HalalNode (HN), a portfolio company of Momentum Works, has signed a joint strategic plan (MOU) with the Malaysia International Halal Showcase (MIHAS), aimed at identifying and solving the difficulties that businesses in the Halal F&B trade face in their procurement activities.
What is HN?
According to sources such as the Global Islamic Economy Report and Thomson Reuters, there are 1.8 billion Muslims in the world, representing 25% of the global population. The global Muslim population population is expected to grow by 35% over the next 20 years.
Following this trend, the global halal food and lifestyle market is expected to be valued at US$3.7 trillion in 2019. The concept of Halal is integral to adherents of the Islamic faith.
However, the global Halal trade faces four fundamental problems:
- Sourcing – a lot of time and effort is spent in physically going to trade shows and contacting sellers from directories
- Verification – ensuring that the certificates provided by sellers are genuine and valid
- Shipping – offline and manual processes, with a lot of information asymmetry and a myriad of documents
- Trade finance – again offline and manual processes, which often cause sellers to be paid late.
HN was launched in 2018 by Momentum Works and a few serial entrepreneurs to alleviate these difficulties faced by purchasers of Halal products.
By providing a fully integrated, one-node-fits-all online platform, HN links buyers to suppliers directly, but more importantly, reduces (with the aim to eliminate) the excessive paperwork and complex payment processes which had hitherto hindered the industry’s growth.
What is MIHAS?
First held in 2004, MIHAS is an annual trade fair in Kuala Lumpur, Malaysia, hosted by the Ministry of International Trade and Industry (MITI) of Malaysia and organised by the Malaysia External Trade Development Corporation (MATRADE).
Aiming to facilitate the sourcing and selling of international halal products and services, MIHAS is a prime opportunity for buyers of halal products to find the vendors they need, and vice-versa.
MIHAS thus presents the perfect opportunity for clients of HN to connect and form partnerships.
How will HN work together with MIHAS?
As a partner to MIHAS 2019, HN will be bringing a delegation of Halal buyers to the event. In addition to being introduced to sellers, buyers will also have access to a forum to discuss, analyse, and systematically address their pain points during the procurement process, including sourcing, verification, logistics, and trade finance.
HN and its sister company Momentum Works will further assist MIHAS by building awareness for the event through their channels that reach out to the Halal trade as well as the investment community.
What will the future hold for this partnership?
Following MIHAS 2019, both parties hope to develop this partnership further by working together on a global scale.
Here’s to a fruitful and fulfilling future together! Both HN and MIHAS wholeheartedly invite interested partners to reach out to either party to find out more. There is no need to hesitate.
Thanks for reading The Low Down (TLD), the blog by the team at Momentum Works. Got a different perspective or have a burning opinion to share? Let us know at [email protected]