Indonesia's Halal Economy Trails Global Leaders

Significant Gap in Halal Product Transactions

Indonesia's halal product transactions have reached Rp184.1 trillion (US$11 billion), but remain substantially behind global leaders China and Brazil. China's halal transactions stand at Rp364 trillion (US$21.8 billion), while Brazil follows closely with Rp334 trillion (US$20 billion). Ahmad Haikal Hasan, Head of the Halal Product Assurance Organizing Agency (BPJPH), highlighted this significant disparity during the Kadin Indonesia National Coordination Meeting on November 17, 2025.

Potential for Growth in Halal Economy

Despite having one of the largest Muslim populations globally, Indonesia's halal economy performance lags behind other nations with smaller Muslim populations. Hasan emphasized this point, stating, "Look at China, their halal transactions amount to US$21.8 billion. We are still far behind that. Brazil is second with over US$20 billion." This comparison underscores the potential for Indonesia to develop its halal economy further.

Government and Industry Response

The revelation has sparked discussions on how Indonesia can enhance its halal product ecosystem. With a Muslim population of approximately 300 million, Indonesia has a significant domestic market that could be leveraged to boost halal product transactions. The government and industry stakeholders are expected to collaborate on strategies to bridge this gap and capitalize on the country's halal market potential.