HALAL FOOD INDUSTRY: REINFORCING THE HALAL PRODUCT ASSURANCE ORGANIZING BODY (BPJPH) IN THE DEVELOPMENT OF THE AMONG URBAN MUSLIM COMMUNITY IN INDONESIA

The halal food industry holds significant promise in the global market, with its importance extending beyond Islamic countries to encompass secular nations and Muslim minorities. Indonesia is a critical player in this industry's development with its substantial Muslim population. The Halal Product Assurance Organizing Body(BPJPH) is pivotal in advancing the halal food sector among urban Muslims in Indonesia. This study examines the role and challenges BPJPH faces in this context and proposes strategies for strengthening its position to enhance the industry's success. This study employs a qualitative approach to investigate the role of BPJPH in fostering the halal industry in Lampung, Indonesia. Data was gathered through in-depth interviews and focus group discussions with halal industry players and relevant stakeholders. Data analysis was conducted thematically while adhering to ethical research principles. The findings underscore the significant role of BPJPH in improving the quality of halal products, enhancing consumer confidence


Introduction
Halal products have become part of world business with enormous value and promise.Not just Islamic countries (Islamic countries) who care about halal products; "secular" countries and Muslim minorities also make this halal issue a priority competitive advantage.Halal food business opportunities are promising in Muslim minority countries such as Thailand, New Zealand, South Korea, China, Australia, France, the United States, and Europe (Fachrurazi et al., 2021).Halal markets or consumers are not only Muslim foreigners (Utomo et al., 2021).The growth of the Muslim population in these countries has also triggered the need for halal consumption.As an illustration, the world's Muslim population is estimated to reach 2.2 billion people in 2030, or 23% of the world's population.The largest are in Asia-Pacific, the Middle East, Sub-Saharan Africa, Europe, and North and Latin America.
The growth of the world's halal market and products has triggered a halal lifestyle on a world scale or a global halal lifestyle (Ab Rashid & Bojei, 2020).At a personal level, the halal lifestyle trend is marked by increasing halal awareness(halal awareness).Society (not just Muslims) is influenced by the viewpoints, principles, and values people adhere to in daily living.In Indonesia, the phenomenon of consumers choosing halal food, shopping for halal products, wearing Muslim clothing, recreation in Muslim-friendly destinations(Muslim friendly), or transacting using Sharia products is not unusual (Soemitra & Nawawi, 2022).This behavior can be called a halal lifestyle because it is based on the awareness that halal is not only due to religious orders but is excellent and helpful for life (Syazwan Ab Talib & Bakar Abdul Hamid, 2014).
This individual awareness of halal behavior is followed by a collective movement to build a better life with standards, principles, and values relevant to the demands of Islamic law.Then, new forms of piety emerged in how Muslims live, work, behave, consume food and drink, wear clothes, care for their bodies, channel their interests, and spend their money and time (Poniman et al., 2015).
Based on the Global Islamic Economy Report (SGIE) 2020, Indonesia is among the top three countries with the highest investment value for halal products, reaching USD 6.3 billion or 219% from the previous year.Not to mention the demographic advantage, with 209.1 million Muslim residents, Indonesia has become an ample opportunity to develop the halal industry.The market share for halal food is IDR 2,300 trillion; meanwhile, Islamic fashion has a potential of up to IDR 190 trillion.Halal tourism is estimated at IDR 135 trillion, the potential for Hajj and Umrah is IDR 120 trillion, and education has crept to IDR 40 trillion.So, playing the local market alone is enough for Indonesia to win the world halal industry competition (Fatimah & Murni, 2019).
As the country with the largest Muslim population in the world, Indonesia is indeed a potential and challenging halal market.With a Muslim population reaching 209.1 million people (87.2 percent of Indonesia's total population), the demand for halal products and services is specifically significant.This "demographic advantage" makes Indonesia an opportunity for the halal industry.Playing in the local market is enough for Indonesia to win the world halal industry competition (Khairuddin & Zaki, 2021).
