Indonesia will intensify oversight of halal-certified products imported from China through closer coordination between the Halal Product Assurance Agency (BPJPH) and the Indonesian Embassy in Beijing, officials announced on Wednesday.

The initiative will involve joint inspections of Chinese companies supplying halal goods to Indonesia, including reviews of production facilities, supply chains, and slaughterhouses across several Chinese provinces.

“This collaboration reflects our commitment to strengthening halal assurance on imports from China,” said Parulian Silalahi, deputy chief of mission at the Indonesian Embassy in Beijing. “Our team will work alongside BPJPH inspectors to ensure all certified producers meet Indonesian standards.”

According to Chuzaemi Abidin, BPJPH’s deputy for monitoring and guidance, the partnership is designed to ensure that halal integrity is maintained throughout the production and distribution process.

“This cooperation demonstrates BPJPH’s commitment to safeguarding the rights and confidence of Muslim consumers in Indonesia,” Abidin said. “Continuous verification is essential to guarantee that certified products remain compliant with halal principles.”

Indonesia, home to the world’s largest Muslim population, has increasingly focused on strengthening halal certification for imports, particularly from major trading partners such as China, to ensure full compliance with domestic regulations and consumer expectations.

We speak with Umar Munshi, managing partner at Hasan.VC, a venture capital fund, on the purpose of impactful investing, the value frontier technologies can help unlock and the future of the alternative finance ecosystem.

How do you measure the social impact of HASAN.VC’s investments beyond profitability, to align with the ethical values embedded in the halal ecosystem? 

We have several data points and barometers, which at present, are relatively qualitative, and are spread across the different types and stages of startups we support.  We are very focused on grooming the startup founder community, as well as pay close attention to emerging markets. 

We measure impact across two diverse yet cardinal principles – first, the religiosity of our investments, and their impact on the lives of Muslims, elevating the community in practice and progress. 

With Shariah compliance as a starting point and initial baseline, we focus on tech startups that hold the potential of impacting Muslim consumers. We prioritise enterprises that are halal-centric and impact-driven as well as look into apps such halal travel and tourism services that beckon people of all faiths. 

From a broader lens, we measure impact of technologies and startups that have a purposeful impact on the wider community, help improve employment, create value and efficiency, and enhance literacy and education.  

What opportunities do you see in the $2 trillion halal market, and how is HASAN.VC positioned to capitalize on untapped segments? 

There are several gaps and pain points to fill among practicing Muslim communities, where early-stage startups can strive and offer pragmatic solutions to real-world challenges. In an AI-assisted and -dominated world, I expect an explosion of new startups that will spring up, looking to fill the lacunae and ease the interface between technologies and communities. 

Businesses that are established with a higher purpose of dispensing value and helping curate products and cultures around the core principle of altruism and community, yield tangible benefits. New-age and new-form businesses rooted in halal values that can help alleviate real-world problems remain on Hasan VC’s radar. 

What role do you envision for blockchain and decentralized finance (DeFi) in expanding the halal economy’s digital infrastructure?

Blockchain and decentralized finance (DeFI) can and ideally should, form the backbone of the halal economy infrastructure, which includes, among other elements, payment remittance and market organization components. 

Beyond infrastructure, these frontier technologies can play a critical role in product innovation and delivery. 

The payment process consists of several intermediaries, which render the entire value chain costly. High execution costs coupled with friction among stakeholders, and a dearth of transparency and interoperability has prompted  fintech companies and global think tanks to encourage disruption to the conventional model. 

In the halal economy space, this is especially important because the large majority of natural markets - that constitute outsized Muslim populations - face payment challenges and thus offer huge opportunity for technologies such as blockchain and DeFi to enable seamless domestic and cross-border P2P payment transactions. 

Blockchain and DeFi can also simplify and foster fundraising, undergirding companies and projects to raise capital effectively. Decentralized autonomous organizations can help set the rules of engagement and transparency, streamlining and automating the supply chain.

DeFi can also help tokenize real-world assets as well as physical and virtual assets, offering a new conduit for revenue.

What is the future of the alternative finance market?

The way people will invest and alternative finance markets will function in the future will be very different from how they are today. 

There is a plethora of opportunities in the alternative ecosystem, including the tokenisation of real-world assets, democratising access, enabling wealth creation and allowing people to own a fraction of assets which were otherwise unavailable.

This configuration can be done in a Shariah-compliant manner, within the bounds of an ethical framework, operating on moral structures and intent. Governance systems such as DAOs and smart contracts are helping build trust, forging ways in which consumers can transact in a frictionless, low-cost manner, with a user-friendly interface. 

