Post on 03-Apr-2018
7/28/2019 20130218 MILS Interview
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Rubin
Our topic is issues and challenges in Halal supply chain management um a study of Malaysian Logistics
companies.
Tan
Oh, okay.
Rubin
Okay uh
Syazwan
Okay proceed.
Rubin
So um Ill just um read out the whatyou say the itinerary for today um. Its the, the theme for today is
uh, issues and challenges like what Ive mentioned just now uh theres going to be six sub-themes. Um
the general information and background of MILS. Then the MILS and Malaysia Halal Logistics industry,
um issues and countermeasures on Halal transportation or uh container haulier, then theres the issues
and countermeasures on Halal warehousing, issues and countermeasures on Halal packaging and uh,
the last one is the conclusion.
Tan
Okay
RubinOkay, so um all this conversation will be recorded then uh, but the information will be strictly
confidential between UCSI University and also MILS and uh
Tan
MILS lah. You can mention as MILS (laughter)
Rubin
Its done solely for academic purposes and Its a platform for more academic research in the future.
7/28/2019 20130218 MILS Interview
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Tan
Okay so as far as from our side here representing MILS uh, for what you call, um.. to be involve or
participate in your studies, uh our inputs will be uh, purely on the logistics view. Alright? Uh, of course
supply chain cover a bigger scope. Alright? So as far as our side here uh, our input will be more towards
logistics. Okay, of course supply chain you can have like products, factories, you know, manufacturing
side. That (xxx) is not our, sort of, core business, yeah? Uh, of course of customers they are all from the
food industries. Theyre from retails, um, and also uh, what you call, uh food manufacturing companies.
Alright. And as much as the info of our client, we will not disclose. Okay? And uh, inputs like I say is only
purely for the business that MILS has been involved on logistics where its covering (xxx) to warehouse,
transportation, haulage, freight forwarding and all those. Those are actually are our pure um, or the
services that we provide uh you know, which we involve in the Halal is only covering this facility. Alright.
Um, under MILS we have a um, numbers of facilities which is covering within the region, which is the
northern, southern, eastern and also the central. But uh, only this facility is Halal. Okay? So it has to be
clear in your academic paper.
Syazwan
Um, yeah.
Tan
Uh, because we do not want to be misinterpreted because Halal-certified it can be um, when it comes to
public awareness it can be misinterpreted because that people thought MILS, that means that is total
(MILS???). But what Im going to say that is only this facility where we handle only purely for food
product. Yeah?
Next door we have also warehouse. But theyre all on the uh, dry goods and not covering food products.
So theyre not within the Halal-certified facility.
Rubin
Um, so were going to continue with the question first. Um, what are the uniqueness of MILS if
compared to other companies.
Tan
Uniqueness. Uh, okay. You can say that we are the only one which is certified for Halal. And the um, the
only one that which is operated within the compliances. Alright? We have uh, competitors or the other
industry players which is certified, but they are not uh, they dont own the facilities. They dont operate
themselves. They outsource to third party, okay? And uh, and looking at the compliances I think we are
pretty much very strict.
7/28/2019 20130218 MILS Interview
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Syazwan
Uh huh.
Tan
Compared to this others. Yeah? And then also, lets say for MILS um, because we cover all range of
logistics services ourselves, alright? So its easier for us to implement all those uh, what do you call uh,
the guidelines, the standards, and you know, whether our clients or our vendors to comply to.
Rubin
Um, just for the record lah, how does MILS perform for the past um, last five years?
Tan
Um MILS in total, I think uh, were coming out very strong in terms of uh, to be the domestic logisticservice provider. Okay? We have been nominated uh, three years in a row kan? By Frost and Sullivan uh,
to be the best do, domestic logistics service provider. Yeah.
Rubin
So um, what is expected of MILS for the coming five years?
TanExpected ah? To grow (laughter) its actually to um, you see we have been always within Malaysia. We
have not venture to the overseas yet. So our networking has not been provided all the way to uh, from
the home-home ground. Alright? Uh, of course in five years time, we have to look at our business. The
current customers that we have for MILS, we have it for uh, oil and gas industry.
