Nippon Express expands halal logistics, rides on growing pharmaceutical sector in Malaysia

15, Mar. 2021

Nippon Express Malaysia's KLIA branch has been given certification to distribute pharmaceutical products in Malaysia. (Photo courtesy of Nippon Express Sdn. Bhd.)
Nippon Express Malaysia's KLIA branch has been given certification to distribute pharmaceutical products in Malaysia. (Photo courtesy of Nippon Express Sdn. Bhd.)

By Charlotte Chong

KUALA LUMPUR, NNA - Logistics provider Nippon Express (Malaysia) Sdn. Bhd., has obtained a Malaysian certification for its Kuala Lumpur International Airport (KLIA) branch to distribute pharmaceutical products while transporting them within the Southeast Asian country.

The Good Distribution Practice (GDP) certification means Nippon Express has met the high standards required for handling medical products in a sector that has become a priority in its business strategy.

With 21 offices and branches in Malaysia, the local unit of Tokyo-based Nippon Express Co., has already been contracted to provide hospitals in Malaysia with pharmaceutical distribution services.

With its Klang Logistics Center and Kuala Lumpur International Airport Branch having proven their conformity to quality standards for medical device logistics, the company has been boosting its handling of medical devices, it said in a media statement on March 2.

Nippon Express noted that the pharmaceutical manufacturing is a new growth sector that the country's government is keen to develop as rising wages and living standards have made the Malaysian population increasingly health-conscious in recent years.

"The government is also seeking to make JAKIM halal certification of pharmaceuticals a global standard, and higher demand for halal pharmaceutical logistics in Muslim markets is anticipated," it said in the statement. JAKIM is a government halal certification body which ensures that permissible products and services for the Muslim market adhere to their requirements.

Having official authorization has enabled Nippon Express to "meet growing customer demand for safe and secure logistics services for halal-certified pharmaceuticals, and thereby to contribute to the development of Muslim societies."

Supported by an extensive global network, "Nippon Express will continue enhancing its services to satisfy ever more sophisticated and diverse pharmaceutical transport needs and stepping up its efforts on behalf of the pharmaceutical industry, positioned as a priority industry in the Nippon Express Group's business plan."

Nippon Express will be expanding its domestic halal logistics services in Japan following the launch of a new halal-certified domestic air cargo transport service on March 8.

The expansion is to cater to the ever-growing Muslim population in Japan, which numbers about 200,000.

Also, with an anticipated increase in foreign visitors and residents from a diversity of cultural backgrounds, demand for halal products in Japan is expected to rise, it said.

In 2014, Nippon Express became the first Japanese company to obtain halal logistics certification in Malaysia. Since then, it has been developing global halal logistics services.

After obtaining its first halal certification for warehousing in Japan in 2016, the company introduced halal-only roll boxes for consolidated transport of small-lot cargo amounting to less than a full truckload as well as halal-only rail containers for large-lot cargo into its warehouse-based transport services.

“By incorporating halal logistics system-certified work procedures into its "Express Hi-Speed" domestic air cargo transport product, the company has created a rapid halal transport service capable of handling shipments as small as a single cardboard box,” it said in a media statement on March 5.

As interest in halal products grew in Japan, Nippon Express has been constructing a halal logistics service network to support customers' supply chains.