Tracing the Cost Elements in Halal Standard MS 1500:2019 for Production Efficiency Mohd Rizuan Abdul Kadir
Keywords:Halal processing, cost elements, production efficiency
Halal food processing relates very much to production efficiency. The implementation of halal processing which required a high initial investment cost shall be covered back through the efficient practices at the processing. The rapid increase in demand for halal food will make the investment very worthwhile. Moreover, food processing shall no longer be seen as merely an industry that complies with religious requirements but also about the effective use of resources, reduction of wastage, and protection of the environment. Currently, halal food processing is governed by MS 1500:2019 requirements. However, were no cost elements being highlighted in the requirements. As there was a high cost required to start the halal processing, the element of cost is crucial to look for. The main purpose of this paper is to trace the cost elements in the halal processing requirements and to seek an opportunity to incorporate cost management within it. This will enhance the production efficiency in halal processing. By reconciling the halal process and the cost elements, the current requirements on halal can be enhanced. This shall encourage more food producers to engage with halal processes as the requirements are not only to enhance their product but also promote production efficiency.