Saudi Arabia, Indonesia collaborate to elevate the assurance of halal products

Jakarta: Saudi Arabia and Indonesia signed a memorandum of understanding (MoU) on Halal product assurance cooperation in addition to the mutual recognition of each other’s Halal certificates.

The agreement was signed between Indonesia’s Halal Product Assurance Organizing Body (BPJPH) and the Saudi Food and Drug Authority.

Importantly, the agreement also expands to cooperation in training, research and development, and the laboratory analysis of Halal products.

As the world’s most populous Muslim country, Indonesia is naturally also the world’s largest Halal market, particularly for the food, tourism, cosmetic, and pharmaceutical sectors. Before the pandemic, global spending on Halal products reached over US$2 trillion with Indonesian consumers spending some 10 percent or over US$200 billion of this total on Halal products and services.

The Indonesian government, through Government Regulation 39 of 2021, has mandated that products that enter, circulate, and are traded in Indonesia must be Halal certified unless they are originating from materials prohibited under Islam (Haram).

The government has taken into consideration the time businesses need to prepare their operations to be Halal compliant. Therefore, the government has set stages for Halal certification based on product type.