Syazwan
Yup.
Tan
And we have uh, what you call, consumer goods. Alright? So when you talk about Halal it will always
confine to consumer goods. The oil and gas it will be a different balldim??? Alright? But to MILS as total,
we are actually looking at uh, what you call, the expansion for both sector, okay? Where were gonna go
for the oil and gas, looking at how the projects and also the industry growth. Um, Malaysia for oil and
gas, it may be coming to what you call, limitation. Then you have to um, what you call, uh you have to
uh, build the capabilities to suit for the uh, your expansion in overseas. Okay so we have, we are actually
doing that now. But for the consumer products, for MILS we believe that theres still a lot of potential.
7/28/2019 20130218 MILS Interview
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Here. For MILS. Uh, especially you know to be the one of the pioneer in Halal uh, logistics players. So
theres a lot more um, room for us to play. Alright and for five years, hopefully we will be um, one of the
role model for the halal logistics in Malaysia lah. Yeah? So that is what uh, we would like because that,
that is actually go.. um, accordingly with Malaysia to be the Halal hub, global halal hub. So, so call we
would like to be uh, the logistics player okay, um in this uh, what you call, in in this particular segment in
the supply chain for the halal yeah?
VincentOkay, so for the second part will be MILS and the halal logistics industry. So were talking mostly in
Malaysia scenario. So as we know that uh, logistic industry especially in Halal is growing now because
like foreign, as you said just now, foreign companies will tend to uh,
Tan
Come in
Vincent
Import, I mean export their uh,
Tan
Products
VincentProducts. So like which, a halal-certified logistics will be like a, another niche for them.
Tan
Yeah
VincentSo um, first question will be in your opinion what is the current uh, scenario of Malaysian halal logistic
industry.
Tan
Uh you can say we have been um, in the mood (laughter) the mood is always there to you know, to
promote this okay? Um I think way back in 2005 right?
7/28/2019 20130218 MILS Interview
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Manager
2004, 2005
Tan
When they started uh, one uh, what you call this um, they started to build up uh,
Manager
Two zero zero six (something something something) 2007
TanYa, 2007 was the first year of the world halal forum. And 2006 was the time the uh, establish Halal
development corporation kan?
Manager
HDC
Tan
Yeah, so during the time it was already been uh, what do you call, in, in the directions that MILS uh,
what do you call, Malaysia would like to be the global halal hub, okay player within the region and to be
the um, sort of uh, uh what do you call that ah? A transit for this Halal products to come in, repacking
and every export by getting or leverage on the Halal um, Malaysias halal status. Okay? Um, if youre
looking at since 2006 until today, I believe you dont have the studies. Have you seen any?
Vincent
Err
TanExactly. The mood is always there to you know, promote this thing. But then uh, unfortunately there is
no success story to tell. Okay? Um, we have, when you look at the supply chain you have um, um,
resources. You have um, what do you call, productions and you have like logistics okay? And you have
the retail. So when you put, look at all these thing its actually um, the thing is not joined. Alright? The,
the integration is not there. Alright? From stage to stage, its still weak because um, uh the agenda that
has been?? Promoted has not been integrated and it has not been enforced by authorities. Alright? So
each of, each of the players is actually um, you know just trying to uh, I mean have their own agendas to
you know, to groom or to develop their own business. Um, so its a bit
7/28/2019 20130218 MILS Interview
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Vincent
Tough.
Tan
Tough in a way that because we dont have um, one pure uh, what do you call, enforcers, enforcers to
actually put this all together. Alright? So they tried to actually use the uh, private company like us you
know, on the logistics side you know? Yes, we have the facilities. We have halal status. Okay? We have a
what do you call, a free commercial zone status where the products can come in without duty and go
out. But we do not have uh, what do you call, a case study to do that. Why? Because that, like each HDC
ah they have been promoting marketing, but theres not able to actually bring one pure example to
come in, lets do it and see our test the whole process. That is still not happening. Yeah, so it is still uh
what do you call, its the biggest challenge lah that one.
