Takaful has global potential, say experts

Dubai: The takaful industry has huge potential to join the mainstream insurance business outside Muslim countries as a viable alternative to conventional insurance, say experts.

The global takaful (Islamic insurance) industry, which has a relatively small share of about $17 billion (Dh62 billion) in underwritings compared to the $3 trillion held by the mainstream industry, needs to attract wider audience and underwrite insurance requirements of larger businesses, said delegates at the Global Islamic Economy Summit 2013.

“There are a large number of big businesses such as huge infrastructure projects, oil and gas installations and power projects including nuclear projects coming up in the region,” said Fareed Lutfi, Secretary General of Emirates Insurance Association.

“Currently the takaful industry’s role in underwriting big-ticket risks is minimal while the industry is focused mostly on life and family takaful, motor insurance and relatively small businesses. This situation calls for creation of larger re-takaful companies that have the capital size to cover larger size risks.”

While the creation of new takaful giants is a solution, industry players said the merger of existing players and the entry of insurance multi-nationals into the business could help the industry to achieve critical mass in the Islamic re-insurance business. “Currently there are just 16 re-takaful companies,” said Firas El Azem, General Manager of Takaful Re. “These companies have the capacity to cover small- to medium-size risks. But when it come to larger risks the size is a constraint and it needs to be addressed.”

The total size of the insurance business in Islamic countries is estimated at $80 billion, with takaful accounting for less than $20 billion (including the industry in Iran). Industry representatives said that while there is huge growth potential for the takaful industry within the core markets such as the Middle East, Africa and south-east Asia, industry representatives said, takaful should look beyond the 1.2 billion Muslims and appeal to a wider global audience.

“In Malaysia, the Chinese populations constitute a big component of the takaful customers,” said Sohail Jaffar, Deputy CEO of FWU Global Takaful Solutions. “In the UAE there is a growing segment of non-Muslim takaful customers such as non-resident Indians. The industry should offer innovative insurance solutions that are competitive.” While Saudi Arabia, the UAE and Malaysia hold the lion’s share of the takaful market, the acquisition of market share has not necessarily translated into profitability in many instances. Panelists at the summit said most takaful companies in the region are relatively young and are at the early stage of their business development. Most operators have yet to achieve critical business volume despite incurring substantial establishment costs over their formative years.

Industry representatives said there are a number of untapped business areas such as the private pension market, insurance-linked products in education and longer-term saving schemes. However, all agreed that the GCC region requires comprehensive regulatory reforms to tap into these business segments. “Private pension schemes are virtually non-existent in the region,” said Hatim Al Tahir, Director Islamic Finance Knowledge Centre, Deloitte. “This is an area where takaful has huge growth potential if right regulatory framework is in place.”

Given the short-term nature of the work contracts of expatriates in the region, experts suggested that regulations should be tailored to suit portability of insurance schemes to their home markets or offshore financial centres.
Refference: gulfnews.com/business/banking/takaful-has-global-potential-say-experts-1.1259741

A New Venture Established to Strengthen Islamic Finance in France and USA

(Dubai - UAE) A Memorandum of Understanding (MOU) has been signed between Al Huda Center of Islamic Banking and Economics (CIBE) and Franco-American Alliance for Islamic Finance (FAAIF) to cooperate in the development of Islamic banking and finance in France and the United States. Both parties agreed to work together, leveraging their different areas of regional and professional expertise of Islamic finance and synergizing their skills for the broader goal of promoting and developing Islamic finance worldwide, especially in the Franco – American region. 

MOU Signing Ceremony held in Dubai, United Arab Emirates today, in which Muhammad Zubair Mughal, Chief Executive Officer of Al Huda CIBE and Camille Paldi, Chief Executive Officer of FAAIF signed the agreement. During the media briefing, Camille Paldi mentioned that she is excited to bring Islamic financial services, training, and expertise to her home country the United States after having spent many years’ education & training abroad in Islamic finance, law, and Shari'ah. With her strong knowledge of Islamic banking, finance, Shari'ah, and law, Paldi hopes to impact the financial services sector in the USA, helping to boost the economy and steer the nation in a new direction. Paldi is excited to utilize her international network to help achieve this purpose, starting with this MOU with AlHuda CIBE. 

While discussing the importance of this MOU, CEO of AlHuda CIBE, Zubair Mughal said that this is the right time to introduce Islamic financial solutions to the Western world so that they may explore the option of solving financial dilemmas and crises with Islamic financial instruments, derived from the Holy Book. Zubair said that AlHuda CIBE will extend their scope of services in European and American markets through the help of FAAIF. He also mentioned that AlHuda's services in these regions would include Islamic finance product Development services, sukuk structuring, Takaful development, and Shari'ah advisory. He also mentioned that Alhuda CIBE already has a very strong professional network in Central Asia, the Middle East, and African regions, but through this MOU, Moghul plans to extend their scope in the American markets as well. 

AlHuda CIBE is a well-established brand in the international Islamic finance and banking industry focusing on Advisory, Consulting, Capacity, and Shariah Advisory services, while FAAIF is an emerging Alliance of Franco – American financial experts, which is headed by renowned legal and Islamic financial expert Camille Paldi.

Tajikistan certifies halal food

"[Eating halal food] is one of the main rules for observing Sharia," Council of Ulema Deputy Chairman Abdulbasir Saidov told Central Online.

Six Tajik food producers already meet the new standards, said Narzullo Sharipov, chief of Tajikstandart, the government agency for overseeing compliance with various standards, and the food is expected to gain prevalence.

The government developed the halal standard over the past two years with help from the Tajik Council of Ulema, the Health Ministry, the Committee for Religious Affairs and the Agriculture Ministry Veterinary Service, as well as by reviewing neighbouring countries' experience, Sharipov said.

Halal food may not contain any haram (forbidden) components, such as pork or meat from animals slaughtered by suffocation, electrocution or a blow; and a Muslim must perform the slaughter, pronouncing Allah's name during the process, Saidov said.

The requirements apply across food categories, including meat, bread, baked goods, dairy products and non-alcoholic drinks, Tohir Mudinayev, another Tajikstandart official, added.

"Permission to use the halal label for one year is granted by a special Tajikstandart committee, including specialists from Tajikstandart and from the Tajik Council of Ulema," Sharipov said. "Today, Tajikstandart quite strictly monitors certified Tajik halal producers' compliance with the requirements. They have to sell off all their older food before using the label."

Both producers and consumers to benefit

Two factors drove Tajikstandart to develop its own halal standard, Sharipov said. First, some food carrying haram components – like genetically modified organisms and chemical dyes – appeared; second, customers demanded it.

Although Tajikistan previously produced and imported food called halal, no official Tajik body set a standard, meaning some food might have been called halal by mistake, he said.

The Council of Ulema welcomes the move, Saidov said.

"Many Tajik residents constantly run into the problem of buying halal food," he said. With limited producers and distributors of halal food and no proper certification process, consumers in the past often turned to foreign suppliers. "First, this impairs the growth of Tajik producers, and secondly, imported food costs much more," he said.

