33 first halaal laboratory opens in sa · the halaal foods business. for now, it extends to kosher...

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Muslim Views . June 2016 33 MAHMOOD SANGLAY TOKEID means ‘assurance’ in Arabic. The launch of Tokeid Biotech, on June 1, in Observatory, Cape Town, is probably the first of its kind in Africa and heralds a milestone in the South African halaal industry. A halaal laboratory performs tests on samples of particularly food products in order to scientif- ically analyse the ingredients and then report its findings. Tokeid does not issue halaal certificates. This is done by the relevant halaal authorities. How- ever, these authorities rely on the results of laboratory tests to determine whether a given pro- duct contains any substances that may not be consumed by Mus- lims, like alcohol or porcine ingredients. Laboratory tests confirming the presence or absence of such ingredients are used by halaal authorities to determine if halaal certificates can be issued. Tests done by Tokeid can detect food fraud, contamination and misla- belling of animal-derived prod- ucts. In November 2011, Orion Cold Storage, in Muizenberg, Cape Town, was found to have labelled pork products halaal. Muslims were outraged and a halaal authority was also impli- cated. In February 2013, a Stellen- bosch University study found that 68 per cent of 139 meat products contained ingredients not declared on the labelling. These revelations elicited an outcry from the general public. Increased public awareness points to the need, particularly in the halaal industry, for an inde- pendent entity possessing the technical resources, skills and integrity to routinely conduct tests on food products that carry halaal certification. Tokeid emerges in direct response to this need, as the first contender in an uncontested com- mercial space, at least in Southern Africa. In addition, Tokeid’s self- styled mandate is not limited to the halaal foods business. For now, it extends to kosher and vegan foods as well. However, the footprint of the global and local halaal industries alone are significant. Globally, the halaal food industry is worth US$500 billion. According to the State of the Global Islamic Econ- omy Report of 2015/2016, the food and lifestyle sector expendi- ture is projected to reach US$2,6 trillion in 2020. Research by Muslim Views in 2012 shows that the halaal certi- fication industry in South Africa is worth R25 million. This is an estimate of South Africa’s four halaal certifiers’ income, and not the local indus- try’s gross trade value, which is estimated at R220 billion. A mod- est estimate of 0,05 per cent of R220 billion places the SA halaal foods industry trade value at R1,1 billion per annum. This is the opportunity identi- fied and seized by Kamal Salasa, a popular presenter on community radio station Voice of the Cape. However, Salasa also holds a B.Sc in Biotechnology and an Advanced Diploma in Manage- ment. The halaal and mislabelling scandals were catalysts for the precocious sensibility of this young entrepreneur. According to Salasa’s partners and mentors, Anwah Nagia and Reinhard Hiller, he displayed grit and per- severance. Nagia is Chairman of Element Investment Managers and the Kaaf Trust. He runs several other businesses and is a renowned activist and community leader. It is Nagia’s substantial network with stakeholders and the Muslim consumer market that impressed the key investor in the project, the Centre for Proteomic and Genomic Research (CPGR). Hiller is Managing Director of CPGR in Cape Town, a company focused on converging innovation and commercial interests in the life sciences and biotechnology. He is also a scientist holding a Ph.D in Biochemistry and an MBA. It is under Hiller’s direction that CPGR holds a long track record in converting innovation in biotechnology into successful businesses. Tokeid is effectively part of CPGR’s incubator programme in which they have invested over R50 million for the laboratory. Hiller refers to Tokeid as an accel- erator programme because they are committed to build start-ups that are agile, lean and swift. Hence, Nagia’s expertise and role as Executive Chairman of Tokeid, together with Hiller’s oversight of CPGR’s accelerator project are crucial in the strategic direction of the start-up. However, Tokeid is also sup- ported by other eminent stake- holders, namely, the Departments of Science and Technology, Trade and Industry and the Technology Innovation Agency. In addition, Salasa says they already have professional rela- tions with international bodies such as the Standards and Metrol- ogy Institute for Islamic Coun- tries, in Turkey. The facility also boasts world- class research and development capability, ISO9001 accreditation and endorsement from all the major halaal authorities in South Africa. Tokeid’s value proposition is diverse. Integrity and indepen- dence are prioritised and they aim to ensure transparency and com- pliance with national and interna- tional standards. At the launch, Salasa announced that they are develop- ing a process to perform tests across a range of 1 800 species. This places Tokeid in a position to significantly reduce costs and offer very competitive pricing to the market. Given such backing and prospects, Tokeid is poised to transform an opportunity in a local market to a business with tangible global ambitions. First halaal laboratory opens in SA The leaders behind South Africaʼs first Halaal laboratory, Tokeid Biotech, envisage rapid growth for the start-up. Present at the launch were Dr Reinhard Hiller, Managing Director of the Centre for Proteomic and Genomic Research, Kamal Salasa, Chief Executive Officer of Tokeid Biotech, and Anwah Nagia, Executive Chairman of Tokeid Biotech. Photo SHAHIED JOHAADIEN

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Page 1: 33 First halaal laboratory opens in SA · the halaal foods business. For now, it extends to kosher and vegan foods as well. However, the footprint of the global and local halaal industries

Muslim Views

Muslim Views . June 2016 33

MAHMOOD SANGLAYTOKEID means ‘assurance’ inArabic. The launch of TokeidBiotech, on June 1, in Observatory, Cape Town, isprobably the first of its kind inAfrica and heralds a milestone inthe South African halaal industry.

