As the country lacks Halal certifiers, the government is now gearing up to produce more certifiers for the Halal industry, a sector expected to generate P230 billion in trade and investments, creating over 120,000 job opportunities for Filipinos in the next five years, according to the country's Trade Department.
In an interview with the DAILY TRIBUNE on Monday, Department of Trade and Industry-Halal Industry Development program manager Aleem Siddiqui Guiapal, said the most in teresting part of the government's push for the development of Halal in the Philippines is the partnership with the Malaysian government, considered the Muslim country with the most developed Halal sector.
Malaysia to provide expertise
"Malaysia will provide expertise in terms of mentoring as the country has already reached its maximum value of productivity, compared to the Philippines that is just starting to strengthen the industry, especially tapping micro, small and medium enterprises," he said.
Guiapal said the primary role of the Malaysian government is to share expertise in four things: The Halal integrity to strengthen the branding of the Philippines as a source of Halal products on the manufacturing side; Halal investment promotion to increase Halal investments, and capacity building, providing training to the country's workforce and developing Halal compliance officers.
Accrediting certifiers
Further, Guiapal said the Halal Board has already accredited two certifiers, and they are gearing up to add another 11 companies to be official Philippine Halal certifiers, for a total of 13 certifiers.
In 2022, Malaysia's exports reached RM1.55 trillion, exceeding the 12th Malaysian Plan projection for 2025 by 24 percent and three years ahead of target.
Of this, the total halal export value for 2022 was RM59.46 billion, in which the Halal industry contributed to 7.4 percent of the country's GDP in 2022.
Trade Secretary Alfredo Pascual said "the Department will act fast to establish a number of bona fide Halal certifying bodies to adopt their practices and standards, in partnership with Malaysia and other countries, as soon as possible."
The Philippine Halal Export Development and Promotion Program Act of 2016 (Republic Act 10817), which took into effect on 26 July 2017 after its implementing rules and regulations were approved, has established the Halal Export Development and Promotion Board, an inter-agency body led by the DTI along with the National Commission on Muslim Filipinos, the Departments of Agriculture, Department of Health, Department of Foreign Affairs, Department of Tourism, Department of Science and Technology, the Bangko Sentral ng Pilipinas, and the Mindanao Development Authority, along with two Muslim Filipino professionals to facilitate its implementation.
MoU inked
The DTI on Monday signed a Memorandum of Understanding with DK P.O. Fulfillment Company Inc., a non-interest financing service to address the development of the Halal industry in the country, particularly for MSMEs held in Parañaque City.
"Our micro, small, and medium-sized enterprises, or MSMEs, are at the forefront of our Halal initiatives, poised to reap significant benefits. The DTI is taking substantial steps to champion its growth in this domain," he said.
Further, Pascual underscored that the Halal industry development initiative forms part of the DTI's four priorities: promoting regional development; attaining food security; upgrading, upskilling, and upsizing MSMEs; and enabling job skills matching and skills upgrading.
Multi-trillion-peso market
The global Halal industry is a multi-trillion market growing at a constant pace, considering the growing Muslim population of 1.9 billion people.
Projections indicate that in 2025, the Halal industry's market value is expected to surge to $7.7 trillion.
Moreover, the global Halal economy has expanded to cover the food and beverages sector and the entire lifestyle industry, including clothing, pharmaceuticals, cosmetics, tourism and services, media and recreation.