Enforcing the standards will give consumers "some sort of a guarantee … against dishonest producers," Akhad Sadykov, a journalist who writes commentary on religious matters, told Central Asia Online.

"Producers of halal food are working not just to make some money but also to improve their image," he said. "This is particularly important in Tajikistan, where most of the population is Muslim."

Locals react favourably

Many Tajik producers were complying with halal requirements even before the government issued a standard, 29-year-old Dushanbe resident Sitora Nazarova told Central Asia Online.

"For a long time now, I have been buying only meat and dairy products labelled 'halal.' … My husband strictly adheres to the requirements, so our family observes them all," she said. However, she said she is happy it will now be regulated.

Abdudzhalol Shodiyev, who has been producing "Pokiza" sausage for 15 years, marked his products as halal almost from the start.

"Though Tajikistan hadn't adopted the standard when I started making sausage, as a devout Muslim, I observed all the requirements," he said.

Shodiyev intends to expand production now that the standard has taken effect. "I'm thinking about re-equipping the entire plant to meet the new requirements," he said. "I think the cost will be high but recoverable, because the demand for halal food is growing in Tajikistan every day."

One place selling halal food is the modest-sized Mekhrob shop, which has enjoyed a strong reputation for many years. Last year the shop owner performed the Hajj. Now, with the introduction of the official halal standard, he has decided to sell only halal food.

"All our food, which is mainly produced in Tajikistan, meets the halal standard," shop assistant Nosir Khamdanov said.

D’Light Bread House & Café gets halal certification

MIRI: The D’Light Bread House & Café at Riam Commercial Centre received its Halal certification from the Sarawak Islamic Religious Department (Jais), Miri last Wednesday.

Outlet manager Jenny Kong said the certificate was officially presented to the outlet during a fast-breaking ceremony organised for Jais Miri.

Present to hand over the certificate to outlet director Lana Lim was Jais assistant director-general (Northern Zone) Ustaz Jamaludin Taim.

Being one of the fine restaurants in Miri, D’Light Bread House & Café offers a whole range of local dishes, which includes Daging Masak Rendang, Mee Jawa, Nasi Goreng Kampung, Lelapan.

“We also serve western meals like lamb chops, chicken chops, fish and chips, pizzas and pasta,” said Jenny.

Located at Riam Commercial Centre, Hilltop Garden, D’Light Bread House & Café also caters for private functions such as birthday parties, theme parties, club dinner, and any special occasion.

Buffet dining can also be held at the restaurant upon request. The restaurant opens daily from 7am to 10pm.

The storm in the kebab shop: The great halal debate returns

Religiously-slaughtered meat is the summer's hot topic as politicians debate the impact of praying over a dying animal.

The subject of religiously-slaughtered meat has filled newspaper headlines this summer, as politicians return to the debate about how far Danes should go to accommodate imported religious norms.

The focus of the media attention is meat that is slaughtered according to Islamic halal principles and that concern that Danes are either eating it without knowing it or are forced to eat it at public institutions.

In a series of articles, the tabloid Ekstra Bladet reported that almost all Danish chickens are halal (despite the same story making the rounds over two years ago), that  Hvidovre Hospital has only served halal meat for the past decade and that several daycares in Greater Copenhagen have opted to stop serving pork and only serve halal meat. Ekstra Bladet's reporting even resulted in two employees of a meat retailer being assaulted for selling meat with traces of pork, a non-halal meat, to kebab shops. 

The right-wing Dansk Folkeparti (DF) expressed horror at the developments and argued that it is simply another case in which Danes are forced to accept foreign norms, pointing to the recent case in which an Islamic school examiner refused to shake hands with his female students.

DF has had enough, and today their immigration spokesperson called for legislation to force public employees to conform to Danish cultural values and norms.

“If people don’t conform [to Danish practices] they should be given an official reprimand,” Martin Henriksen told public broadcaster DR. “Most people will then conform but if they don’t, and insist that their culture should be all-dominating, then the severest consequence should be that they would lose their job.”

A spokesperson for the Konservative party, Tom Behnke, sympathised with Henriksen’s suggestion.

“The limit is reached when I, as a Dane, am forced to live in a completely different way than I have up until now,” Behnke told DR. “I won’t accept that. It’s fine to be respectful of the religious beliefs of others, but I am not in favour of forcing me and my children to comply with their rules.”

The story that never dies

Looking through the online archives of Danish newspapers, it is evident that the debate about halal has returned regularly over the past decade.

The fuss is about the way in which animals are slaughtered. For meat to be halal, a prayer must be said as the animal is slaughtered by having its throat cut with a sharp knife, leading the animal to bleed to death, in a process known as exsanguination.

In Denmark, all animals are sedated before they are slaughtered. Chickens are stunned by being drawn through charged water while cattle are stunned with a bolt gun placed to the animal’s head.

While EU regulations allow for the religious slaughter of animals that aren’t stunned, animal welfare organisation Dyrenes Beskyttelse states that they don’t know of any Danish slaughterhouses which do not stun their animals.

As a result, the debate over halal has little to do with animal welfare and everything to do with whether Danes should be forced to eat meat that has been prayed over before it was killed.

Chief opposition party Venstre argues that the prayer might make all the difference in the world for consumers and are now calling for halal-slaughtered meat to be labelled – a proposal Venstre voted against in 2007 and which the current government does not support.

“I don’t really mind if meat is halal or not,” Hans Christian Schmidt (Venstre), the former agriculture minister and a member of parliament’s agriculture committee, told Jyllands-Posten newspaper. “What is important is that consumers are given as much information as possible. The government says that people can’t cope with so much labelling, but who says this is true? Why should the state decide this?”

Writing in her blog for Berlingske, DF’s Marie Krarup argued that Denmark should not accept the special needs of a minority because of practical considerations as it would set a precedent that will only lead to more demands for special treatment.

“[They will set demands] on how to decorate our workplaces, to ban interest payment, to change our calendar to suit the Muslim calendar, how to dress in Muslim ghettos etc,” she wrote. “If we give in to one demand, we will end up giving in to more.”

But the fears of the right-wing parties are not shared by the government. On the issue of labelling halal meat, the acting agricultural spokesperson for the Socialdemokraterne, Orla Hav, said his party will only take it up if consumers demand it.

“Our main priority is to inform the public about issues that can effect their health, and about whether the food is organic,” Hav told Jyllands-Posten. “But there are limits to how much labelling can be introduced before it confuses consumers. And the method of slaughter does not rank high for us.”

Consumer protection or xenophobia?

Danish animals are stunned before slaughter, but that is not always the case in Europe. Per Clausen of far-left party Enhedslisten (EL) argues that this is problematic.

