Agro & Food Processing
Indonesia stands on the cusp of a “golden opportunity” in its booming halal food products industry, provided it improves its product quality, safety standards, and infrastructure, according to a leading halal certification official.
As of October 2024, Indonesia will enforce a regulation requiring all food and beverages traded in the market to be halal-certified unless listed on the pre-approved Positive List. This mandate presents a significant growth opportunity for the local food industry, according to Dr. H. Mamat Salamet Burhanudin, Head of the Halal Registration and Certification Center at the Halal Product Assurance Organizing Body (BPJPH).
“This is a golden opportunity for the local food industry to not only lead in the halal sector but also drive growth, with all foods entering Indonesia being mandatorily halal-certified from October,” said Dr. Burhanudin at the Fi Asia Indonesia 2024 event in Jakarta. He emphasized that the halal sector has witnessed “very strong growth,” with increasing demand for halal certification, even for products that are not required to obtain it.
Despite these promising developments, Burhanudin highlighted several challenges that must be addressed for Indonesia to fully capitalize on its potential. These include educating the public about halal standards and expanding infrastructure to meet the rising demand. Additionally, maintaining and improving the quality of halal products is essential, particularly with growing international attention on Indonesia’s halal food industry.
“Indonesia must ensure its products meet international standards, as this sector is attracting global interest. We also need to focus on regulations and standards, ensuring they are enforced consistently and fairly,” he added.
With the world’s largest Muslim population, Indonesia is well-positioned to grow its halal market, not only domestically but also through exports. Burhanudin noted the country’s wealth of raw materials, cultural heritage, and strategic location as advantages that could fuel innovation in halal food products, both for local consumption and international markets.
The rising demand for halal products in regions like the EU further enhances Indonesia’s opportunities. “Just as international consumers seek Japanese or Korean foods, we can generate similar interest in halal food by leveraging our strengths,” he concluded.
This development marks a major opportunity for Indonesia, provided it can overcome the infrastructural and regulatory hurdles that lie ahead.