What Is Halal Certification?
The benefits of halal certification extend beyond the label on food, beverage, or cosmetic products. This certification is official proof from the Halal Product Assurance Agency (BPJPH) that a product meets halal standards according to Islamic law and is safe for consumption.
In Indonesia, Act No. 33 of 2014 concerning Halal Product Assurance (UU JPH) stipulates that all food, beverages, pharmaceuticals, cosmetics, and consumer goods must be certified as halal.
For MSMEs, halal certification presents a significant opportunity to enhance competitiveness, expand market reach, and provide consumers with a sense of security and trust.
10 Benefits of Halal Certification
1. Increased Consumer Trust
Consumers, especially Muslims, will have more trust in products with an official halal label. This is a key factor in purchasing decisions.
2. Opening Global Market Access
The global halal market is estimated to be worth over USD 7 trillion (State of the Global Islamic Economy Report 2023). Products with halal certification are more easily accessible to Malaysia, the Middle East, Europe, and even the Americas.
3. Increasing the Competitiveness of MSMEs
Products with halal certification have added value compared to competitors. MSMEs can move up a class and compete with major brands.
4. Supporting Product Branding
The halal logo is a symbol of brand trust and authenticity. Consumers perceive products as cleaner, safer, and more secure.
5. Complying with Government Regulations
Regular halal certification is now a legal requirement, not only for food but also for cosmetics, medicines, and consumer goods.
6. Ensuring Product Cleanliness & Safety
The halal certification process requires businesses to implement hygiene standards that encompass not only ingredients and production equipment but also distribution.
7. Opening Investment & Collaboration Opportunities
Investors tend to have more trust in businesses that have a clear legal standing, including those with halal certification.
8. Increase Consumer Loyalty
Not only Muslims, but many non-Muslim consumers also choose halal products because they are considered more hygienic.
9. Provide Added Economic Value
Halal products can be sold at a premium price because they meet quality standards and are legally certified.
10. Support Indonesia’s Vision as a Global Halal Center
The government aims for Indonesia to become a global hub for the halal industry by 2025. MSMEs play a significant role in making this happen.
Halal Certification Process
The following are the steps in the halal certification process in Indonesia:
| Stage | Explanation |
| 1. Registration | Businesses register with BPJPH (Halal Product Assurance Agency) through the OSS/SiHalal system |
| 2. Document Inspection | Inspection of raw materials, supplies, and production processes. |
| 3. Audit | The Halal Inspection Body (LPH) conducts an audit of the production site |
| 4. Determination of Fatwa | MUI determines the halal status of the product |
| 5. Certificate Issuance | BPJPH issues a regular halal certificate valid for four years |
Choose LPPOM (formerly LPPOM MUI), the No. 1 Halal Certification Agency in Indonesia, trusted by thousands of local and global businesses.
Halal Certification Costs for MSMEs
Halal certification costs vary depending on the business’s scale and the complexity of the application process.
For MSMEs, the government offers the Free Halal Certification (SEHATI) program as an opportunity for the public to benefit from halal certification. However, for non-MSME businesses, the following are the estimated costs:
| Business Scale | Regular Halal Certification Cost |
| MSMEs | IDR 0 – IDR 2,500,000 (can be free through government programs) |
| Medium Businesses | IDR 5,000,000 – IDR 12,000,000 |
| Large Businesses | IDR 15,000,000 – IDR 25,000,000 |
The estimated cost of halal certification in 2023 can be found at: https://bpjph.halal.go.id/kalkulator-biaya-sh/
(Official reference for BPJPH halal certification costs)
How to Check Halal Certification
You can easily check a product’s halal certification:
- Go to the website ptsp.halal.go.id
- Search by product name or certificate number
- Check the MUI Halal website: https://www.halalmui.org
Goals & Benefits of Halal Certification
- Protect Muslim consumers
- Guarantee safe, hygienic, and sharia-compliant products
- Grow the national halal economy
- Increase the competitiveness of MSMEs in the global market
FAQ: Benefits of Halal Certification
What is regular halal certification?
Regular halal certification is a paid halal certification pathway valid for four years, according to BPJPH regulations.
Are all products required to have halal certification?
Yes. Starting in 2024, food and beverages will be required to be halal. Subsequently, cosmetics, medicines, and other products will gradually become mandatory.
How do I check the halal certification of the products I purchase?
Use the official BPJPH website or the MUI Halal app to check.
Is halal certification only for food MSMEs?
No. Halal certification applies to a wide range of products, including food, beverages, cosmetics, medicines, and consumer goods.
Conclusion: Benefits of Halal Certification
The benefits of halal certification are crucial for both MSMEs and large businesses. Besides boosting consumer trust, halal certification also opens up export opportunities, supports branding, and provides added economic value.
By understanding the benefits of halal certification and following the official process through a Halal Certification Agency, businesses can comply with government regulations and expand their market.
Don’t delay! Apply for regular halal certification now to gain consumer trust and prepare your products for global market penetration.