“The problem is that we don’t have the opportunity to label meat from other EU countries, either by its nationality or any other method," Clausen told Berlingske. "It means that we are importing meat into Denmark that is probably slaughtered in cruel ways. I don’t know how many EU countries have these sorts of rules and I have asked the [agriculture] minister to address this. But there is no doubt that there are many countries in which anaesthetics are not used.”

Clausen said EL would rather have a debate about overall animal welfare rather than an insignificant prayer made as a stunned animal dies.

Centrist coalition partner Radikale went straight for the jugular, arguing that the debate about halal meat presented no ethical questions regarding animal welfare and was instead founded on xenophobia.

“The debate demonstrates a fear of Muslims and foreigners, especially on the part of Dansk Folkeparti,” Radikale's agricultural spokesperson, Rasmus Helveg Petersen, told Ekstra Bladet. “It is not based on fact and they ought to be ashamed.”

The past week’s debate about halal resulted in today’s call by DF and Konservative to protect Danish cultures and norms through legislation.

But Trine Bramsen, the immigration spokesperson for Socialdemokraterne, condemned the proposal, arguing that the Danish culture was strong enough to protect itself.

“The proposal from these two parties is peculiar because it seems to suggest that the Danish culture is weak and cannot cope on its own,” Bramsen told DR. “Are we going to force Danes to eat meatballs and dance around the Christmas tree? What if we don’t? Are we going to introduce a culture police? I don’t see the purpose of the law and I don’t know who will define what Danish culture is. Of course public institutions should have the option not to use certain symbols and foods and those decisions are best made by the institutions themselves.”

Expert: Halal slaughter helps prevent infectious diseases

The rising acceptance of halal meat due to its scientific and hygienic slaughtering and processing methods is spicing up the US 600 billion global halal meat market impressively.

Studies have shown that halal slaughter protects consumers from many diseases which are not possible in the conventional methods used in many countries.

Ahead of a key halal conclave in Sharjah, experts opine that halal slaughter of animals has a great role in preventing infectious diseases, and is seen one of the main reasons for the popularity of the product even among non-Muslims.

“The way the slaughtering process is carried out is of significant importance for both human health and safety and quality of the meat. Halal slaughter involves cutting of jugular veins, throat and esophagus, which facilitates draining of blood from the animal and thus prevents growth and multiplication of harmful micro-organisms,” said Dr. Ibrahim Hussein Ahmed Abd El Rahim, Professor of Infectious Diseases, Umm Al-Qura University, Makkah Al-Mukarama, Saudi Arabia.

“Prevention of neck separation is very important to complete the bleeding process to remove all the blood from carcass. Blood is a typical media for proliferation of different kinds of microbes, therefore its complete removal from the slaughtered animal is vital to protect consumers from infectious diseases,” he said.

Dr. Ibrahim Hussein Ahmed Abd El Rahim will be attending the upcoming Halal Congress Middle East that will be held at Expo Centre Sharjah from December 16 to 18, 2013. It will be organized alongside the 2nd OIC Halal Middle East Exhibition which is held under the patronage of His Highness Dr Sheikh Sultan Bin Mohammed Al Qassimi, Supreme Council Member and Ruler of Sharjah.

Globally, the halal market that spans from food to finance and tourism is worth US 3 trillion. According to latest estimates, halal products have two billion consumers worldwide that grows more than 20 per cent annually.

Realizing the importance of the subject, a panel discussion will be dedicated to the science behind halal during the three-day congress. To be chaired by Shawky Ibrahim Abdel-Karim Allam, Sheikh Al-Azhar, Grand Mufti of Egypt, the discussion will take up issues of stunning, mechanical slaughtering, tasmiah and animal feed, among others.

Panelists for the discussion include Mufti Taqi Usmani from Pakistan; Mufti Mustafa Ceric from Bosnia; Mufti Sheikh Ravil Gainutdin, from Russia, Mr. Nabil A Molla, Secretary General of GCC Standardization Organization and Dr. Abdulqahir Mohammad Qamar of International Islamic Fiqah Academy, Saudi Arabia.

It will also feature representatives from the Standards and Metrology Institute for the Islamic Countries; Emirates Standards & Metrology Authority-UAE; National Accreditation Council-Pakistan; JAKIM – Halal Certification Authority-Malaysia; MUI – Majlis Ulema-Indonesia; and Halal Science Center-Thailand.

Besides, reflecting the surging trade between the region and Australia, Meat and Livestock Australia, has signed up as Platinum Sponsor to talk about the Goodness of Australian Meat.

The association of Meat and Livestock Australia with the congress comes at a time when Australia’s red meat exports to the Middle East in May this year totaled 16,492 tonnes, a 46 per cent increase year-on-year and 7 per cent above the previous record set in April 2013, according to Meat and Livestock Australia figures.

Other topics to be taken up for discussion at the congress include tapping the growing halal trade; halal cosmetics, pharmaceuticals & tourism; benefits of halal certification; Islamic banking & takawful; technology for halal food traceability and harmonization of halal standards.

GrubHub reports growth in Pakistani, African and Halal cuisine

GrubHub, an online and mobile food ordering service, has released new data that reveals year-over-year growth in nontraditional ethnic cuisine orders.

According to a company news release, GrubHub's order data reveals that Americans' takeout orders have extended beyond traditional pizza and Pad Thai, with Pakistani, Caribbean and Halal cuisines experiencing "significant" lifts in order popularity.

GrubHub analysts examined year-over-year orders in more than 500 cities across the country. While Italian, Chinese, Japanese, Thai and Mexican are the most popular ethnic cuisines, respectively, the following cuisines are experiencing the most significant growth in popularity this year.

• Pakistani: Almost 97 percent more popular;
• Caribbean: More than 68 percent more popular;
• Halal: Almost 40 percent more popular;
• Spanish: more than 36 percent more popular; and
• African: More than 30 percent more popular.

Hola restaurant to introduce halal Mexican to Plymouth Rd.

It's not often that a genuinely new genre of food finds its way into the diverse Ann Arbor restaurant scene, but restaurateur Ali Hijazi believes his new venture, Hola, will be serving the city's first halal Mexican food.

 

Though the concept is new, Hijazi is confident Hola will be a great fit – and he knows a thing or two about both restaurants and the neighborhood. 

 

"I live in this neighborhood," says Hijazi, who has been in the restaurant business for two decades. "I know what additions will make the community here happy to see."

 

Hola is expected to open in August in a 2,200 square-foot location on Plymouth Rd. between the Songbird Café and Curry Up restaurants. The former office space has been under renovation for some time.

 

Hijazi is working with a Mexican business partner who will specialize in the food end of the business. As Hola becomes established, the partners plan to expand into breakfast and late night food, as well as expand their staff, which will begin with the partners and family help. 

 

"We'll let the food and the service talk about itself," Hijazi says. "We're trying to make it a very nice addition to the north campus area."

Studies say Halal meat is healthier

Muscat: The rising acceptance of halal meat due to its scientific and hygienic slaughtering and processing methods is spicing up the $600 billion global halal meat market impressively.

