"Saksikan tayangan kami Official Youtube IDX Channel di Program Market Review, Senin (23/12/2024) dengan Tema Perdagangan Produk Halal RI Tembus Rp871 Triliun"
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00:31The Ministry of Trade recorded the total value of Indonesian halal trading
00:38in the January-October period of 2024
00:41reached US$53.735 billion, or Rp 871.63 trillion.
00:50Director-General of National Export Development,
00:52Minister of Trade Mardiana Listiawati said
00:56the trading value increased by 0.58%
01:01compared to the same period in 2023
01:04which reached US$53.427 billion.
01:09It was reported that there were 5 main countries
01:12to export Indonesian halal products
01:14in the January-October period of 2024
01:17which are the United States, China, India, Pakistan, and Malaysia.
01:23Meanwhile, in the January-October period of 2024,
01:28the total trading value recorded was US$53.735 billion.
01:36This increased by 0.58%
01:40compared to the same period in 2023
01:44which reached US$53.427 billion.
01:53Furthermore, the trading value of halal products
01:56in the 2019-2023 period
02:00showed a trend of 10.95%.
02:05In addition to increasing the trading value of Indonesian halal products,
02:09the Ministry of Trade has three priority programs,
02:13namely the development of domestic markets,
02:15the expansion of export markets,
02:17and the promotion of innovation in small and medium-sized micro-business products.
02:23From Jakarta, IDX Channel.
02:30To discuss our topic this time,
02:32the trading value of Indonesian halal products reached US$871 trillion.
02:37We have connected via Zoom with Mrs. Herma Watis Diorini.
02:41She is the Chairperson of the Indonesian MSME.
02:44Hello Mrs. Herma, how are you?
02:48I'm fine, thank you.
02:50Thank you for your time.
02:52And we are joined by Mr. Abdel Aliasar,
02:55who is an economic observer in the halal global industry
02:58and a senior partner of Dinar Standar.
03:01Hello Mr. Abdel, how are you?
03:03Alhamdulillah, good afternoon, Mr. Prasetyo.
03:07Thank you for your time.
03:10Before we discuss further, Mr. Abdel,
03:12we will review the global trading of halal products.
03:18Please.
03:19Thank you, Mr. Prasetyo and viewers.
03:23If we look at the growth of the trading of halal products in the world,
03:27in 2023 and 2024,
03:32there is actually a slight decline.
03:35But especially for Indonesia, we see that the growth opportunities are quite large.
03:39But globally, there is a slight decline
03:42due to the crisis in Ukraine
03:46and the effects of the Middle East on world trade.
03:51However, in the long run,
03:55we see very positive growth.
03:58The growth trend, especially after the COVID pandemic,
04:02shows that halal products are increasingly popularized by the world.
04:07And it's easier for us to find halal products all over the world.
04:11In the past, maybe to come to European countries, America,
04:15and also some other Asian countries,
04:19halal certified products were quite difficult to find.
04:23But now it's very easy.
04:25So the growth trend is very large.
04:28And it shows opportunities for Indonesia
04:31to fill the gaps
04:34that exist alongside the Indonesian market itself,
04:37which continues to grow.
04:40Okay, Mr. Avdol.
04:41If we talk about the potential of Indonesian halal products in the global market,
04:45what is it like, Mr. Avdol?
04:46If you can see, based on the real conditions you mentioned earlier.
04:51We estimate that more than 2 billion Muslims in the world
04:55will consume halal products more than US$2 trillion every year.
05:01This growth is a very large economic figure.
05:04It's a pity that Indonesia missed this opportunity, of course.
05:10Indonesia itself has already appeared as a producer of halal products that is quite capable.
05:15We already have products.
05:17And it's true that Indonesia is a big market.
05:21Many global companies are aiming to open their manufacturers in Indonesia.
05:27But we hope that this is not only for them to create an industry
05:33and then market it in the country,
05:35but we can also dominate global trade, of course.
05:40Okay, okay.
05:41Mrs. Herma, what do you think?
05:42The Minister mentioned the conditions earlier.
05:44How are Indonesian halal products in the domestic market?
05:48Then what is your potential or your review
05:52related to the trade of Indonesian halal products in the domestic market?
05:56If you look at what the government has said,
06:00I think the increase in trade is actually very small.
06:06With the number of MSMEs in Indonesia,
06:09it's only an increase of less than 1%.
06:14As far as I know,
06:18if I go to the nearest country like Singapore or Malaysia,
06:24Singapore is dominated by Malaysian halal products.
