A New Phase in the Implementation of Halal Product Assurance in Government Regulation No. 42 of 2024
Authors
Overview
The Indonesian government has enacted Government Regulation No. 42 of 2024 on Halal Product Assurance (“GR 42/2024”), effective from 17 October 2024. This regulation mandates that all products entering, circulating, and being sold in Indonesia must be halal-certified. Importantly, it incorporates an extended timeline that particularly benefits Micro and Small Enterprises (“MSE”), allowing them until 2026 to obtain halal certification.
GR 42/2024 specifies that halal certification applies to various types of products including food, beverages, medicine, cosmetics, chemical products, biological products, genetically engineered products, and customer goods worn, used, or utilized by the public (“Products”).[1] This requirement applies to both goods and services in these categories, especially those containing or derived from animal sources, except for products made and/or derived from non-halal materials.[2]
The halal certificate will be issued by the Halal Product Assurance Agency (Badan Penyelenggara Jaminan Produk Halal – “BPJPH”) based on a written halal fatwa from the Indonesian Ulema Council (Majelis Ulama Indonesia – “MUI”), Provincial MUI, Regency/City MUI, the Aceh Ulema Consultative Assembly, or the Halal Product Fatwa Committee. In carrying out its duty to implement halal product assurance, BPJPH is accountable to the Minister of Religious Affairs (“MoRA”).
Essentially, GR 42/2024 also regulates halal inspection agencies, auditors, and other relevant parties. However, in this ARMA Update, the discussion will be limited to the scope of implications and procedures for submitting the licensing application of halal Products for business operators.
Types of Products Required to be Halal-Certified
Under GR 42/2024, Products that must be halal-certified includes:
- Goods, consisting of:[3] food, beverages, medicines, cosmetics, chemical products, biological products, genetically engineered products and consumer goods that are worn, used, or utilized. This category applies only to goods derived from and/or containing animal elements.[4]
- Services, including business services related to:[5] slaughtering, processing, storage, packaging, distribution, sale and/or serving. The services referred to in GR 42/2024 are limited to those related to food, beverages, medicine, or cosmetics only.[6]
A halal certificate will be issued for Products derived from halal materials that comply with the Halal Product Process (Proses Produk Halal – “PPH”).[7]
Location, Facilities, and Equipment for PPH
The facilities, equipment and locations used for PPH must be kept separate from those used for non-halal processes. The key requirements for PPH locations, facilities, and equipment include:[8]
- Maintaining cleanliness and hygiene,
- Ensuring freedom from impurities, and
- Keeping materials free from non-halal substances.
In particular, the regulation mandates that slaughtering areas for halal and non-halal products must be distinct. Additionally, facilities and equipment used for the PPH—including slaughtering, processing, storage, packaging, distribution, sale, and serving—must be separated from non-halal operations.
Obligations of Business Operators
Business operators applying for halal certification are required to:[9]
- Provide accurate, transparent, and honest information;
- Separate the locations, facilities, and equipment used for halal and non-halal Products processes, including: slaughtering, processing, storage, packaging, distribution, sale, and serving;
- Appoint a person responsible for overseeing the PPH; and
- Report any changes in the composition of ingredients used to create or produce the Products (“Ingredients”) to BPJPH.
Once halal certification is obtained, business operators are required to:[10]
a. Display the halal label on certified Products;
b. Maintain the halal integrity of Products with halal certification;
c. Continue to separate the locations, facilities, and equipment for halal and non-halal processes;
d. Renew the halal certification if there are changes in the composition of Ingredients and/or the PPH; and
e. Report any changes in the composition of Ingredients and/or the PPH to BPJPH.
Halal Certification Deadlines by Business Scale and Product Category
GR 42/2024 sets specific deadlines for different product categories. For example, all medium and large enterprises must have halal certification by 17 October 2024, while MSEs have until 17 October 2026. Imported products’ deadlines will be set by the MoRA:
|
Business Scale |
Deadline [11] |
|---|---|
|
Medium and Large Enterprises |
17 October 2024 |
|
Micro and Small Enterprises |
17 October 2026 |
|
Foreign Products/Services |
To be determined by the Minister of Religious Affairs |
Otherwise, for non-food and beverage products, the deadlines are:
|
Categories |
Halal Certification Period [12] |
|---|---|
|
Health supplements and traditional medicine |
17 October 2021 – 17 October 2026 |
|
Over the counter medicine |
17 October 2021 – 17 October 2029 |
|
Drugs excluding psychotropics |
17 October 2021 – 17 October 2034 |
|
Cosmetics, generally modified products, chemical products |
17 October 2021 – 17 October 2026 |
|
Clothing, headgear |
17 October 2021 – 17 October 2026 |
|
Household health supplies, office supplies, household appliances |
17 October 2021 – 17 October 2026 |
|
Medical devices classified as risk class A |
17 October 2021 – 17 October 2026 |
|
Medical devices classified as risk class B |
17 October 2021 – 17 October 2029 |
|
Medical devices classified as risk class C |
17 October 2021 – 17 October 2034 |
Sanctions
Any violation committed by business operators regarding the implementation of halal product assurance will be subject to administrative sanctions in the form of: [13] (i) a written warning; (ii) administrative fines; (iii) revocation of halal certification; and/or (iv) withdrawal of products from circulation.
Article 1 point 2 of GR 42/2024. ↩︎
Article 2 (1) of GR 42/2024. ↩︎
Article155 (2) of GR 42/2024. ↩︎
Article 158 (1) of GR 42/2024. ↩︎
Article 155 (3) of GR 42/2024. ↩︎
Article 157 of GR 42/2024. ↩︎
Article 3 of GR 42/2024. ↩︎
Article 6 (2) of GR 42/2024. ↩︎
Article 50 of GR 42/2024. ↩︎
Article 51 of GR 42/2024. ↩︎
Article 160 (1) to (3) of GR 42/2024. ↩︎
Article 161 (1) letter (a) to (i) of GR 42/2024. ↩︎
Article 170 (2) of GR 42/2024. ↩︎
Disclaimer:
This client update is the property of ARMA Law and intended for providing general information and should not be treated as legal advice, nor shall it be relied upon by any party for any circumstance. ARMA Law has no intention to provide a specific legal advice with regard to this client update.
Related Updates
Latest Updates
