BBYB 2020

BUSINESS SECTORS

wholesome solutions, which thus extends to

Halal food, Halal travel and tourism, modest

fashion, Halal media and recreation, Halal

pharmaceuticals, Islamic finance, logistics and

any other aspects. The possibilities are vast.

The country is also in a position to recognise the

needs of the Muslim community and consumers

seeking moral alternatives and develop products

and services to fulfill gaps in the current market.

In November 2019, the Brunei Halal Showcase

(BruHas) was launched with the theme ‘Leading

the Halal economy in BIMP-EAGA’. At the

opening ceremony of BruHas 2019, Minister

of Energy Dato Seri Setia Dr Awang Haji Mat

Suny bin Haji Mohd Hussein said that the

ministry encourages micro, small and medium

enterprises (MSMEs) to collaborate with large

companies and even those from overseas with

an opportunity to gain support and access into

local and regional distribution networks.

The minister highlighted that the emerging

Fourth Industrial Revolution poses both new

challenges and opportunities for Halal business,

particularly in food manufacturing. In this

regard, the Ministry of Energy is working closely

with the Ministry of Religious Affairs (MoRA)

and other key stakeholders to ensure the Halal

industry remains cognizant of changing times.

At the same time, its enhanced connectivity

through digitalisation means the reach of

Brunei’s products and services has grown.

The minister then shared that the Halal industry

in Brunei has continued to improve and noted

that the country is currently ranked among the

top 15 out of 73 countries according to Thomson

Reuters’ Global Economic Economy Report for

2018-2019. The country’s Halal Food sector

is ranked seventh while its Halal Media and

Recreation sector is ranked 10

and the Halal

Pharmaceutical and Cosmetics is ranked sixth.

With regards to the government’s commitment

in improving the ease of doing business in Brunei

as a whole, the Ministry of Energy is constantly

seeking to improve the business eco-system

for the Halal sector. This is intended to provide

a conducive environment for business growth,

while ensuring a high level of trustworthiness

that comes with this sector.

In further supporting the industry, Brunei has

made an amendment to the Halal Certificate

and Halal Label order (Amended) 2017 by

broadening the scope of Halal certification

to include non-oral medicinal products,

cosmetic products as well as those for usage

and services.

As of October 2019, a total of 8,889 permits

had been issued by the Brunei Islamic Religious

Council (MUIB), of which five per cent were for

products outside Brunei.

The minister noted that, in addition to

benefitting the existing ecosystem and

commitment form the government to enhancing

Halal and Islamic sectors, Brunei is attractive

in a number of ways for potential investors

seeking a base within the region. For example,

Brunei is in proximity to ASEAN’s major Halal

markets, namely Malaysia, Indonesia and

Singapore. The trustworthiness and control of

the Brunei Halal Certification and Permits also

provide assurance to consumers.

In addition, the corporate income tax in Brunei

stands at 18.5 per cent, which is the second

lowest in the ASEAN region. The lack of

personal income tax, value-added tax, as well

as goods as services tax further exemplifies

the benefits of tapping into the Halal sector in

Brunei. Also available are competitively priced

industrial sites for operations.

It is hoped that more foreign direct investments

(FDIs) will be seen in the field of Halal products

and services and that more partnerships can

be forged between FDI companies and local

MSMEs, as there is a vibrant and growing Halal

Industry here.

The minister highlighted that the Halal sector

is a potential source of employment and also

a prime opportunity for budding entrepreneurs

seeking to serve a social need. It is the

country’s aspiration that Brunei’s Halal and

Islamic sector rises to become a leader in the

global Halal Industry with an export-oriented

outlook to reach the regional and even global

Halal industrial network.

This effort, he added, will require a whole-of-

nation approach with close and active collab-

oration among ministries, agencies the private

sector, academic and research institutions.

With the potential to be a Halal hub in the

region, Brunei’s reputation for strong Islamic

traditions and governance further strengthens

its credibility in the Halal Industry. In addition,

by the year 2025, the global Halal food industry

is expected to be worth USD2.1 trillion.