THE CONTRIBUTION OF HALAL PRODUCT CERTIFICATION TO STRENGTHENING MICRO, SMALL, AND MEDIUM ENTERPRISES WITHIN SOCIETY

Abstract

With the enactment of Law No. 11/2020 concerning job creation, which amends some articles in Law No. 33/2014 concerning guaranteed halal products, micro, small, and medium enterprises (MSMEs) received a boost through the provision of halal certificates, which led to social support from local consumers in Indonesia. This research aimed to study the contribution of halal product certification in strengthening micro, small, and medium enterprises. From the perspective of the law considering the sociological aspect of business promotion, the authors examined the regulation of halal product certification for MSMEs and analyzed how the supervision of MSMEs impacts and hence influences consumers in society. The method used is a normative legal descriptive-analytical research and qualitative analysis of the regulation regarding halal products concerning MSMEs. It established that the provision of a halal certificate based on self-declaration in Law No. 11/2020 is not under Law No. 33/2014, which requires inspection and testing of products before businesses obtain a halal certificate. Supervision of the ‘halalness’ of MSME products regulated in Article 103 of Government Regulations no. 39/2021 is ineffective because it is only periodical with time uncertainties. This study concluded the inefficiency in supervising halal products produced by most MSMEs. A need exists for effective and sustainable ways of determining halal products to boost community support for most MSMEs in the country. Keywords: Halal Products, Halal Certification, Halalness, MSMEs, Indonesia DOI： https://doi.org/10.35741/issn.0258-2724.58.2.27