Apart from Sharia-based services, public awareness of halal product certification and the growth of the halal lifestyle among Muslims are new opportunities for the development of the halal industry (Jaswir et al., 2023).The halal certification of the Sinovac vaccine submitted by PT Bio Farma (Persero) to BPJPH, MUI, and BPOM encourages the domestic medicine industry to have halal tayyiban standards.As a result, the halal ecosystem will reach a wide and varied market.There is halal food, Muslim fashion, halal tourism, Hajj and Umrah, zakat, alms, and endowments.This halal ecosystem increases the share of the Sharia banking market.Halal food has a potential of IDR 2,300 trillion, and Muslim fashion has a potential of up to IDR 190 trillion.Meanwhile, halal tourism is around IDR 135 trillion, and Hajj and Umrah are IDR 120 trillion (Muliawati & Khoiruddin, 2015).
Indonesia's consumption of halal products in 2019 reached US$144 billion, making Indonesia the most significant consumer in this sector.The Muslim-friendly tourism sector puts Indonesia in 6th place in the world with a value of US$11.2 billion.In the Muslim fashion sector, Indonesia is the world's 3rd consumer, with a total consumption of 16 billion US Dollars.Indonesia's halal pharmaceutical and cosmetics sectors are ranked 6th and 2nd, with total expenditures of US$5.4 billion and US$4 billion, respectively (Rachman, 2019).
However, there are still many obstacles faced by the Indonesian people in developing the halal industry, including policies consisting of the implementation of the Halal Product Guarantee (JPH), which is still not complete, there is still a lack of certification and standardization of halal products, the halal industry development roadmap is not yet perfect, human resources consist of many producers who pay little attention to halal products and still lack knowledge (Bashir et al., 2018).Halal products among small business actors and socialization consist of a lack of promotion about halal and a lack of socialization, education, and information about halal.Other aspects include several obstacles, such as limited raw materials that meet halal criteria, several sectors that still depend on imports, and no standard definition of halal products.
Seeing the potential for developing the Indonesian halal industry, we are interested in researching the opportunities, obstacles, and strategies that can be implemented.It is because Indonesia has the largest Muslim population in the world, which should be a leading developer of the halal industry (Prabowo et al., 2015).In reality, Indonesia is still the world's largest consumer of halal food.This potential is supported by Law 33 of 2014 concerning halal product guarantees.It's just that its implementation must be improved further to achieve the specified targets.The halal industry has enormous opportunities to continue to develop.
Moreover, during the COVID-19 pandemic, implementing a halal lifestyle as a daily routine has found relevance.Maintaining body immunity, for example, opens up opportunities for halal food, drink, medicine, and vaccine products.The habit of a Muslim to bathe and wash his hands, rinse his mouth, and wash his nose at least five times a day during ablution requires at least bath soap, hand sanitizer, toothpaste or dental care products, shampoo, lotion, creams, sunscreens, fragrances, and household items.This new habit then gives rise to a clean, neat, environmentally friendly lifestyle, caring for personal health, which is relevant to the principles of a halal lifestyle (Rachman, 2019).
BPJPH is the primary regulator in implementing the Halal Product Guarantee (JPH) regulated in Law Number 33 of 2014.The existence of BPJPH is very relevant in developing the halal food industry among urban Muslims in Indonesia.BPJPH provides halal certification, supervises production, and ensures products meet established halal standards.
Strengthening the role of BPJPH in the halal food industry has several positive implications that can significantly contribute to this sector's development.First, a strong and authorized BPJPH can increase consumer confidence in the halal products they consume.It will encourage growth in demand for halal products in the market, both from Muslim and non-Muslim consumers looking for quality and trusted products.Second, BPJPH can act as a monitor and guarantor of the quality of halal products.By setting strict standards and effectively supervising production, BPJPH can help maintain the integrity of the halal label on the market, prevent potential abuse, and increase professionalism in the halal industry.Third, BPJPH can collaborate with industry players to increase knowledge and awareness about correct halal practices.It could include training for manufacturers, service providers, and related businesses to understand the demands and processes that must be followed to produce legal halal products.Fourth, strengthening the role of BPJPH can help Indonesia compete in the global market.By having solid regulations and institutions regulating halal products, Indonesia can become a crucial player in the global halal industry, making this country a center for producing and distributing quality halal products.