VincentStandardization
Tan
Um..
Syazwan
So you can say that uh, the current scenario is that its lack of integration between all the ..
Tan
All the su, supply chain parties
Syazwan
And also there is lack of enforcement (something) standardized halal process.
Tan
Yeah.
Syazwan
Okay. Next question.
7/28/2019 20130218 MILS Interview
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Vincent
The second question will be uh, in general what are the contributing for the success and failure of halal
logistic industry in Malaysia?
TanUh, okay. If youre talking about theres a success story I think easily you can actually uh, leverage on the
growth of the total halal market which is how many billion? Trillion kan?
Manager
The total market is (cant make out)
Tan
So if lets say we, we have a success story I think we can leverage on that, and that would actuallybenefit a lot within the country. The ports, you know, the employments um, transportation, technology
can be boost up. So um, if there is a success story. Alright? Um, at the moment like I said is the
challenges is still very tough and (cant make out) comparing ourselves with like uh, Thailand. Their
moving very, very fast.
Syazwan
In terms of?
Tan
For the halal total supply chain where they have government fully support okay? Which is working
together with the local player alright? and they uh, they managed to have overseas investors to come in
and invest and make sure the products is uh repacked or manufactured or value-added for re-export
market. Yeah? Where else our Malaysias halal logo is one of the reputable one but were not able to sell
on that. Yeah? Long way lah.
Manager
Something something export I think they export quite a number of halal product also growing right?
Somethingsomething smething by HDC. Maknanya dari segi production, the halal product is, there is a
growth from there tapi dari segi big picturenya tidak Nampak lagi lah something something macam kita
kata macam di Malaysia weve been talking and talking and talking but action wise we have not seen yet
lah. so it has been quite some time that what we see. Kalau dari segi statistik tu uh, HDC has uh some
kind of a library something so the numbers that I see is growing and but maknanya dari segi SME, mostly
SMEs lah. Orang kata Malaysia from outside people punya perception something Halal punya tu not
really making significant something something.
7/28/2019 20130218 MILS Interview
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Vincent
Okay um, third question. Uh what are the MILS role in uh Halal logistics industry? To MILS. Their role in
this industry.
TanUh MILS?
Vincent
Yeah.
TanUm, okay. For us, because we are within the logistics okay, and we have this facilities. So um, for us is
that of course you have to ensure theres actually profitable. Okay? Profitability. Thats number one. Sofor us is that we have to make sure the right customers that we engage. And then, with the what do you
call the halal certification and also our ISO status. Um, theres actually put us a niche market and also uh,
a differentiation from the other players. Yeah, so um as far as ourselves is that we will continue to be
the logistics players. Thats our business. We will not be able to venture into like manufacturing or you
know, uh food product procurements those kind of things but its purely on the services.
Vincent
Okay. So the next question will be what are the services provided by MILS to any customer who wanted
to use the halal logistic industry.
Tan
Uh the total spectrum for the uh logistics. That means right from what you call, the uh, freight which is
from the ports to the warehouse. Okay? Haulage, forwarding which is the custom brokerage and then
also transportations to the retail. So its actually uh, A to Z, anything that from um, what to do with the
logistics.
Rubin
Total logistics?
Tan
Yes.
7/28/2019 20130218 MILS Interview
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Vincent
Um, do, does MILS encounter any issues um in providing halal logistics services?
Tan
Uh, initially yes. Uh initially when we try to get halal, this facility to be certified. Um it was actually, we
struggling for since 2006, we managed to get in 2009
Manager
Two zero zero nine
TanYeah, so it was three years. But what we have done is that we did not wait for the authorities to you
know, to come out with all these standards or guideline to uh, audit our facilities for the halal but we goahead to build the facilities. Meaning that an investment was made. Alright? and um, then later only we
pursue for this. Yeah so the, the tough call was actually to get uh again the authorities to come in
together to have a proper standards for them to come in to do the audit. When they did the first
audition uh here, it was without any guidelines. It was using our pure SOP which is not right lah
(laughter) reason because uh we are the first one. Ah it was audited in what? Two thousand
Manager
2008. 2008 kan?
tan
2008. so 2008 during that time um, there is no halal certification for this kind of facilities all throughout
logistics. Yeah?
