Indonesian Political, Business & Finance News

Mandatory Halal Certification in October, Self-Declare Scheme Urged to Be Supervised

| | Source: REPUBLIKA Translated from Indonesian | Regulation
Mandatory Halal Certification in October, Self-Declare Scheme Urged to Be Supervised
Image: REPUBLIKA

The enforcement of mandatory halal certification in October 2026 demands stricter supervision of the self-declare scheme, particularly for micro and small enterprise (MSE) products. The scheme is considered risky if it is not followed by periodic evaluation and inspection.

INDEF economist A Hakam Naja said self-declare allows business actors to declare the halal status of their products themselves using simple ingredients, accompanied by a Halal Product Process Facilitator (PPH), without undergoing an audit by a Halal Inspection Agency (LPH).

“The risks of certification based on self-declaration include assessor error (human error), dishonesty of business actors, and laxity without inspection and audit,” Hakam said in a statement on Friday (21/8/2026).

Therefore, Hakam urged periodic evaluation and checking of products that obtain certification through this route. Inspections can be carried out randomly to ensure the certification process remains credible and to increase public confidence.

Scrutiny of the supervision comes ahead of the implementation of mandatory halal certification for MSEs, certain other products, and imported products, which will take effect no later than 17 October 2026 based on Government Regulation Number 42 of 2024.

Hakam said certification readiness remains a challenge. “The reality on the ground is that only around 4 percent of business actors have halal-certified products,” he said.

According to Hakam, accelerating certification also needs to be supported by digitalisation so that the registration process, status tracking, and verification of certificate validity can be carried out more quickly and efficiently.

However, he noted that obstacles remain, including the digital literacy of MSE actors, complex bureaucracy, and the limited number of halal auditors. These issues are even more challenging for imported products and high-technology products such as pharmaceuticals, medical devices, biological products, and cosmetics.

Hakam said strengthening supervision and the certification ecosystem is important so that the halal obligation does not merely produce administrative compliance, but also maintains consumer trust in products on the market.

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