AI can work as a huge catalyst, processing colossal amounts of data to derive sound investment and pricing decisions as well as curate bespoke investment portfolios based on an individual’s risk profile and income levels. 

I expect a raft of investment options ready to be democratized, enabling alternative finance markets to become the linchpin of tomorrow’s financial landscape. 

Indonesia is set to launch six new special economic zones (SEZs), including its first-ever halal SEZ in Sidoarjo, East Java, as part of efforts to diversify the economy and strengthen its position in global value chains.

The plan, announced by the Coordinating Ministry for Economic Affairs on September 9, 2025, now awaits final approval from President Prabowo Subianto.

The Sidoarjo halal SEZ is expected to reduce Indonesia’s reliance on imported processing, particularly in key materials such as gelatin, much of which is currently sourced from China before being exported to the Middle East. 

Indonesia, home to the world’s largest Muslim population, sees the zone as an opportunity to capture a greater share of the multi-trillion-dollar halal economy by localizing production in food, pharmaceuticals, cosmetics, and logistics. Early interest from investors signals strong potential for growth once the SEZ becomes operational.

Currently, Indonesia operates 25 SEZs, split between 13 industrial and 12 service-based zones, which have attracted nearly $19.4 billion in investments and created more than 187,000 jobs. In the first half of 2025 alone, SEZs absorbed $2.56 billion in investments—nearly half of the annual target—and generated exports worth approximately $5.19 billion.

The addition of the halal SEZ is expected to combine infrastructure, policy incentives, and industry specialization to create a globally competitive halal hub serving the Middle East, Southeast Asia, and Africa.

Saudi entrepreneurs are showing growing interest in joint ventures with Pakistani partners in the snack food industry, according to Shahid Imran, convener of the Pakistan Chamber of Commerce and Industry’s (FPCCI) regional food committee.

Leading a Pakistani delegation in Jeddah, Imran said recent meetings with Saudi counterparts highlighted strong demand for innovative and high-quality snack products. “Saudi investors want co-branding, technology transfer, and halal certification. They know Pakistani snacks are affordable, tasty, and crafted with expertise,” he noted.

The delegation showcased traditional items such as nimco, roasted chickpeas, and spicy mixtures alongside modern offerings like flavored chips, biscuits, cookies, and energy bars. Exporters argued that these products align well with changing consumer preferences in the Kingdom.

Saudi Arabia’s food and beverage market is projected to reach $57.4 billion in 2025, growing at around 4% annually, according to Statista. Bread and cereals will be the largest category, but rising urbanisation, a young population, and the Vision 2030 push for tourism and hospitality are driving demand for convenience foods and packaged snacks.

Pakistani food exporters are confident they can offer items that meet both traditional tastes and modern health trends, like baked alternatives, organic bars, and low-fat chips. Furthermore, the partnership could help establish local processing units and improve packaging and certification to meet Saudi regulatory standards.

Pakistan’s food exports stand at $7.1 billion in FY25, but snacks remain a small fraction of this total. Economists warn that competing in Saudi Arabia’s snack market, already dominated by multinational brands, will require significant investment. According to experts, without strong branding, packaging, certifications, and marketing tailored to Gulf consumers, carving out market share will be very challenging.

Despite these hurdles, industry leaders remain cautiously optimistic. They argue Pakistan’s strengths, which are affordability, authenticity, and halal assurance, resonate with Gulf consumers and could help build a foothold in the competitive sector.

Experts believe that successful cooperation in snacks could pave the way for ventures in dairy, beverages, and processed meats, expanding bilateral food trade.

Private equity fund Perwyn has announced its exit from Isla Délice, a French halal meat brand.

In a statement issued Tuesday, Perwyn said it has sold its stake to London-headquartered investment fund A&M Capital Europe. 

The transaction is expected to close later this year. The statement, however, did not reveal the deal value. 

Perwyn acquired a majority stake in Isla Délice in 2018 and has since helped expand the business, strengthening its team and investing in its production capabilities.

Isla Délice also made several acquisitions since, acquiring British halal food brand Takul in 2024 and German halal business Gurkan in January this year. In 2019, Isla Délice acquired Hoca Meat Products, a halal meats product manufacturer in Belgium. 

The company grew organically in key European markets such as the Netherlands, Spain and Italy. 

Eric Fauchon, CEO of Isla Délice said that Perwyn’s support has been instrumental to growth, with over €40 million invested in the company’s production sites. 

