Readiness Factors of Nusantara Fishery Ports in Implementing Halal Supply Chain

Abstract

Logistics is a part of the supply chain which involves many business entities such as suppliers, manufacturers, distributors, and retailers. These entities will work together to obtain raw materials and turn them into final products. Halal logistics is an approach to avoid contamination of raw materials and perishable foodstuffs during transportation or distribution activities. Halal logistics is also used to avoid misinformed products and ensure Muslim consumers get and consume Halalan Toyibban’s products. In the Malaysian Standard for Halal Logistics (MS 2400:2010), halal logistics requirements under Sharia law include requirements for logistics providers for transportation, warehousing, and retail. Requirements are usually from production to handling process, distribution, storing, form, presentation, packaging, and labeling. There are some concerns regarding the implementation of halal logistics among logistics agents. First, there are concerns about whether these agents follow all the guidelines and standards for halal logistics. Second, there are concerns about whether these agents separate their workers and facilities in producing and distributing halal and non-halal products. This study aims to determine factors that affect the readiness of halal logistics implementation among food-based logistics agents. Direct interviews were conducted with 131 stakeholders who directly interacted with activities at Nusantara Fishery Ports. Factor analysis was conducted to analyze the data obtained from the managers. The result shows that management support, environment, employee, halal assurance system, and vision for change affect Halal Supply Chain implementation readiness.