Big pharmaceutical firms lobby to exclude drugs from halal certification in Indonesia

Last year, the Indonesian government introduced a law that requires consumer goods like food, beverages and pharmaceuticals to be certified halal, with full compliance expected by October 2019.

The law was immediately met with hostility from big pharmaceutical companies, saying the inclusion of drugs in the law would deal a tangible blow to the industry.

“Actually we are currently lobbying [the government] to exclude drugs from the law,” says Parulian Simanjuntak, director of the International Pharmaceutical Manufacturers Group (IPMG) in an interview with Salaam Gateway. IPMG represents 34 internationally recognised companies in Indonesia, including PT Merck, the local arm of German pharmaceutical giant Merck KGaA, and Switzerland-based pharmaceuticals firm PT Roche Indonesia.

The statute in question is Law No. 33/2014 on halal product certification. It is the first regulation to address the halal status of these kinds of products in Indonesian history.

The government deems the law long overdue, as Indonesia is home to the world’s largest Muslim population. It says that all consumers—Muslims and non-Muslims, Indonesian or foreign—should feel comfortable with it, and have no hesitation enjoying locally distributed products, pharmaceuticals included.

‘DOOM’ FOR PHARMA INDUSTRY

However, the inclusion of drugs into the law could spell certain doom for the pharmaceutical industry in Indonesia, as it is next to impossible to ensure all drugs in the country are certified halal, says Simanjuntak.

“The number of ingredients used for drugs here is too many. All elements of the drugs, from the ingredients to the environment and the services [used] in producing the drugs have to be deemed halal. That’s impossible,” he says. “With 95 percent of drug ingredients imported, there are so many factories that would need to be visited and checked.”

Simanjuntak also questions the readiness of the government in issuing halal certifications for the pharmaceutical industry at large.

“The number of drugs registered in the country are around 16,000,” he says. “Meanwhile, the human resources tasked to issue these certificates are limited. This will create uncertainty for drugs which have to wait to receive the certification due to the lack of human resources.”

MIXING DRUGS WITH RELIGION ‘NEVER A GOOD IDEA’

Ultimately, mixing drugs with religion is never a good idea, says Simanjuntak. “Bringing the issue of religion to the drugs industry will only create uncertainty and confusion among the public. Consuming drugs is a necessity, not a choice. To say a drug is halal or not halal will prevent the recovery of patients.”

Simanjuntak has voiced his opinions to the Indonesian Law and Human Rights Minister Yasonna H Laoly.

“He said that this was something to be decided by the cabinet. So it’s the government who has the say on this,” Simanjuntak says. “But of course we will keep lobbying.”

The Indonesian Religious Ministry says it is preparing additional regulations for the implementation of the law, which in theory would make it easier for pharmaceutical companies to obtain halal product certifications.

In the planned regulation, imported halal products, including drug ingredients, will only need registrations without the government needing to inspect the products in their countries of origin. The ministry’s halal products sub-directorate head, Siti Aminah, says such an inspection would only need to happen for certain cases.

She says that the government is encouraging the industry to submit input for drafting the regulation. “While it’s all still being talked about, we are asking the industry to join [us in the discussion],” Aminah says.

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