DIGITALISING HALAL CERTIFICATION: The Dynamic of Regulations and Policies Concerning Halal Certification in Indonesia

Abstract

The global halal product market is proliferating, fuelling increased demand for quality halal products. To fulfil halal certification requirements, Micro, Small and Medium Enterprises (MSMEs) in East Java Province, Indonesia face challenges in the certification process which is manual, time-consuming and inefficient. To overcome these problems, this study aims to explore the urgency of digitalising halal certification for optimal impact on improving the quality of halal products for MSMEs in East Java. This research employed a qualitative method with a literature and conceptual juridical approach. This research used primary and secondary data, namely BPJPH data, the Office of Cooperatives and SMEs of East Java Province. The results of this study indicate that government regulations and policies related to halal certification provide legal certainty for digital transformation in the implementation of halal certification in East Java Province. Although the achievements of MSMEs in East Java Province are low compared to those of other provinces, the digitalisation of halal certification can effectively help the MSMEs in East Java Province to reduce costs, expedite halal certification processing time, and increase compliance with halal requirements so that acceleration and increase in the number of halal certifications for MSMEs can take place properly.