As the fourth largest nation in the world in the term of population, Indonesia is such a considerable marketplace for global communities to invest and expand their business. It doesn’t stop there; the truth that the archipelago lying in the equator zone is regarded as a country with the highest Muslim population throughout the globe does give another economic advantage and potential. Unless you don’t realize the second fact, bear in mind that having halal certification on the products of yours is, at the bottom, essential enough.

If you require a legal party to put across the idea of Halal certification as well as the process of gaining it, it is vital that you find out the importance of legal consultant in Halal certification. The professional’ advice plays an important role to lighten up a couple of consumers’ issues with some greatest solutions such as getting alternative for your non-halal brands in order to be more Muslim-friendly, clarifying why you should grant non-halal label on non-halal products and vice versa, and most importantly, how to supply the Moslem consumers’ need in the country.

The legal consultant of yours working hard to settle the matters with regard to halal certification provides a range of significant information by way of these following frequently-asked questions and answers. They come with a set of perceptible details clearly widening your horizon of knowledge. Thus, have a read on them and reach out the professional for the further explication.

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What is Halal and Why Should Your Products be Halal in Indonesia?

Part of foreign business planners might be unfamiliar with the term of halal. According to halalfoodauthority.eu, halal has a literal meaning that is permissible. It is regulated in consonance with the stipulation of traditional Islamic law. The opposite name of it refers to “haram”. Foods, medicine, chemicals, or beverages that contain blood, pork, alcohol, and not to mention the meat obtainable from the improper slaughtering process without mentioning Allah are classified as haram products.

In the name of consumer protection, letting your products halal-labeled is nothing yet noteworthy. To answer your fundamental query in regard to the rationale why the brands you are promoting ought to be halal, we provide you enlightenment to be underlined by anybody. The thing is clear; as a predominantly Muslim nation, Indonesia uses halal for food safety standard. This labeling is also beneficial to mark off the one belonging to non-halal, and another can safely be consumed by the Muslim communities.

By having a halal certificate, you, without doubt, guarantee your customers that the edible products you present meet the Islamic dietary requirements. One of the key strategies to elevate the marketability as well as riveting the Muslim customers’ attention is underscoring the value of halal quality that your trade name has to offer. Aside from the date of expiration and how the processed foods are made, the locals always make a judgment built upon the label of halal.

Which Department is Responsible for Issuing the Halal Certificate?

Before 2014, the only legal body dealing with issuing the halal certificate in Indonesia was no other than the Indonesian Council of Ulama or recognized as MUI. The role of the religious-affiliated department used to be authoritative when it comes to approving the halal document. The authorities of MUI covered assigning the standard of halal, examining the products which belong to halal and non-halal, establishing a fatwa (a kind of religious decision), and finally granting the certification.

When the law number 33 the year of 2014 is passed, the Indonesian government by means of the Ministry of Religion establishes an institution to administer the halal certification which is called BPJPH or Badan Penyelenggara Jaminan Produk Halal. Inaugurated by Lukman Hakim Saifudin (the recent minister of religion) on October 11^th, 2017, this institution is primarily considered as the one ruling the roost.

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How Does the Indonesian Government Regulate the Halal Products?

Due to the high demand for halal products, the Indonesian government ultimately modifies the condition in which the halal certification is no longer something voluntary yet obligatory. The urgency has to be made as the main duty of the administration is to guarantee the products the Indonesian citizens consume are halal. In other words, the local government should let the people accessible to safety, comfort, as well as the assurance of halal product availability.

In order for the Muslim consumers to be protected, the government regulation in respect of halal product is created. In consequence, the law number 33 the year of 2014 is successfully implemented. There are 11 chapters as well as 68 articles arranged in the fresh law. In the opening, it clearly states that a halal product, from food to cosmetic and from medicine to chemicals, is valid if it is declared as something in accordance with the Islamic law. And the same is true with the whole product preparation that encompasses sourcing, processing, packaging, distributing, serving, and so on.