Manager
Something premise. Kalau macam restoran punya guideline
TanBut the logistic like warehousing they do not have. They did not have. So um, the auditors from like
JAKIM or during that time it was HDC. They were new, very new to this kind of environment. So they did
not know what to audit. Alright? so they were using the SOP. But after that (fingers snapped) uh along
the way they start to, to realize that logistics is one of the, one part of the supply chain. And they tried
to come since with very strong you know, studies and all these. Yeah. So we have been part of their uh,
sort of study group lah.
7/28/2019 20130218 MILS Interview
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Vincent
So the authorities that come and inspect is are local JAKIM or any foreign?
Tan
Uh the first one was HDC. HDC is supposed to took over the JAKIM role for the audit. Then the second
one was last year since, last year by JAKIM. Yeah. Our cert was the, has been renewed twice lah. Yeah.
Weve just been renewed because theres a lot of people claim that theyre the pioneer. Yeah, alright?
so we can show the date of the certification when it was issued (laughter)
Rubin
Uh then the third uh.. topic were gonna cover is uh, halal transportation and container haulier. Uh so
the first question is um how does the transportation uh, is deemed halal?
Tan
It only can be halal when you actually dedicate um, the fleet, okay? Of the trucks to carry only halal
products and it has to comply and meet the standards of your what do you call uh, halal requirements
where you need, you have to make sure clean, you know, hygiene and also you uh, have to have proper
inspection right? Not only on the vehicle but also drivers.
Rubin
Okay.
Tan
Yeah? Um so you have to actually set the what do you call, the uh the guidelines. And what to check its
just, checklist where its actually done daily. Yeah, then you can be deemed but when youre talking
about uhm, reefer truck which is carrying the food products. Uhmm smaller players maybe they can
have their own trucks, one or two. But the moment you grow big, you do not want to own all the trucks
yourself then you start to acquire from third party. Now, when you talk about third party trucking uhm,
if you actually have uh, contract where you contracted uh, number of trucks monthly whether I use it or
not that trucks belong to me. Then you can control hundred percent. But if youre talking about lets say
load by load basis you cant. Because today you may have load, tomorrow you may , you do not have
load. Then this truck (cough) its, its everybodys uh what do you call, focus is that you have to make
money. Alright? so I cannot have my trucks waiting for just halal products. Then I have to carry other
products. Now when they carry other products, we do not know whether it is halal or non-halal.
Syazwan
Okay.
7/28/2019 20130218 MILS Interview
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Tan
So its very difficult to enforce. Thats why until today theres no certification for halal transport.
Syazwan
Uh hum yeah.
Tan
Takde kan?
20.16
Syazwan
Something something MS2009
Tan
2004. MS?
Syazwan
MS2009
ManagerTransport tu is MS
Syazwan
MS2009:1400 right?
Vincent
1400, two thousand.
Manager
Something something something something
20:48
7/28/2019 20130218 MILS Interview
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Tan
Because halallan toyibban under the MS2004
Manager
2400.
Tan2400 kan? They have warehousing. They have transport. They have retail. But none of this has been uh,
what do you call rolled out yet. Yeah. So the loaded, the transportation side is a bit more challenging
compared to warehousing.
Syazwan
Warehousing
Vincent
So that uh, if like MILS the transport also from third party or?
TanUm, yes. Yeah, we have uh, we have to use third party because number of fleets that actually we, we
load here is about thirty to forty trucks, everyday. Yeah. and we cannot own all the trucks so we have to
uh, use third party. Alright? so the moment the, the only thing that what we can do is that to make sure
the products when it loaded into the trucks, the temperature is right.
Syazwan
Uh-huh.
TanOkay? So that you uh, we only ahhh what do you call? The em-emphasize is actually on the food safety
where there is no abuse in temperature so that it-it would not cost any deterioration in the quality of
the products. Okay? So the products would not contaminate. Alright? and oh, also the er physical
inspection of the cleanliness of the truck.
