START NOW – Obtaining halal certificate for MSME is important to ensure a company has fulfilled sharia standards. That means its products are save, especially for Muslim consumers.

Furthermore, the halal certificate for MSME can also increase customer confidence, expand market share, and improve competitiveness domestically and internationally.

Why is Halal Certificate for MSME Important?

Halal certificate for MSMEs is not just a matter of compliance with Islamic law. This also relates to the safety and hygiene aspects of the product.

Halal-certified products are considered more hygienic and safe because they go through a strict and supervised production process. 

Consumers in Indonesia, who are predominantly Muslim, tend to prefer products that already have a halal label. 

This is also the case with other Muslim countries such as Malaysia, Saudi Arabia, and the Middle East.

Therefore, It is important for MSMEs to have halal certificates in order to reach domestic and international markets.

Steps to Obtain Halal Certificate for MSMEs

To obtain a halal certificate, MSMEs must go through several stages as follows: 

Initial Preparation and Understanding of Regulations

First of all, you need to know the regulations and requirements for obtaining a halal certificate. That way, you can prepare everything accordingly. 

In Indonesia, the institution that regulates halal certification affairs is the Halal Product Guarantee Agency or BPJPH.

In practice, this institution also colaborate with the Halal Examining Agency (LPH) and the Indonesian Ulema Council (MUI). 

Based on BPJPH provisions, MSMEs must ensure that all materials and production processes do not involve haram or unclean materials. 

You also need to prepare some documents, such as a list of raw materials, supplier information, and production procedures.

Registering through BPJPH

After meeting all of the requiments, you can register through BPJPH. Currently, you can do it online through the Halal Information System or SIHALAL. 

At this stage, you have to fill out a registration form, upload the required documents, and pay the registration fee.

The cost of obtaining a halal certificate varies depending on the type of business and scale of production. 

MSMEs generally will receive subsidies or special rates from the government to facilitate this process. 

Inspection by Halal Examining Agency (LPH)

Next, BPJPH will appoint LPH or Halal Examining Agency to conduct an audit to check the product’s eligibility. 

The process involves direct inspection of the production site, verification of raw materials, and analysis of the product manufacturing process. 

The LPH auditor team will ensure that there are no ingredients or processes that violate sharia provisions.

In addition, they will also ensure that the production facility complies with established hygiene and safety standards. 

If the auditor find some violations or non-conformities, they will give the MSMEs will some time to correct it. 

After the audit is complete, LPH will provide a report on the results of the examination to BPJPH.

Review of Halal Fatwa by MUI

The LPH audit report will be sent to MUI for halal fatwa review. Then, the MUI will decide whether MSME products deserve a halal certificate. 

This process involves in-depth study about the product, as well as a review in terms of Islamic law.

If the MUI declare that the product is qualified, then BPJPH will continue the process of issuing a halal certificate. 

However, if it is declared unqualified, you have to do some improvement first then re-apply again in the future.

Halal Certificate Issuance

After the fatwa assessment process is complete and the product is declared halal, BPJPH will issue an official halal certificate. 

This certificate valid for four years and must be renewed before it expires (through the similar process). 

After receiving the certificate, MSMEs must maintain consistency in using materials and production processes that comply with halal standards.

It is because the LPH will conduct periodic audits during the validity period of the halal certificate. 

Their aim is to ensure that there are no changes that could affect the halal status of the product.

If they find any violations during the monitoring period, then the halal certificate can be revoked immediately.

Therefore, as an owner of a MSME, you must always maintain the quality and consistency of your products. 

If there is any significant changes in the production process or materials, you should report it immediately. 

Tips to Speed Up the Process to Obtain Halal Certificate for MSMEs

There are several tips to speed up the process of obtaining a halal certificate for MSMEs, namely:

Prepare documents from the start

Make sure all documents, including a list of raw materials, suppliers, and production SOPs, are ready before applying.

That way, the process can run smoothly right away. You also don’t have to go back and forth to complete the missing requirements.

Conduct internal training

Train all employees on halal standards, from the selection of raw materials to the production process. That way, they will be better prepared for the audit process.

Use technology

Utilize digital systems to monitor the production process and ensure that all stages are in compliance with halal standards.

Consultation with experts

If you are confused, consult a consultant or institution that is experienced in the field of halal certification.

Frequent Obstacles to Obtain Halal Certificate for MSMEs

During the process to obtain a halal certificate for MSMEs, you may face some obstacles, among others: 

High certification fee

Although the government provides subsidies, some MSMEs may still feel that the cost of certification is quite high. 

You need to budget these costs carefully so as not to burden the company’s finances.

Lack of understanding

Many MSME owners do not understand the procedures and requirements for halal certification. So, it may take longer for them to finish the process. 

Limited resources

MSMEs with limited resources may experience difficulties in preparing documents and meeting audit requirements.To overcome these obstacles, MSMEs can seek support from various parties. 

This support can come from the government, business associations, or institutions that provide assistance in the halal certification process.

By following the right steps, MSMEs can prepare documents and production processes properly. This allows them to obtain halal certificates more quickly and efficiently.

So, if you’re an MSME owner looking to get a halal certificate, make sure you understand every step required. 

If you need some assistant in order to get halal certificate for MSME, do not hesitate to contact Start Now.