Solutions provider Smartag Solutions Bhd is allocating 16 million yuan (RM8.32 million) for its first overseas venture in the China halal market to develop a software system to help trace halal products.
The track and trace provider is set to venture into China through a partnership with Ningxia Salimy Muslim Commodity Training Co in efforts to develop China’s international online halal trade and traceability platform.
“We are indeed thrilled to be given this opportunity to work with Salimy and we would want to begin the works for this project as early as next week,” said Smartag CEO Yow Lock Shen at a signing ceremony in Kuala Lumpur yesterday.
He said the main objective of this partnership is to ensure that all food produce in Ningxia remains halal by the time it reaches the consumers.
This is because food may not be halal due to weather conditions and other contaminations faced through its logistics process, he added.
Smartag, through its traceability platform, will be able to provide consumers with information on food and other commodities to ensure that people will be able to determine the halal status of the product especially for the Muslim community.
Smartag’s involvement in the project, which is endorsed by the Beijing government, is to build the e-commerce halal trading system as well as the traceability platform. Smartag will also develop the financial exchange facility tied to the government linked initiatives.
Smartag is also signing an agreement to develop an apparel traceability system for Ningxia Chengfeng Agriculture Technology Co Ltd and animal traceability system for Ningxia Ai Fei Xiang Livestock Import Export Trading Co Ltd.
Yow told reporters that the recent Malaysia Airlines flight MH370 tragedy will not have a negative impact on these projects.
The group’s share price rose 2.5 sen or 22 % to 13.5 sen at close yesterday.
Source: The Malaysian Reserve