Global Uncertainties Pave way For M'sia To Strengthen Halal Hub Status - Ahmad Zahid

TASEK GELUGOR, April 7 (Bernama) - Global geopolitical uncertainties, which have impacted the world's halal supply chains, should not be seen as a threat but as an opening for Malaysia to strengthen its position as a stable and resilient halal hub.

Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi said the conflict in West Asia, particularly involving strategic routes such as the Strait of Hormuz, has had a major impact on global supply chains, and sparked a domino effect on the halal industry, from rising logistics costs and shipment delays to uncertainty over market access.

He said halal products, particularly fresh food and temperature-controlled goods, were highly dependent on an efficient and stable global supply chain, while rising energy and raw material costs also put pressure on production costs.

"Despite these challenges, there is a reality that we need to look at more strategically, because this global uncertainty actually paves the way for Malaysia to strengthen its position as a stable, trusted and resilient halal hub.

"Our ability to diversify export markets, strengthen domestic supply chains and improve logistics efficiency will be the determining factors in ensuring the country's halal industry continues to grow, even in a challenging global environment,” he said at the groundbreaking ceremony for Phase Two of the PERDA Halal Park Industrial Development Project at the Perda Food Park here today.

Also present were Deputy Minister of Rural and Regional Development Datuk Rubiah Wang, Deputy Chief Minister I Datuk Dr Mohamad Abdul Hamid, Malaysia External Trade Development Corporation (MATRADE) chairman Datuk Seri Reezal Merican Naina Merican and Penang Regional Development Authority (PERDA) chairman Datuk Dr Shaik Hussein Mydin.

Ahmad Zahid, who is also the Minister of Rural and Regional Development, said demand for global halal products, projected to reach around USD5 trillion by 2030, presents a huge opportunity for the country to expand its market share.

"This is because halal products are not just for Muslims, but for all religions and countries, with Malaysia becoming the trusted nation in the world in the production of halal products,” he said, urging halal product producers in Malaysia to continuously capitalise on this great potential.

The chairman of the National Halal Council also said that in 2024, Malaysia's halal export value reached RM61.79 billion, with domestic products penetrating key markets such as China, Singapore, Japan, the United States and Indonesia.

He added that the food and beverage sector remained the largest contributor, with a value exceeding RM34.03 billion, followed by the growing halal ingredients sector.

Based on the Halal Industry Master Plan 2030 (HIMP 2030), he said the country has set clear targets, namely to increase the halal industry's contribution to Gross Domestic Product (GDP) to 11 per cent, achieve an export value of RM70 billion and create about 700,000 highly skilled job opportunities.

-- BERNAMA