Monday 17 Feb 2025
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KUALA LUMPUR (July 17): Malaysia External Trade Development Corporation (Matrade) is calling on more local halal players to capitalise on the Malaysia International Halal Showcase (Mihas) to expand their businesses abroad at minimal cost.

Matrade director of halal, F&B and agro-based section Remee Yaakub said the international trade fair has come a long way since its inception in 2004, having facilitated some RM17.24 billion in sales of halal products and services over the last 16 years.

“Participation in international trade events [abroad] can be costly and burdensome for many. But Mihas, which is held locally, allows participants to attract foreign clients at a fraction of the cost of doing it abroad,” he told a webinar titled “Halal Quest” during the virtual AmBank BizConference held today.

“Last year marked our 16th edition. Between 2005 and 2019, Malaysia recorded RM17.24 billion of sales from Mihas alone. During that period, we brought more than 4,300 foreign buyers to engage with Malaysian companies and explore cross-border trade opportunities,” he added.

In February, Matrade announced that the four-day annual event had been rescheduled to Sept 1-4, from the original dates of April 1-4, in light of the Covid-19 global outbreak.

Remee did not share his outlook or projections for this year’s instalment but said Matrade is confident of maintaining Mihas’ good track record for the 18th edition next year.

Matrade had previously anticipated over 35,000 visitors from 90 countries at Mihas 2020, which aims to gather around 1,260 businesses — both local and foreign companies from around the world.

This, according to the agency, would be Mihas’ largest congregation yet since its inception in 2004.

According to Dinar Standard’s “State of the Global Islamic Economy Report 2019/20”, Muslims spent US$2.2 trillion in 2018, a 5.2% growth year-on-year.

The amount is expected to increase to US$3.2 trillion by 2024, at a compound annual growth rate of 6.2%.

Growing at an estimated annual rate of 20%, the industry is valued at about US$560 billion a year, according to reports. Thus, making it one of the fastest growing consumer segments in the world.

“In Malaysia, Matrade’s role in the halal ecosystem is geared towards the end part of it which is internationalisation of Malaysian companies, through our network of 46 trade offices overseas,” said Ramee.

Realising the growing halal market and the accompanying demand for Islamic financing needs, AmBank Islamic Bhd chief executive officer Eqhwan Mokhzanee Muhammad said the Islamic banking arm of AMMB Holdings Bhd has been actively targeting “qualified” halal companies to grow its portfolio for the segment.

“We have a way or strategy to target halal companies. We talk about halal all the time but it’s only for the past couple of years that we have a comprehensive and more robust strategy to attract halal companies.

“We have assigned a team to identify these companies to comb through the opportunities and where there are meaningful opportunities, then of course, we will target them in greater earnest,” he said, adding that Ambank Islamic boasts “a couple of hundred million ringgit” in terms of halal-related portfolio size.

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