“Our expansion has been driven both by organic growth in the Benelux, Spain, and Italy, and by strategic acquisitions in Belgium, the UK, and Germany, which have strengthened our European presence. With the support of A&M Capital Europe, we will continue our development in France and across Europe, expanding our product ranges and distribution channels, while preserving our unique expertise in halal offerings.” 

Isla Délice offers a portfolio of products across delicatessen, frozen foods, snacks, ready meals, and various ambient categories. 

Here's a roundup of key developments across the halal industry ecosystem in August

Editor's Note: In an attempt to tighten screening of meat and poultry imports, Malaysia said it will only accept halal certificates issued by US bodies recognised by the country's regulatory entity, JAKIM.

Meanwhile, Macau is seeking to introduce a halal certification scheme to court Muslim travellers. 

Investment

Malaysia

HASAN.VC launches cohort to empower halal startups in Southeast Asia
HASAN.VC, part of the Ethis Group, has launched Cohort 003 of its high-impact Accelerator Program to support halal and ethical startups across Southeast Asia.

Building on the success of the previous cohort 002, applications are now open for the next generation of purpose-driven founders aiming to scale their impactful ventures.

The HASAN.VC Accelerator is a five-week online program for early-stage startups, offering up to $60,000 in pre-seed equity funding, mentorship from leading Muslim entrepreneurs and global experts, and access to a network of over 500 angel investors. (SME Asia)

Indonesia

Indonesia secures $563,000 potential halal deals in Bangkok
The Indonesia Pavilion at Mega Halal Bangkok 2025 secured potential halal deals worth $563,000. 

The pavilion attracted international interest, particularly in fashion, cosmetics, food and beverages, and home decor.

Ambassador Rachmat Budiman noted that Indonesia's halal sector has strong potential, especially in the lifestyle and food sectors, and its participation aimed to promote these products. (Halal Focus)

Regulatory

Macau

Halal certification programme to lure Muslim visitors

Tourism authorities are in discussions with Hong Kong's Islamic groups to introduce a halal certification scheme in Macau, aimed at attracting Muslim travelers.

The scheme will cover three categories: halal restaurants, halal-kitchen restaurants, and halal-friendly restaurants. (Macau Business)

Malaysia

Malaysia to accept Jakim-recognised US halal protein certificates

Malaysia will only accept meat and poultry imports from the United States if the halal certification is issued by bodies recognized by Jakim, Malaysia's Department of Islamic Development.

Minister Tengku Datuk Seri Zafrul Abdul Aziz emphasized that this measure aims to facilitate trade without compromising halal standards, ensuring compliance with Shariah principles to protect Muslim consumers. (Malay Mail)

Trade Developments

Vietnam

Vietnam to promote development of halal products and services

Vietnam plans to negotiate and sign international agreements to support businesses in promoting halal products and services, according to a draft decree by the Ministry of Science and Technology.

The decree defines halal products as those compliant with Islamic law, while halal services include activities like transportation, storage, and packaging of halal goods.

The decree also outlines support for Vietnamese halal certification organizations to improve their capacity, gain international recognition, and ensure their certifications are accepted in key export markets. (Vietnam+)

UPCOMING EVENTS :

2025:

• Aug 19-21, Nigeria Halal Expo
• Sept 16-18, GHAS Conference
• Sept 17-20, MIHAS Malaysia 2025
• Sept 24-25, MUIS Halal conference, Singapore
• Nov 6-7, London Halal Forum
• Nov 11-13, BPJPH Halal forum
• Nov 26-29, Halal Expo Turkey
• Dec 2-3, Saudi Halal Expo, Madinah
• Dec 18-19, Thailand Halal Assembly

2026:

• Jan 7-10, Isfahan Halal Expo
• Jan 2026, Makkah Halal Forum

Malaysia will establish a new commission to oversee halal development and foster investment across the sector. 

The entity, which will hold sole dominion over halal development, will serve as a reference and a standards hub for the global halal industry, Malaysia’s state-news agency Bernama said, citing an official document released by the country’s ministry of economy.  

“The market expansion programme for halal products and services to the international level will be strengthened to support the scaling up of small and medium enterprises in the halal industry,” said the 13th Malaysia Plan document. 

The initiative is part of the country’s broader efforts to transform its halal ecosystem and bolster the sector’s contribution to the national growth, 

The role of the halal industrial parks will be reinforced to facilitate the development of high-value halal industry, the document added. 

Malaysian premier Anwar Ibrahim said that the government aims to ramp up the country’s halal export to 80 billion Malaysian ringgits, whilst increasing the sector’s contribution to GDP to 11%. 

The halal industry contributed 149 billion Malaysian ringgits to the national economy last year, making up 7.7% of the GDP.