06:29I don't know if Malaysian products are imported from Indonesia.
06:32But as far as I know,
06:35there are also small and medium-sized business actors
06:43who are rare for MSMEs.
06:46Actually, this is a chance for the government to attract MSMEs
06:51so that they can enter the global market.
06:54However, the government has to enforce the SDF
06:57with ease.
06:59The obstacle is the high cost of export itself.
07:05The government is lacking in MSMEs.
07:12That's what I think.
07:13Okay, but with some challenges that you have reached
07:16from the ability of MSMEs
07:19to produce halal products that can reach the international market,
07:25and the high cost of export,
07:28how is it?
07:29Does it make it difficult for them to do export activities
07:33even though the value of IDR 871 trillion you mentioned
07:36is still relatively small, Mrs. Herma?
07:38Actually, if you look at the field,
07:41MSMEs, especially MSMEs,
07:44have good products.
07:47Almost the majority of them already understand the benefits of halal certification.
07:53Only for the price issue,
07:55again, the main problem is the price competition
07:59that cannot be competed,
08:01especially in our domestic market.
08:04Because many imported products that enter Indonesia
08:07are the same as the products in Indonesia.
08:10And it also includes, for example, food, drinks,
08:14fashion, cosmetics,
08:17there are also products that are cheaper.
08:20That is one of the difficulties of MSMEs
08:23is the price competition.
08:26But if the quality of the product is not inferior to the MSMEs in Indonesia,
08:31with high costs for export,
08:35because there are costs that must be paid
08:38with strict requirements.
08:41The government must be present, for example,
08:44with easy access to imports,
08:47by adding the quality of the MSMEs themselves,
08:52educated about export issues.
08:55There are a lot of export-import education
08:58that MSMEs do not understand yet.
09:00That's actually the problem in Lapaman.
09:03Mr. Afdal, do you see how the problem is quite fundamental,
09:07quite classic if we talk about the MSME sector in Indonesia
09:10to be able to have even higher competitiveness
09:13if we want to compete a lot in the foreign market
09:17for MSME products, especially Halal.
09:20Yes, if we talk about MSMEs,
09:23the main issue we see is the size of production.
09:29If we talk about export,
09:31of course, export cannot be small.
09:34Minimally, we send it in the form of one container.
09:37This is our MSMEs to be able to meet the size
09:40in a large amount,
09:43so that later the cost will be economical.
09:45It needs a challenge.
09:47And this is actually the basic problem in our own fundamentals.
09:52How can we do the hillarization of products
09:56that are indeed from Indonesia.
09:59So we often see that
10:01many traders who come from the global market
10:06come to Indonesia.
10:08They prefer to buy raw materials products.
10:11So if we look at it, they target coffee, cocoa, pepper,
10:16the offspring of agricultural products,
10:18and raw materials products,
10:20including raw seafood.
10:22This is what they target.
10:24Meanwhile, they do not produce in Indonesia.
10:28They may send more to Thailand,
10:31to Malaysia, even to Singapore.
10:34The production is processed there.
10:36This is actually a very big opportunity
10:38for the government to promote industrialization
10:42and also to participate.
10:44MSMEs are involved in the industrialization process.
10:47So we don't just release it to large corporations
10:50to industrialize halal products,
10:52but how can our MSMEs
10:54participate in the supply chain,
10:56supply the products that they can produce.
11:00So this is a contribution.
11:04We have to work together
11:06to grow the halal economy in the future.
11:08That's it.
11:09And Indonesia is one of the largest countries
11:11with the largest population in the world,
11:13especially for Muslims.
11:15Can this be a strength
11:17for Indonesian halal products
11:19to expand further in the international market?
11:22We will discuss this in the next segment.
11:24Mr. Abdel, Mrs. Helma, we will take a short break.
11:26And Mr. Mirsa, we will be right back
11:28after the next conversation.
11:46You are still watching Market Review.
11:48Mr. Mirsa, we will be right back
11:50to discuss the value of Indonesian halal products.
11:52We will discuss together
11:54how the movement from 2019
11:56to 2024,
11:58January-October period,
12:00has reached the highest level
12:02in 2019-2024
12:06in 2022.
12:08US$61.59 billion.
12:12Then it fell in 2023.
12:14And in 2024,
12:16it rose to US$53.73 billion
12:20by October.
12:22Next, let's look at the domination
12:24of Indonesian halal products.
12:26These are the types.
12:28Food and beverages
12:30reached 81.16 percent.
12:32Muslim clothing
12:34reached 16.48 percent.
