In the midst of increasingly competitive market dynamics, Micro and Small Enterprises (UMK) are required to continue to innovate and improve the quality of their products. In supporting this step, LPH LPPOM has again taken a strategic role to encourage UMK to move up a class, one of which is through provision so that UMK can penetrate the modern retail market equipped with BPJPH halal certification to open wider access to consumers.
Although promising, the path to the modern retail market is certainly not free from obstacles. UMK faces various challenges, ranging from product quality standards to administrative requirements. One strategy that is now increasingly relevant and significantly added value is to present products that are BPJPH halal certified. Halal products not only meet the compliance aspect but also become their competitiveness in a market that is increasingly aware of the importance of halal and product safety.
The dream of entering a modern retail store display can come true now. In order to support this, The Assessment Institute for Foods, Drugs and Cosmetics (LPPOM) held a webinar, “This is the Strategy for MSMEs to Penetrate the Modern Retail Market” as part of the LPPOM 1446 H Syawal Festival. Specifically, the theme was raised to explore and understand more deeply the importance of innovative strategies for MSMEs in utilizing the modern retail market by presenting quality halal products.
The President Director of LPPOM, Muti Arintawati, said that as one of the institutions that has a role in halal certification in Indonesia, LPPOM is aware of the importance of the role of MSMEs in supporting Indonesia to become the world’s halal centre. This provides an excellent opportunity for MSMEs to become stronger and able to penetrate a broader market.
“As a Halal Inspection Body (LPH), we are committed to supporting MSMEs in competing not only in traditional markets but also in penetrating the modern retail market to the global level. MSMEs must be able to expand their market reach as part of an effort to support the government’s vision of making Indonesia the world’s halal centre,” said Muti.
He also emphasized that halal certification is not the end of a process but the beginning of a long journey because it is valid for life. Therefore, MSME actors need to understand that compliance with the Halal Product Assurance System (SJPH) must be maintained continuously.
On the same occasion, GM of Corporate Affairs and Event Management of PT. Lion Super Indo, Yuvlinda Susanta, said that in addition to halal certificates, MSME products must also have a distribution permit from the National Agency of Drug and Food Control (BPOM) and a Household Industry Food Production Certificate (SP-PIRT) issued by local government agencies.
“Super Indo is open to prospective suppliers, including MSME actors. The products offered must meet the applicable licensing standards in Indonesia, including halal certificates. In addition, the product safety aspect will be fostered by the Super Indo team and product offerings need to be adjusted to market needs. Quantity and quality standards will also be discussed further as part of the curation and cooperation process,” said Yuvlinda.
Meanwhile, the Assistant Director of the Department of Sharia Economics and Finance of Bank Indonesia, Genia Sagita, explained that Sharia finance’s increasing role, such as halal ecosystem activities from MSMEs, can support and improve the national economy.
“For MSMEs that require sharia financing, support will continue to be strengthened through optimization of services that are easily accessible to the public. This effort aims to increase access to financing, especially for MSME actors including the creative economy sector and Islamic boarding schools. This program is also supported by various initiatives such as business incubation, business matching, education forums, and business meetings, in order to encourage more inclusive and sustainable sharia economic growth,” explained Genia.
According to the National Halal Partnership LPPOM, Bin Abdillah explained the urgency of halal certification for MSMEs today, one of which is to increase Muslim consumer confidence in halal MSME products. Halal certification is not only a guarantee of compliance with Islamic law but also an added value in market competition.
“By having halal certification, MSME products are considered safer, more reliable, and have the potential to more easily penetrate the modern retail market and export markets that have high demand for halal products, avoiding the risk of product withdrawal from the market due to halal and food safety issues and improving the image and reputation of MSMEs as halal product producers,” explained Bin.
In this case, LPPOM also encourages government programs, of course, by helping every food and beverage business actor carry out the halal certification process, to ensure the availability of halal products for the community and to create a sense of security and comfort for Muslim consumers in Indonesia and the world.
LPPOM continues to be committed to providing benefits to the Indonesian people. One of the programs currently underway is the Syawal Festival. This program focuses on facilitating halal certification for Micro and Small Business (UMK) actors as a form of LPPOM’s commitment to continue supporting the government in increasing the number of products that have been halal certified in Indonesia, which are expected to be able to develop both nationally and globally.
This year, LPPOM is holding the Syawal Festival 1446 H with the theme “Strengthening Halal from Upstream through Halal Meat Grinding” with a series of activities, starting from facilitating free halal certification for meat grinding as well as halal socialization and education throughout Indonesia. (ZUL)