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Indonesian Halal Product Assurance Law to have minimal impact on exports – MATRADE

Indonesian Halal Product Assurance Law to have minimal impact on exports - MATRADEBy Nurhafizah Tan

Kuala Lumpur, Malaysia : Indonesia’s implementation of the new Law on Halal Product Assurance next year to replace its current voluntary practice of halal certification, is expected to have a minimal impact on Malaysia’s halal product exports.

Malaysia External Trade Development Corp (MATRADE) Trade Commissioner to Indonesia, Naim Abdul Rahman, said he was confident Malaysia’s exports would meet the new Indonesia halal standards because they had undergone a strict process by Department of Islamic Development (Jakim).

“Jakim has mutual recognition with Majelis Ulama Indonesia (MUI), the agency which provides halal-certification at this moment, and we are working on harmonising the standard with the newly-established agency, BPJPH (Halal Product Assurance Organising Agency).

“I don’t see the impact. We want the companies to be ready from now before this law is implemented in Indonesia,” he told Bernama on the sidelines of Malaysia International Halal Showcase 2018 (MIHAS 2018) Trade Talk here today.

He said to comply with the new law the companies must work closely with the local importers to manage and regulate the market.

The Law on Halal Product Assurance requires requires products that are imported, distributed and traded within the Indonesian territory to be halal-certified.

Since the law is not effective yet, MUI still holds the authority to handle halal certification in Indonesia.

Indonesia is Malaysia’s sixth Malaysia’s largest export destination with a total value of RM1.87 billion, or 4.4 per cent, with food and beverages accounting for almost 70 per cent of Malaysia’s total halal exports to Indonesia.

MIHAS, the world’s largest halal trade show, returns for its 15th edition at the Malaysia International Trade and Exhibition Centre and will end on tomorrow.

—NNN-BERNAMA

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