12:36Then, pharmacy
12:38reached 1.48 percent.
12:40Then, cosmetics reached 0.88 percent.
12:42Next, let's look at
12:44the five main countries
12:46that export Indonesian halal products.
12:48First, the United States,
12:50Mr. Mirsa.
12:5217.61 percent
12:54or about
12:56US$7.29 billion.
12:58Then, China.
13:0014.91 percent.
13:02India, Pakistan, and Malaysia.
13:04Okay, we will continue
13:06the discussion with Mr. Abdul Yassar,
13:08an expert in Sharia economy
13:10and global halal industry.
13:12Senior partner of Dinar Standar.
13:14Then, there is Mrs. Hermawati Stiorini,
13:16General Director of Aku Mandiri.
13:18Okay, Mr. Abdul,
13:20let's look at the data
13:22that has been presented.
13:24It is interesting for us to observe
13:26that the value of Indonesian halal products
13:28has started to rise again
13:30with several dominations of halal products
13:32that are quite popular.
13:34Food and beverages, Muslim clothing,
13:36pharmacy, and cosmetics.
13:38If Indonesia becomes one of the
13:40largest Muslim countries,
13:42can these products become
13:44a force for Indonesia
13:46to export our halal products
13:48in the future?
13:50Okay, Mr. Prasetyo and Mr. Mirsa.
13:52If we disassemble
13:54in more detail,
13:56actually from the portion of food and beverages
13:58mentioned earlier,
14:0085 percent of it
14:02are products derived from CPO.
14:04Products derived from CPO
14:06such as Lemak Nabati,
14:08which has a very large core in Indonesia.
14:10Because we are the largest
14:12CPO player,
14:14it can be said
14:16one of the largest in the world.
14:18Besides that, other products
14:20we still need to improve.
14:22How our sea
14:24can be industrialized
14:26even stronger.
14:28Food processing from other agricultural products
14:30besides CPO, we can also develop it.
14:32And what's interesting, of course,
14:34with this ability and strength
14:36we can actually do
14:38protection. How
14:40we don't let
14:42our raw material
14:44products
14:46be exported just like that.
14:48But we will build
14:50industrialization in Indonesia.
14:52Because the world needs it very much.
14:54So if we can
14:56turn it around, or we hold
14:58the raw material, we
15:00industrialize it, we build it,
15:02at least it becomes a semi-finished product
15:04and a finished product, then we release it to the global market.
15:06Here Indonesia will
15:08get an extraordinary value added
15:10compared to the current condition.
15:12This is what I see
15:14the direction can go there.
15:16The government can support it.
15:18And this is very supportive of economic growth, of course.
15:20Okay, Mr. Hermas,
15:22as a player who can
15:24also employ Indonesian MKM players,
15:26what do you see with
15:28Indonesia's potential, one of the
15:30biggest in the world,
15:32then some products or items
15:34that are indeed
15:36the basis of our halal export
15:38products, then how?
15:40Looking at the challenges
15:42that were still faced, but
15:44are you still struggling and
15:46optimistic like that?
15:48As I said before,
15:50actually our opportunities are very large.
15:52Because actually
15:54the products in Indonesia
15:56are indeed
15:58consumers and entrepreneurs
16:00already know that
16:02with the majority of Muslims,
16:04they are aware that we are
16:06using halal certified
16:08products and
16:10the entrepreneurs also
16:12implement it. That's the first.
16:14The second, actually, the opportunity
16:16can also enable
16:18the government, for example,
16:20what was said earlier,
16:22there is a partnership
16:24from industrial
16:26companies, so that the
16:28product can attract
16:30entrepreneurs.
16:32And the third one is the same as what
16:34Mr. Abdal said.
16:36Actually, in the field, there are
16:38a lot of products
16:40that are still
16:42made of wood,
16:44only in the way
16:46that they can
16:48export.
16:50That's probably
16:52the lack of supervision,
16:54we can't blame each other,
16:56but the government must be
16:58present for how
17:00the products in Indonesia
17:02can really
17:04dominate globally
17:06and also
17:08dominate domestically.
17:10For domestically, we are already
17:12losing the competition because
17:14maybe the G2G is
17:16not working
17:18maximally. For example,
17:20agro products are
17:22produced in Indonesia,
17:24so we don't import the same products.
17:26That's very strict.
17:28In China, Korea,
17:30any country, there must be a limit.
17:32That's what the government must
17:34control, including
17:36the SDM about
17:38UNKM, then access,
17:40because what Mr. Abdal said
17:42earlier is
17:44the quality or
17:46the amount
17:48that is definitely needed.
