New Indonesian halal law seen disrupting business, hurting SMEs

Jakarta

ABOUT 20km from the centre of Jakarta, on the last stop of one of the main bus routes into town, sits a modest three-story building. A circular driveway arcs around a disused fishpond resembling the approach to a tired local government building.

Instead, this is the unlikely location of the headquarters for the Halal Product Certification Agency (BPJPH) - the nerve centre for one of the biggest regulatory changes Indonesia has seen. Starting in 2019 all food, drink, textiles, even pharmaceuticals will need to be certified whether they comply with Islamic law.