The current market is marked by globalization, leading to the integration of the world economy. The process has facilitated seamless mobility and considerable dynamic effects. As part of the global trend, there is a growing market for Halal products transcending religious frontiers.

The concept of Halal is exclusive to Islam, which signifies whether aspects are consumable and permissible in human actions and worldly practices. Halal is an Arabic term that extends its meaning beyond permissible and lawful, including integrity, purity, sanitation, justice, honesty, health, security, safety and hygiene.

Owing to the significance it holds in the day-to-day lives of Muslims, the world is witnessing a growing market for Halal-certified products, beyond geographic and religious frontiers. Halal certification refers to a process in which an Islamic organization scrutinizes and verifies the products being shipped. Halal certification assures Muslim consumers that the food they are eating is permissible in Islam. The certification process involves extensive inspection of processing plants, their practices, sources, ingredients used, sanitation, and cleanliness; it may vary from country to country. It is not just about food products, but also includes pharmaceuticals, food ingredients, personal care products, and extends to retailing and hospitality. The increasing demand for Halal products can be attributed to ethical nuances, especially the hygienic and minimum animal cruelty perceptions associated with it, irrespective of any religious concern.

Definition and Significance of Halal

The term 'Halal' is synonymous with the Arabic language, which means lawful. This term does not only refer to food and drink that Muslims may consume but is much broader. The broader scope must be understood by the law that regulates all aspects of life, one of which touches the boundaries of Halal and Haram in the trade and use of goods and services. Accounted from the religious aspect alone, because the term is fixed in the doctrine of Islam, the consequence of not meeting the requirements of Halal will bring doom in the Hereafter. If translated into Indonesian, 'Halal' can be interpreted as lawful or safe. Thus, the term that links the border of Sharia law to an understanding of safety, law, and warranty can theoretically cope with the prohibition of non-Halal consumption.

For Halal food and drink supplies, the Muslim community needs to pay attention to Halal certification because one of the needs of life is the provision of food and drink. Halal food is a fundamental requirement for Muslims, which serves as a cultural insight stemming from religious instructions. One's life, indeed, does not solely rely on food and drink; however, the absence of these vital components would lead to corporeal weakness and illness. Consuming Halal certainly benefits the consumer. Halal requirements may also apply to consumer products and non-food and drink services such as pharmaceuticals, cosmetics, materials, and ingredients used in food and other types of consumer products. In this sense, Halal itself deviates from the food and beverage standard to consumer products in general. The official wording for the Halal certification reactor should also correspond to the standards of Shari'ah and the needs of the consumer.

Process of Obtaining a Halal Certificate

Companies that aim to obtain the Halal certificate usually have to do thorough preparation regarding the infrastructures that will be used for the production of Halal products. If the company applies for the Halal certificate or is asked to do so, the company must ensure that the certification body and the scholars are respective and recognized. Some companies take a long time to fulfill the requirement for the Halal certificate and spend money. This is because the company did not prepare early and did not understand the concept and the process of Halal.

This makes companies face some risks and obstacles in the Halal certification of products to be marketed. In order to obtain the Halal certification, any company has to prepare thoroughly and make some adjustments to comply with the standardization applied. The production process of Halal beef that obtains the Halal certificate ensures that the product is secure. The process must go through several stages, starting from the application until the field inspection. The process of obtaining the Halal certificate for the slaughterhouse takes a rather long time, which is 1 months.

Business players, especially companies that want to join the Halal business, have to broaden their knowledge of Islam, because there are blessings from the teachings of Islam, so that they gain success not only in this world but also in the hereafter. In order for the application to be successful, we have to select the appropriate certification body. Because this gives a separate matter, the force of coming into our company wanted to remain or not in the Halal business. To be able to obtain the Halal Certification for a meat company, it must fulfill some terms. Industrial companies must have a profound understanding of the concept of Halal products. Because of the various types of products offered, Halal guidelines for each product are hereinafter referred to as the “Halal Standard.”

Companies intending to make changes in their business, especially processed meat, must first undergo management that relates to the guidelines for Halal. Such a variety of documentation for Halal, ranging from policies, regulations, organizational descriptions, product criteria, and control lists, has basically been proposed by the companies and the following law. The Halal certificate must be recognized legally and socially, in accordance with the divine principles of Sharia law.

Halal Certification is done by an Accredited Certification Body such as EURO CERTIFICATION DOOEL.

