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The 2nd International Workshop of IELP Meeting
10th-11th December 2015
Graduate School of Environmental StudiesTohoku University, Sendai, Japan
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Green & Sustainability Protocol Development for Malaysian Halal Food Industry
B.C.Chew & Syaiful Rizal Abdul HamidFaculty of Technology Management & Technopreneurship
Universiti Teknikal Malaysia Melaka (UTeM)
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The Macro View:The Global Market Opportunity
of the Muslim World
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According to the report from Fleshman-Hillard Majlis (2012)
“ While many countries and companies continue to chart out their emerging market strategies, developing their businesses and growing consumer bases, the single biggest market in the world has been largely overlooked. The FHM (2012) report talks about the opportunity of the next billion: A collection of people larger than the markets of India and China, united under a single umbrella-their beliefs. Muslims (in 2012) represent nearly 1.8 billion of the world’s population.”
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annually
Source: Fleishman-Hillard Majlis. 2012. The Next Billion: The Market Opportunity of the Muslim World.
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The Meso View: Halal Development in Malaysia
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Parameters Information and agencies
Ecosystem Product and services
Halal Certification JAKIMIslamic Development Department of Malaysia
Industry Development
Halal Industry Development Corporation
Exports Promotions Malaysia External Trade Development Corporation
Other agencies : SME Corp, MIDA, Standard Malaysia
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Malaysia Halal Industry Master Plan
Source: MITI 2015.
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The AchievementsKPI (2020) Achievement in 2014
Halal Export RevenueRM19billion
RM37.7billion
Employment in Halal 300,000 jobs
206,000 jobs
Number of exporters (SMEs)1,6000 companies
700 companies
- 5415 Halal certified companies in Malaysia
Source: MITI 2015
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Halal Exports
Source: MITI 2015
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Halal Exports by Product Cluster (2014)
Source: MITI 2015
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Halal Business Transformation Programme
It was introduced in 2011, to assist local Halal companies to increase their overall competitiveness and to enhance their business performance and growth.
Source: MITI 2015.
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JAKIM/Malaysia Recognised Certification Bodies
• There are about 200 different Halal certifications available globally. The majority of certifications stems from Asia Pacific countries.
• January 2015: JAKIM has recognised 57 Foreign certification bodies and 16 authorities from 33 countries include Japan, Australia, Chile, Poland, Brazil and Sri Lanka.
• All of the products under these certifications are allowed to be marketed in Malaysia.
Source: MITI 2015
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JAKIM/Malaysian Recognised Certification Bodies
Source: MITI 2015
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What next after the Halal certification?
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The Micro View: Sustainable Food Production and Food Management Certification on Halal Food.
Objective:-To put an added value to the existing Halal food-To penetrate larger the global market share.
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Definition of Sustainability
• Bruntland (2012) defines sustainable as development that meets the needs of the present without compromising the ability of future generations to meet their own needs.
• Sustainability on food is challenged with the high cost food production, source scarcity of raw materials and resources, while at the same time to sustain food sources for the future generation consumption (climate change).
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Have you seen these logos?
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Why we go for Sustainable Food Production and Food Management?
1. Better for the environment2. High quality goods3. Better working conditions for famers and
producers4. Supports local socio-economic community
development
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Definition of Halal Food
• Halal food means operation which has to be sanctioned according to Islamic Dietary Law; with a strict level of operations and inspection, in meeting the standard of food quality, cleanliness, safety and nutrition (Rezai, Mohamed and Shamsudin, 2012).
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Our Research• Our research explores the processes of food
production and food management in Halal food, particularly, the livestock sector at industrial scale of production.
• The researchers adopted Luning’s (2001) and Power et al. (2012) framework for food production model and food management, which aimed to synthesize both processes in order construct a comprehensive green and sustainable protocol on food production and food management.
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Livestock Production• Livestock production is a form of agricultural
production influence environment1 economic2 and society3 (Robinson et.al, 2007, FAO, 2007, Van Hooft, 2012).
• -----------------------------1. Impacts of livestock on the environment (food and water supplies, facilities setting, wastes generation, transportation, vaccine, medicine, antibiotics). -Around the world we see groundwater supplies depleted, agricultural soils degraded, oceans overfished and forests cut faster than they can re-grow.2.Estimating production and off-take, cost involve, trades3.Nutritious values, livestock disease risk
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Livestock Management• Foster by increasing consumption of
livestock products (as food) and international trades, Van Hooft (2012) explains, livestock sector is rapidly moving towards intensive and specialised systems. Larger and larger livestock farming companies are formed, where the production environment is highly controlled.
