Halal Supply Chain Management

Indonesia, the largest halal market in the world, is taking the halal industry to the next level by developing a premium 500 hectares halal industrial park in Indonesia, about 68 km west of Jakarta. This park is a signature halal development, very different from conventional halal parks as seen in several countries. This halal park provides a complete halal food+ cluster by design for halal industries, logistics service providers, traders, and halal services. It makes halal sourcing, production and supply chain management easier for both SMEs and large companies. We have been privileged being involved in the development of Modern Halal Valley in Indonesia, and would be most pleased to share more details on this development. For more information, please contact me directly .

Halal supply chains are vulnerable to contamination, risk of contamination and perception issues, providing reputational risks for brand owners operating supply chains in and for Muslim markets. Halal requires a supply chain approach in order to ensure the integrity of a halal product, similar to food safety. Therefore, the halal assurance system of a company should go beyond ingredients and production process. Halal certification for a supply chain would not limit the audit and certification process  to production  facilities,  with their  compliant  halal ingredients,  but  also certify the entire halal supply chain based on a more comprehensive halal assurance system covering end-to-end supply chain standard operating procedures. But, is the certification of an end-to-end halal supply chain even possible? For the full article, please visit  https://icrjournal.org/icr/index.php/icr/article/view/728 .

Europe is a leading exporter of food products, cosmetics and pharmaceuticals to Muslim countries in Asia and the Middle East. Unlike Australia, New Zealand, Singapore and Thailand, the halal standards in European countries do not organise their safety standards. While Muslim countries are introducing new halal standards and strengthening their certification requirements, exporters in European countries are increasingly facing difficulties in complying with the new halal regulations. European governments have regarded these new regulations as barriers to their trade with Muslim countries. Does this reflect their lack of understanding of halal, or do they have a valid argument? For the full article, visit:  http://icrjournal.org/icr/index.php/icr/article/view/641

Integrity of halal products is becoming an increasing concern for governments and industries.  To better protect halal brands and corporate reputation, there are evident benefits of extending halal assurance towards the supply chain.  Three halal supply chain risk cycles are proposed: (1) risk prevention: risk vulnerability assessment, supply chain (re)design, vertical and horizontal collaboration, monitoring; (2) risk mitigation: investigative audits, cross-functional team, risk mitigation and communication plan, monitoring; and (3) risk recovery: risk recovery and communication plan, resume operations, maintain employee support, review risk mitigation and recovery plans. As halal is going through an evolution, towards a halal supply chain and value chain, halal-certified brands need better protection. It is the first study investigating halal risk and reputation management for halal-certified brands. For the full paper, visit:  https://www.emeraldinsight.com/doi/abs/10.1108/JIM

Halal supply chains have inherent problems or flaws, namely in traceability (ability to verify the location of a product) and in organising product recalls; transportation and warehousing (storage) compliance downstream the supply chain in accordance to halal requirements; end-to-end chain integrity (unbroken chain): from source to point of consumer purchase; different halal systems and interpretations of different markets; and lack of integration of information technology systems. Transparency of halal supply chains is needed in order to ensure trust and authenticity of a halal brand. Halal blockchains combine the distributed ledger technology with smart contracts, having the potential to create high performance halal supply chain networks.  The main objectives to be achieved with halal blockchains are reliable data and trust of halal supply chains; seamless and efficient halal process from source to point of consumer purchase; sustainability of halal supply chains; consumer conf