Halal industry performance positive amid pandemic: Indrawati

Halal industry performance positive amid pandemic: Indrawati

Finance Minister Sri Mulyani Indrawati.

Jakarta (ANTARA) - The halal industry has been able to record a positive performance despite pressure on economies around the world owing to the COVID-19 pandemic, according to Finance Minister Sri Mulyani Indrawati.

The halal industry recorded a growth of 3.2 percent, or higher than global economic growth, in 2019 before the pandemic, when it was pegged at 2.3 percent.

"Globally, spending on halal products in 2019 before COVID-19 occurred, especially on food, pharmaceuticals, cosmetics, fashion, and travel products, had reached US$2.02 trillion," the minister informed here on Thursday on the sidelines of an online launch of a halal industry collaboration program.

Therefore, Indonesia, a member country of the G20 and the world's most populous Muslim majority nation, sees potential for developing its halal industry to meet domestic and global demand, she added.

The minister also lauded a cross-sector collaboration program to support the development of sharia economy and finance in Indonesia, which is targeting to become the world's sharia economy hub.

"This (Muslim Center of Excellence) is an initiative from a very positive industry in order to strengthen the ecosystem of the halal industry in Indonesia and strengthen the capabilities and capacities of the industry, including MSMEs, in producing goods meeting the preferences of Muslim groups," she said.

Related news: Halal industrial estate a pull factor in domestic industry: VP

Hopefully, the collaboration between the National Committee for Sharia Economics and Finance (KNEKS) and companies such as PT. Unilever Indonesia can spur the halal industry in the country, she added.

"A supply chain cooperation is a necessity at this time. It's a step forward in strengthening the ecosystem and creating a comprehensive supply chain cooperation," she said.

Meanwhile, executive director of KNEKS, Ventje Rahardjo, expressed the hope that the collaboration would help strengthen Indonesia's goal to serve as a center for halal producers.

The Muslim Center of Excellence aims to be a halal product innovation center, which will support research and innovation activities in halal products as well as the development and acceleration of empowerment programs for the Muslim community, he said.

"This program is expected to become one of the drivers for the progress of the national sharia economy and accelerate the development of other supporting businesses for the halal industry in Indonesia,” Rahardjo remarked.  

 

Related news: Indonesia set to become main producer in global halal industry by 2024

 

 

Comments