What's cooking? Secret Recipe staff preparing ingredients for the restaurant's famous desserts

WILL THE sausage imbroglio be a stumbling block to Malaysia's aspirations to become an international halal food hub?
 
On March 14, officers from the Ministry of Domestic Trade and Consumer Affairs, the Selangor Religious Affairs Department (JAIS) and the Gombak Health Department, together with members of the Muslim Consumers Association of Malaysia (PPIM) descended on furniture retailer Ikea's cafeteria and seized cartons of sausages supplied by Muller Sausage Haus Sdn Bhd.

The casing of the said sausages as well as those from another manufacturer in another case, Pacific Refrigerating Sdn Bhd, were suspected to have originated from pigs. The seized sausages were sent to the Department of Chemistry for analysis.

In the ensuing two weeks, the controversy continued to rage. Finally, on March 29, the Minister of Domestic Trade and Consumer Affairs, Datuk Mohd Shafie Hj Apdal, announced that Muller and Pacific Refrigerating were operating with expired halal certificates. However, no pork was found in the sausages.
 
But the incident brought the whole issue of halal certification into the public eye as seldom before, and it was even debated in Parliament. It also raises questions about Malaysia's aim of becoming a halal hub.

The halal hub idea was mooted in the Second Industrial Master Plan from 1996 to 2005, as well as in the Third National Agricultural Policy for 1998 to 2010. The global market for halal products is valued at over RM2 trillion, based on the 1.8 billion Muslims worldwide.

The government is gearing up for the country to be a halal food hub. In 2003, the Ministry of International Trade and Industries formed a technical committee to promote halal products, and halal food production zones were identified all over the country.

Last July, the Malaysian Standards MS1500 -- General Guidelines on the Production, Preparation, Handling and Storage of Halal Foods was gazetted. Tax incentives for halal food producers as well as the establishment of a RM10 million fund for the development of halal products were announced last year.

This July, the second Malaysia International Halal Showcase, the world's biggest halal fair -- as claimed by its organiser, the Islamic Dakwah Foundation Malaysia -- will be held in Kuala Lumpur, bringing together manufacturers of food and beverage products, pharmaceuticals, cosmetics and toiletries from around the world.

Halal certification

In the light of all these, the sausage incident can be seen as a hiccup, raising questions over the issue of certification and the role and efficacy of bodies responsible for monitoring it.

Aside from the Malaysian Islamic Development Department or Jakim, state religious departments are also authorised to certify the halal-fitness of food products. The halal certification issued to Muller and Pacific Refrigerating was by JAIS. Why are there so many different certifying authorities?

Che Hassan Pahmi Hj Che Mamat, Jakim's director of halal development, explains that state religious departments issue halal certification for businesses whose products are distributed within the states, while products meant for national and international markets require Jakim's stamp of approval. Imported beef, chicken, mutton and venison require approval from Jakim and the Department of Veterinary Services. 

Differentiation in halal logos used by different certifying authorities may have led to the confusion among Muslim consumers. Jakim and the various state religious departments now issue a standard logo. However, certification done by the state authorities is denoted by a specific code on the logo.

The American Malaysian Chamber of Commerce (Amcham) is one body that believes standardisation would be a big boost to Malaysia's ambition in becoming a halal hub. In fact, a couple of its members have faced problems with halal certification and sought the chamber's help to seek clarification from the relevant authorities.

Dom LaVigne, Amcham executive director, calls for the use of a single standard halal logo without the use of confusing features such as the code, irrespective of whether the product is meant for the state or national markets.

"This would help position the country as a global leader in this industry, and make it more attractive to domestic and international halal producers," he says.

Manpower issue

It's not just a problem of the lack of standardisation. Following the raid on the sausage manufacturers, the press reported that Jakim has only six officers to check on possible abuse. Jakim's Che Hassan clarifies that while there are only six officers at Jakim's Monitoring and Enforcement division, they have always worked closely with the various state religious departments, the Ministry of Domestic Trade and Consumer Affairs, the Health Ministry as well as local councils in monitoring halal operators.

Furthermore, halal matters are governed by the Trade Descriptions Act, 1972, which comes under the purview of the Ministry of Domestic Trade and Consumer Affairs.

"There are two types of monitoring -- scheduled checks and those based on public complaints. At least one team goes out every day, while one team is on stand-by to respond to public complaints within 24 hours. This is the nerve centre, we always work together with other government agencies," he adds.

Jessie Low, financial controller of Secret Recipe Cakes & Cafe Sdn Bhd, which operates more than 60 halal-certified Secret Recipe restaurants in Malaysia, confirms that Jakim makes regular visits every few months to its factories and outlets.

How then did Muller and Pacific Refrigerating manage to slip through with expired halal certificates? Fakrul Azam, public affairs officer of JAIS, says warnings have been issued repeatedly to the two companies. He explains that JAIS does not have the authority to take action against errant certificate holders other than informing Jakim and the Ministry of Domestic Trade and Consumer Affairs ministry.

"What made it worse was when it was reported that the PPIM said there was pork in the sausages," he says. 

Dr Maamor Osman, PPIM's secretary-general, clarifies that the association never made such a claim. He says the PPIM merely stated that Muller's halal certificate from JAIS has been revoked and secondly, in its application for the halal status to Jakim, the company claimed that the casings were synthetic or cellulose-based, when in fact, they were animal-based and were not certified halal by Malaysian authorities. 

"If everything's done properly, halal status means it must really be halal, no questions asked. The operators must also conform to food safety and hygiene standards. The operator's wrong in giving the impression that they were halal or following hygiene standards," he says.