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Livestock Management• Livestock management aims to produce highest
quality of livestock (to safeguard animal health) at maximum productivity, by minimising the production impacts on social, environmental and economics at the most cost efficiency.
• In improving livestock management, the animal welfare is not only point out the physical aspects, but also includes psychological aspects (M.de Vries et al, 2015).
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Livestock Management & Production• Technology adoption in food production helps the
developments and innovations in most aspects of livestock production from breeding, feeding, housing, disease control, processing, transportation and marketing (FAO, 2009).
• Albeit internal factors could be manipulated by technology, the external factors are beyond the management capability. Climate change which affecting the productivity rates, the scarcity of the resources; and the vulnerability of the livestock for pandemic; all of these affecting biodiversity and ecosystems for the animal breeds.
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Sustainable Food Management
• Power et. al (2012) advocates five pillars of food sustainability:
1. Sustainable Sourcing2. Improve land and water management3. Enhancing nutritious 4. Using technology effectively5. Reduce commodity price volatility
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Theoretical of food production
Souce: Luning, 2001
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Research Methods• 248 companies from 700 exporters companies
are selected to conduct this study.• Interview and correspondent analysis. • Data collection is still on going.
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The EvaluationSocial Environmental EconomyRights of the workers High Conservation
Value Land assessment
Trademark and certification
Rights of the local communities
Transparency in farming management
Value chain creation
Free from forced labour
Farming procedure Sustainable can be profitable
Health and safety GHG EmissionSocial impact assessment
Water footprint
Argo chemical reduction
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References
Books1.Fleishman-Hillard Majlis. 2012. The Next Billion: The Market Opportunity of the Muslim World.2.Jahnke,H.E.,1982. Livestock Production System and Livestock Development in Tropical Africa.3.Luning,P.A., Marcelis,W.J., and Jongen,W.M.F.,2001. Food Quality Management- A techno-managerial approach. Wageningen Academic Publishers,pp.29-434.Robinson,T.P., Thornton P.K.,Franceschini,G., Kruska,R.L., et.al.,2011. Global livestock production systems. Rome, Food and Agriculture Organization of the United Nations (FAO) and international Research Institute (ILRI),pp.1525.Usui,N.,1995. Book review article: Induced Innovation Theory and International Agricultural development: A Reassessment, by Bruce Koppel, Baltimore, Johns Hopkins University. Asian Development Bank.6.Van’t Hooft, K.E.,Wollen, T.S. and Bhandari, D.P.,2012. Sustainable
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Journals 7. Linden,A.D., et.al.2015. A framework for quantitative analysis of livestock systems using theoretical concepts of production ecology. Available at:<http:dx.doi.org/10/1016/j.agsy.2015.00.0078. M.de Vries et al,2015. Housing and management factors associated with indicators of dairy cattle welfare. Available at:<http:dx.doi.org/10/1016/j.prevetmed.2014.11.016>9. Najim,A., Amin, M.R., Karimand, S.M.R and Mei,S.J. 2015. Small holder cattle farming in east Coast Economic Region (ECER),Malaysia: Farmers’ perception on type, breed and crosses. Journal of Dynamics in Agricultural Research.10.. Nakyinsige,K., Che Man,Y.B., Aghwan Z.A., Zulkifli,I., Goh,Y.M., Abu Bakar,F., Al-Kahtani,H.A., and Sazili,A.Q., 2013. Stunning and animal welfare from Islamic and scientific perspectives. Meat Science,95,pp352-36111. Rezai, G., Mohamed, Z. and Shamsudin, M. (2012). Non-Muslim consumers' understanding of Halal principles in Malaysia. Journal of Islamic Marketing, 3(1), pp.35--46.12. Robinson,T.P., Franceschini,G., and Wint,G.R.W.,2007. FAO’s Gridded Livestock of the World. 13. Ruttan,V.W.,1977. Induced Innovation and agricultural development. Food Policy, pp. 196-216.14. Thompson,B.R., Stevens,D.R., Bywater A.C., Rendel J.M., and Cox N.R.,2015. Impacts of animal genetic gain on the profitability of three different grassland farming systems producing red meat.
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Boon Cheong ChewEmail: [email protected]: http://my.linkedin.com/in/bcchew My Primary Research Interests(a) Renewable Energy Development & Deployment (b) Clean Technologies Innovation & Implementation(c) Green & Sustainability Practices(d) Human Technology Innovation & Introduction • Please google BCChew to follow my work
Syaiful Rizal Abdul HamidEmail: [email protected] Primary Research Interests(a) Quality-Technology Management(b) Sustainable Development(c) Service Management