Requirements and Criteria

Halal certification has several requirements and conditions. These include the procedures, paperwork, and regular annual certification to maintain that the food processing operation is in compliance with the Islamic dietary laws. Companies interested in certifying their products and services halal first start by being provided with a list of prerequisites to have in place and food/cosmetic or other products/services safety management, like standard (ISO 22000, HACCP, GMP etc.).

After the acceptance of the offer and the completion of an application form, the company is then given a comprehensive file of relevant paperwork and a list of what is required for audit documentation. This list will consist of all necessary paperwork that is required for audit according to the type of product and what must be ready and available. One essential part of documentation is full traceability of ingredients and materials used and that they have been sourced and certified halal by another certifying organization. Once the audit is complete and agreement is made within the review process, the certificate is then issued. Communication of any non-compliance must be made immediately. An annual re-inspection is implemented to make sure certification and premises meet halal requirements. It is also required to maintain full and updated documentation of halal-related records for spot checks.

Each certifying body has different requirements and conditions (MS 1500 Standard, OIC/SMIIC Series Standards etc.) for halal certification. It is important to know these conditions for maintaining a halal system specific to that certifying body.

Key Components of a Halal Certificate

A Certificate of Halal assurance includes numerous components. It is sustained by standards as well as international guidelines and standard operating procedures. Firstly, it is indispensable to reveal the Halal status of the product to the customers. Hence, the Certificate of Halal contains detailed information on the name of the product, brand name, cooperating company, and the entire address of the cooking/commercial industry.

In brief, it informs customers about the formal information regarding the product, so that customers can check by themselves. Secondly, for the principle of confidentiality, all the information including the detailed recipe, raw material, standard operating procedure, and equipment used must not be disclosed to anyone. The validation period is indefinite for requirements, sale promotion, and the stamp of Halal on every product that is approved as legitimate; therefore, there is no potential for a Commission to change the restrictions placed on the processing. However, it is not potentially created based on the validity period of the Certificate of Halal made by the inspection institution.

Nevertheless, it is usually published via the inspection institution that they have statistically executed Halal Focal Point or Technical Auditor and Technical Inspector or Religion Supervisor. The Halal label is published in a complete mark such as a logo and mark of the company. Labeling requirements are not officially published and available for Halal Certified Management. Manufacturing, packaging, and packaging material procedures of Halal products are not linked and officially agreed upon with the result requirements of the Certificate of Halal. A packaging schedule that determines the types of packaging materials corresponding to the plastic, with the range of weight is unknown, only mentions less than the maximum weight, is potentially ongoing. Clearly, packaging must not disturb the management requirements; it is not allowed to declare forbidden or 'Haram'. What must be declared on the label of the product as well as its packaging is the approval of the inspection institution; for example, the approval logo potentially is Halal. A certificate of Halal approval is official evidence that the inspection institution conducted the process of internal and external inspection sufficiently, and the Certificate of Halal is granted and renewed.

Certification Body Information

The certification body is the key actor in providing the certificate of Halal to any product or company. More reputable and trusted certification bodies can give more confidence and create trust for the customers about the products. Therefore, it is important for businesses to carefully select a Halal certifying agency that is already respected and recognized as competent by other consumers, especially those with interest in the same marketplace. International certifying agencies usually conduct market surveys, with the output being the standard used in the certification itself. In this case, the standard used in the certification is certified according to a majority of rough consensus. Moreover, traditional or religious scholars are often hired or at least involved in the preparation of Halal standards for the products in which they are interested.

The certification body should be accredited by relevant standards for bodies certifying products, processes, and services. The certification body is an independent and competent body that can demonstrate this competence and independence by obtaining accreditation at the international, national, regional, or local level, and can offer true value when acknowledged and validated by other parties or organizations. The certification body operating under relevant frameworks for Halal Products Certification has been recognized for its inspection and Halal assurance based on the following information, including the general qualification and competence. More feasible are certification bodies that have been endorsed by the accreditation agencies. Accreditation is an instrument for increasing trust and confidence in the world of consumers. The certification body should have clear legal entities and organizational structures along with the details of its representative office. It should have a history of activities, qualifications in their respective fields, either legal or religious, as well as a description of networking between members. It should provide information about the various legal products and services that will be certified before they are monitored and realized in the field. It should provide information about the approach and criteria used in the process of Halal certification. Annual reports should consist of programs or activities carried out, achievements, and reflections on the commitment to Halal assurance and development. Proof of training, seminars, cooperation, or other activities related to certification should be included.

This transparency is important for establishing accountability and credibility, which is extremely important because public confidence is at the root of the legitimacy of the certification. The above information must always be presented in an accessible manner for public inquiry.