Syazwan
Uh-huh.
7/28/2019 20130218 MILS Interview
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Tan
The drivers to be complied, okay? But the moment they move on to the route, whats happening you
cant
SyazwanOut of your control?
TanYeah. You can have GPS to track the speed and all these but you cant check on the drivers attitude, ya.
So that is the, that is the biggest challenge lah. For the transport. And even theyre talking about haulage
which is carrying the containers is a bit more straightforward. Because containers you dont open
containers.
Syazwan
Uh-huh
Tan
Its sealed. When they come from the port to the facility or from facility to the port. Those are already
been sealed. So the drivers cannot open close. So that is a bit more straightforward. But container itself
uhh, again. Umm, you do not do the SAMA cleansing. Okay? Unless its uh customers requirement, then
you do. If not then nobody would do it. They only do uh, uh what do you call, chemical wash on the
containers to make sure it is clean. Theres no smell.
Syazwan
Uh-huh.
Tan
Yeah, thats all.
RubinUm is there any other challenges? Um other than this?
Tan
Hmm transportation ah?
7/28/2019 20130218 MILS Interview
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Rubin
Yup.
Tan
Thats the biggest lah, because you-you, its beyond your control. Yeah and drivers and all these, you
know?
RubinUm, what kind of guideline do you have for the drivers? Like is it like the three, the one that weve seen
outside um, no pork, no..
Tan
Yes. Thats when they enter here. To make sure that they do not have those kind of uh, what do you c all?Uh, non-halal products or non-halal food and all these things. You know, and of course we do not allow
them to smoke.
Syazwan
Okay.
Tan
Yeah. um then the proper uhh
Manager
Attire.
Tan
Attire. Okay? For the safety side lah. Okay but whenever they go out from here, theyre let loose already.
SyazwanSomething something
Tan
Yeah, you cant control (laughter) you know some of the drivers, all those transport in Malaysia is they
have to do rounding. Is, it can be like whole day job from you know, in, from here going to northern
7/28/2019 20130218 MILS Interview
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going to southern. So these people have to keep awake. Yeah. so that-that behavior is a bit difficult to
track. Ya but the-the-the, the important thing is that the product. Because once the product is loaded in
the truck we have to (cough) make sure that once something loaded, then well do a seal. But they will
do uh, many drop. Many drop points. Because they dont go into one restaurant. They have many
restaurant. So they will open up the seal. The moment they open up the seal whats happen next
Syazwan
Something something
Tan
Yeah then you have to trust the drivers. So the only is that you have to keep on giving them briefing,
training you know? Whenever they are here then we do a track. Yeah.
Rubin
Um is there any other um strategies? For MIL-MILS to come uh, overcome this?
Tan
Umm
Rubin
Challenges.
Tan
The only one is of course like uh dedicated trucks lah. If we can have our own dedicated trucks you know,
with our drivers. Then we can actually in, enforce more uhhh standards and guidelines. Yeah.
VincentOkay the number four part will be uh, involving the warehousing. So the first question is how does the
warehouse deemed as halal certified?
Tan
Uh by JAKIM lah (laughter)
Vincent
I mean uh, the-the guideline and how its different from others warehouse.
7/28/2019 20130218 MILS Interview
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Tan
Um okay. You only deem to be halal-certified when you are actually audited by JAKIM and they have
their guidelines. You know so the guidelines come from documentations, up to your physical uh what
you call, operations. Alright? and uh documentations side they would track how you keep the products,
where, what temperature, how your people been trained to check the products, segregation of damage,
damages. Uh the reports that you give it to the customers you know. And also the um, the tracking of
the temperature, the pest control.
Manager
The cleaning programme.
TanYeah. your inspection, cleaning programme. So those will be documentation side and physical side they
would do uh-uh what you call uh?
Manager
Site visit.
Vincent
Inspection?
Tan
Site visit. Yes. So they have their own guidelines to, to do that, to carry out that kind of audit.