However, BPJPH needs adequate resources to achieve this goal, including experts and infrastructure that supports monitoring and certifying halal products.Apart from that, collaboration with various stakeholders, including producers, academics, and research institutions, is also essential to develop adequate and relevant policies to support the growth of the halal food industry among urban Muslims in Indonesia.
Studies related to the halal industry have been empirically proven, and the results of these studies are mixed.The results of research conducted by (Lubis, 2019) found that economic behavior, consumption, and halal food production, apart from fulfilling the demands of Islamic religious principles, have also become a culture for Muslim communities in various parts of the world.Meanwhile, at the global level, it is projected that the total world Muslim population will increase from 1.6 billion people in 2010 to 2.2 billion people in 2030.The increase in the Muslim population will undoubtedly be a driving force for the world's halal product industry because the demand for halal products will be proportional.Demand for halal products does not only come from Muslims but also non-Muslims; this is due to the increasing preference of non-Muslim communities to consume products labeled halal.
Research conducted by (Madjid, 2022) analyzes how opportunities, obstacles, and strategies for the halal food industry can be implemented.It is because Indonesia has the largest Muslim population in the world, which should be a leading halal industry developer.This research uses a qualitative descriptive approach using library methods with secondary data obtained through scientific articles and other relevant documents.
The results of research on halal industry opportunities in Indonesia are that the halal industry is a need and lifestyle, there is a variety of halal food products, there are regulations that regulate them, and it is an export need.
Waharini and Purwantini researched the Halal food industry development model among urban Muslims in Indonesia (Waharini & Purwantini, 2018).This research explores the role of Sharia banking in developing the halal food industry in Indonesia.The research method used is a descriptive qualitative method with a literature review.Based on the results of the analysis, it can be concluded that the role of Sharia banking is not only limited to Sharia-based financing, which is free of usury (interest), maysir (uncertainty), and gharar (gambling).However, it is also involved at all stages of the production process (halal value chain management).Sharia banking can be essential in developing and improving the halal food industry, including three halal integrity processes.First at the halal control stage, second at the logistics process, and finally at the halal verification stage.
According to (Gillani et al., 2016), Islamic banks play an essential role in developing MSMEs.Sharia banks must be able to provide financing products that suit the needs, are competitive, and are easily accessible to MSME players operating in the halal food sector.The halal industry develops in three dimensions, and Islamic banks can maximize these three things: MSME players should be given more significant opportunities to build and establish halal products.The halal industry must be promoted to create awareness about the importance of product use.Halal services and halal lifestyles must be further developed.
A study by (Izzuddin & Adinugraha, 2022) found that Indonesia could develop the Halal Industry in various sectors, especially halal food, tourism, halal fashion, pharmaceuticals, and cosmetics.The development of the Halal Industry also has the potential to increase national economic growth.However, Indonesia has to face challenges such as low awareness of halal, low competitiveness of local products, and problems implementing the Halal Product Guarantee Regulations.
Mubarok identified opportunities and challenges in developing the halal industry in Indonesia (Mubarok and Imam, 2020).This research uses a qualitative approach.The data source used is secondary data, which comes from library sourcestechnical data analysis uses a SWOT analysis approach.The research results show that the development of the halal industry in Indonesia covers several sectors, namely the food and beverage sector, tourism, fashion, media and recreation, pharmaceuticals and cosmetics, and renewable energy.The SWOT analysis found strengths, weaknesses, opportunities, and challenges in developing the halal industry in Indonesia.Thus, in the future, to improve the halal sector in Indonesia, it is necessary to optimize the synergy of various elements, starting from society, industry players, government, financial institutions, associations, academics, and educational institutions, as well as other related parties.
