TE-FOOD is a farm-to-table fresh food traceability ecosystem on blockchain, covering all logistics and food quality activities and data management of the supply chain. It provides cost effective software and identification tools to make livestock and fresh food supply information transparent.

1. BLOCKCHAIN TECHNOLOGY IN
GLOBAL HALAL MARKET: THE
CASE OF TE-FOOD
NURANIS | MUHAMMAD MAWARDI | ADILA NATASHA
9TH APRIL 2019

2. According to industry estimations, the global halal food market will reach
USD 2.55 trillion by 2024 (www.te-food.com).
WORLD MUSLIM POPULATION IN GLOBAL HALAL FOOD MARKET

3. ISSUES IN GLOBAL HALAL FOOD MARKET
Aossey was convicted last year of directing employees to falsify packaging
labels so Midamar could export beef products that did not meet Malaysian and
Indonesian standards for halal, or slaughter practices based on Islamic law.

4. ISSUES IN GLOBAL HALAL FOOD MARKET
•A chicken processing and packaging factory
in Kampung Changkat Dain, Jawi, was found
to have used fake Malaysian Islamic
Development Department (Jakim) halal logos.
•2,000 packets of Japanese tofu with
unrecognised halal logos were also found.

5. To what extent
has blockchain
technology
impacted the
global Halal
market?

6. In 2009, the Halal food market made up 16% of the
global food industry, generating around $632 billion
in revenue increasing to $700 billion in 2014
(Poniman, Purchase and Sneddon, 2015).

7. WHAT IS TE-FOOD?
• A farm-to-table food traceability ecosystem where T stands for traceability & E is
for ecosystem.
• A farm-to-table fresh food traceability ecosystem on blockchain, covering all
logistics and food quality activities and data management of the supply chain.
• Provides cost effective software and identification tools to make livestock and
fresh food supply information transparent.

8. TE-FOOD MOBILE APPLICATION

9. TE-FOOD
DURIAN TRACEABILITY ON BLOCKCHAIN

11. Farmers identify fields and trees with QR codes by scanning the QR code, any
cultivation event can be logged.
Soil status, irrigation, manuring, plant protection can be logged easily.
After harvest, durians are tracked individually.
Farmers create transports to send the fruits to the wholesaler.04
03
02
01
DURIAN TRACEABILITY ON BLOCKCHAIN

12. When sending durians to the retail, wholesalers create new transports
Transported items can be identified by batch for easier handling.
At the market, the seller receives the transport.
Customers can scan the QR codes and review the product history.
08
07
06
05
DURIAN TRACEABILITY ON BLOCKCHAIN

13. WHAT IS ISLAH VENTURE?
• A market trendsetter and a global leader of Halal Solution Service Providers.
• Provides solutions for Halal Supply Chain Ecosystem local and international.
• Incorporated on 17th July 2013.
• Focus of solutions are to cultivate, nurture & implement values of Halal integrity.

14. Services
Halal
Training
Halal
Product
Trading
Coaching
&
Advisory
for Halal
Certificat
e
Halal
Logistic
ISLAH VENTURE SDN BHD

15. A blockchain based traceability
system like TE-FOOD can provide
the tools to ensure consumers that a
product is safe to eat.
Constant monitoring from a halal
certification consulting company like
Islah Venture is necessary for the
proper implementation.
HOW ARE THESE TWO
COMPANIES
CONNECTED?

16. TE-Food verifies the data
integrity and ISLAH
VENTURE ensure the
compliance towards halal
certification throughout
the whole supply chain
ecosystem.
The partnership between Islah Venture and TE-FOOD combines halal food
expertise with blockchain based food traceability experience.

18. TE-FOOD CUSTOMERS
These are examples of TE-FOOD customers that implement HALAL supply chain
system.
AEON Malaysia is one of the customers. Most of the customers are from hypermarket
companies which use TE-FOOD to trace their products especially wet products.

