As the central coordinator tasked to facilitate the growth of Malaysia’s halal economy, Halal Development Corporation Berhad (HDC) has implemented various strategic initiatives to nurture halal local companies to become local halal homegrown champions and position the country as a leader in the global halal industry.
One such initiative is the Halal Homegrown Champions within the Halal Sourcing Partnership Program (HSPP). Helping small and medium-sized enterprises (SMEs) to scale up to international quality and standards, the HSPP’s SME Development facilitation service has recorded notable successes since its introduction in 2020.
Four main scopes of facilitations are offered under the HSPP Program. The first facilitation is the International Certification for obtaining critical certifications for exports, such as the Hazards Analysis Critical Control Point (HACCP) and the ISO 22000 certification.
This six-month guided facilitation for halal SMEs is to assist the manufacturers in improving their internal systems and processes so that they qualify and obtain the required international certifications to eventually gain the confidence and trust of existing and new clients.
The second type of facilitation is for Digital Branding, a six-month program to assist participating SMEs in increasing their brand awareness and visibility. The program includes working closely with the SME’s marketing team and coaching them on ways to optimise online campaigns and target a broader audience effectively to boost the brand’s visibility and online sales channels.
The third facilitation is for Product Development with a focus on Packaging. The five-month program aims to improve the products’ packaging based on the SME buyer’s requirements. Through HSPP, SMEs can develop more appealing and high-quality packaging suitable for domestic and export, allowing the companies to penetrate new markets and regions around the world.
Finally, HDC’s newest facilitation program is the Training and Development for Environment, Social, and Governance (ESG). As global markets increasingly prioritise sustainability, HDC’s new ESG training and development program helps SMEs align with international standards on sustainability, enabling them to tap into markets that prioritise ESG factors.
“For HSPP 2.0, we have included the new scope on ESG practices, which is seen as crucial for local SMEs looking to penetrate the globalised market today,” said Hairol Ariffein Sahari, chief executive officer of HDC.
“Another scope that we have improved is the international certification facilitation. Previously, this facilitation focused solely on audits to obtain either HACCP or ISO 22000 certification. Starting in 2024, we have introduced a consultancy service as part of the program,” he added.
Hairol recalled that HSPP initially focused on only one scope of facilitation but has since expanded to include more facilitations based on the prevailing and future needs of halal SMEs.
“Our main objective is to strengthen the global competitiveness of local halal products and services. With better quality halal products and services, these SMEs can now expect increased opportunities and collaboration proposals from larger businesses to perhaps become suppliers for large global retailers and multinational corporations,” Hairol added.
This increase in sectorial competitiveness and marketability of Malaysian halal products will indirectly push the SMEs to be more export-oriented. With the accelerated business growth, the SMEs can become the de facto Halal Champions within the targeted halal-promoted sectors, further contributing to shaping and improving the halal supply chain ecosystem in Malaysia.
“In this fifth year since the first offering of SME Development facilitation under HSPP 1.0, I am happy to announce that to date, the HSPP Halal Homegrown program has helped some 190 companies on their journey towards internationalisation,” said Hairol.
“With multiple successes on record, including increases in sales revenue to rise in new proposal requests and new offers from larger businesses and MNCs, to successfully exporting their first halal shipment to international buyers. All these are tangible evidence of the effectiveness of HDC’s Halal Home-Grown Champion – Sourcing Partnership Program (HSPP),” he added.
HSPP is open to all Malaysian registered companies with valid Halal certification, with annual sales between RM300,000 to RM50 million, and has been actively in operation for the last three years.
Click here to register for HSPP’s facilitation program by HDC.