Razali analyzed the strategy and development of halal industry in Aceh province (Razali et al, 2021).This research is qualitative.This research uses secondary data from journals, documentation books, and reports from related parties such as the Central Statistics Agency, LPPOM MPU, LPPOM MUI, Aceh Culture and Tourism Service, and associated parties.The research results found that Aceh Province is one of the provinces that implement sharia in all sectors.The application of Islam is not only in banking but also in tourism, food, and other halal industries.However, the optimization of the halal industry cannot yet be felt optimally.The development of a halal industry strategy needs support from the local government.One strategy must be implemented to issue a halal certificate efficiently but professionally.Besides that, local governments must also pay attention to existing infrastructure to maximize the halal industry, especially halal tourism.It is hoped that the halal industry, especially halal tourism in Aceh Province, can be improved by maximizing development strategies.
Rashid research on the "Dynamics of the Implementation of Halal Certification on Food and Beverage Products in the Cities of Medan, Sibolga, and Padangsidimpuan" reveals various challenges hindering the implementation of halal certification for food and beverage products (Ab Rashid and Bojei, 2020).These challenges include limited authority and funding allocated to the Indonesian Ulema Council (MUI) and the Halal Product Assurance Agency (LP-POM) for disseminating halal certification and a lack of legal awareness among producers regarding the requirements for halal certification.Additionally, there is a lack of understanding among the Muslim community regarding the importance of ensuring the halal status of the food and beverage products they consume.
Research conducted by (Nukeriana, 2018) on the Implementation of Halal Certification on Food Products in Bengkulu City revealed several key findings.Firstly, despite being a small portion of the Small and Medium Industries in Bengkulu City, the implementation of halal certification for food products has commenced.Secondly, supporting factors for this implementation include regulations governing halal certification, along with the predominantly Muslim population among consumers and producers of food in the city.Conversely, inhibiting factors include ineffective Halal Product Guarantee law enforcement and insufficient information and awareness about halal certification among consumers and producers.Thirdly, the role of LPPOM MUI Bengkulu Province in increasing awareness among consumers and food producers involves conducting outreach activities on halal certification, providing guidance to MSMEs, and organizing halal writing competitions at the high school level.
Research by (Maryati et al, 2016) on "Analysis of Obstacle Factors in Applying for Halal Certificates.(Case Study: Micro, Small and Medium Frozen Food Business Actors in Jabodetabek)".The research results prove that frozen food MSMEs in Jabodetabek are micro businesses that do not have proper production facilities and produce using simple technology machines.The MD distribution permit is an obstacle for frozen food MSMEs applying for halal certificates.The strategy that can be recommended is the intensive development of good-producing MSMEs, and the bureaucracy of MD management is made more accessible and accelerated.
Based on the review of the studies regarding the halal industry above, there are several shortcomings in the research that has been carried out, including The studies that have been carried out discussing more about the tourism industry.Most research uses the leading theory as a theoretical basis, but few have tried to develop or refute it.Furthermore, there are inconsistencies in the results of previous research.The cause of the inconsistency in the last research results is the difference in the type and method of research approach used.This research aims to examine the role and challenges of BPJPH in developing the halal industry among urban Muslims in Indonesia, as well as provide recommendations for strengthening BPJPH to increase the success of the halal industry in this country.

B. Methods
The research method used in this research is a flexible and reflective qualitative approach.This approach allows researchers to respond to the dynamics and interactions that develop during research research (Sekaran & Bougie, 2016).According to (Sugiyono, 2008) a qualitative approach allows for contextual and in-depth data collection, focusing on interpretation and in-depth understanding.
The research involved two primary groups of subjects.The first group comprised Halal Food Industry Players, encompassing owners, entrepreneurs, and representatives of Micro, Small, and Medium Enterprises (MSMEs) within the halal food industry operating across different regions in Lampung.The second group consisted of BPJPH and Related Stakeholders, which included officials, experts, and specialists from BPJPH, the Indonesian Ulema Council (MUI), relevant government bodies, and other institutions involved in developing the halal industry.
