KUALA LUMPUR: Malaysia has proposed the establishment of an ASEAN Halal Council to strengthen regional strategic cooperation, facilitate halal product movement across borders, and boost intra-ASEAN trade, which has yet to reach its full potential.
Halal Development Corporation (HDC) chairman Khairul Azwan Harun said the proposal was made during the Malaysia-Indonesia halal industry roundtable session in Jakarta on 22 April, attended by Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi and Indonesia’s Halal Product Assurance Organising Agency (BPJPH) head Ahmad Haikal Hassan.
“This ASEAN Halal Council will serve as a platform to streamline trade, expand markets, and harmonise halal logo use, tapping into a regional market of nearly 700 million people,” Azwan told Bernama.
During the session, both countries also proposed the mutual recognition of halal certificates issued by Malaysia and Indonesia, eliminating the need for additional procedures or inspections. Azwan said the initiative would save costs, reduce processing times, and significantly boost bilateral trade, particularly for micro, small, and medium enterprises (MSMEs) targeting a combined Muslim population of over 240 million.
“Malaysian halal-certified products regulated by the Department of Islamic Development Malaysia (JAKIM) could enter the Indonesian market directly, and vice versa. This is a game changer that will immediately raise our halal product export value,” he said.
Malaysia and Indonesia have also pledged to lead efforts to strengthen intra-ASEAN halal trade, tapping into the regional halal market, currently valued at US$1.3 trillion (US$1 = RM4.38).
Azwan emphasised that these initiatives are aligned with Malaysia’s Halal Diplomacy framework, designed to sustain the country’s global leadership in the halal sector. The proposals are expected to be refined at the Halal Industry Development Council (MPIH) meeting on 29 May, chaired by Ahmad Zahid, before being presented to the ASEAN Secretariat.
Advancing Halal Diplomacy and Digital Transformation
Highlighting the broader Halal Diplomacy strategy, Azwan said Malaysia is actively sharing its halal ecosystem expertise with friendly nations, especially within ASEAN, and extending influence into non-traditional markets such as North Africa, Central Asia, and West Asia.
“We cannot move alone. Malaysia and Indonesia must collaborate as a unified ASEAN halal entity to meet the global halal market demand, as producing countries can currently fulfil only 20% of the global halal requirements,” he said.
In partnership with the Ministry of Investment, Trade, and Industry (MITI) and the Malaysia External Trade Development Corporation (MATRADE), HDC is also intensifying business matching efforts for Malaysian and Indonesian halal players, including in logistics, pharmaceuticals, and halal park development.
Under the Halal Industry Master Plan (HIMP) 2030, Malaysia aims to achieve halal export values exceeding RM260 billion by focusing on six sectors: food and beverages, ingredients, logistics, cosmetics and nutraceuticals, medical devices, and pharmaceuticals.
Azwan also urged the halal industry to accelerate digital transformation, particularly in certification and standards, leveraging emerging technologies such as blockchain, artificial intelligence (AI), and the Internet of Things (IoT).
“Digital transformation will not only accelerate certification processes but also boost consumer confidence and enhance halal compliance monitoring across the supply chain. Malaysia must remain competitive as a global halal benchmark in the digital era,” he said.
He stressed that strong collaboration among government agencies, industry players, and STI (science, technology, and innovation) researchers is critical to creating a sustainable and competitive digital halal ecosystem.
— BERNAMA
