PETALING JAYA, Oct 20 (Bernama) — Halal Development Corporation Berhad (HDC) and Sri Nona Food Industries Sdn. Bhd. (Sri Nona), a subsidiary of Fraser & Neave Holdings Berhad signed a Memorandum of Agreement (MoA) to form a partnership in boosting the Malaysia’s Halal industry. This MoA will formalize collaboration between HDC and Sri Nona under the Halal Home-grown Champion Sourcing Partnership Program (HSPP) with the aim to identify high performance companies that are potential as Sri Nona’s vendors.
The MoA exchange ceremony was dignified by the Chief Executive Officer of HDC, Mr. Hairol Ariffein Sahari and YBhg. Dato’ Raffiq Md Ariff, Executive Director of Sri Nona and Director of Government and Industry Engagement & Halal Affairs, Fraser & Neave Holdings Berhad.
Hairol Ariffein expressed his appreciation for the partnership in stimulating Malaysia’s business environment particularly in the development of the halal industry for the Small and Medium Enterprises (SMEs).
He stated, “The signing of today’s MoA further strengthens the successful partnership between government agency and industry players to enhance Malaysia’s position as the centre of Halal ecosystem development. Through this collaboration, SMEs will attain opportunity to become Sri Nona’s vendor and potential to receive facilitation through HSPP.”
HSPP is a HDC’s facilitation program designed for high potential SMEs in halal promoted sectors for business expansions locally and internationally. Through collaborative efforts with multinationals and local large companies, these SMEs will be nurtured and facilitated to be their supplier and ultimately become Halal Home Grown Champion companies under the HSPP.
HDC and large corporations such as Fraser & Neave Holdings Berhad have been working together to inculcate a conducive environment for sustainable halal food security as halal is the benchmark for quality and safety products apart from safeguarding future generations through non-exploitative of natural environment and resources in the halal ecosystem especially amongst the SMEs.
Within the context of halal food security, aspects of the sustainable halal food supply chain which includes raw materials availability and compliant to halal standard in processing, logistics, storage, and distribution determine the halal integrity, apart from ensuring the quality and safety of the halal food. These are the most defined critical factors impacting the integrity and sustainable halal food supply chain. The entire supply chain (farm to table) and values addition must conform to halal standards and practices.
Through the HSPP, Sri Nona is seriously looking for Halal local ingredients such as paste, soy sauces, fruit jam and finished good SMEs as suppliers.
Through this collaboration, SMEs are also exposed to the importance of setting Environmental, Social, and Governance (ESG) strategies in place as part of their business operations by being part of the multinational and large corporations like Sri Nona and Fraser & Neave. With such a significant shift in focus towards investments within ESG-centric businesses, SMEs must recognise that ESG is no longer a choice. This means that if SMEs do not choose to adapt, they may lose out on market share or business opportunities in the future.
Since HDC and Sri Nona embarked on the partnership, almost 50 companies have been shortlisted to the pitching programs where these companies presented their products. Once recruited as the vendors, the selected SMES are estimated to increase in potential sales by double digit growth up to 15% to 20%.
Source : BERNAMA