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Malaysia is the only country in the world whereby the government provides full support in promoting the Halal Certification process on products and services. Halal Certification provides assurance to all Muslim consumers because it fulfills the Syariah law, which is a must for Muslims. To the non-Muslims, Halal products are quality products, simply due to the concept of halalan thoyyiban (Halal and wholesome) as HDC strongly advises all Halal certification applicants to comply with GMP and HACCP requirements. Thus, products certified Halal by JAKIM are Halal products which are safe to consume or use, nutritious and with quality. The Malaysian certification procedures and both the Malaysian Halal Standards MS1500:2009 and MS2200:Part 1:2008 are continuously utilized because they received widespread recognition for maintaining excellence in the field of Halal-compliance. As a result the Malaysia Halal Logo is recognized and well-accepted worldwide. |
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There are many reasons why companies outsource their production to OEM manufacturer. They can save on capital costs because they do not have to pay for a facility and the equipment needed for production. They can also save on labor costs such as wages, training and benefits. Some companies may look to contract manufacture in lower-cost countries, such as China or Malaysia for cost effectiveness. |
For large companies that are trying to extend into new markets without any immediate plan to build own facility, contract manufacturing may be a good choice. For small companies, an OEM manufacturer may be an answer to an economical way to get started without large capital investment in manufacturing facility. On the other hand, these companies can take advantage of the skills that they may not possess which the OEM manufacturer does. |
The OEM manufacturer is likely to have good relationships formed with raw material suppliers and with industrial standards within their production to the advantage of the company. Contract Manufacturer usually have multiple customers that they produce for and because they are servicing multiple customers, they would likely be able to offer reduced costs of raw materials through economies of scale. |
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