Studies have shown that halal slaughter protects consumers from many diseases which are not possible in the conventional methods used in many countries.  

"Halal slaughter involves cutting of jugular veins, throat and oesophagus, which facilitates draining of blood and thus prevents growth and multiplication of harmful micro-organisms," says Dr Ibrahim Hussein Abd El Rahim, professor of Infectious Diseases, Umm Al Qura University, Makkah Al Mukarama, Saudi Arabia.

MINDANAO: With the construction of a halal slaughterhouse in Mindanao underway, the Philippines’ halal agri-products are in for a supportive boost, giving added credibility for the country to participate in the global US$2.3 trillion (RM7 trillion) industry.
Although under reported by media on the archipelago, halal agri-commodities in the Philippines contribute substantially to the economy.
The Department of Agriculture said that in 2010 the industry was worth US $150 billion (RM450 billion).
The Philippines’ halal industry, centered in Mindanao, has already drawn international attention, with the UAE eying investment in halal poultry, the fastest growing halal agri-product in the country.
However, the deal has yet to solidify itself in any concrete manner, an opportunity for the US$1 million abattoir to turn the tables.
The 3.7 hectare halal abattoir is located in Cotabato City, which is part of the Autonomous Region in Muslim Mindanao (ARMM).
Mindanao is home to 2.2 million of the country’s Muslims and has come under the magnifying glass for the greatest of government-led funding.
In the 2013 national budget, Mindanao will be receiving the lion’s share – 40% – of the government agriculture budget.
This will be invested in the construction of the halal abattoir, livestock breeding centers and diary production.
Yet despite the supportive push in funding, halal industry leaders still lament the absence of a segregated budget to help sharpen their competitiveness.
“No specific budget [has been] allocated for halal production except the stimulus fund for halal goat[s] in ARMM,” said DA-ARMM’s chief of Livestock Division Dr Norudin Kuit.
“Our objective’s now is to convince the higher up echelon of the [Department of Agriculture] to refocus our approach on production” on key halal agri-commodities, he concluded.
- See more at: http://www.freemalaysiatoday.com/category/world/2013/07/14/halal-mindanao-to-the-fore-2/#sthash.Z0dOulx8.dpuf

MINDANAO: With the construction of a halal slaughterhouse in Mindanao underway, the Philippines’ halal agri-products are in for a supportive boost, giving added credibility for the country to participate in the global US$2.3 trillion (RM7 trillion) industry.
Although under reported by media on the archipelago, halal agri-commodities in the Philippines contribute substantially to the economy.
The Department of Agriculture said that in 2010 the industry was worth US $150 billion (RM450 billion).
The Philippines’ halal industry, centered in Mindanao, has already drawn international attention, with the UAE eying investment in halal poultry, the fastest growing halal agri-product in the country.
However, the deal has yet to solidify itself in any concrete manner, an opportunity for the US$1 million abattoir to turn the tables.
The 3.7 hectare halal abattoir is located in Cotabato City, which is part of the Autonomous Region in Muslim Mindanao (ARMM).
Mindanao is home to 2.2 million of the country’s Muslims and has come under the magnifying glass for the greatest of government-led funding.
In the 2013 national budget, Mindanao will be receiving the lion’s share – 40% – of the government agriculture budget.
This will be invested in the construction of the halal abattoir, livestock breeding centers and diary production.
Yet despite the supportive push in funding, halal industry leaders still lament the absence of a segregated budget to help sharpen their competitiveness.
“No specific budget [has been] allocated for halal production except the stimulus fund for halal goat[s] in ARMM,” said DA-ARMM’s chief of Livestock Division Dr Norudin Kuit.
“Our objective’s now is to convince the higher up echelon of the [Department of Agriculture] to refocus our approach on production” on key halal agri-commodities, he concluded.
- See more at: http://www.freemalaysiatoday.com/category/world/2013/07/14/halal-mindanao-to-the-fore-2/#sthash.Z0dOulx8.dpufvvvv

MINDANAO: With the construction of a halal slaughterhouse in Mindanao underway, the Philippines’ halal agri-products are in for a supportive boost, giving added credibility for the country to participate in the global US$2.3 trillion (RM7 trillion) industry.
Although under reported by media on the archipelago, halal agri-commodities in the Philippines contribute substantially to the economy.
The Department of Agriculture said that in 2010 the industry was worth US $150 billion (RM450 billion).
The Philippines’ halal industry, centered in Mindanao, has already drawn international attention, with the UAE eying investment in halal poultry, the fastest growing halal agri-product in the country.
However, the deal has yet to solidify itself in any concrete manner, an opportunity for the US$1 million abattoir to turn the tables.
The 3.7 hectare halal abattoir is located in Cotabato City, which is part of the Autonomous Region in Muslim Mindanao (ARMM).
Mindanao is home to 2.2 million of the country’s Muslims and has come under the magnifying glass for the greatest of government-led funding.
In the 2013 national budget, Mindanao will be receiving the lion’s share – 40% – of the government agriculture budget.
This will be invested in the construction of the halal abattoir, livestock breeding centers and diary production.
Yet despite the supportive push in funding, halal industry leaders still lament the absence of a segregated budget to help sharpen their competitiveness.
“No specific budget [has been] allocated for halal production except the stimulus fund for halal goat[s] in ARMM,” said DA-ARMM’s chief of Livestock Division Dr Norudin Kuit.
“Our objective’s now is to convince the higher up echelon of the [Department of Agriculture] to refocus our approach on production” on key halal agri-commodities, he concluded.
- See more at: http://www.freemalaysiatoday.com/category/world/2013/07/14/halal-mindanao-to-the-fore-2/#sthash.Z0dOulx8.dpuf

MINDANAO: With the construction of a halal slaughterhouse in Mindanao underway, the Philippines’ halal agri-products are in for a supportive boost, giving added credibility for the country to participate in the global US$2.3 trillion (RM7 trillion) industry.
Although under reported by media on the archipelago, halal agri-commodities in the Philippines contribute substantially to the economy.
The Department of Agriculture said that in 2010 the industry was worth US $150 billion (RM450 billion).
The Philippines’ halal industry, centered in Mindanao, has already drawn international attention, with the UAE eying investment in halal poultry, the fastest growing halal agri-product in the country.
However, the deal has yet to solidify itself in any concrete manner, an opportunity for the US$1 million abattoir to turn the tables.
The 3.7 hectare halal abattoir is located in Cotabato City, which is part of the Autonomous Region in Muslim Mindanao (ARMM).
Mindanao is home to 2.2 million of the country’s Muslims and has come under the magnifying glass for the greatest of government-led funding.
In the 2013 national budget, Mindanao will be receiving the lion’s share – 40% – of the government agriculture budget.
This will be invested in the construction of the halal abattoir, livestock breeding centers and diary production.
Yet despite the supportive push in funding, halal industry leaders still lament the absence of a segregated budget to help sharpen their competitiveness.
“No specific budget [has been] allocated for halal production except the stimulus fund for halal goat[s] in ARMM,” said DA-ARMM’s chief of Livestock Division Dr Norudin Kuit.
“Our objective’s now is to convince the higher up echelon of the [Department of Agriculture] to refocus our approach on production” on key halal agri-commodities, he concluded.
- See more at: http://www.freemalaysiatoday.com/category/world/2013/07/14/halal-mindanao-to-the-fore-2/#sthash.Z0dOulx8.dpuf

