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The 2nd International Workshop
of IELP Meeting
10th-11th December 2015
Graduate School of Environmental Studies
Tohoku University, Sendai, Japan
Green & Sustainability Protocol
Development for Malaysian Halal
Food Industry
B.C.Chew & Syaiful Rizal Abdul Hamid
Faculty of Technology Management & Technopreneurship
Universiti Teknikal Malaysia Melaka (UTeM)
The Macro View:
The Global Market Opportunity
of the Muslim World
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.”
annually
Source: Fleishman-Hillard Majlis. 2012. The Next Billion: The Market Opportunity of the Muslim World.
The Meso View:
Halal Development in Malaysia
Parameters Information and agencies
Ecosystem Product and services
Halal Certification JAKIM
Islamic Development Department of Malaysia
Industry
Development
Halal Industry Development Corporation
Exports Promotions Malaysia External Trade Development Corporation
Other agencies : SME Corp, MIDA, Standard Malaysia
Malaysia Halal Industry Master Plan
Source: MITI 2015.
The Achievements
KPI (2020) Achievement in 2014
Halal Export Revenue
RM19billion
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
Halal Exports
Source: MITI 2015
Halal Exports by Product Cluster (2014)
Source: MITI 2015
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.
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
JAKIM/Malaysian Recognised
Certification Bodies
Source: MITI 2015
What next after
the Halal certification?
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.
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).
Have you seen these logos?
Why we go for Sustainable Food
Production and Food Management?
1. Better for the environment
2. High quality goods
3. Better working conditions for famers and
producers
4. Supports local socio-economic community
development
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).
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.
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, trades
3.Nutritious values, livestock disease risk
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.
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).
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.
Sustainable Food Management
• Power et. al (2012) advocates five pillars
of food sustainability:
1. Sustainable Sourcing
2. Improve land and water management
3. Enhancing nutritious
4. Using technology effectively
5. Reduce commodity price volatility
Theoretical of food production
Souce: Luning, 2001
Research Methods
• 248 companies from 700 exporters companies
are selected to conduct this study.
• Interview and correspondent analysis.
• Data collection is still on going.
The Evaluation
Social Environmental Economy
Rights 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 Emission
Social impact
assessment
Water footprint
Argo chemical
reduction
References
Books
1.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.29-43
4.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.152
5.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
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.2015.00.007
8. 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,pp352-361
11. 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.
Boon Cheong Chew
Email: bcchew@utem.edu.my
linkedIN: 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 Hamid
Email: syaiful@utem.edu.my
My Primary Research Interests
(a) Quality-Technology Management
(b) Sustainable Development
(c) Service Management

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Green & Sustainability Protocol Development for Malaysian Halal Food Industry

  • 1. The 2nd International Workshop of IELP Meeting 10th-11th December 2015 Graduate School of Environmental Studies Tohoku University, Sendai, Japan
  • 2. Green & Sustainability Protocol Development for Malaysian Halal Food Industry B.C.Chew & Syaiful Rizal Abdul Hamid Faculty of Technology Management & Technopreneurship Universiti Teknikal Malaysia Melaka (UTeM)
  • 3. The Macro View: The Global Market Opportunity of the Muslim World
  • 4. 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.”
  • 5.
  • 6. annually Source: Fleishman-Hillard Majlis. 2012. The Next Billion: The Market Opportunity of the Muslim World.
  • 7. The Meso View: Halal Development in Malaysia
  • 8. Parameters Information and agencies Ecosystem Product and services Halal Certification JAKIM Islamic Development Department of Malaysia Industry Development Halal Industry Development Corporation Exports Promotions Malaysia External Trade Development Corporation Other agencies : SME Corp, MIDA, Standard Malaysia
  • 9. Malaysia Halal Industry Master Plan Source: MITI 2015.
  • 10. The Achievements KPI (2020) Achievement in 2014 Halal Export Revenue RM19billion 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
  • 12. Halal Exports by Product Cluster (2014) Source: MITI 2015
  • 13. 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.
  • 14. 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
  • 16. What next after the Halal certification?
  • 17. 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.
  • 18. 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).
  • 19. Have you seen these logos?
  • 20. Why we go for Sustainable Food Production and Food Management? 1. Better for the environment 2. High quality goods 3. Better working conditions for famers and producers 4. Supports local socio-economic community development
  • 21. 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).
  • 22. 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.
  • 23. 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, trades 3.Nutritious values, livestock disease risk
  • 24. 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.
  • 25. 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).
  • 26. 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.
  • 27. Sustainable Food Management • Power et. al (2012) advocates five pillars of food sustainability: 1. Sustainable Sourcing 2. Improve land and water management 3. Enhancing nutritious 4. Using technology effectively 5. Reduce commodity price volatility
  • 28. Theoretical of food production Souce: Luning, 2001
  • 29. Research Methods • 248 companies from 700 exporters companies are selected to conduct this study. • Interview and correspondent analysis. • Data collection is still on going.
  • 30. The Evaluation Social Environmental Economy Rights 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 Emission Social impact assessment Water footprint Argo chemical reduction
  • 31. References Books 1.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.29-43 4.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.152 5.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
  • 32. 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.2015.00.007 8. 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,pp352-361 11. 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.
  • 33. Boon Cheong Chew Email: bcchew@utem.edu.my linkedIN: 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 Hamid Email: syaiful@utem.edu.my My Primary Research Interests (a) Quality-Technology Management (b) Sustainable Development (c) Service Management