Halal_Goes_Global-web(1)
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xii<br />
Generally, a regulatory framework comprises the following elements:<br />
• Definitions, guidelines and standards<br />
• Auditing and certification<br />
• Accreditation<br />
A more coordinated approach led by international bodies such as the Standards and Metrology Institute for Islamic<br />
Countries (SMIIC) will benefit the sector by increasing transparency and cooperation among different national bodies.<br />
Another challenge is the proliferation of private halal labels including those that are self-declared. These private labels do<br />
not necessarily undergo proper checks and, in certain cases, contain false claims. This issue needs to be addressed by<br />
establishing strong institutions at the national level that provide full guidelines with clear audit and certification procedures.<br />
Increasing transparency and clarity in the regulatory framework is a key to gaining the confidence of all stakeholders and<br />
to give a boost to the growth of the halal sector.<br />
SMEs in global halal value chains – the farm-to-fork challenge<br />
It is only in the past decade that the notion of the halal value chain has really been widely considered. The realization that<br />
the application of halal values and compliance criteria applied to all of the elements in a complex value chain has led to an<br />
increasingly sophisticated approach to halal in general.<br />
In contrast to the traditional view that halal was primarily related to slaughter methods, it is now widely accepted that halal<br />
integrity must be maintained throughout the entire supply chain. With the emergence of global trade, complex supply<br />
chains are now the norm rather than the exception. As a result, the issues of end-to-end halal integrity have become<br />
markedly important.<br />
Marketing, messaging and branding in the mainstream food sector in general have also become very sophisticated,<br />
adding to the challenges faced by stakeholders in the halal F&B sectors. The halal value chain is emerging as a challenging<br />
proposition, particularly for processed food items, and manufacturers and brand owners must consider every aspect of the<br />
product, from the farm to the table. Manufacturers who can demonstrate this level of commitment are seeing more success<br />
than those who simply consider halal as an afterthought or add-on to an existing product.<br />
This perspective of the halal market and the importance of maintaining the integrity of the entire value chain creates<br />
enormous opportunities for SMEs to be part of the sector. Be it in the areas of farming, processing and manufacturing or in<br />
providing support services, new areas of activity are opening fresh prospects. With some adaptation to existing processes<br />
and technology, SMEs are capable of addressing quality requirements and finding their place in the growing supply chains<br />
of these new markets.<br />
Strong support systems – the role of institutions<br />
Given the continued expansion of the halal market, both in size and complexity, and with the crossover potential into<br />
the mainstream and other eco-ethical markets, there is a significant window of opportunity. TISIs can make a valuable<br />
contribution to the growth of their national economies by developing expertise within the halal market and using this to<br />
nurture SMEs and entrepreneurial startups, and even assisting major corporations looking for a pivot into the halal sector.<br />
Trade promotion organizations can play a significant role in building appropriate institutional capacity to develop a national<br />
halal industry. To truly succeed, TISIs must think and act outside their normal patterns of activity and take a more proactive<br />
approach to understand and engage with the halal marketplace. There are now enough examples in the wider marketplace<br />
to provide insights and fresh ideas for TISIs to apply to their own situations.<br />
International institutions have the potential to play an increasingly substantial role in the halal market. Naturally enough,<br />
much of the current impetus across all sub-sectors, including regulatory-framework development, is being driven by<br />
stakeholders with corporate, national or regional priorities. Consequently, there is space for an international body that can<br />
play a fully impartial and broad-based role with an inclusive approach for the benefit of all, especially the lesser developed<br />
economies.