- The Minister of Religious Affairs has issued Regulation No. 20 of 2021 ("Regulation 20/2021") on Halal Certification for Micro- and Small-Scale Enterprises (“Enterprises”). This new regulation states that all products of micro- and small-scale enterprises must be certified as halal.
- Said certification will be conducted on the basis of statements that are made by Enterprises and will be implemented based on halal standards determined by the Halal Product Guarantee Agency (Badan Penyelenggara Jaminan Produk Halal – "BPJPH"). Said standards encompass the following: 1) Statements in the form of contracts (akad) or pledges (ikrar), which should address the halal status of products and the relevant materials used, as well as the halal product process (proses produk halal – "PPH"); and 2) Availability of PPH guidance (pendampingan).
- Said statements must be submitted to BPJPH to be further forwarded to the Indonesian Ulema Council (Majelis Ulama Indonesia – "MUI"). The MUI will hold a halal fatwa session in order to designate products as halal (kehalalan produk). Upon the results of such a session being released, the BPJPH will issue halal certificates for the relevant products.
- Applications for halal certification that are submitted by Enterprises should be processed free of charge if said Enterprises fulfill the following criteria, among others: 1) Have not secured any facilitation/funding in relation to halal certification; 2) Have been in active production for at least three years, as proven through a valid business license number; and 3) Are producers of products and not sellers.
- Regulation 20/2021 has been in force since 14 September 2021.
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