19. SUPPLY CHAIN (ECOSYSTEMS)
TE-Food verifies the data integrity and ISLAH VENTURE ensure the compliance
towards halal certification throughout the whole supply chain ecosystem.

20. SWOT: TE-FOOD
Strengths Weaknesses
-Whole chain approach
-Cost effectiveness
-Wide range of synergistic tools and
application
-Lack of local awareness
-Distance between company leaders
-Few existing sales channels in the emerging
countries
Opportunities Threats
-Food safety becomes an important
development area in emerging countries
-Food scandal became well publicized which
drives authorities to tighten regulation
-Government dependency
-Technological issues and lack of best
practices regarding blockchain

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IMPLICATIONS OF TE-FOOD ON GLOBAL HALAL MARKET
Improve consumer trust
66% consumers don’t
believe the statement
of food label (2018,
Food & Health Survey
Report)
Deeper insight
Companies &
consumers get detailed
information about the
processes of supply
chain (ecosystem)
1
2
Regulatory compliance at export
More countries
implement food
import regulation
which require
traceability data
Reduce food frauds
50% respondents
prioritized adulterant-
substances and
counterfeiting as food
frauds (IUFoST
Scientific Information
Bulletin (SIB), 2016)
3
4

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IMPLICATIONS OF TE-FOOD ON GLOBAL HALAL MARKET
Brand protection
Products of certain
geographical indication
& traditional
specialties often
tempered on foreign
market
5
Mitigate callbacks during outbreaks
Can reduce the time
taken to find the
source of
contamination
6

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CHALLENGES OF A FOOD TRACEABILITY SYSTEM
IMPLEMENTATION
Solve the unbalanced costs
and benefits of food
traceability.
Failed traceability projects
happen when most of the
traceability costs are paid by
beginning participants of the
supply chain while the companies
at the end benefit the most from
transparent traceability data.
Convince supply chain
participants to modify their
well-polished working
processes.
Convincing them to embed new
activities takes a lot of time,
determination, and training.
Deal with the great deal of
conflicting interests.
The reality is, that counterfeiting,
dilution, contamination are food
frauds from one side, but from
the other, a huge income for
those who commit them.
Train tens of thousands of
workers.
Imagine you have to train the
workers of 3,000 farms, when
many of them are 100 kilometers
away from each other in isolated
areas.
Design a business model to
be accepted.
To find the right business model is
essencial to make a traceability
project sustainable.
2 4
1 3 5

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CONCLUSION
Given the importance of
trust & contracts in Islamic
principles, blockchain has a
very direct impact on such
principles due to its
traceability.
Blockchain will prove to be
an automated approach
allowing Muslim buyers to
feel secured in their
purchases.
To what extent has blockchain technology impacted the global
Halal market?

25. RECOMMENDATIONS
•jointly build the TE-FOOD decentralized food traceability ecosystem
on each of their customers’ infrastructure for the long-term.
Examine deeply the technical side
•TE-FOOD now spreading tremendously throughout the world.
•If management of TE-FOOD know how to play their cards well and
marketing is at where it is supposed to be, it do not have a good
reason to see why this project should fail.
Enhance marketing channels

26. REFERENCES
• Bernama. (2017, 12 January). Chicken Processing Company Caught Using Fake
'Halal' Logos. New Straits Times.
• Poniman, D., Purchase, S., & Sneddon, J. (2015). Traceability systems in the
Western Australia halal food supply chain. Asia Pacific Journal of Marketing and
Logistics, 27(2), 324-348. doi:doi:10.1108/APJML-05-2014-0082
• Rapids, C. (2016, 26 February). Halal Foods Pioneer Sentenced for Export Fraud to
Indonesia, Malaysia. The Jakarta Post.
• TE-Food. Farm-to-Table Fresh Food Traceability on Blockchain.
• Venture, I. (2013). Key to Halal Supply Chain Ecosystem Solution.