The law securing the user’s need also formulates the key duties of BPJPH or Badan Penyelenggara Jaminan Produk Halal. In accord with article 6, the body delegated by the Indonesian government has an array of rights that include framing and defining the policy of halal product warranty or better known as JPH (Jaminan Produk Halal), assigning the standard, procedure, norm, as well as criteria of JPH, issuing and revoking the halal certificate, campaigning how the halal product is used, and many others.

The progression of this law has never been that easy. Although the regulation was issued four years ago, the implementation is recently performed. It likely didn’t have much power to prevail the administration during the baffling years—the fact that the single interference executed by Indonesian Council of Ulama remains questioning. In the middle of 2017, the test material on the halal product warranty act leads to a bit chaotic matter.

According to the executive head of Indonesia Halal Watch, the pleader of the test material misinterpreted the enactment of JPH. He added that the individual beseeching the law came with an idea expressing that the act of JPH based on a mandatory statement totally is incorrect. There should have been a clear definition that the word of mandatory doesn’t indicate that non-halal products are not allowed to circulate in the marketplace. The clarification ends up with an apparent line that a product which signifies “haram” must be labeled so.

After the freshest halal regulation in the wake of the legal decision of BPJPH—the law number 33 the year of 2014—is ultimately implemented, the guarantee of halal product for the sake of consumer protection is getting stronger. The local government’s commitment to afford the best service in the form of food needs for the public of Indonesia arguably makes the grade. With the latest act, the Muslim population in the country doesn’t need to be agitated and apprehensive toward the products they are going to purchase throughout the Indonesian stores.

Is There Any Penalty for Those Who Don’t Let Their Products Halal Certified?

“There is no particular penalty for business people who ignore the obligation of halal certification in 2019 as it is stated in the latest law”, uttered the head of BPJH—Mrs. Siti Aminah. This expression quoted from kliklegal.com has indicated that a company which doesn’t register its product in BPJPH to gain the halal certification will not be punished. However, if the halal certification has already been acquired yet the corporation proven guilty breaks the rule, a sentence is definitely inescapable.

The serious punishment would be applicable if the related companies openly don’t include the halal label on their product, slaughter the animal in a proper way (if it’s meat) and give right information about the composition. The lightest sentence imposed on the parties who are at fault is the oral reprimand. Unless they hear the warning, a written notification could be performed. Meanwhile, the worst case is that the rule breakers will gain the administrative fine or the revocation of halal certification.

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What is the Difference between Indonesia’s Halal Product Guarantee System and Overseas?

The difference between the halal product guarantee system applied in Indonesia and the one abroad is obviously the basic regulation. Indonesia’s regulation as to the guarantee of halal product principally refers to the law number 33 the year of 2014 commonly known as UU JPH. Having known this truth, the role of the government in administering the halal product is indeed substantial and ruling. The administrator’s authority is primary and the existence of civil society—in this case, it is addressed to MUI and LPPOM—is no longer binding.

What about the overseas? It turns out each country has its own way of making a halal and non-halal decision. Thailand for instance; the local government has no right to meddle the business. The whole judgment and resolution in regard to granting the halal label as well as guarantee system is based on Central Islamic Council of Thailand (CICOT) or known as Syaikhul Islam of Thailand. The body recognized by Thai’s administration delegates Halal Standard Institute of Thailand. The process of halal certification in the country is fully handled by the institution.

 

 

How Does the Procedure to Obtain a Halal Certificate Take Place?

With the newest regulation administered by today’s government through the designated legal institution namely BPJPH, the procedure to allow your products to be fully halal certified is somehow dissimilar. Here are a couple of steps to follow:

• The company submits all required documents as well as the request to BPJPH. After the submission is done, the governmental institution hands a fixed schedule of which an objective is to examine the requested product.
• During the examination practice, the halal auditor looks into how halal the sample of your product is. If it is found or suspected non-halal, the further investigation will be held in a laboratory.
• The examination outcome is delivered to BPJPH.
• BPJPH asks a range of consideration from MUI whether the product is regarded halal or non-halal. The fatwa hearing from the Islamic council usually requires up to 30 days.
• After the final decision is executed, the company will gain two possibilities. The first one is receiving the halal certificate and the second one is the repudiation of the proposal.
• The validity of the halal certificate is around 4 years. Be sure to renew the document 3 months before the date of expiration.

