CASE STUDY: MAYBANK HALMAP
‘HalMap’ helps Halal SMEs tap into a $2.6t global industry Over 50 products of Malaysian SMEs are now being sold in Singapore.
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t the start of 2021, Malaysian small and medium enterprises (SMEs) producing halal products could only dream of leaving a sizeable dent in the estimated $2.6t global halal market–an industry set to grow to $5t by 2030, according to the Malaysian government. By the end of the year, ten Malaysian SMEs now have 50 of their halal products combined sold at supermarkets in Singapore–all under Maybank Islamic’s Halal To Roadmap programme (HalMap). Launched in August 2021, HalMap aims to enhance awareness of the halal industry, increase the number of new halal-certified companies, and ultimately assist said companies to expand operations into the overseas halal markets. “We found that Malaysian SMEs in the [Fast Moving Consumer Goods (FMCG)] segment have difficulties accessing big name hypermarket and retail outlets, therefore we focused on these clients
Norzulkarnien Nor Mohamad
HalMap will not limit operations to just Singapore given a huge demand for halal products globally
for a start,” said Norzulkarnien Nor Mohamad, head of Islamic Banking, Maybank Singapore. “With the current challenges faced by SMEs due to the COVID-19 pandemic, HalMap can be a new channel to provide Maybank’s SME customers with additional opportunities to expand their operations,” he further told Asian Banking & Finance in an exclusive interview. The programme kicked off with a selection of 10 Malaysian SMEs to venture into Singapore’s halal food market. The 50 new-to-market products are now available at Eccellente by HAO Mart located in Kinex Shopping Mall. Apart from providing Shariahcompliant financing to the selected SMEs, they were provided with a distribution platform, service advisory, and training to market their products and services in the FMCG market segment. In choosing which businesses to partner with, Maybank Islamic
HalMap can be a new channel to provide Maybank’s SME customers with additional opportunities to expand their operations
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considered small and medium enterprises who are at least three years old; are halal certified and Makanan Selamat Tanggungjawab Industri (MeSTI) certified; have products whose shelf life has a minimum of one year; have professional product packaging; have products with a barcode; and have a production capacity of at least 5,000 units per annum. Performance is encouraging and indicative of demand. “It has only been a few months since the launch in November 2021, and there is about S$25,000 in sales of products so far. We can see that the demand for halal products is there and we hope their products will continue to gain traction,” Norzulkarnien said. Expanding SME reach Since launching less than half a year ago, SME interest in the programme has grown. “We have received about 70 applications in Malaysia,” Norzulkarnien shared. Currently, Maybank Islamic focuses on existing Maybank SME customers who are in the food and beverage trade within the FMCG sector, Norzulkarnien said. Other Halal industries, such as pharmaceutical, fashion and tourism, will be explored by the bank in the future. “We are constantly looking to expand this initiative and will definitely not limit it to just Singapore. There’s a huge demand for halal products globally,” Norzulkarnien said. “We will embark on the second phase of this programme soon, including assistance for market access into local hypermarkets across Malaysia, Singapore, and Indonesia.” Apart from that, Maybank Islamic plans to expand the list of companies onboarded in the initiative. For 2022, they are targeting at least 20 companies. “We will [also] look at facilitating suitable platforms for Singapore SME clients with halal businesses to reach other countries, such as those in halal healthcare and financial technology for halal sector,” Norzulkarnien concluded.
