Indonesia's Hajj and Umrah Industry: Growth Amidst Challenges

Rising Demand and Current Landscape

The hajj and umrah industry in Indonesia continues to demonstrate robust growth, with registration numbers increasing by 7-8% annually ²

. By December 2025, the total waiting list for hajj pilgrimage has reached 5.4 million people, indicating strong demand for religious travel services. The breakdown includes both regular and special hajj registrations, with approximately 180,000 being special hajj pilgrims ²

Source 2

https://nasional.kontan.co.id/news/industri-haji-umrah-2025-peluang-tantangan-regulasi-dan-daya-beli

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Challenges in Value Chain Management

Despite the growing demand and significant economic potential, industry experts express concerns that the value chain remains largely externalized. According to Sutan Emir Hidayat from KNEKS, Indonesia primarily functions as a provider of pilgrims rather than a controller of the value chain ¹

. The domestic economic benefits are currently limited to travel agencies and some suppliers of pilgrim equipment.

Need for Integrated Ecosystem Development

Industry stakeholders are calling for the development of a more integrated economic ecosystem that incorporates various related sectors such as halal industry, MSMEs, Islamic finance, and logistics ¹

. This comprehensive approach aims to capture more domestic value and create broader employment opportunities. The current fragmented approach results in significant economic leakage to foreign entities.

Regulatory and Structural Challenges

While the demand continues to grow, industry players face regulatory and structural challenges that need to be addressed to fully realize the sector's potential. Improving the overall ecosystem through better regulation and infrastructure development is seen as crucial for transforming Indonesia's hajj and umrah industry into a more significant economic driver.