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๐Ÿ‡ฎ๐Ÿ‡ฉ Indonesia /Economy & Trade

Legality and Halal Certification Crucial for Indonesian SMEs to Expand Market Access

From Republika · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

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  • Business legality and halal certification are crucial for Indonesian Micro, Small, and Medium Enterprises (UMKM) to expand market access and build consumer trust.
  • Many UMKM, especially in villages, lack these documents due to limited information and support.
  • Universitas Sultan Ageng Tirtayasa (Untirta) held a workshop to assist UMKM and farmer groups in obtaining business identification numbers (NIB), halal certificates, and food production permits (PIRT).

Business legality and halal certification are increasingly vital for Indonesian Micro, Small, and Medium Enterprises (UMKM) seeking to broaden their market reach, enhance consumer confidence, and secure partnerships and financing. However, a significant number of UMKM, particularly those in rural areas, still lack these essential documents due to insufficient information and guidance.

In response, a community service team from Universitas Sultan Ageng Tirtayasa (Untirta) organized a workshop focused on business legality and halal certification for UMKM and Women Farmer Groups (KWT) in Pasanggrahan Village, Serang, Banten. The team's leader, Vega Yoesepa Pamela, noted that while many UMKM produce innovative products, they often lack adequate legal documentation. "Increasing knowledge about legality is a strategic first step to build consumer trust, expand access to financing and partnerships, and prepare UMKM to compete and grow sustainably," Vega stated.

Increasing knowledge about legality is a strategic first step to build consumer trust, expand access to financing and partnerships, and prepare UMKM to compete and grow sustainably.

โ€” Vega Yoesepa PamelaHighlighting the importance of legal documentation for UMKM.

The workshop provided participants with assistance in obtaining a Business Identification Number (NIB), Halal Certificate, and Home Industry Food Production Permit (PIRT). Vega emphasized that these documents are fundamental for UMKM to strengthen their competitiveness and meet the requirements for entering larger markets. The initiative, funded by the Ministry of Education, Higher Education, Science, and Technology, aims to empower more UMKM with the necessary legal frameworks for growth.

This activity is very beneficial for us. Now I understand better why business legality is important and what its benefits are for the development of the business we are running. The material was also delivered clearly.

โ€” SunaiahA participant sharing her positive experience and increased understanding after the training.
DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.