Vincent
So how often they come and inspect?
Tan
JAKIM? Its suppose to be what? Every?
ManagerEvery two years renewal of the certificate but we are subject to audit anytime. They can come like just
unannounced visit ya, they can come. For renewal its every two years cos the cert expires every two
years.
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Tan
Yeah but internally under MILS we set up our own halal audit team alright. so this audit team will do
every quarterly kan? Eh every half yearly.
ManagerEvery half yearly.
TanYeah and then uh, because we are also uh ISO-certified, yeah for the food safety managements uh food
safety management system.
Manager
Food safety management system.
TanYeah so were also have our own audit team. And that audit also carry out every six months. Okay? And
on top of that we have been audited by our client almost every month. And our client is uh, they have
their standard guideline, okay? Which is complied to the food safety at international level. Umm so that
is also ISO standard. So they actually using ISO standard to audit us. So basically were, you know we-we
we have been audited every month. Okay? Just without JA-JAKIM is here but we have been audited. So
all these guideline whether its for halal or food safety, theyre quite similar. Okay? Documentation used,
physical, site visit uh site inspection, theyre pretty much quite the same. Alright? so um we are not wait,just waiting for JAKIM. So if JAKIM has to be here anytime then we are almost prepared lah. Yeah. that is
one of the thing to keep us at toe. Uh because of the, all these inspections and all these by our
customers which is a bit more stringent compared to JAKIM ah (laughter)
VincentOkay, next one will be uhh what are the issue and challenges faced by MILS in uh, warehousing.
Providing warehousing. In this halal condition.
TanChallenging ah? Its peoples mind set lah. Uh because you, we have to use ah manpower. We cannot be
purely on machines. Alright? so its people mind set where it has to make sure personal hygiene, alright?
uhh How do what you call, care for the products? Where to keep you know, right temperature and then
uh-uh the handling process. Yeah? when you look at the product its been damaged, then you have to
do segregation. So that kind of training, yeah? it has to be given uh on and off. Uh it will come back to
human, human factors lah. That is the most challenging.
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Vincent
Because
Tan
Because you can have systems you know, to-to guide you through on the process to make sure that the-
the track and trace is there. But again its still, the staff something. The manpower side is the most
challenging because in this environment um, its not normal, ambient temperature. Yeah, we have uh
freezer, we have uh chiller. So at that freezer temperature -25 is too cold. So sometimes because of the
uh intense environment, you-you know, people-people start to, you know try to do way short cut. Try to
get out of the en-environment as fast as possible. So when you do a short cut that could be something
that you bypass in the process. For example, like umm, uhh what do you call? Product which is uh
supposed to be damaged. Its supposed to be segregated. Because this I want to bypass some, some
process to cut it short, I just stuff the products together with the good stocks. And if this good stock is
sent out to the retail, to the restaurant, then it can be uhh issues. Yeah? because of the food quality and
safety yeah.
Vincent
So um other than providing training uh to the staff or manpower to handle the halal um items, so what
are the strategies, other strategies to overcome their issues?
Tan
Umm, neh she does the spot checks (points to someone)
(laughter)
Vincent
So like constantly spot check?
Tan
Uh yeah. we do the spot check what do you call, on and off. Right. Its actually weekly, right? Were
looking at the attire, okay? Of course that is on personal hygiene side. Then, we also look at the
documentation. When the products is actually uhh, checked for every temperature, okay? Umm we take
three samples from each load of the products received. So those kind of things is actually , to be guide
or to be trained to the staff, alright? uhh because if youre looking at lets say human, of course training
is one of the key. You have to constantly, you know instilled, into their-their-their mind. Then the other
one is the systems, yeah? our system is able to trace um, if lets say the products has been delivered out
is not meeting the FIFO or expired stocks has been issued then we know which lot has been uh delivered
and we have to do the recall. So we have to use that technology side to assist us. I cant put chips in the
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plane (laughter) something something stuff (laughter) cannot. (laughter) then its deem not halal already.
