Halal Certification 2026: Consumer Shield or Mere Formality Label

Jakarta (ANTARA) - The mandatory halal certification policy in October 2026 represents a crucial phase in reforming Indonesia’s halal product assurance system. Through Government Regulation Number 42 of 2024 on the Implementation of Halal Product Assurance, Article 160 stipulates the phasing of halal certification obligations for food products, beverages, slaughter products, and slaughtering services: for medium and large enterprises until 17 October 2024, for micro and small enterprises until 17 October 2026, and imported products must comply by the same date. This phasing underscores that the state is not merely imposing obligations but managing a transition that is adaptive for all business actors. From a consumer protection perspective, this policy is not just an administrative requirement. It serves as a strategic instrument to guarantee consumers’ rights to accurate, clear, and honest information, as affirmed in Law Number 8 of 1999 on Consumer Protection, particularly Article 4 letter c and Article 8 paragraph (1) letter h. Thus, the halal label is no longer merely a symbol but a form of transparency with legal consequences. In this context, the Halal Product Assurance Organising Agency (BPJPH) acts as the primary guardian in ensuring standard certainty and business compliance. Halal certification has protective dimensions that extend beyond religious aspects. It functions as a mechanism to close information asymmetry gaps between producers and consumers. Without clear standards, consumers are vulnerable to manipulation of compositions, misleading claims, and health risks. Therefore, the mandatory halal policy must be positioned as part of a comprehensive consumer protection system—that not only protects but also builds market trust. In other words, halal does not stop at the label but becomes an instrument for shaping trust in the economic ecosystem. Product Transparency One of the main foundations of halal certification is product transparency. Consumers do not just buy goods but also the information attached to them—from composition and production processes to halal status. In this context, halal certification serves as a marker of credibility that bridges the information gap between producers and consumers. Without clear labelling, consumers are in a vulnerable position due to information asymmetry, where purchasing decisions are more based on assumptions than certainty. It is important to understand that not all products must be halal, but all products are required to provide information honestly and openly. The Halal Product Assurance Organising Agency emphasises that non-halal products can still circulate as long as they are accompanied by clear information. This principle aligns with Law Number 8 of 1999 on Consumer Protection, which guarantees consumers’ rights to accurate, clear, and non-misleading information. Thus, the halal policy places transparency as the primary principle, not merely a formality obligation. In practice, transparency not only protects consumers but also shapes market discipline. Business actors no longer have room to hide dubious ingredients or production processes. Instead, they are encouraged to improve product quality and integrity standards. At this point, transparency becomes the foundation of trust—and trust is the primary currency in the modern economy. A transparent market will strengthen legitimacy, while a closed market erodes public trust.