Halal Technology Development Fund (HTDF)

Halal Technology Development Fund

Supports Malaysia's halal-certified enterprises to advance food, cosmetics, and pharmaceutical innovation through development grants.

The Halal Technology Development Fund (HTDF), administered by the Malaysian Technology Development Corporation (MTDC), is a hybrid grant plus Convertible Promissory Note (CPN) matching fund for Malaysian SMEs applying technology to halal-certified products and services. The fund operates across two tiers: HTDF 1 supports local market expansion with awards of up to RM2 million, and HTDF 2 supports international market expansion with awards of up to RM4 million — HTDF 2 requires documented prior export history as an eligibility condition. The total programme commitment spans six years: a 2-year implementation phase followed by a 4-year CPN repayment period. A non-refundable processing fee of RM3,500 applies per application.

Eligibility requires the applicant to be incorporated in Malaysia under the Companies Act, hold a current JAKIM halal certification (a hard gate, not a preference), qualify as an SME per SME Corp. Malaysia 2013 guidelines, maintain minimum 60% Malaysian ownership, and not be a subsidiary of a government-linked company (GLC) or multinational corporation (MNC). Eligible sectors include halal food and beverage, ingredients and additives, cosmetics, pharmaceuticals, nutraceuticals, and innovative halal services. Grant funds are designated for soft costs — marketing, branding, packaging, technology transfer, certifications, and training. CPN funds are designated for hard assets — equipment, machinery, automation, and raw materials.

The fund operates on a rolling basis with no published 2026 application deadline. Inquiries and applications are directed to devfund@mtdc.com.my. Applicants pursuing HTDF 2 must demonstrate prior export history to qualify for the higher RM4 million cap; first-time exporters should begin with HTDF 1 and the RM2 million ceiling. Organizations should budget for the RM3,500 processing fee at submission and plan their six-year programme timeline carefully, accounting for the four-year CPN repayment obligation that begins after implementation is complete.