(laughter)
Rubin
Um so is there anymore issues uhh challenges that you would like to highlight that you know you missedout?
Syazwan
In terms of warehousing.
Rubin
Yeah.
Tan
In terms of warehousing ah?
Rubin
Yeah, custom procedures?
32:20 32:24 not clear
Tan
Challenges in the warehouse?
Rubin
Um or maybe packaging? Custom procedures?
Vincent
Do MILS provide packaging services?
TanWe do sometimes um to help customers to repack. But that is actually as secondary packaging. Um
primary is all done within the factory so uh as much as here, we do not have direct contact on the food
surface. So there will be already a primary. The only thing what we do is the secondary. Primary is not
allowed and that is actually in our guideline. So it has to be secondary packaging. Alright, uh so uh we do
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that. We have uh sometimes the customers, equally the same customers, uhh having like some products
come in which is you know, they have uhh a small group of new product which is has not been certified
as halal. That is, that is quite difficult for us because the client has been using our facilities and suddenly
they have uh, small you know, new SKU, or new product which is trying to test the market and it has not
been given the halal uh, logo. So we have to reject that, ya. Because of this kind of facilities is a bit um,
limited with in terms of lets say like uhh, the what you call, the players to provide the cold room. So its
a bit hard for them to segregate two location. Alright? so for us here um, all our rooms and within our
whole facilities is purely halal certified and dedicated for halal food product. So we cannot have like one
small area of non-certified halal, Ya. So uh, of course that we have uh, we have turned down customers
couple of times when they have non-halal products. You know and-and our site here also we act as the
what you call, uhh we do uhh, check before the-the new products come in. then we would request the
customers to give us halal cert. alright sometimes their halal, in their halal cert, they have the expiry
date. So we will something to the client and say that you know, this products, your expire date is coming
up or already expired please give us a new cert and all these things. So we act as uh-uh a checker for the
client.
Vincent
So is there any uh, growing capacity of MILS to accommodate the growing halal logistic?
TanUhh we would like to grow (laughter) but it is very expensive to invest for this kind of facilities. And the
operate uh what do you call? The operatering expenses is very high because you have to run you know,
the systems to cool down the room. So you have half full room and hundred percent full room, Im
actually running the same electricity consumption. So its very difficult to invest uhh but were alwaysopen. I mean uh in fact with our client, we are trying to look at what sort of partnership that we can
grow you know, to uh to expand and to cater more for their products. Yeah so there are actually
strategies we have already uh working together with our customers. To grow then, and in fact we are,
our proposal to HDC is that why not HDC uh build a facilities like that. you know for Malaysia to be a
showcase, right? And you can have like, is become a research centre at the same time so you can have
overseas clients to bring in the products, repack everything, JAKIM come and audit. It can be also a
training centre for JAKIM. Alright? the only thing is that you have to work with uh-uh what you call? The-
the experts to manage that kind of facilities. You know we can be like logistics expert and then you can
have client from the manufacturing end, you know to be part of their uh-uh what do you call clients to
store the products and overseas client. So and then you can actually put in like IT systems to do the
tracking and all these. So you, it become a, its uh what you call, uhh research centre at the same time
also it can cater to the business. Something like that lah. Because for-for private sectors to actually build
and waiting for that kind of business is very costly. That is actually why uhh Malaysia until today is not
able to move to the first step, to the next step because private sectors is not incapable to come out
another you know, uhh big capital just to do this investment.
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Syazwan
What about custom procedures? Is there any ..
Tan
Customs procedures so far nothing to do with halal.
Syazwan
Okay but does it interfere with MILS halal logistics processes?
Tan
No.
Syazwan
No?
