Halal certification an international marketing issues assignment

On top of that, each product category offers many different brands ??? either locally named or internationally recognized ones. Some of the local brands appear to capture their own niches by projecting themselves as “ Islamic” brands via their creative packaging and labeling works. This also indirectly signals to their primary target ??? the Muslim consumers – the halal status of their products. On the service side, similar efforts are being done in the banking and in the insurance sectors.

The above scenario describes the situation faced by the Malaysian consumers as they go through their daily chores in consumer goods purchasing. There are many choices of brands and each brand is fighting each other for shelf space in order to get the attention of their target consumers. Besides the products and the brands available in the retail outlets, the Malaysian consumers are also offered various direct selling brand alternatives such as those in the personal care and cosmetic categories. Among the direct selling companies offering such products include international names such as Amway, Avon, Cosway and Nutrimetics.

The introduction of halal logo by the Malaysia’s Department of Islamic Development (JAKIM) has generated more awareness among the Muslim of the importance of consuming products or engaging in services that follow Islamic guidelines and principles. See Exhibit 1 for details regarding halal definition. Halal logo also signals which food outlets are permissible to be patronage by the Muslim. As a result, the logo provides an avenue for the manufacturers to indicate to their target consumers that their products meet the Islamic standard.

This definitely will create significant advantage to the particular manufacturers versus its competitors that do not have halal certification. The usage of halal logo has so far been skewed towards food products as the term halal is better known amongst the Muslims and non-Muslims as being “ food that is permissible to be consumed. ” The logo has not been used much in other category of products. As for the service sector such as in the banking and insurance products, the more appropriate term for halal would be Islamic-compliant or syariah-compliant. 3. 0

JAKIM personnel lacked “ enforcement” characters. It is thought that only with strict enforcement that the halal logo will be seen more “ authoritative”. 5 In addition, the lack of collaboration amongst the world’s halal-certification authorities has created “ doubts” amongst the Muslim consumers on the authenticity of the halal certification process. The speed of issuing halal logo is another challenge facing JAKIM. Currently JAKIM does not have a full-pledge research and development (or technical) unit which is able to process each halal application promptly.

JAKIM or its state-subsidiary (note that each Malaysian state has its own Department of Religious Affairs) would need to get assistance from a third party to commission lab testing and analysis as well as to do an on-site inspection. This third-party normally involves food technologists, chemists or experts from local universities. To the Muslim consumers, products which carry halal logo have more meaning and are more important than those carrying ISO or similar certification. Halal is more “ wholesome. ” When it involves cleaning, it not only follows standard cleaning processes.

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In preparation, processing and storage, halal food should not come into contact with or be in close proximity to that which is not halal. Hygience and sanitation: The premises for manufacturing, preparing and selling food and drinks must be clean and free of elements which may cause infestation or flies, rats, cockroaches, lizards and other such pests. Factory workers must be healthy, and wear clean, protective clothing to avoid contamination. Equipment used must be washed frequently to ensure cleanliness. Washroom facilities must also be clean. 11