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By Melati Mohd Ariff KUALA LUMPUR, Oct 7 (Bernama) -- For almost 50 years, Felda or the Federal Land Development Authority has made numerous inroads in the cultivation of oil palm and rubber, providing a better life for its settlers. Today, Felda is making a mark in yet another high potential venture - the herbal business. For this, it has incorporated Felda Herbal Corporation Sdn Bhd (FHC) on April 29, 2004. Herbal based products are in big demand not only by the beauty industry but also for health requirement. It is estimated that world market for herbal based products would reach RM760 billion a year by 2008, a three-fold increase from 2003. The herbal industry in Malaysia was reported to have achieved an annual sales of more than RM4.5 billion and the figure is expected to double by 2010. "The herbal industry is one of the new agendas for Felda as it enters the second 50 year of its establishment," explained FHC Chief Executive Officer, Hairuddin Md Bakri in an interview with Bernama at his office here. Hairuddin joined Felda in 1973 and was involved in agriculture and estate operations before given the task to manage FHC. Besides a degree in agriculture from Universiti Pertanian Malaysia, he has a degree in business administration. "We're hoping that what Felda is doing would provide a good package for settlers and the people of Malaysia as a whole and to make herbs as an income earner for the nation," said Hairuddin. THE LOCAL HERBAL INDUSTRY Eating herbs has been a part of our everyday life since our forefathers' days. The tradition lives on and today, herbal consumption is further enhanced by the availability of scientific explanation behind those herbs, their special properties and specific instructions on how to consume them. According to Hairuddin, herbs are more of a health food supplement. "They are more for prevention not treatment. The treatment aspect would require more research and development (R&D)," he said. Tongkat Ali, Kacip Fatimah, pegaga, peria (bitter gourd) and misai kucing are some of the local herbs which are increasingly making a mark these days. Malaysia has thousand of herbs that have not been fully explored. The Endau-Rompin rainforest for example is said to be the oldest in the world and hence might contain an invaluable treasures of herbs. Hairuddin said there are about 2,000 species of herbs in Malaysia and only about one percent is being commercialised. He said the local herbal industry is lagging 20 years behind countries such as India, South Korea and China. "India, China and South Korea are very advanced. South Korea for example has 100 years of experience in herbal consumption. They don't need many herbs to develop, maybe one or two like the Korean Red Ginseng," said Hairuddin. On a more positive note, he said Malaysia could achieve a far greater height in the herbal industry provided all R&D efforts carried out by various parties, not only be doubled but also coordinated. PRODUCTS OF BIOFELD Established to undertake the herbal business including herbal R&D, herbal planting, biotechnology development and marketing, FHC was only active since April 2005, said Hairuddin. "Ideally, we should have our own herbal plantation and extraction plant. What we're doing is the reverse as we don't have much time. We're into marketing first as we wanted to see its potentials and customers' taste and the products are produced by contract manufacturing," he explained. "At the moment, we have three bumiputera contract manufacturers whom we chose with great care to safeguard their quality. We provide them with the formulation," said Hairuddin. Despite being new to the herbal business, FHC has to date 19 herbal based products, marketed under the brand Biofeld. They include maternity set, hair care, energy drinks, herbal tea such as Khaffir Lime Leaf tea and Misai Kucing tea besides extracts of pegaga, peria (bitter gourd) and hempedu bumi which are sold in capsules. Market for herbal based products is tough. For that reason, Hairuddin said FHC relied on product quality to attract buyers. According to Hairuddin, Biofeld products are marketed only after certification by the National Pharmaceutical Control Bureau of the Health Ministry and fulfilled the Good Manufacturing Practices (GMP) requirement. "The Tongkat Ali products that we worked out with UTM Skudai, for example took a year before we received certification from the Health Ministry then only we market them," he explained. The Tongkat Ali products have been patented and received approval for export, he added. FHC, he said is in the midst of negotiating to export the Tongkat Ali products to South Korea, China and several Organisation of Islamic Conference (OIC) countries. GATEWAY TO BECOME ENTREPRENEUR Multi Level Marketing (MLM) is being used to market Biofeld products and Hairuddin said FHC is the only Government-Linked Company (GLC) involved in herbal industry using this method. "Products manufactured and sold through MLM must be of high quality and thoroughly researched," he explained. MLM also