Kuala Lumpur:Malaysia announced the formation of the Malaysia-Indonesia Halal Council to enhance halal diplomacy between the two nations, as stated by Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi.
According to BERNAMA News Agency, the council will be chaired by Indonesia€š¬…¡¬€š¬…¾¢s Halal Product Assurance Organising Agency (BPJPH), with Malaysia assuming the role of secretary-general. The council€š¬…¡¬€š¬…¾¢s first meeting is scheduled for October.
The focus next month will be on facilitating halal certification processes between Malaysia and Indonesia to streamline bilateral halal trade. Ahmad Zahid highlighted the council's role in addressing the differing halal requirements and repeated procedures that businesses encounter when entering neighboring markets.
A memorandum of cooperation was signed between Malaysia and Indonesia in 2023, and bilateral negotiations to facilitate halal certification and trade concluded in June. The aim is to identify practical methods to simplify trade, reduce duplication, and connect businesses to regional supply chains.
Malaysia contributes expertise in standards, governance, Islamic finance, and trade facilitation, while Indonesia offers substantial production capacity and entrepreneurship. This collaboration aims to lower trade barriers, ease market access, and foster cross-border trade opportunities.
Ahmad Zahid emphasized the need for small manufacturers to find clearer routes to overseas buyers and for halal-certified companies to receive support in fulfilling export orders. He noted that the halal industry currently contributes about 11 percent to Malaysia€š¬…¡¬€š¬…¾¢s GDP, with only 14.7 percent of halal-certified companies engaging in exports.
He stressed that to increase the country€š¬…¡¬€š¬…¾¢s halal exports to RM80 billion by 2030, companies must not only focus on certification but also improve production, packaging, and logistics to compete internationally.
Additionally, Ahmad Zahid mentioned the International Halal Showcase (MIHAS) 2026, which garnered US$1.2 billion in sales over its first two days. Organized by the Malaysia External Trade Development Corporation, MIHAS 2026 runs from September 23 to 26, aiming to maintain its status as a global halal exhibition despite other countries hosting similar events.