Which Industry Is Mostly Affected by the Issue of Halal Certification?

Out of many operating companies and industries in Indonesia, the one that seriously gets most affected is the field of health. The issue of vaccine containing lard oil which is believed by some conservative groups making them concerned and agitated is pretty alarming. The public likely doesn’t give credence and get assurance although some parties representing LPPOM MUI and YLKI have conducted a press conference to clarify the matter. It is such a genuine halal certification challenge for health industries (medicine and vaccine), isn’t it?

The shocking founding recently held by the national agency of food and drug control renders controversy among Indonesian societies. Some of the food supplements having famed brands fall under suspicion. The body expressed that the chemical products contain pork substance. According to a trusted record, at least there are 10 similar cases in which the primary issue is pork content from medicine to cosmetics. These surprising facts literally add insecurity among Muslim societies in Indonesia in the term of the public trust. The effort to provide the halal certification seems ill-starred.

Four significant cases dealing with the polio vaccine, meningitis vaccine, enoxaparin sodium (a type of blood-thinning drug), and nadroparin calcium are highlighted. It turns out that these issues become horrendous occurrence in the entire nation involving a number of elements in the society. To anticipate this matter, the consumers should examine the basic ingredients of the products on the label. The information you need to take account covers lard, animal fats, as well as the fatty acid from pig’s stomach.

Why Do All Products in Indonesia Should be Halal Registered by 2019?

Based on the government decision by way of BPJPH or Badan Penyelenggara Jaminan Produk Halal, all companies running their business in Indonesia must have their products halal certified by 2019. The program namely “2019 wajib halal” or the obligatory of having halal certification is campaigned to raise the awareness of the people about the importance of halal products. The project is such a strict reminder for companies to register their products immediately.

In addition to that, the minister of religion of Indonesia elucidates that the obligatory of gaining halal certification doesn’t mean that the whole products available in the Indonesian marketplace are halal at all. The ones which are regarded as something non-halal are still obtainable yet with one condition: the products should come with a vivid label explaining non-halal state.

What type of “2019 wajib halal” program that the companies should prepare? As the shape of the government’s concern, this agenda basically urges the companies of which products including foods, beverage, medicine, chemicals, and cosmetics to provide a halal label. Arguably, whole companies in Indonesia are required to be halal-certified.  Although it sounds compulsory, the companies who have yet to register in BPJPH do not have to serve a sentence.

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What is the Tangible Impact of the Halal Certification and Regulation?

The direct impact that any Muslim citizens could feel in a straight line is mainly the safety guarantee. In the term of costumer protection, the halal certification literally irons out the hesitation and skepticism toward vague products obtainable in the marketplace. The people do not have to rethink when it comes to purchasing their daily need both in a grocery and department store. Aside from it, the halal product guarantee is the manifestation of appreciation that is addressed to whole Muslim communities in the entire country.

The correlation between Indonesia’s halal regulation and the impact of halal registration is nothing yet weighty. As a predominantly Muslim nation, the contribution of the rule truly brings much improvement toward the progress of Islamic civilization. Not only does it affect the religious aspect, the halal arrangement held by the government carries positive values in the field of economy. Speaking of the economic competition on the global level, it turns out that the halal certification plays a significant role. The quality of a product is also determined by how halal it is. There is no wonder that a number of countries in the world deliberately provide this type of certification.

To make the long story short, figuring out the importance of legal consultant in Halal certification is such a great way to let everything clear. The legal individual does assist you to gain an array of key information in connection with the issues of gaining a halal certificate in Indonesia. From the law issued by the authoritative government to the genuine impact of the regulation, it is pretty obvious that the legal consultant offers comprehensible clarification for all business people planning to introduce their products in the country.

BP Lawyers can help you: we can assist you in providing the best solution to the legal program of your business or your company’s.  You can contact us via bpl@smartlegal.id or +62821-1234-1235

 

 

cc: indonesiago digital