MINDANAO: With the construction of a halal slaughterhouse in Mindanao underway, the Philippines’ halal agri-products are in for a supportive boost, giving added credibility for the country to participate in the global US$2.3 trillion (RM7 trillion) industry.
Although under reported by media on the archipelago, halal agri-commodities in the Philippines contribute substantially to the economy.
The Department of Agriculture said that in 2010 the industry was worth US $150 billion (RM450 billion).
The Philippines’ halal industry, centered in Mindanao, has already drawn international attention, with the UAE eying investment in halal poultry, the fastest growing halal agri-product in the country.
However, the deal has yet to solidify itself in any concrete manner, an opportunity for the US$1 million abattoir to turn the tables.
The 3.7 hectare halal abattoir is located in Cotabato City, which is part of the Autonomous Region in Muslim Mindanao (ARMM).
Mindanao is home to 2.2 million of the country’s Muslims and has come under the magnifying glass for the greatest of government-led funding.
In the 2013 national budget, Mindanao will be receiving the lion’s share – 40% – of the government agriculture budget.
This will be invested in the construction of the halal abattoir, livestock breeding centers and diary production.
Yet despite the supportive push in funding, halal industry leaders still lament the absence of a segregated budget to help sharpen their competitiveness.
“No specific budget [has been] allocated for halal production except the stimulus fund for halal goat[s] in ARMM,” said DA-ARMM’s chief of Livestock Division Dr Norudin Kuit.
“Our objective’s now is to convince the higher up echelon of the [Department of Agriculture] to refocus our approach on production” on key halal agri-commodities, he concluded.
- See more at: http://www.freemalaysiatoday.com/category/world/2013/07/14/halal-mindanao-to-the-fore-2/#sthash.Z0dOulx8.dpuf

MINDANAO: With the construction of a halal slaughterhouse in Mindanao underway, the Philippines’ halal agri-products are in for a supportive boost, giving added credibility for the country to participate in the global US$2.3 trillion (RM7 trillion) industry.
Although under reported by media on the archipelago, halal agri-commodities in the Philippines contribute substantially to the economy.
The Department of Agriculture said that in 2010 the industry was worth US $150 billion (RM450 billion).
The Philippines’ halal industry, centered in Mindanao, has already drawn international attention, with the UAE eying investment in halal poultry, the fastest growing halal agri-product in the country.
However, the deal has yet to solidify itself in any concrete manner, an opportunity for the US$1 million abattoir to turn the tables.
The 3.7 hectare halal abattoir is located in Cotabato City, which is part of the Autonomous Region in Muslim Mindanao (ARMM).
Mindanao is home to 2.2 million of the country’s Muslims and has come under the magnifying glass for the greatest of government-led funding.
In the 2013 national budget, Mindanao will be receiving the lion’s share – 40% – of the government agriculture budget.
This will be invested in the construction of the halal abattoir, livestock breeding centers and diary production.
Yet despite the supportive push in funding, halal industry leaders still lament the absence of a segregated budget to help sharpen their competitiveness.
“No specific budget [has been] allocated for halal production except the stimulus fund for halal goat[s] in ARMM,” said DA-ARMM’s chief of Livestock Division Dr Norudin Kuit.
“Our objective’s now is to convince the higher up echelon of the [Department of Agriculture] to refocus our approach on production” on key halal agri-commodities, he concluded.
- See more at: http://www.freemalaysiatoday.com/category/world/2013/07/14/halal-mindanao-to-the-fore-2/#sthash.Z0dOulx8.dpuf

MINDANAO: With the construction of a halal slaughterhouse in Mindanao underway, the Philippines’ halal agri-products are in for a supportive boost, giving added credibility for the country to participate in the global US$2.3 trillion (RM7 trillion) industry.
Although under reported by media on the archipelago, halal agri-commodities in the Philippines contribute substantially to the economy.
The Department of Agriculture said that in 2010 the industry was worth US $150 billion (RM450 billion).
The Philippines’ halal industry, centered in Mindanao, has already drawn international attention, with the UAE eying investment in halal poultry, the fastest growing halal agri-product in the country.
However, the deal has yet to solidify itself in any concrete manner, an opportunity for the US$1 million abattoir to turn the tables.
The 3.7 hectare halal abattoir is located in Cotabato City, which is part of the Autonomous Region in Muslim Mindanao (ARMM).
Mindanao is home to 2.2 million of the country’s Muslims and has come under the magnifying glass for the greatest of government-led funding.
In the 2013 national budget, Mindanao will be receiving the lion’s share – 40% – of the government agriculture budget.
This will be invested in the construction of the halal abattoir, livestock breeding centers and diary production.
Yet despite the supportive push in funding, halal industry leaders still lament the absence of a segregated budget to help sharpen their competitiveness.
“No specific budget [has been] allocated for halal production except the stimulus fund for halal goat[s] in ARMM,” said DA-ARMM’s chief of Livestock Division Dr Norudin Kuit.
“Our objective’s now is to convince the higher up echelon of the [Department of Agriculture] to refocus our approach on production” on key halal agri-commodities, he concluded.
- See more at: http://www.freemalaysiatoday.com/category/world/2013/07/14/halal-mindanao-to-the-fore-2/#sthash.Z0dOulx8.dpuf

EURO-ASIA EXPO - expanding international market via Malaysia

In a few months EURO-ASIA EXPO 2013 will be opened and the number of foreign and Russian companies, organizations and private entrepreneurs registered as exhibitors to trade-fair increases each day.

Due to strong partnership between the Organizing committee of EURO-ASIA EXPO and Malaysia External Trade Development Corporation (MATRADE) twenty one Malaysian companies have already decided to present their products and services at the event. Among them there are companies specializing in consulting, logistics, additional education, production of foods, seasonings, flavors, personal hygiene means, household chemicals, electronics, etc.

EURO-ASIA EXPO gives Russian and Tatarstan businessmen an opportunity to find business-partners from Malaysia and enter the international market.

The complete list of companies and their profiles is presented below:

1. Quantum Atlas is focused on professional exhibition and advertising services, as well as seminars and conferences organization.

2. Abdul Rahman & Partners is a commercial law firm, a leader in banking and finance, especially Islamic banking and finance, corporate banking practice, capital market and credit financing.

3. AJM Planning & Urban Design Group sdn bhd is a world`s leader in urbanistics and planning. The Company possesses an extensive experience in complex regional development, which meets all ecological requirements and provides a high standard of living.