The Ministry of Domestic Trade and Consumer Affairs declined to comment for this story.

Moving ahead

Even though no haram ingredients were found, the whole incident and the resulting controversy have shaken the confidence of Muslim consumers.

The errant sausage manufacturers have been issued notices under Section 15 of the Trade Descriptions Act for the use of expired halal certificates. Section 18 states that the penalty for an offence under the Act are RM250,000 for corporations; for individuals, RM150,000 or three years' imprisonment or both.

Minister of Domestic Trade and Consumer Affairs Mohd Shafie has said that his ministry will deploy its 1,500 officers to monitor abuses, and the Prime Minister's Department has announced that safety microchip features will be incorporated into halal stickers this July. Jakim's directory of halal food manufacturers and outlets will be published in local newspapers too.

As for Ikea, the hotdog is no longer on the cafeteria's menu. Gone too are the mustard sauce and relish at the counter. But the company has started sourcing for a supplier and will reinstate hotdogs on the menu as soon as possible, says Yap Poh Choo, the company's marketing communications manager. The company will verify the validity of suppliers' halal certificates with the relevant authorities and to be doubly sure, all suppliers will be required to sign a statutory declaration attesting to the validity of their halal certificates, she says.

Setback?

Steven Sim, chief executive officer and managing director of Secret Recipe, sees the incident as a setback to Malaysia's aspirations to be a global halal hub.

"People are more cautious about what they're served. For other countries, this is not how we want to be portrayed. This has to be dealt with at the top level, every department has to standardise the approval process and have more stringent checks," he says.

LaVigne does not believe the incident sets Malaysia back in its goal to become an international halal hub. However, he says, it is important for both the Malaysian government and local and international companies producing and distributing halal products to understand their obligations and responsibilities when doing business in the country. It is important that firms involved in the halal industry understand the regulations and procedures which must be followed regarding halal products, he adds.

"The Malaysian government must also work to ensure that companies operating in the country, local or foreign, have transparent and easy-to-follow procedures, so as to avoid any confusion or misunderstandings. Where transgressions occur, enforcement of applicable laws should be decisive and consistent across the industry," he adds.

Jakim's Che Hassan is confident the country's halal certificates will remain credible but cautions the parties involved not to get too emotional or to sensationalise the issue, at the risk of compromising racial harmony as well as the country's potential as a halal hub.

"The lesson learnt is that everybody must play their role responsibly. Consumers have rights but they must channel their complaints properly. Jakim must take action and we'll let people know, we won't hide anything. It's just a little slow because it takes time for tests to be done, but people are impatient," he says.

What it takes to be certified

Halal means "that which is allowed according to Islamic law". In Malaysia, halal certification is not mandatory and at the moment, applies to food only, although the halal concept extends to all aspects of a Muslim's life.
 
"It was implemented based on the Trade Descriptions Act and covers food only. However, we're looking into consumer goods too. For example, Muslims cannot use leather goods made from pig's skin but this issue is not covered under the Act," Che Hassan Pahmi Hj Che Mamat, the Malaysian Islamic Development Department (Jakim)'s director of halal development, explains.

However, the public can expect halal standards for non-food items by the end of this year, he adds.

Those who qualify for halal certification are food manufacturers or producers, food outlets and slaughterhouses. The application procedure involves filling in the relevant forms detailing the ingredients used, suppliers of ingredients, the halal-fitness of ingredients, packaging materials, the manufacturing process and location of the outlet or factory. Those who have been certified by international bodies in food processing and hygiene standards are required to submit the relevant documents.

If approved, the applicants will be asked to pay the processing fee. There are no charges for those who fail to qualify. The fees vary depending on the size of the business.

For slaughterhouses, charges are determined by the number of animals slaughtered. Fees for halal certificates are paid for two years.

Within a month of payment, Jakim will send a team of one religious officer and one food technologist to pay a surprise visit to the applicant's factory or restaurant.

"We check the product, the cleanliness and the environment of the place. It's not just about halal-ness but cleanliness as well," Hassan explains.

Indeed, at the Secret Recipe factory and Zheng Food (M) Sdn Bhd -- another halal manufacturer interviewed for this story, food handlers wear mop caps, aprons or gowns. There is clear separation of working areas where cooked and uncooked food is prepared and stored. Plastic strip curtains at the entrance to the kitchen prevent polluted air from getting in.

If the applicant passes the test, the halal certificate will be issued. The same fees apply for renewal of halal certificates. The halal certificate must be displayed in restaurants, hotel outlets or kitchens where halal food is served. For manufacturers, the halal logo must be printed clearly on the products' packaging.
 
One requirement that stands out from other rules on cleanliness, use of halal ingredients and adherence to Islamic laws is the minimum of two permanent Malaysian Muslim workers in the kitchen or food-processing areas.

To instil confidence, Secret Recipe filled 90% of the positions in food preparation and its outlets with local Muslims.

"This is to build confidence and they [Muslims] have knowledge of halal principles since they practise it in life," Low explains.

Despite the stringent requirements for halal certification, businesses see it as a worthy cause given that Muslims make up the majority of Malaysia's population. Wilson Chang (picture, left), chairman and CEO of Zheng Food Sdn Bhd, which makes halal, frozen dim sum and desserts, believes halal food is universal food, fit for everyone's consumption.

Dim sum without the lard that supposedly gives it the smoothness -- wouldn't that alienate a segment of the market who love dim sum the way it is?

"Not really, people are very health-conscious today. And if you sell halal, Chinese, Muslims, Indians can come but if you see non-halal, the Muslims won't come," he adds.