News From : DagangHalal.com (06 Jun 2009)
There are plans for RM5mil to be invested in an expansion programme by the Zikay Group, via subsidiary Rumpun Berkat Sdn Bhd.
The expansion programme is being put in place to boost its production of halal beef products to see increased demand and in order to have 4% of the local beef market, according to group managing director Datuk Mohd Khay Ibrahim.
Bigger market share
According toKhay, “The market is big. We currently have a market share of 1% and we are targeting 4% by year-end,” he told reporters during a media visit to the company’s facilities here.” The company has brought average sales of RM400,000 monthly from sales of beef products, he stated.
Datuk Mukhriz Mahathir, Deputy International Trade and Industry Minister, said that the size of the halal market was worth about RM7.6 trillion per year.
“Demand for halal beef products would exceed 170,000 tonnes by 2010 and production is expected to be 310,000 tonnes in 2020,” Khay said.
Statistics say that local producers could only supply 18% of domestic beef demand, he added.
The expansion programme would also include diversifying its processed meat products to include meatballs, burger patties, sausages and satay meat, he added.
Also, Khay stated that the company’s expansion plan would involve upgrading its current infrastructure and adding machinery at its 35-acre Bestari Jaya cattle farm and slaughterhouse.
It distributes its meat under the Amal brand to hypermarkets such as Carrefour and Giant.
RM5mil = appr. €1m