Halal Industry Development Corporation

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Incentives

Malaysian companies, including small and medium enterprises (SME), are eligible for a wide range of incentives to support their efforts to gain access to the Halal market. These incentives include:

Grants for business planning and development, product and process improvements, productivity and quality improvements and certification, market development and brand promotion;
A special grant for the development and promotion of Halal products;
Investment Tax Allowance of 100% ion qualifying capital expenditures for 5 years for companies which produce Halal food;
Double tax deduction on expenditures for obtaining Halal certification and accreditation.

Standards

The MS1500:2004 Standard for Production, preparation, Handling and Storage of Halal Food was developed by the Department of Standards Malaysia and gazette in July 2004. This standard complies with international standards such as the Good manufacturing Practice (GMP) and Good Hygiene Practice (GHP). As an ISO-compliant standard, MS1500:2004 has significant potential. It can serve as the global Halal standard and provide Malaysia with a competitive edge. If it is expanded to cover the whole value chain and marketed effectively, it can assume an important role in the move towards global standards for the Halal market.

c.	Certification
	Jabatan Kemajuan Islam Malaysia (JAKIM) and Jabatan Kemajuan Islam Negeri (JAIN) collaborate in the issuance of Halal certificates to enterprises and business which comply with the Halal standards requirement.

Market Development and Promotion

Presently, various agencies such the Malaysian External Trade Development Corporation (MARTRADE), Small and Medium Industries Development Corporation (SMIDEC) and Federal Agricultural Marketing Authority (FAMA), provide market development programmes to promote Malaysia’s Halal products and services, as well as the Malaysian Halal Standard. The programmes are intended to:

Facilitate the participation of Malaysian companies in selected international exhibition and trade missions;
Assist SMEs in marketing their products to large hypermarkets; and
Provide business matching services between foreign buyers and Malaysian seller of Halal products.

Specialised marketing missions and incoming trade missions are also organized under the programmes. In addition, the Government supports efforts by the private sector in promoting the industry. Examples are:

Malaysia International Halal Showcase (MIHAS); and
World Halal Forum, an international platform which brings together relevant experts from around the world for deliberations on Halal-related knowledge and practices.