A halaal laboratory performstests on samples of particularlyfood products in order to scientif-ically analyse the ingredients andthen report its findings.

Tokeid does not issue halaalcertificates. This is done by therelevant halaal authorities. How-ever, these authorities rely on theresults of laboratory tests todetermine whether a given pro-duct contains any substances thatmay not be consumed by Mus-lims, like alcohol or porcineingredients.

Laboratory tests confirmingthe presence or absence of suchingredients are used by halaalauthorities to determine if halaalcertificates can be issued. Testsdone by Tokeid can detect foodfraud, contamination and misla-belling of animal-derived prod-ucts.

In November 2011, OrionCold Storage, in Muizenberg,Cape Town, was found to havelabelled pork products halaal.Muslims were outraged and ahalaal authority was also impli-cated.

In February 2013, a Stellen-bosch University study found that68 per cent of 139 meat productscontained ingredients notdeclared on the labelling. Theserevelations elicited an outcryfrom the general public.

Increased public awarenesspoints to the need, particularly inthe halaal industry, for an inde-pendent entity possessing thetechnical resources, skills andintegrity to routinely conducttests on food products that carryhalaal certification.

Tokeid emerges in directresponse to this need, as the firstcontender in an uncontested com-mercial space, at least in SouthernAfrica. In addition, Tokeid’s self-styled mandate is not limited tothe halaal foods business. Fornow, it extends to kosher andvegan foods as well.

However, the footprint of theglobal and local halaal industriesalone are significant. Globally, thehalaal food industry is worthUS$500 billion. According to theState of the Global Islamic Econ-omy Report of 2015/2016, thefood and lifestyle sector expendi-ture is projected to reach US$2,6trillion in 2020.

Research by Muslim Views in2012 shows that the halaal certi-fication industry in South Africais worth R25 million.

This is an estimate of SouthAfrica’s four halaal certifiers’income, and not the local indus-

try’s gross trade value, which isestimated at R220 billion. A mod-est estimate of 0,05 per cent ofR220 billion places the SA halaalfoods industry trade value at R1,1billion per annum.

This is the opportunity identi-fied and seized by Kamal Salasa, apopular presenter on communityradio station Voice of the Cape.However, Salasa also holds a B.Scin Biotechnology and anAdvanced Diploma in Manage-ment.

The halaal and mislabellingscandals were catalysts for theprecocious sensibility of thisyoung entrepreneur. According toSalasa’s partners and mentors,Anwah Nagia and ReinhardHiller, he displayed grit and per-severance.

Nagia is Chairman of ElementInvestment Managers and theKaaf Trust. He runs several otherbusinesses and is a renownedactivist and community leader. Itis Nagia’s substantial networkwith stakeholders and the Muslimconsumer market that impressedthe key investor in the project, theCentre for Proteomic andGenomic Research (CPGR).

Hiller is Managing Director ofCPGR in Cape Town, a companyfocused on converging innovationand commercial interests in thelife sciences and biotechnology.He is also a scientist holding aPh.D in Biochemistry and anMBA. It is under Hiller’s directionthat CPGR holds a long trackrecord in converting innovationin biotechnology into successfulbusinesses.

Tokeid is effectively part ofCPGR’s incubator programme inwhich they have invested over

R50 million for the laboratory.Hiller refers to Tokeid as an accel-erator programme because theyare committed to build start-upsthat are agile, lean and swift.Hence, Nagia’s expertise and roleas Executive Chairman of Tokeid,together with Hiller’s oversight ofCPGR’s accelerator project arecrucial in the strategic direction ofthe start-up.

However, Tokeid is also sup-ported by other eminent stake-holders, namely, the Departmentsof Science and Technology, Tradeand Industry and the TechnologyInnovation Agency.

In addition, Salasa says theyalready have professional rela-tions with international bodiessuch as the Standards and Metrol-ogy Institute for Islamic Coun-tries, in Turkey.

The facility also boasts world-class research and developmentcapability, ISO9001 accreditationand endorsement from all themajor halaal authorities in SouthAfrica.

Tokeid’s value proposition isdiverse. Integrity and indepen-dence are prioritised and they aimto ensure transparency and com-pliance with national and interna-tional standards.

At the launch, Salasaannounced that they are develop-ing a process to perform testsacross a range of 1 800 species.This places Tokeid in a positionto significantly reduce costs andoffer very competitive pricing tothe market.

Given such backing andprospects, Tokeid is poised totransform an opportunity in alocal market to a business withtangible global ambitions.

First halaal laboratory opens in SA

The leaders behind South Africaʼs first Halaal laboratory, Tokeid Biotech, envisage rapid growth for the start-up. Present at the launch were Dr ReinhardHiller, Managing Director of the Centre for Proteomic and Genomic Research,Kamal Salasa, Chief Executive Officer of Tokeid Biotech, and Anwah Nagia,Executive Chairman of Tokeid Biotech. Photo SHAHIED JOHAADIEN

MV June 2016 MERGED_MV June 2016 MERGED 2016/06/27 2:31 PM Page 33