A big step has been taken between Singapore and Indonesia to facilitate halal trade. The signing of a Memorandum of Understanding (MoU) on Thursday, August 8, implies that each countries will recognize one another’s halal certificates. This development will create greater opportunities for corporations to introduce their halal products to those two promising markets.
The cooperation agreement also paves the best way for each countries to share knowledge and experience in various elements of halal product development, including technology, human resources and research. This cooperation will likely be based on equality and mutual advantages in accordance with the regulations of every country.
The cooperation agreement was signed by the Director General of the Islamic Religious Council of Singapore (Muis), Kadir Maideen, and the Head of the Halal Products Quality Assurance Organisation Agency (BPJPH) in Indonesia, Muhammad Aqil Irham.
The signing of the agreement was witnessed by Singapore’s Minister for Muslim Affairs, Masagos Zulkifli, and Indonesian Ambassador to Singapore, Suryo Pratomo.
The Indonesian Embassy in Singapore announced on Facebook that the MoU will come into effect on October 17. The synergy between the halal authorities of Indonesia and Singapore is critical as each countries have an extended history of cooperation in various areas, including trade in products, and are members of MABIMS (Brunei, Indonesia, Malaysia and Singapore Ministry of Religion).
Indonesia
Since the vast majority of Indonesia’s population is Muslim, halal certification is mandatory for food, beverages, medicines, cosmetics and other products consumed or utilized by Muslims.
The basic legal basis for ensuring the standard of halal products in Indonesia is the Halal Quality Assurance Act No. 33 of 2014. In addition, Government Regulation No. 39 of 2021 provides more detailed explanations on the implementation of this Act.
The foremost purpose of halal certification is to make sure that products consumed or utilized by Muslims meet halal requirements based on Islamic law.
The government agency liable for overseeing the standard assurance of halal products in Indonesia is the Halal Product Assurance Organizing Agency (BPJPH), while the bodies designated by BPJPH to conduct halal inspection and certification are often known as Halal Inspection Agencies (LPH). A widely known example of LPH is LPPOM MUI.
Singapore
The Islamic Religious Council of Singapore (MUIS) is the only real authority liable for issuing halal certificates within the country. Since 1978, the MUIS halal certificate has gained global recognition and trust.
Singapore also has bilateral halal certification agreements with several Muslim-majority countries, including Indonesia, Saudi Arabia, the United Arab Emirates, Jordan and Morocco.
As in Indonesia, the foremost purpose of halal certification in Singapore is to make sure that products consumed by Muslims within the country are truly halal and in accordance with Islamic law. This provides Muslim consumers with an assurance of quality and safety.
Ranking seventh on the Global Islamic Economy Indicator and one of the vital Muslim-friendly destinations amongst non-Muslim countries, Singapore is a big player within the growing global halal industry. Its strategic location and advanced logistics infrastructure make it a great hub for halal production, trade and re-export, as evidenced by the globally recognized MUIS halal certification.