17:50From what I see,
17:52even though the amount is not
17:54big, there are a lot of food
17:56products, food processing
17:58and drinks are already circulating
18:00abroad, because
18:02I got the product several times.
18:04It's from UNKM,
18:06not industrial products.
18:08So, I hope
18:10it will be
18:12the government's incentive
18:14to open the door,
18:16to give
18:18incentives for UNKM
18:20to really
18:22use
18:24the market from
18:26abroad itself,
18:28including in the country,
18:30which is important.
18:32But the readiness of UNKM
18:34itself, can it be
18:36for the size that Mr. Abdal
18:38said earlier, maybe it will be
18:40bigger, so that the
18:42cost will be more economical.
18:44Meanwhile, there was a challenge earlier,
18:46then skills and so on.
18:48Will this be able to
18:50chase each other or cover each other later?
18:52The solution can
18:54be combined with cooperation.
18:56The second is that
18:58there is already access to
19:00financing, but again,
19:02the procedure and requirements
19:04are not easy.
19:06For example, yesterday
19:08there was a plan to remove
19:10debts, but
19:12there was no execution
19:14in the field itself.
19:16Can it be
19:18easier for UNKM
19:20to do that?
19:22Can it be
19:24really easier?
19:26That's what hasn't happened yet.
19:28Actually, it's simple.
19:30By working with industry
19:32or corporate,
19:34or by
19:36providing easier access
19:38for UNKM
19:40to develop. Actually,
19:42the big problem is
19:44the lack of funding.
19:46Meanwhile, just look at
19:48the exports that have
19:50run from entrepreneurs
19:52who are now in small numbers.
19:54That's the only thing that needs
19:56help. Not a new industry,
19:58not a new business,
20:00but what has been around abroad
20:02that can be built by the government.
20:04In my opinion, that's it.
20:06Mr. Abdal, how is the effort
20:08that must be done by the government to
20:10expand the export market
20:12in UNKM
20:14and Halal Indonesia products
20:16globally?
20:18Of course,
20:20the government in this matter
20:22needs to push
20:24so that UNKM
20:26can enter the
20:28Halal Global industry.
20:30This is one thing that
20:32must be mandatory.
20:34If we want to win
20:36the Halal Global industry,
20:38our local must enter there.
20:40And how?
20:42As Mrs. Herma said,
20:44our UNKM must not
20:46be left alone.
20:48UNKM must then make
20:50the product based on
20:52the requirements in accordance with the standards
20:54that are desired. So,
20:56international standards must be applied
20:58into our UNKM products.
21:00If then the standards
21:02can meet the requirements
21:04from the international,
21:06then it can enter the supply chain.
21:08The needs of the next industry
21:10can be used and
21:12exported even further.
21:14Here, the role of the government
21:16in the business sector,
21:18be it private
21:20or state-owned,
21:22is to
21:24operate our UNKM as
21:26a supplier, educating them,
21:28building them, pushing them
21:30to increase the quality
21:32and then we continue
21:34to improve it.
21:36That is the key for the future development.
21:38And especially in the global sector,
21:40maybe I can say
21:42this afternoon that
21:44the development of the Halal Global industry
21:46is very rapid. We see
21:48countries like Saudi Arabia,
21:50especially the UAE,
21:52are very serious in developing
21:54their Halal industry.
21:56Saudi Arabia itself has formed
21:58what is called the Saudi Halal Center.
22:00Not only education, but also research
22:02and education.
22:04In the UAE, they put their certification
22:06body into the Ministry of
22:08Industry and Advanced Technology.
22:10It has entered there.
22:12Halal is not only part of
22:14the basic food sectors,
22:16but we can make
22:18advanced products, excellent products
22:20that can control trade, of course.
22:22Okay, that's it.
22:24Again, the role of the state is needed.
22:26Then there are various incentives,
22:28stimulus, as expected by UNKM
22:30or other Halal producers
22:32in Indonesia.
22:34So that it can chase the potential
22:36or a very big opportunity
22:38that can still be grabbed again in the international market.
22:40Mr. Afdal, thank you very much
22:42for your time, sharing, and analysis.
22:44Mrs. Herma, thank you for the update
22:46and also the data you have given
22:48to the audience today.
22:50Congratulations on continuing your activities.
22:52See you again, Mr. Afdal, Mrs. Herma.
22:56Assalamualaikum.
22:58Assalamualaikum.
23:28Assalamualaikum.