Rubin
So um do you believe that all the issues and challenges itll-itll be ultimately solved? For this uhh
Tan
It will, I think the solution is there. Its just that um, who wants to initiate that and enforce it? You know
uhh like I said because of um each players um like MILS, we have to make sure profitability, alright? the
other manufacturing clients they have the markets to expand. So we cannot be waiting for enforcer to
come in and eh, why not you do this do this? Solution is all there. Its just that to link it up. I uh , that is
actually taking time and I do not know, we do not know why it took them so long. If Thailand can do it,
why not we cant? alright? uhh it is, it is not difficult to implement. Its piece MILS I mean the puzzle is all
there. Its just putting it together to form a picture. Yeah and youre talking about Malaysia I think uh
halal logo is one of it. You ah, when you open up the kind of market you know, with the proper process
is in place, documentation in place from your authorities, from meanings that from like uhh Ministry of
Health, for the import permits to be issued. You know, veterinaries, your customs. Uh what you call, the
local authority lah. Its there to support, overseas customers can come in anytime. I think you have done,
youre looking at the studies also importation of lets say meat products coming in to Malaysia. And just
to repack and go out to Indonesia. Why is not happening? Because it is been keep on talking about hand,
foot and mouth disease in Malaysia. They cannot do, but what have they done to take that action? If
you can curb that action, you know you can actually overcome that-that, that problem. Anytime you will
have a lot of uh what you call, all these meat importers come in. because for them its that I only want
the halal certificate, eh halal logo for me to expand my products to middle east, to you know to Europe
market. Yeah. that is actually the biggest challenge. But nobody is looking into it (laughter) and still
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talking about it lah (laughter) thats why halal forum, world halal forum this year has been dissolved
(laughter) takde lagi.
Manager
Cant make out!!
Tan
Have you all interview any other uhh logistics player?
Syazwan
We will but this is the first.
Tan
Oh , this is the first. Any other, other what do you call supply chain player? Manufacturing side.
Syazwan
Yeah, no. for if can disclose the names, we uhh this Friday right?
Vincent
Yeah.
Syazwan
Well interview northport.
Tan
Oh, okay.
Syazwan
Okay and next coming Friday, we will interview
Rubin
Monday.
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Syazwan
Monday, on the 25th we are going to interview KN
Tan
Oh
SyazwanKontena nasional. So far that is, these are the only three companies that have give-given us the
response. but were still waiting for more players to actually give us the response
Tan
You are focus on only on the logistic players ah?
Syazwan
Yes. Not manufacturing, not pro-producers.
Tan
Okay.
Syazwan
Just in terms of the logistics
Tan
HDC? You should interview HDC.
Syazwan
Yeah.
TanThats on the authorities, I mean the enforcer side. Just get their view. Our view and their view could be
different. (laughter) they may not agree to what ah private sector talk (laughter) because we always talk
bad about them. (laughter)
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Syazwan
(laughter) alright
Vincent
Conclusion already?
Rubin
Yeah.
Tan
Any other things?
Vincent
Sir do you have any other?
Syazwan
No I do not have any other something something
Tan
So sufficient for your paper huh?
Vincent
Yeah, questions is all answered.
Syazwan
Questions are all answered. We get more than what weve expected actually.
TanOkay
Syazwan
Which is good.
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Tan
Yeah.
Vincent
Alright. so this is the end of the interview?
Syazwan
Thank you for your time.
Vincent
Thank you.
Tan
Alright. hopefully is
Syazwan
So is it something? Err can we disclose your name in the paper? Or you want to make it discreet?
Tan
This is only between your university right?
Syazwan
Yes, this is within our university but its potential to be published.
Manager
(cough)
TanPublished in what?
Vincent
Journal.
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Syazwan
Published in academic journals.
Tan
Oh, okay.
Manager
The distribution of the journal?
SyazwanDistribution of the journals? Err among logistics practitioners, among academicians, among scholars
everywhere in the world.
Tan
Okay, um perhaps uh what you can help us is that before you finalize,
Syazwan
Uh-huh
Tan
If you can just forward that portion for us to review.
Syazwan
Okay. Alright.
TanAgain, because this is um, a corporate (something) we have to run through with uh, with our corporate
affair when it comes to any of this public media, (something) have to be a bit cautious. So if you can, just
forward to us, uhh we will review. Alright? if need to, then we may just do some amendment, okay? Andah if everything okay then we will revert to you then you can do the (something). Its just to get approval
from our corporate affairs.
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