Data was collected through two main techniques: in-depth interviews and focus group discussions.In-depth interviews were conducted with halal food industry players and parties related to BPJPH and related stakeholders to gain in-depth insight into the role and challenges of BPJPH in developing the halal industry among urban Muslims in Indonesia.Focus group discussions were held at BPJPH Lampung by inviting various related parties to discuss their roles and challenges faced as well as strategies that could be taken to overcome these challenges.Data analysis was carried out using an inductive approach, where data was analyzed thematically to identify patterns, themes, and relationships that emerged from interviews and discussions.The findings from this data analysis are then used to understand the role and challenges of BPJPH in developing the halal industry among urban Muslims in Indonesia.

C.
Findings and Discussion 1.

Findings The Role of BPJPH in Halal Industry Development
The research results show that the role of the Halal Product Guarantee Agency (BPJPH) in developing the halal food industry among urban Muslims in Indonesia is very significant.Through in-depth interviews with halal food industry players and related stakeholders in Lampung, it was found that BPJPH plays a vital role in improving the quality of halal products, increasing consumer confidence, and providing trustworthy halal certification.Apart from that, BPJPH also acts as a production supervisor to ensure that products circulating on the market meet established halal standards.The following table summarizes the main findings from the research results: Improving the Quality of Halal Products BPJPH assumes an active role in overseeing the production processes of halal products, thereby ensuring adherence to stringent halal standards.This proactive monitoring mechanism facilitates the delivery of accurate and dependable halal certifications.Consequently, consumers are assured of the quality and authenticity of halal products, thereby fostering trust and confidence in the market.Improving the quality of halal products is a critical aspect of ensuring consumer confidence and compliance with halal standards.The Indonesian Halal Product Assurance Agency (BPJPH) plays a pivotal role in this by actively monitoring the production process of halal products.Through rigorous oversight and inspection, BPJPH ensures that all aspects of production adhere to halal requirements, from sourcing ingredients to manufacturing processes.Furthermore, BPJPH provides accurate and trustworthy halal certification, which serves as a guarantee to consumers that the products meet the necessary standards.This proactive approach by BPJPH not only ensures the integrity of halal products but also contributes to enhancing consumer trust and confidence in the halal industry.b.

Strengthening Consumer Confidence
The presence of BPJPH engenders a heightened sense of trust among consumers regarding the authenticity of halal products.By providing reliable halal certification services, BPJPH serves as a beacon of assurance, signifying compliance with halal standards.Consequently, consumers exhibit enhanced confidence in selecting halal products, thereby catalyzing increased demand within the market landscape.c.
Providing Trusted Halal Certification Halal certification conferred by BPJPH is esteemed as a hallmark of quality and reliability within the consumer sphere.Leveraging the credibility of BPJPH-endorsed certifications, consumers are assured that certified products have undergone rigorous scrutiny and conform to stringent halal requirements.As such, BPJPH serves as a bastion of trust, facilitating informed consumer choices and market transactions.d.
Increasing Industry Awareness BPJPH plays a pivotal role in augmenting industry awareness and knowledge pertaining to correct halal practices through comprehensive outreach and training initiatives.These educational endeavors disseminate pertinent information regarding prevailing halal standards and requisite procedural protocols.Consequently, industry stakeholders are equipped with the requisite knowledge to navigate the intricacies of halal compliance, thereby fostering a culture of adherence and accountability.
These findings show that BPJPH positively strengthens the halal industrial ecosystem in Indonesia, which ultimately contributes to economic growth and community welfare.However, to maximize its role, BPJPH must continue improving supporting infrastructure and human resources and establishing close cooperation with various stakeholders in the halal industry.

Discussion Significant Role of BPJPH in Strengthening the Halal Industry Ecosystem: Insights and Recommendations
The research results show that the role of the Halal Product Guarantee Agency (BPJPH) in developing the halal food industry among urban Muslims in Indonesia is very significant.BPJPH, the institution responsible for halal certification, is essential in ensuring the halalness of food products circulating on the market.It aligns with the findings of (Othman et al., 2016), who stated that halal certification is a critical factor in attracting consumer interest in halal products.Through in-depth interviews with halal food industry players and related stakeholders in Lampung, it was found that BPJPH plays an essential role in improving the quality of halal products.These references provide a solid basis to conclude that halal certification provided by BPJPH is a significant factor in improving the quality and trust in halal products.