4. Arori (M) sdn bhd provides TV-solutions and digital broadcasting to hotels.

5. The Centre of Executive Education of Universiti Tun Abdul Razak (UNIRAZAK) provides necessary knowledge and skills for the emerging entrepreneurs as well as improves the quality of management by focusing on three main areas: innovation, leadership and entrepreneurship.

6. Coffee Scene Sdn Bhd is a chain of café of traditional Malaysian meals.

7. Dolphin Healthcare sdn bhd specializes in the research and development, manufacture and marketing of personal care products and household chemicals, provides medical services.

8. Eco Gaia Sdn Bhd produces biodegradable plastics and polymers.

9. Freight Transport Network Sdn Bhd provides the highest lever services in the fields of custom brokerage and air/sea freight forwarding, towing and storage.

10. KSK Globalink Manufacturing Sdn Bhd produces wide range of rubber materials and related rubber products.

11. Memory Mark is a food sale company.

12. Q Flavors is a company produces seasonings.

13. Reka Nutrition is a leading distributor of food flavors, fragrances, basic aroma chemicals and natural essential oils.

14. Renowned Property specializes on decorative illumination of hotels, halls, palaces and household. The company provides different services such as project research, design, assembly, manufacture, installation, operation and remanufacturing of the projects.

15. Sorient is a photo school.

16. Straits Consulting Engineers provides consulting services.

17. Synergy Worldwide Forwarding provides logistics services, freight forwarding and custom clearing.

18. Synergy Worldwide (M) provides freight door-to-door delivery services.

19. Titan Ledway is an electronics and home appliances company.

20. Tuck Sun & Co provides full-service logistics.

21. Sovereign Maritime Services (M) provides risk management in petroleum industry.

McDonald's To Stop Serving Halal Food At 2 Michigan Restaurants

The only two McDonald's restaurants in the United States that were serving food prepared according to Islamic law have stopped several weeks after a $700,000 settlement over a lawsuit that alleged the items weren't consistently halal.

The fast-food giant said in a statement Monday that the locations in the Detroit suburb of Dearborn, which has a large Muslim population, are no longer offering a halal McChicken sandwich or Chicken McNuggets in order "to focus on our national core menu."

The corporation added it takes into account "local and dietary preferences," and supports its franchisees in Dearborn. Neither the statement nor a spokeswoman said whether McDonald's decision was related to the lawsuit.

The lawsuit, brought by customer Ahmed Ahmed in 2011, technically covered anyone who bought the halal-advertised products between September 2005 and January from the restaurant on Ford Road and another one in Dearborn with a different owner. The second location wasn't a defendant or a focus of the investigation.

A letter sent to McDonald's and restaurant franchisee Finley's Management, by attorney Kassem Dakhlallah's firm Jaafar and Mahdi Law Group, said Ahmed had "confirmed from a source familiar with the inventory" that the restaurant had sold non-halal food "on many occasions."

In the settlement notice, Finley's Management said it "has a carefully designed system for preparing and serving halal such that halal chicken products are labeled, stored, refrigerated, and cooked in halal-only areas." The company added it trains its employees on preparing halal food and "requires strict adherence to the process."

McDonald's attorney Thomas McNeill said during a hearing earlier this year that the investigations and negotiations proved that if a problem arose, "it was isolated and rare."

The settlement is being shared by a customer named Ahmed Ahmed, a Muslim-run Detroit health clinic, Dearborn's Arab American National Museum and lawyers.

Dakhlallah said Monday that "there is no shortage of halal options for consumers" in Dearborn, home to one of the largest mosques in North America. Overall, the Detroit area is home to about 150,000 Muslims.

"If the result of the class-action lawsuit against McDonald's and the Ford Road franchise was that companies who were falsely advertising halal products stopped pretending to be halal compliant, that's a good thing for consumers," he said. "I doubt that truly halal compliant businesses would stop offering halal products."

Halal Food Fraud Worries Muslim-American Community

When McDonald’s announced it would discontinue the sale of halal chicken nuggets and chicken sandwiches at two restaurants earlier this week, it brought to light a thorny issue riling the Muslim-American community: inconsistent halal standards and fraudulent advertising and marketing of Islamically permitted products.

The United States is now home to thousands of halal-compliant food industry businesses, offering Muslim Americans a choice of offerings and convenience that earlier generations could only have imagined.

But this booming halal market is often accompanied by a lack of consensus about what constitutes halal — and that has caused confusion and controversy among Muslim Americans. In addition, several well-publicized incidents of fraud have left halal consumers vulnerable to unscrupulous merchants and suspicious about the sources of the products they are buying.

These problems surfaced when McDonald’s announced it would discontinue halal nuggets and sandwiches at two restaurants in Dearborn, Mich. The decision follows a 2011 lawsuit alleging McDonald’s falsely advertised non-halal chicken as halal. In January, McDonald’s paid $700,000 to settle the suit, but denied any wrongdoing.

It is not the first such settlement. In 2011, the Orange County, Calif., district attorney obtained a $527,000 settlement against the Super King Market in Anaheim, alleging the store falsely advertised generic and mixed meat as halal. The store denied wrongdoing.

“There is a lot of cheating,” said Syed Rasheeduddin Ahmed, founder of the Muslim Consumer Group, a halal certification and educational group in Huntley, Ill. “I am glad McDonald’s stopped the so-called halal chicken because they are not real halal.”

In part, the problem stems from the explosion of products racing to meet growing market demands.

The number of U.S. grocers with halal products has mushroomed from 10 in 1970 to more than 2,300 in 2012, while the number of restaurants serving halal food now exceeds 6,900, according to the Islamic Food and Nutrition Council of America, a halal certification and education group in Park Ridge, Ill.

U.S. consumers spent $11 billion on halal products in 2011, the nutrition council said.

“It’s a big market share,” said Timothy Abu Mounir Hyatt, managing director of Islamic Services of America, a halal certification group in Cedar Rapids, Iowa. “We have a lot of customers who understand the importance of complying.”

While halal-observant Muslims welcome the plethora of choices, many are also wary that some merchants may try and take advantage of their religiosity to pass off products that aren’t halal.

“So long as there are few legal protections, there are often unscrupulous merchants that get away with it,” said Shahed Amanullah, founder of zabihah.com, a website with listings and customer reviews of halal restaurants and grocers around the world, including several thousand in the United States.

Indeed, the zabihah.com website (the name refers to the term used for the Islamic ritual slaughter of an animal) includes many reviews in which diners call out restaurants they believe are falsely advertising halal.

Halal, which means “lawful” or “permitted” in Arabic, requires that meat such as beef, lamb, goat, and poultry be raised and killed humanely, and that a blessing be said at the time of slaughter. Non-halal foods include carnivorous animals and birds of prey, as well as pork and products derived from pork such as gelatin. Fish, vegetables, fruits, nuts and grains are permitted.