provided opportunity for Felda settlers and their children to carve a name as entrepreneurs, he said. "There are settlers who became our stockist earning up to RM4,000 a month but you have to sweat it out," said Hairuddin. At present FHC has 100 stockists and aimed to have 300 stockists by 2009. There are several level of stockists, that is, state, district, settlers' cooperative and mobile stockist, each based on the value of the opening stock. By the end of this year, the sale of Biofeld products is expected to be about RM4 million. According to Hairuddin, the public can also become stockists for Biofeld products. RESEARCH AND DEVELOPMENT On R&D, Hairuddin said that the efforts towards commercialisation is still lacking. "There are several levels of herbs processing and in Malaysia the process involving standardised extract is very few. Pharmaceutical or those tested clinically is almost nil. "We also have university doing R&D but the results are not being picked up for commercialisation. We also face problem in getting international recognition," said Hairuddin. Elaborating on FHC's next move in R&D, he said it would be done on a large scale with institutions of higher learning and other research institutes. He said Felda Agricultural Services which managed Felda's R&D requirement would be working closely with those parties. "Felda's management has also given funds to an institute of higher learning for research works including on herbs. "We want to focus on standardised extract which is a level below pharmaceutical. Our main herb is still Tongkat Ali. Others include pegaga (for blood circulation and anti-oxidant) and hempedu bumi (effective for cough)," said Hairuddin. (Standardisation is a process in the production of herbal extract in which the potentials of active ingredients in the product is guaranteed of its consistency) He said an institution of higher learning is undertaking a study whether Tongkat Ali can be extracted for commercial reason after three or four years it is planted instead of five to six years as being done now. HERBAL PLANTATION AND EXTRACTING PLANT Felda has started to plant its own herbs. Currently, it has planted 80 hectares of Tongkat Ali due to its huge market. "We only plant herbs which have high potentials," said Hairuddin. Besides Tongkat Ali, pegaga and turmeric are also being planted but on a smaller scale. He also dismissed the general perception that Tongkat Ali is only good for male libido as R&D has shown the herb is also good to improve blood circulation. On the planting of the herbs, he hoped that it could be expanded to the settlers to enable them to earn extra income. "By 2006, we plan to have our own extraction plant to enable us to control the overall production. We may also be able to produce 30-50 percent of our herbs requirement next year. "We want to be one of the respected players in the herbal industry, not only having our own herbs plantation and an extraction plant but also strong in R&D and excellent in marketing," he said. He said the location for the plant has not been finalised but would be somewhere strategic and can be developed as a herbal city. FHC, he said has also set a joint-venture with an Indian company to produce a new product from the Ati-Ati plant of the Indian species. Compared to Ati-Ati Malaysia, Hairuddin said Ati-Ati India whose scientific name is Coleus Forskholli produce tubers which contained an active ingredient called "forskhollin", which is used to treat obesity. "This product has received approval from the US Food and Drugs Administration (FDA). The Indian company was looking for a partner in Malaysia and we have the strength in terms of land bank. Felda has about 0.8 million hectares of land. This Ati-Ati India requires a sandy loam soil for the plant to grow well and easy to unearth the tubers. We've planted some on a trial basis, they're growing well," explained Hairuddin. WORD OF ADVICE As a word of advice to consumers, Hairuddin said herbs should not be regarded as drug but more of a health food supplement. Herbal products also, he believed would eventually replace modern day drug which mostly contained chemicals. "As human being, we eat everyday and in this modern world, there are numerous kind of preservatives and colouring that can cause food poisoning. Hence, we need to take care of our health, exercise, do medical checkup and have a balanced diet. "At the same time, it's necessary for us to take preventive measures instead of getting sick and needs treatment. Herbal based products which have been certified by the Health Ministry can help to enhance the prevention element and strengthen our immune system," he explained. He said it was better for consumers to buy local herbal based products which they are more familiar with. "Local products are great and may be more superior than imported ones," he added. -- BERNAMA |
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Oleh Melati Mohd Ariff |
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STEP 2: ORDER PRODUCT (PESAN PRODUK) |
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