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Indonesia’s Halal Value Chains Tied to 27 Percent of GDP, BPJPH Says

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BPJPH head Ahmad Haikal Hasan told a public discussion organized by Universitas Paramadina that 27 percent of Indonesia’s GDP is tied to halal value chains, and said Indonesia must not only be a market for halal goods but also a producer of them.

2026-08-29 by Hafiz M. Ahmed

Ahmad Haikal Hasan, head of Indonesia’s Halal Product Assurance Organizing Agency (BPJPH), told a public discussion organized by Universitas Paramadina that 27 percent of Indonesia’s gross domestic product is linked to halal value chains, a share the agency’s official release attributes to third-quarter 2025 data. That release dates the session to Monday, August 24, 2026.

Beyond Food and Beverage

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The session, titled “Industri Halal: Masa Depan Industri dan Ekonomi Indonesia,” drew about 100 people in person and online, according to BPJPH. Haikal used it to argue that the sector is read too narrowly. “Halal should not only be understood as food and beverages. That is only a small part. There are still many halal opportunities and potentials that can be developed,” he said, in ANTARA News’s August 28 report.

From Market to Producer

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“Indonesia must not only become a market. We must become producers. We must use our potential to build industries, create jobs, increase trade and drive economic growth,” Haikal said, per that same August 28 report, in a passage BPJPH’s own release carries in Indonesian. He cautioned that the country risks remaining primarily a consumer instead of becoming a global halal producer, and that report has him wanting the sector’s scope to take in production capacity, trade, investment and new jobs.

In that report Haikal also drew a conclusion from the statistic itself. Twenty-seven percent of GDP linked to halal value chains, he said, “shows that halal is not only about certification, but also makes a significant contribution to the national economy.”

A 27 Percent Figure He Has Cited Before

This isn’t the first time a 27 percent figure has appeared in Haikal’s public remarks. Kompas.com places those remarks in Jakarta on Tuesday, June 2, 2026, and reports him putting the halal industry’s contribution to national GDP at 27 percent. ANTARA News’s June 2 report gave the value of that contribution as roughly Rp4,900 trillion, a BPJPH figure, and converted it to about US$274 billion. “The halal industry contributes enormously to the national economy, accounting for 27 percent of national GDP,” he said then, in that same ANTARA report.

In those June remarks he also addressed who halal is for. “Halal is not only for Muslims. Halal is for all,” he said, per that June 2 report. The same report quotes him on the halal sector’s economic weight. “Its contribution to the economy and people’s livelihoods is tremendous, even though it often is not directly visible.” He described the chain behind each halal product too. “Behind every halal product is a long supply chain involving millions of business actors,” he said.

The Halal Times has separately covered Indonesia’s Islamic economy institutions and the argument that halal industry can carry Indonesia to developed-nation status.

Frequently Asked Questions

What percentage of Indonesia’s GDP is tied to halal value chains?

Twenty-seven percent, according to BPJPH, based on third-quarter 2025 data. Agency head Ahmad Haikal Hasan presented the figure at a public discussion organized by Universitas Paramadina, which BPJPH dates to August 24, 2026.

Who is Ahmad Haikal Hasan?

He is the head of Indonesia’s Halal Product Assurance Organizing Agency, the government agency responsible for halal certification. He made the 27 percent GDP remarks at a public discussion organized by Universitas Paramadina; BPJPH’s release puts that session on August 24, 2026.

How much is the halal industry’s contribution to Indonesia’s GDP worth in rupiah?

About Rp4,900 trillion. ANTARA News’s June 2, 2026 report gave the value of the halal industry’s contribution to national GDP as roughly Rp4,900 trillion, a BPJPH figure, and converted it to about US$274 billion. The rupiah amount isn’t a number Haikal is quoted as saying; it is the agency’s valuation. No source cited in this article attaches a rupiah value to the 27 percent of GDP linked to halal value chains that BPJPH reported in the Universitas Paramadina release.

What does Haikal mean when he says Indonesia must not only be a market for halal goods?

According to ANTARA News’s August 28, 2026 report, BPJPH head Ahmad Haikal Hasan wants the sector’s scope to take in production capacity, trade, investment and new jobs, and cautions that the country risks remaining mainly a consumer instead of becoming a global halal producer.

How many people attended the Universitas Paramadina discussion?

About 100 people attended in person and online, according to BPJPH’s official release, which says Universitas Paramadina organized the discussion.

Author

  • Hafiz M. Ahmed
    Hafiz M. Ahmed

    Hafiz Maqsood Ahmed is the Editor-in-Chief of The Halal Times, with over 30 years of experience in journalism. Specializing in the Islamic economy, his insightful analyses shape discourse in the global Halal economy.

    View all posts

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