All the items above are also expected to be available in the form of a document that can be easily accessed and informed at places of business premises. The certification body shall publish that they are making a certification as a voluntary product certification. Where certification is applied by regulation, legislation, or national or international legislation, this step does not apply. The consumer who becomes the end user of Halal consumer goods, food, or drink will provide a legal guarantee by the manufacturers and sellers related to Halal values, thus giving deep trust to both the company as the producers and sellers or traders.

Global Recognition and Standards

No uniform data regarding the total number of Halal certificates has been recorded in the world. This happens not only because no recordable authority exists in the realm, but also because not many countries require a specific Halal certificate. Unlike in some regions, there is no unified certificate. Yet progressively, the issue has been raised due to the growing market, and now the countries begin to discuss mutual agreements to honor Halal certificates from each other. Several countries initiated to set up mutual recognition of Halal certificates, including Saudi Arabia, the United Arab Emirates, Bahrain, Kuwait, Malaysia and Brunei Darussalam.

The need for establishing the Halal standard is also based on the goal to enable the integration of Muslim and non-Muslim countries in the global network.Although there is no reliable statistical record, this practice of Halal certification is integrated directly into the national standard or specific law by almost all Muslim countries. The essential implications are two main points. First, it means that import commodities from non-Islamic countries must comply with the rules in the majority of these countries. Second, Halal products are not only marketed in Islamic countries themselves but also throughout the world. For some time now, the consumption of Halal food and non-food products has increased around the world. In other words, most companies feel they potentially have a wider Halal market. In the absence of a recognized Halal certificate, there will likely be significant transaction costs in the international scope. This results from the determination of Halal certification that varies from one country to another. It generally leads to different quality standards for Halal certification in different exporting countries.

The most common standards used in the world regarding Halal Certification; MS 1500 (Malaysian Standard) and OIC/SMIIC Series (Organization of Islamic Cooperation Standards).

Halal Certification Process

The Halal certification process ensures that products and services comply with Islamic laws and principles (Shariah), making them permissible for consumption or use by Muslims. This certification is essential for businesses targeting Muslim consumers, especially in the food, restaurant-catering, cosmetics, pharmaceutical, finance, tourism and hospitality industries.

Here's an overview of the process:

1. Application

The business or organization applies to a recognized Halal certification body.

The application includes details about the product(s) or service(s), production processes, ingredients, supply chain, and manufacturing facilities.

2. Documentation Review

The certification body reviews the submitted documentation to ensure compliance with Halal standards.

Documentation typically includes:

• Ingredient and raw material lists.
• Supplier certifications and sourcing details.
• Cleaning and production protocols.
• Packaging materials and methods etc.

3. Inspection and Audit

On-Site Inspection: Auditors visit the production facility to:

Verify the Halal Management System, manufacturing process, including raw material storage, handling and processing.

Ensure there is no cross-contamination with non-Halal materials.

Confirm adherence to cleanliness and hygiene standards.

Supply Chain Audit: The supply chain is checked to ensure all materials comply with Halal requirements.

4. Compliance Assessment

The findings from the inspection and document review are evaluated.

Any non-compliance issues are highlighted, and corrective actions may be required before certification.

5. Certification Decision

Once the product or service meets all requirements, the certification body issues a Halal certificate.

The certificate typically specifies the certified products, validity period, and any restrictions or conditions.

6. Ongoing Compliance

Certification is not a one-time process. Regular audits and renewals are required to ensure continued compliance.

Any changes in the product, ingredients, or production process must be communicated to the certification body.

Key Halal Requirements

Ingredients: All ingredients must be Halal, i.e., permissible according to Islamic law.

Forbidden (haram) ingredients include:

• Pork and its derivatives.
• Alcohol and intoxicants.
• Ingredients derived from non-Halal slaughtered animals etc..

Production Process: The process must not involve contamination with non-Halal substances.

Hygiene: Facilities must maintain cleanliness and hygiene per Halal and general safety standards.

In conclusion,

Halal certification becomes an urgent matter for the global community. With the rising concern about the transparency and validity of Halal products, businesses that are able to secure certification are more likely to reap the full benefits from selling in the market. Tech-savvy consumers are likely to scrutinize the product or service that conforms to specific standards. The Halal market is no exception to such ethical considerations. Future trends in the Halal industry may cater to the increasing consumer curiosity about what is permissible. Transparency is key to Halal regulation to reduce the potential manipulation in the Halal certification system. The increase in consumer and societal demand for ethical consumption is expected to impact the Halal market considerably.