The opportunities and challenges of the halal food industry in Indonesia: some notes from Quranic and economic perspectives

Peluang dan cabaran industri makanan halal di Indonesia: beberapa catatan daripada perspektif al-Quran dan ekonomi

Authors

  • Azwar Azwar Sekolah Tinggi Ilmu Islam dan Bahasa Arab (STIBA), Makassar, Indonesia, 90234
  • Abur Hamdi Usman Kolej Universiti Islam Antarabangsa Selangor (KUIS), Malaysia https://orcid.org/0000-0001-5179-1648
  • Mohd Farid Ravi Abdullah Kolej Universiti Islam Antarabangsa Selangor (KUIS), Malaysia

DOI:

https://doi.org/10.53840/alirsyad.v7i1.270

Keywords:

Halal, Food, Opportunity, Challenge, SWOT

Abstract

With all the potential that Indonesia has, the halal industry should be optimised to build the economy and prosper people's lives. This study aims to look further at the opportunities and challenges of Indonesia's halal food and beverage industry. This study uses a descriptive-qualitative method with a phenomenological approach and SWOT analysis techniques. The results showed that Indonesia has excellent food and beverage industry opportunities. For example, Indonesia has high growth in the number of Muslims. The target market in Indonesia is enormous, public awareness of consuming halal food continues to increase, and technology development is rapid. The existence of e-commerce and media continues to grow. In terms of financing, there are many choices of alternative financing platforms and collaboration opportunities with Islamic banking and financial institutions. However, this opportunity has not been fully utilised. Indonesia still has to face various challenges from various sides, such as limited access to international markets, a lack of research on market movements, and the utilisation of information technology to develop this industry is still low. Meanwhile, the form of policies from the central and regional governments are still not aligned, and the bureaucracy for inter-sectoral cooperation is still relatively. By looking at the results of the positioning analysis through the SWOT technique, it is recommended that the Indonesian halal food industry implement a growth strategy through horizontal integration. In this position, the Indonesian halal food industry has an excellent opportunity to grow by developing the halal food and beverage industry.

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Author Biography

Azwar Azwar, Sekolah Tinggi Ilmu Islam dan Bahasa Arab (STIBA), Makassar, Indonesia, 90234

Azwar is a lecturer and researcher at Sekolah Tinggi Ilmu Islam dan Bahasa Arab (STIBA) Makassar, Indonesia. Holding a Bachelor of Economics, Master in Economics Science from Universitas Darul Ulum, Indonesia, and Master in Public Administration from Universitas Terbuka, Indonesia. His fields of expertise are Islamic Economics, Islamic Studies, Economics, Management, Education, Statistics, and Social Science. He can be contacted at azwar.iskandar@gmail.com and azwar@stiba.ac.id.

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Published

2022-06-22

How to Cite

Azwar, A., Usman, A. H. ., & Abdullah, M. F. R. . (2022). The opportunities and challenges of the halal food industry in Indonesia: some notes from Quranic and economic perspectives: Peluang dan cabaran industri makanan halal di Indonesia: beberapa catatan daripada perspektif al-Quran dan ekonomi. Al-Irsyad: Journal of Islamic and Contemporary Issues, 7(1), 807-818. https://doi.org/10.53840/alirsyad.v7i1.270