Indonesian Political, Business & Finance News

Halal Beyond Label: LPS Chair Calls for Integrated Ecosystem to Boost Sharia Economy

| | Source: REPUBLIKA Translated from Indonesian | Economy
Halal Beyond Label: LPS Chair Calls for Integrated Ecosystem to Boost Sharia Economy
Image: REPUBLIKA

The development of the halal industry in Indonesia must go beyond simply relying on certification and product labels. Anggito Abimanyu, Chairman of the Indonesia Deposit Insurance Corporation (LPS), stated that the concept of ‘halal beyond label’ needs to become a shared agenda to build a sustainable sharia economy.

Speaking in Jakarta on Wednesday, Abimanyu argued that halal should no longer be understood merely as fulfilling certification obligations, but must evolve into an ecosystem capable of creating economic value while protecting consumers. He highlighted that Indonesia possesses significant capital to develop this industry, including a large domestic market, creative business actors, and academic support.

To become a key global player, Abimanyu stressed the need to strengthen institutional governance and integrate the halal product assurance system. He specifically called for the reinforcement of the Halal Product Assurance Agency (BPJPH) as the primary regulator and policy coordinator, working in harmony with the Indonesian Ulema Council (MUI).

He also identified several challenges that require immediate attention, including bureaucratic processes, a shortage of halal auditors, and the need for inter-agency harmonisation. Furthermore, he encouraged the acceleration of downstream industries with high added value, such as pharmaceuticals, cosmetics, and food additives, supported by a digital compliance system for real-time supply chain tracking.

Abimanyo concluded that the collective goal is to ensure the growth of halal products does not become a paradox. Indonesia must protect halal consumers, promote halal as a lifestyle, and ensure that halal production becomes a profitable business rather than a cost burden for entrepreneurs.

View JSON | Print