Apart from ensuring the quality of halal products, BPJPH also plays a role in increasing consumer confidence in halal products.According to (Othman et al., 2017), consumer trust is critical to purchasing halal products.With the halal certification provided by BPJPH, consumers have greater confidence in the halal and safety of their products.It is in line with research findings, which show that the existence of BPJPH increases consumer confidence in halal products, increasing demand for them in the market.Halal certification provided by BPJPH is considered a quality standard that consumers can trust.Quoquab revealed that halal certification is essential in strengthening consumer confidence in halal products.In this context, BPJPH has a crucial role in providing halal certification that consumers can trust, thereby increasing the competitiveness of halal products in the market (Quoquab et al, 2020).
BPJPH also plays a role in increasing industry awareness and knowledge about correct halal practices through outreach and training.According to (Hidayat et al., 2022), raising industry awareness of halal practices is essential in developing the halal industry.Through outreach and training activities, BPJPH can help the industry understand and implement correct halal standards, improving product quality and halalness.
These findings indicate that BPJPH has a significant role in strengthening the halal industrial ecosystem in Indonesia.By providing trusted halal certification, BPJPH helps improve the quality and trust of consumers in halal products.Additionally, through outreach and training activities, BPJPH increases industry awareness and knowledge about correct halal practices.In line with this, (Adham et al, 2023) also stated that halal certification bodies such as BPJPH have a positive impact in strengthening the halal industry as a whole.However, BPJPH must continue improving supporting infrastructure and human resources to maximize its role.According to (Othman et al, 2017), adequate infrastructure and human resources are critical factors in the success of halal certification institutions.Therefore, BPJPH needs to continue to develop the capacity and competence of its human resources, as well as improve the infrastructure that supports monitoring and certifying halal products.
Close cooperation with various stakeholders in the halal industry is also essential.According to (Purusottama et al, 2023), collaboration between halal certification institutions, government, industry, and society is the key to the sustainable development of the halal industry.By working together synergistically, BPJPH can create a conducive environment for the growth of the halal industry, which ultimately contributes to economic growth and community welfare.In this context, BPJPH must strengthen cooperation with the government, industry, and society to develop the halal industry.According to (Waharini & Purwantini, 2018), government support is essential in creating regulations and policies that support the growth of the halal industry.Therefore, BPJPH needs to play an active role in formulating policies related to the halal industry and collaborating with the government to improve infrastructure and human resources that support the halal industry.

D. Conclusion
Based on the described research results, it can be concluded that The Halal Product Assurance Organizing Body(BPJPH) plays a significant role in developing the halal food industry among urban Muslims in Indonesia.BPJPH ensures the halalness of food products through an accurate and trustworthy certification process and enhances consumer confidence in halal products.By providing halal certification, which is regarded as a trusted quality standard, BPJPH contributes to increasing the demand for halal products in the market.It aligns with the findings of previous studies, highlighting the importance of halal certification in influencing consumer behavior towards halal products.
Additionally, through outreach and training activities, BPJPH increases industry awareness and knowledge about correct halal practices.In doing so, BPJPH ensures halal products and improves overall production quality.However, to fully realize its role in developing the halal industry, BPJPH must continue to enhance supporting infrastructure and human resources and foster close cooperation with various stakeholders in the halal industry.
This conclusion underscores the potential of BPJPH in strengthening the halal industrial ecosystem in Indonesia, thereby contributing to economic growth and social welfare.Nevertheless, challenges persist in optimizing BPJPH's role, such as the growing complexity of the industry and increasing consumer demand for halal products.Thus, a strong commitment from BPJPH and relevant stakeholders is crucial to innovate and collaborate effectively, ensuring Indonesia's halal industry's

Table 1 .
The Role of BPJPH in Halal Industry Development