DAFF - MAA 2024-28: Milk and Milk Products: Indonesia: Halal Law Implementation

Monday, July 22, 2024

Date of issue: 22 July 2024

Date of effect: 22 July 2024

Reference Number: MAA2024-28

Attention

  • Industries—Industry bodies – Dairy Australia – Infant Nutrition Council, Dairy Export Industry Consultative Committee, Australian Food and Grocery Council
  • Dairy Export establishments
  • Department of Agriculture, Fisheries and Forestry — Central and Regional offices

Purpose

This Market Access Advice (MAA) provides information on the implementation of Indonesian Law 33/2014 regarding Halal Product Assurance (the Halal Law).

Summary of key points

Indonesian Law 33/2014 regarding Halal Product Assurance (the Halal Law) entered into force on 17 October 2019 with a five to fifteen year phased implementation period. Agri-food and beverage sectors are impacted by the first phase, with enforcement scheduled for 17 October 2024. The Halal Law imposes new requirements for all goods exported to Indonesia, including non-halal goods, and impacts services associated with exports including transport and labelling.

The Australian Government is working closely with Indonesia to understand the impacts of the Halal Law and seek further information regarding its implementation. The Department of Agriculture, Fisheries and Forestry (the department) will continue to update industry on new requirements when more information becomes available.

Australian halal certifying body accreditation with Indonesia

Currently, the department understands certifiers accredited under the previous Indonesian Council of Ulama (MUI) system can continue to certify products for export until implementation of the Halal Law on 17 October 2024.

Approval and accreditation by the new Indonesian Halal Product Assurance Organising Body (BPJPH) is required by Halal Certifying Bodies (HCBs) seeking to certify halal food and beverage products following implementation of the Halal Law.

In July 2023, BPJPH audited eight HCBs as part of the accreditation process required under the Halal Law. In April 2024, they conducted a second tranche of audits for two HCBs who were seeking accreditation. BPJPH has accredited the first tranche of HCBs and publicly listed products they are eligible to certify on their website.

A further eight Australian HCBs located in New South Wales, Victoria and Western Australia are awaiting onsite audit by BPJPH prior to progression of their applications. The department understands BPJPH intend to conduct on-site audits of the remaining eight Australian HCBs seeking accreditation prior to implementation of the Halal Law in October 2024. The department is continuing to engage with BPJPH for additional information regarding the proposed audits, including seeking confirmation of dates.

In addition to onsite audits, Australian halal certifiers are also expected to negotiate Mutual Recognition Agreements (MRAs) with BPJPH prior to accreditation under the Halal Law. The department understands BPJPH intend to conduct an additional collective MRA signing with HCBs prior to October 2024.

Finally, it is understood that BPJPH and Indonesian halal regulations endorse a halal certification process that is managed by halal agencies within the country of their jurisdiction. These regulations do not include the requirement for state-based certification, which was previously enforced under MUI. This means that Australian HCBs accredited by BPJPH can certify products within the scope of their approval within any state/territory in Australia.

Online registration portal

The department is aware that under the Halal Law foreign halal certificates are required to be registered with BPJPH's new online portal. BPJPH have announced on their website that the foreign halal registration portal went live on 15 July 2024.

New halal labelling requirements

The Halal Law requires mandatory halal certification and labelling of halal and non-halal status for all goods exported to Indonesia and related services associated with exports. The department continues to seek further information from Indonesia regarding new labelling requirements and the impacts on Australian exporters.

The Australian Government is continuing to work collaboratively with BPJPH to negotiate and progress a mutually agreeable arrangement on halal certification matters. The department, in collaboration with the Department for Foreign Affairs and Trade (DFAT), hosted a webinar in March 2024 to discuss the implementation of Indonesia's Halal Law. Further information on this, including a recording of the webinar, is available on the DFAT webpage dedicated to the Indonesian Halal Law.

The department, in conjunction with DFAT, are working to host a webinar with BPJPH to discuss the implementation of Indonesia's Halal Law on Thursday 25 July 2024, 4:00-5:00pm (AEST). Registrations for the webinar are now open.

Micor

The Manual of Importing Country Requirements (Micor) will be updated to reflect this market access advice. The department encourages users of Micor to subscribe to the Micor update service for a commodity-specific email that lists changes that have been made the preceding week.

The department encourages all exporters to continue to work with their importers to ensure that product meeting the current importing country requirements.

Further information

Contact exportstandards@aff.gov.au if you have any queries.