Next Level Halal Certification System - Blockchain.

The disturbing news about systemic and institutional corruption in the halal meat industry by a cartel comprising foreign exporters with the alleged connivance of four government agencies is a provocative reminder of how entrenched such a culture is in Malaysia ("MACC probing 'halal' meat smuggling cartel case").

What’s truly shocking is the corruption not only subverted routine bureaucratic procedures but also the Islamic core injunction of halal food, particularly with regards to the prescribed ritual slaughter of meat for consumption by Muslims according to the fundamental tenets of the faith – and it was enabled by government officers who presumably are themselves Muslims to boot.

Despite a projected increase in the Muslim population to 30% of world population by 2050, which is one of the factors driving the lucrative expansion of the industry, news of this unholy cartel is indeed a setback and does not augur well for the industry in Malaysia.

Apart from the reactive need to fortify the Malaysian Anti-Corruption Commission (MACC) with more resources, and to get the Agriculture and Food Industry Ministry to increase its governance of the issuance of approval permits for meat importers, given that corruption seems to be a way of life in Malaysia now, there is a pressing and proactive need get ahead of the curve to prevent something like this from happening again. 

One proactive measure that should be implemented immediately is for the issuing authorities – in this case, the Agriculture and Food Industry Ministry as the issuer of APs and the Department of Islamic Development (Jakim) as the halal certifier – to go the blockchain route.

Blockchain technology is a disruptive technology that is a part of the Fourth Industrial Revolution that is expected to change the way we work and live. Also known as distributed ledger technology (DLT), it can also disrupt cartel’s cunning strategies to achieve its fraudulent objective.

Through smart contracts, DLT could digitally prescribe processes and requirements according to a halal standard, verify halal compliance, and enforce the performance of halal supply chains.

A smart contract is a computer protocol intended to digitally facilitate, verify or enforce the negotiation or performance of a contract. Smart contracts allow the performance of credible transactions without third parties.

Because blockchain is a decentralized system that exists between permitted parties, there’s no need to pay intermediaries (middlemen) and it saves time and conflict. Although DLT has its problems, it is undeniably faster, cheaper and more secure than traditional systems, which is why banks and governments are turning to it.

This technology could enforce end-to-end halal assurance based on specific halal market requirements, supported by automated smart contracts. A halal blockchain could provide full transparency of all halal supply chain transactions that have ever been executed.

The blockchain has complete information about the addresses and their supply chain path right from the source to the point of consumer purchase, giving the much-needed assurance to Muslims that the “halal-ness” of the food on their table can be traced back through all the locations of the halal supply chains that began with the original farm or livestock farm, including the identity of the farmers or livestock breeders.

Blockchains inject trust into a halal supply chain and value chain of a brand owner who would be better able to guarantee halal integrity. They could also be integrated into wide sustainability and corporate responsibility systems to extend the brand market beyond Muslim consumers.

One of the most significant real-world applications of blockchain technology is data provenance – the documentation of where a piece of data comes from and the processes and methodology by which it was produced. It creates a single, secure chain-of-custody timeline, designed to be tamper-proof. The system can be used to provide customers with a “story” about each product, covering materials, locations, processes, ingredients and suppliers, and enables businesses to substantiate claims about their products using real-time data. With such a system, provenance tracking of where each piece of data comes from and whether it is still up to date becomes a breeze.

40 Years Malaysia Halal Meat Scandals

A top officer from the country’s federal Islamic agency has reminded Muslims today against producing allegations and comments on the halal meat scandal that do not come with strong backing or evidence. 

The Malaysian Islamic Development Department (Jakim) Deputy Director-General (Operations), Datuk Abdul Aziz Jusoh was reported saying the issue is still under investigation, and any negative comments may adversely affect trust in Malaysia’s halal certification at both domestic and international levels.

“This can indirectly create anxiety among the community and can affect the importers and operators of the country's meat industry who have obtained valid halal certification.

“The Government of Malaysia has established that the importation of meat and meat products is only allowed from abattoir or processing plants approved by the Veterinary Services Department and Jakim,” he was quoted saying in Al Hijrah Online.

He also said that the issue is still under investigation by the Ministry of Domestic Trade and Consumer Affairs, and any comments about the issue could affect the credibility of the investigation.

Aziz added that meat and meat products imported into Malaysia must also be certified halal from overseas halal certification bodies recognized by Jakim.

“Importers must also submit a health certificate from the veterinary authority of the exporting country and import approval permits from the Malaysian Quarantine and Inspection Services Department before the meat and meat products are allowed to enter the market,” he reportedly said.

Instead, Aziz added that anyone with any information regarding the halal meat issue and its subsequent abuse of power should be immediately reported to the relevant authorities so that action can immediately be taken to those responsible.

It was reported that senior officers from no fewer than four government agencies are believed to be working hand-in-glove with a cartel specializing in bringing non-certified meat, including kangaroo and horse, into Malaysia and passing it off as halal-certified products.

Unnamed sources were quoted as claiming these senior officers, entrusted with ensuring that halal standards are upheld, have instead received bribes and sexual services, in exchange for ensuring the cartel’s operations go undetected.

It is understood that the cartel has been in operation for more than 40 years.

The cartel is said to import meat from non-halal-certified slaughterhouses in countries such as Brazil, Bolivia, Canada, Colombia, Spain and Mexico.

The only countries that have been certified by the Malaysian authorities for the import of halal meat are Australia, Argentina, Brazil, India, South Africa, Pakistan, Japan, New Zealand and the United States, with imports handled by the Malaysia Islamic Development Department and Veterinary Services Department.

The Malaysian Quarantine and Inspection Services Department, Customs Department and port police, meanwhile, are in charge of managing the supplies once they enter Malaysian ports.

Barbican Is Not Halal?

Dear All,

I know majority of you have already consume BARBICAN. It is a some sort of malt based beer beverages that contained a minimal amount of alcohol. By some they said that Barbican is Halal.

But for me, even it has a very minimal amount of alcohol, it still not suitable to be said a Halal beverages. There should be no traces of alcohol in it to be verified as a Halal product.

Haram is clear and Halal is also clear. 

So Barbican should not be label as Halal (or Kosher)  if indeed it has a very minimal traces of alcohol.