Indonesian Political, Business & Finance News

Ministry of Hajj and Umrah Targets National Products to Enter Hajj Supply Chain

| | Source: MEDIA_INDONESIA Translated from Indonesian | Economy
Ministry of Hajj and Umrah Targets National Products to Enter Hajj Supply Chain
Image: MEDIA_INDONESIA

The Ministry of Hajj and Umrah (Kemenhaj) is continuing to push for the development of the Hajj and Umrah economic ecosystem to ensure more national products and businesses are involved in the sector, which has an annual economic potential of up to IDR 194 trillion. Director of Partnership Facilitation for Hajj and Umrah Economic Ecosystem Development, Tri Hidayatno, stated that strengthening this ecosystem is a crucial step to expanding the economic benefits of organising the pilgrimages for the Indonesian people. “The economic potential of Hajj and Umrah is a strategic opportunity that must be optimised together. Through integrated ecosystem development, we want to ensure that more Indonesian products, services, and businesses become part of the Hajj and Umrah value chain so that the economic benefits can be felt more widely by the community,” Tri said in a statement on Thursday (25/6). According to Tri, the development of the Hajj and Umrah economic ecosystem cannot be done partially. Synergy is required between regulators, investment managers, international partners, and business actors so that the economic opportunities arising from the organisation of the pilgrimages can be maximised. He added that this effort aligns with several government strategic programmes, including the plan to develop a ‘Kampung Haji’ (Hajj Village), which is expected to strengthen the involvement of the national business sector. Regarding the ecosystem development, increasing the use of domestic food products to meet the needs of Indonesian pilgrims in Saudi Arabia is a primary concern. Commodities such as premium rice and fishery products are considered to have significant prospects for entering the pilgrims’ consumption supply chain. A representative from the Coordinating Ministry for Food, Yosi, assessed that the high demand for premium rice in Saudi Arabia could be a promising export opportunity for Indonesia. “The need for premium rice in Saudi Arabia is an opportunity that must be utilised optimally. With strong collaboration and investment support, Indonesian food products have the opportunity to become part of the Hajj and Umrah supply chain sustainably,” he explained. In addition to the food sector, stakeholders also discussed the development of a Bonded Logistics Centre (PLB) to strengthen the distribution and supply chain for pilgrims’ needs, both in Indonesia and Saudi Arabia. Various other aspects were also addressed, ranging from improving food safety standards, strengthening investment, and partnerships with MSMEs, to the management of Hajj DAM. As a follow-up, all parties involved agreed to strengthen cross-sector coordination, expand cooperation with partners in Saudi Arabia, and accelerate the formulation of mechanisms and a roadmap for the sustainable development of the Hajj and Umrah economic ecosystem. Through these various measures, Kemenhaj hopes that the participation of national products and business actors in the Hajj and Umrah supply chain will increase, thereby providing greater added value for the Indonesian economy.

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