But the halal industry is hampered by another problem, too: division among Muslims. In 2006, a group of scholars dealing in Islamic law, ruled that machine-slaughtered animals are halal so long as they are blessed and butchered properly. Yet many Muslims, including Ahmed of the Muslim Consumer Group, said that only meat that is hand cut is permitted. Others say that a restaurant cannot be considered halal if it also sells forbidden products like pork and alcohol.

There are several organizations in the United States that certify products as halal and send inspectors into slaughterhouses and manufacturing plants to verify that the work is done according to Islamic law. A few states, including California, Illinois, Michigan, New Jersey, and Virginia, have passed laws penalizing businesses for false advertising of halal products.

Some Muslims say certification and guidelines do little to protect halal consumers from false advertising. At the same time, halal certifiers lack the manpower to inspect every individual restaurant and grocer, and instead focus on slaughterhouses and food manufacturers.

Given the pitfalls, what’s a halal eater to do? The best defense against fraud, Amanullah said, is education. He encourages consumers to check zabihah.com for reviews, and to directly ask businesses owners about their halal offerings.

“In the absence of universally accepted and verified halal standards, halal consumers should feel free to ask for verification of sources of halal meat so they can make up their own mind,” said Amanullah. “Businesses committed to serving this market will be happy to oblige.”

McDonald’s says goodbye to halal

McDonald’s Corp. is dropping halal food, which are prepared according to Islamic guidelines, from its U.S. menu after a lawsuit in Michigan accused the fast-food chain of false advertising.

McDonald’s only two U.S. restaurants that offered halal food, both in Dearborn, Mich., have stopped serving Halal Chicken McNuggets and Halal McChicken sandwiches after a lawsuit was filed in 2011 alleging the items were not properly prepared under Islamic law and that some customers who ordered halal items were mistakenly given non-halal food.

“Those items have been discontinued as a result of our continued efforts to focus on our national core menu,” a spokesman for McDonald’s (NYSE: MCD) told the Detroit Free Press.

McDonald’s, which denied any wrongdoing, reached a $700,000 settlement in April. Of that amount, $275,000 went to a Muslim health center in Detroit; $150,000 to the Arab American National Museum in Dearborn, $25,000 to Ahmed Ahmed, the man who filed the lawsuit against McDonald's, and the remainder went to attorney fees, reported the Detroit Free Press.

The restaurants stopped serving the halal items last month, after 12 years of including them on the menu, according to the newspaper.

Kassem Dakhlallah, the attorney who filed the lawsuit, told the Detroit Free Press he was disappointed that the company decided to stop selling halal food rather than try "to ensure that all products sold were halal as advertised."

McDonald’s still sells halal food in Muslim-majority countries such as Saudi Arabia.

Japan Satisfies Halal Appetite

CAIRO – Meeting a high demand among Muslim residents and tourists, restaurants in the Japanese capital, Tokyo, are expanding to satisfy a growing appetite for halal foods.

“Halal foods are currently delivered only within the 23 wards of Tokyo, but we want to expand the delivery area,” a member of the Halal Deli’s staff told The Japan Times on Friday, June 21.

Halal Deli is one of new restaurants in Tokyo that opened recently to meet a growing demand for halal food from Muslim tourists from neighboring Indonesia and other Muslim countries.

The halal restaurants supply Malaysian, Indonesian and Turkish food.

Their most frequent customers are companies that have Muslim employees and visitors as well as tourists.

The Japanese government recently made tourism from Southeast Asia a priority and is preparing to relax visa requirements to lure more people from the region.

The remarkable change comes as new studies revealed that the number of Muslims worldwide is expected to exceed two billion in 2030.

“In our primary plan, we estimated about 200 orders monthly, but now we receive over 500 per month,” says the staff member at Halal Deli.

“We plan to get more contracts and we hope the service will eventually be expanded to other cities.”

The concept of halal, -- meaning permissible in Arabic -- has traditionally been applied to food.

Muslims should only eat meat from livestock slaughtered by a sharp knife from their necks, and the name of Allah, the Arabic word for God, must be mentioned.

Muslims do not eat pork and consider pigs and their meat filthy and unhealthy to eat. Alcohol is also totally forbidden for Muslims.

Now other goods and services can also be certified as halal, including cosmetics, clothing, pharmaceuticals and financial services.

Success

Before halal food expansions, Fauziah Fauzan, an Indonesian Muslim, had to worry about the food served in restaurants and if it was permissible according to Islamic faith.

To avoid predicament, she had to resort to fish or strictly vegetarian meals.

“I didn’t have to worry if what I was eating was allowed or not,” said Fauzan, 42, a member of a group of about 30 education officials from Indonesia who came to Japan to visit schools.

“It would be great if halal foods were available in other areas.”

The Japanese government efforts to ease access to halal food guaranteed a growing share of Muslim tourism.

“There are many Muslims who would like to visit Japan, but the concern about the food is the main reason why they have second thoughts,” said Mina Hattori, the leader of Fauzan team and an associate professor at the School of Education and Human Development of Nagoya University.

“I think that if halal became more available, the number of Muslims visiting Japan would increase.”

Islam began in Japan in 1920s through the immigration of a few hundreds of Turkish Muslims from Russia following the Russian revolution.

In 1930, Muslims number reached about 1000 of different origins.

Another wave of migrants who boosted the Muslim population reached its peak in 1980s, along with migrant workers from Iran, Pakistan and Bangladesh.

Japan today is home for a thriving Muslim community of about 120,000 Muslim, among nearly 127 million in the world's tenth most populated country.

Halal food on verge of boom with rise in Muslim visitors

NAGOYA – Halal food, the only type Muslims are permitted to eat under Islamic law, is in hot demand, say managers at Halal Deli, which delivers boxed lunches to devout Muslims in Tokyo.

“Halal foods are currently delivered only within the 23 wards of Tokyo, but we want to expand the delivery area,” a member of the deli’s staff said.

The shop, based in Koto Ward, opened to meet growing demand for halal food from tourists from Indonesia and other Islamic countries.

A group of about 30 education officials from Indonesia in Japan to visit schools were licking their lips during a recent lunch break as they tried some curry from Halal Deli in a room at the nearby National Museum of Emerging Science and Innovation.

“It’s delicious,” one said.

“I want some more,” said another.

Halal Deli signed contracts with three restaurants in April to supply Malaysian, Indonesian and Turkish food. They also decided to expand by launching phone and Internet-based delivery services.

Their most frequent customers are companies that have Muslim employees and visitors, and tourists.

On the menu you can find about a dozen “bento” (boxed lunches) containing chicken, rice and Japanese foods.

The concept of halal does not only prohibit pork and alcohol as most people think. It can also ban consumption of beef, lamb or chicken if the meats are not processed according to Islamic custom.

When this happens, they become “haram” or forbidden — the opposite of halal.

Some seasonings or condiments, like “mirin,” a sweet cooking sake used in Japan, can also be designated haram.

“I didn’t have to worry if what I was eating was allowed or not,” said Fauziah Fauzan, 42, another of the visiting Indonesian officials.

“It would be great if halal foods were available in other areas.”

