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SESSION 2012/2013













Our aim is to seek knowledge to improve herbal industry in Malaysia.

Malaysia should commercialise herbal products is because there are varieties
of natural herbs which are not yet fully exploited. There are about 2,000
species of herbs in Malaysias tropical rainforest but only about one percent is
being commercialised. (Hairuddin Md Bakri).Hence, Malaysia is the ideal
country for commercialisation of herbal products. Herbal industry should be
improve due to several factors. The factors includes lack of efforts towards
Research and Development(R&D), lack of talents and well-trained work force
who can define and devise strategies, infrastructure capable of main-training
biotechnological research and development, lack advance in harvesting
technologies. There are several R&D have been done in some universities but
the results havent used for commercialisation. Besides, too few herbal
products have been commercialised because only several herbs focused by
Malaysia. These problems should be solve immediately to improve the
commercialisation of herbal products. In order to further research into local
herbal industry, we have divide ourselves into 4 individual topics. As a result ,
some recommendations (in summary) towards these problems have been
suggest by us through this handout and further explanation will be done in
each individual report .
Individual Topic 1 : Research and Development (R&D) as a way to
commercialise the herbal industry in Malaysia.
Individual Topic 2 : Governments Policies as a way to commercialise the
herbal industry in Malaysia.
Individual Topic 3 : Publicity as a way to commercialise the herbal industry in
Individual Topic 4 : The role of advertising and marketing in the
commercialisation of herbal products in Malaysia .

Research and Development (R&D) is one of the way to fix the
challenges face by local herbal industry. Biotechnology development,
discover and develop varieties of herbal products and improving harvesting
technologies are necessary to build up our research community and ensure
our country herbal industry to have ability to process herb materials to higher
value products from low cost production of the herb materials.
Furthermore, governments policies should be giving incentives,
personnel training and offer scholarship to local or oversea university.
Commercialisation of herbal products especially R&D require a lot of money &
resources, not only natural resources but also human resources. In addition,
helpful and knowledgeable employees, good quality of products keep the
loyalty of customers. Besides, offer tax free for the companies to increase
export in herbal products.
Creative advertising methods which are different from the past will be
easy for everyone to be impressed. A creative packing design can attract
consumer attention and influence consumer buying decision because
consumer amazed by the creative packaging design. Impressive images of
herbal products through professional techniques to make video can be
presented to public and strengthens the desire of people towards our local
herbal products. Advertising a product by using endorsement of celebrity
because celebrity will influence consumers perception and credibility of a
Lastly,a well-defined target market is also important because it is much
affordable, efficient, and effective way to promote a products. Implement
some marketing which means to satisfy customers needs also necessary to
improve commercialization of herbal industry.

Herbs should be commercialized in a wider scale due to their perceived
value. Efforts toward this goal are to be realized by encouraging herbal usage
in daily life of local communities. This in turn will cause herbal sector in
Malaysia to develop and generate job opportunity and boost up the economy.
Many consumers believe that herbs are one of natures gifts and can be
safely utilized. This is the reason why herbs have become accepted by local
communities and current trending is inclined to better and healthier lifestyles
based on the use of natural products, including herbs and herbal derivatives.
Commercialization in herbs will also generate economic benefits which will
attract further investment and industries exploiting herb from local and
However, a number of actions are considered important for improving
and enhancing the development of herbal industry in Malaysia. First, a
sufficient mass of cultivable land need is needed in order to ensure the
consistent supply of herbs to herbal industry. This can be done by promoting
farmer cooperation at village or regional level to make sure an ample mass of
cultivable for herbs. Furthermore, country authorities should develop
effective strategies to support improved cultivation, quality control systems,
provision of high quality planting materials, and the encouragement of
investment in new innovative ways.
Lastly, government and herbal industrys developer should accept and
concern a more in-depth global overview of the demand and supply of
medical herbal products to clarify market issues, and consider more effective
solutions. Because many of the issues require global and market-specific
analysis because of the differing market condition, materials and products
being focused on, and approaches used. Moreover, case studies of successful
marketing approaches being used may assist other countries.

Abu Kasim, Z. A. (2007) Herbal biotechnology development- The way forward
& market

access opportunities.

Ann Anton, Vijay Kumar, Michael Wong.(2007) Biotechnology Technical

Report. Sabah.

Universiti Malaysia Sabah(UMS).

Ballick, MJ. & Cox, P.A. 1997. Ethnobotanical research and traditional health
care in

developing countries. In: Medical Plants for Forest Conservation

and Health Care.

Non-wood Forest Products 11. pp. 12-23. Food and

Agricultural Organization of

United Nations, Rome.

Blumenthal, M.Brinkman, J. & Goldberg, A. 2000. Herbal Medicine. Expanded

Commission E Monographs, American Botanical Council,
Austin, Texas.
Defination Of R&D . http://www.investorwords.com/4028/RD.html (visited on 3
April 2013)
Ghazally Ismail(Editor) (1997) Bioresource Utilization: The Bioechnology
Option For

Malaysia. Selangor. Pelanduk Pubilcations (M) Sdn. Bhd.

Global Information Hub On Integrated Medicine (Globinmed)



plants-in-malaysia&Itemid=179 (visited on 20 April 2013)

National Center Of Complementary and Alternative Medicine(NCCAM)
http://nccam.nih.gov/health/aloevera (visited on 20 April

Salleh, M.N. (1998). The forest can cure all ills: Myth or Reality. In Proceeding
of the

seminar Medical Plants: Cure for the 21th Century. Pp. 1-6.

Nair, M.N.B &

Ganapathi, N.(Eds.). University Putra Malaysia, Serdang,

Malaysia, 15-16