Firm’s readiness for halal food standard adoption: assessing the importance of traceability system

Arsalan Najmi, Waqar Ahmed and Samia Jahangir

Journal of Islamic Accounting and Business Research, 2023, vol. 14, issue 8, 1451-1473

Abstract: Purpose - This study aims to consider factors that play an important role in adopting the halal food standard (HFS) among food manufacturers in Pakistan and to investigate the role of the traceability system in the compliance of the halal assurance system (HAS). Design/methodology/approach - Present study included data from a survey by 134 professionals/food technologists from the food industry, and partial least square-structural equation modeling was applied. Findings - The results indicate that consumer pressure, industry competition, marketing functions, operational improvement and the organization’s commitment have a significant impact on HFS adoption, while government regulations have an insignificant impact. The results also indicate that the HFS’s adoption and lack of a traceability system significantly impact HAS. Research limitations/implications - The current study’s findings are inconclusive. Hence, future researchers are suggested to further explore the studied phenomena, especially in other research settings. Practical implications - For policymakers, the findings of this study offer valuable information as it not only benefits the industry but will also assist in providing better and safer halal food products to consumers. Originality/value - This study highlights the importance of the adoption of HFS and compliance with HAS in a scenario where demand for Halal is increasing globally. Moreover, the findings of this study offer valuable information in motivating firms to implement HFS.

Keywords: Halal food standard adoption; Compliance; Halal assurance system; PLS-SEM; Traceability system; Halal food supply chain (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:eme:jiabrp:jiabr-09-2020-0293

DOI: 10.1108/JIABR-09-2020-0293

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