After visiting Osaka and Nagoya, Tokyo was the first place they found restaurants or dining services that offered halal food, said Fauziah, who by then was resorting to fish or strictly vegetarian meals.

The leader of the team, Mina Hattori, an associate professor at the School of Education and Human Development of Nagoya University, said the last time they had a group of visitors from Indonesia, she had to prepare about 50 halal lunches with only the help of Indonesian students at the university.

“There are many Muslims who would like to visit Japan, but the concern about the food is the main reason why they have second thoughts,” said Hattori, who has conducted research on Islamic education. “I think that if halal became more available, the number of Muslims visiting Japan would increase.”

The Japanese government recently made tourism from Southeast Asia a priority and is preparing to relax visa requirements to lure more people from the region.

“In our primary plan, we estimated about 200 orders monthly, but now we receive over 500 per month,” says the staff member at Halal Deli. “We plan to get more contracts and we hope the service will eventually be expanded to other cities.”

Vets in animal welfare call over halal meat

VETS have called for stricter labelling of halal and kosher meat and immediate post-slaughter stunning of animals being prepared for the religious markets in a bid to improve welfare conditions.

Mr Jones said the BVA wanted to see slaughterhouse conditions improved, particularly in relation to the production of halal and kosher meat, by introducing immediate post-cut stunning.
He said: "We are grateful to the Scottish Government for consulting over these sensitive issues and we look forward to working with you to implement a solution that offers the highest levels of animal welfare, while respecting the views of certain religious communities."
For meat to be halal – or "permissable" – under Islamic law, the animals must be slaughtered with a sharp knife, which is used to cut their throat, windpipe and blood vessels in the neck, causing the animal's death without cutting the spinal cord. The blood from the veins from must be drained completely since blood is a carrier of bacteria and therefore considered unclean.
However, while it is standard slaughterhouse practice in the UK to administer an electric shock to daze the animal before it is killed, the practice is generally resisted as not being halal or kosher – partly from a fear the animal may be accidentally killed by a stungun.

Uniting Islamic finance and halal at conferences

Conferences provide an insight on the road ahead for industries, products, innovations, and services. The speakers are assumed to know more than most on the other side of the podium.

One of the interesting developments in the Islamic finance conferencing arena has been the introduction of topical issues from the 2.1 trillion halal industry. Is it because there is no 'new new' in Islamic finance or the realization that Islamic finance needs to build bridges to new areas linked to the real economy or both?

 

Halal, depositors and alternatives 

There is a realization and recognition that, at one level, halal is demand based, hence, one needs to eat, before one invests in, say, mutual fund or bank/sukuk finance a tower. Thus, halal, being a consumer non-cyclical, is actually less volatile (or more stable) than Islamic finance's traditional area of finance: real estate.

Furthermore, as there are more Muslim depositors than investors (debt culture), there are more participants in halal than in Islamic finance (food over finance). To wit, Islamic finance participants will be almost always be consumers of halal foods, but halal food consumers will not always be Islamic finance participants. The reasons may be due to lack of availability of Islamic finance, especially at retail levels in non-Muslim countries, excessive costs or lower returns, inferior customer service, lack of range of products, etc.

For Muslims, the alternative to halal foods is the acceptable kosher. For example, in the US, Muslims consume more kosher products than Jews, as there are more than 86 kosher products for every one halal product. Thus, halal and kosher are a good example of building bridges of inter-faith dialogue.
The alternative to Islamic finance is the conventional and ethical (which has elements of interest) or cash economy. Obviously, not many ideal choices, but many scholars have invoked 'law of necessity' for allowing Muslims to participate in interest based finance as an Islamic alternative is unable and would cause undue hardship. Furthermore, there are a number of Christian and Catholic funds available for investing, but Shariah scholars have not approved them for investment for Islamic investors.

Thus, the 'acid of purity or authenticity' may be articulated by following observation:

If there are pork traces of DNA found in halal food products and known by the consumer, the consumption of the product would be prohibited. Only caveat is when consumption of pork would save a person from starvation to death. In Islamic finance, the Shariah scholars have allowed 'minor' amount of interest and impermissible income (which must be purified by way of charitable donation) and acceptable amount of conventional debt (screening companies for compliance for investment purposes) as preconditions for participation. Thus, halal can be said to be Shariah based and today's Islamic finance as Shariah compliant.

ConferencesIslamic finance conferences are about awareness, education and networking, but they are commercial undertaking with profit motives. The injection of halal at such conferences is actually a paradigm shift, as Islamic finance has traditionally ignored its much larger brethren: halal. It should be noted that at halal conferences/events, like World Halal Forum, Islamic finance topics are commonplace and, even, Islamic banks sponsor such events.
The time has arrived to present the halal value proposition at Islamic finance events. Thus, I was requested to present on halal at major events like the Kuala Lumpur Islamic Finance Forum (KLIFF) 2012, World Islamic Banking Conference (WIBC) Asia 2013 in Singapore, and at the Brunei Islamic Investment Summit (BIIS) 2013.
Furthermore, after His Highness Shaikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai, made the historical announcement in early 2013, about Dubai's ambition for an Islamic economy, it has institutions, consultants, and conference organizers scuttling to put together a 'blue print' of the Islamic economy, including halal.

Halal conversation
The conversation on halal must continue to evolve from the academic, certification and research to the practical, immediate and impaction. Put differently, the monetisation of halal needs to entice the Islamic money, as the riba based money has financed halal. For example, one only needs to examine at the balance sheet of, say, publicly listed halal food companies in the SAMI Halal food index for Shariah compliance (financial ratios, especially on debt), and realize quite a few fail the screening process.

 

Aussie’s Baby Royale halal food soon in Malaysian supermarts

Australia's premium branded halal baby food maker Baby Royale will soon put its products on the shelves of 350 supermarkets in Malaysia, reports The Australian.

It believes the rollout of its products in Malaysia's modern supermarkets such as Cold Storage, Giant and Tesco will boost its exports to the Asean region by A$2 million (about RM6 million) over the next 12 months, rising to A$20m a year over the next five years.

Baby Royale managing director Adam Moore said the company, based in the Victorian regional capital of Traralgon, saw the Asean region as being 50 per cent of its within five years, with bigger opportunities in the long term "The focus for food is moving away from being just China-centric.

"It is a lot easier for us to do business here (in Malaysia) than in China. That is the reality.

"There are a lot less barriers to entry and I think we should be taking more advantage of it."

Moore said the company had teamed up with powerhouse local market expansion services firm DKSH, which has developed a reputation for growing brands in the region. It is also listed on the Zurich Stock Exchange and operates through 27 Asean countries.

"They can bring some specialist abilities into what we are doing in terms of brand building and market building. For smaller exporters that is really important," Moore said, noting the deal had taken three years to conclude.

The announcement of the deal was made on the Victorian government's Super Trade Mission to Southeast Asia, which includes 85 food and beverage companies. The trade mission moves today to Indonesia before heading to Singapore.