Jakarta Entrepreneurs Shine at Saudi Halal Expo 2024

Jakarta has made a bold statement in the international halal market with its recent participation in the Saudi International Halal Expo and Summit 2024. Hosted from October 28 to 30, 2024, at the Riyadh International Convention and Exhibition Center, this expo brought together more than 200 exhibitors and 10,000 visitors from over 35 countries, providing a unique platform for businesses worldwide to showcase their halal-certified goods and services. For Jakarta’s Industry, Trade, Cooperatives, Small and Medium Enterprises (PPKUKM) Agency, the event was an opportunity to connect local SMEs with global partners, providing avenues for expansion and international collaboration.

1. Jakarta’s Participation

Indonesia has the largest Muslim population in the world, and its market for halal products is steadily growing. Yet, the PPKUKM Agency recognized that Jakarta’s local brands needed more exposure to truly benefit from the global halal economy. “We are proud to introduce six of our SMEs to an international audience here in Riyadh,” shared Jakarta PPKUKM Agency Head Elisabeth Ratu Rante Allo. These SMEs included Cairo Food, Crispy Salad, Kopi Presiden, Mitra Samba, Zulfa Collection, and Santoon – each representing a unique product line that aligns with Indonesia’s culture and halal standards.

2. The SMEs Representing Jakarta

Each SME presented at the Saudi Halal Expo 2024 was selected for its ability to represent Indonesia’s diverse and vibrant culture. Cairo Food combines Middle Eastern and Indonesian flavors to create a unique food experience that appeals to halal-conscious consumers worldwide. Crispy Salad is another innovator in the food sector, offering a variety of nutritious, halal-certified salad options tailored to health-conscious consumers. Kopi Presiden showcases Indonesia’s coffee heritage with ethically sourced and high-quality beans. Mitra Samba, a sustainable food company, offers products that appeal to eco-conscious consumers, while Zulfa Collection and Santoon showcase modest fashion that’s both trendy and halal-certified. These businesses not only cater to halal requirements but also prioritize sustainable and ethical production methods.

3. Indonesia’s Halal Economy

Jakarta’s participation in the Saudi Halal Expo aligns with Indonesia’s broader economic goals of becoming a global leader in the halal economy. Indonesia has recently made strides to support its halal industry, including launching the Halal Product Assurance Agency (BPJPH) in 2023 to ensure that local products meet international halal standards. By gaining exposure on a global stage like the Saudi Halal Expo, these Indonesian SMEs are expected to attract partnerships, increase exports, and expand their influence in the international market.

Jakarta’s local halal industry’s expansion into Saudi Arabia also benefits from a strategic focus on business matching sessions, an integral part of the expo. “We are here to find not just buyers, but partners who can help us grow sustainably,” explained Allo. This event is expected to open doors for long-term collaborations with businesses in Saudi Arabia, the wider Middle East, and beyond.

4. Why Saudi Arabia?

Saudi Arabia’s halal market potential cannot be overstated. With over 97% of the population identifying as Muslim, the demand for halal products is immense. Beyond food, there is growing interest in halal finance, tourism, cosmetics, and pharmaceuticals. The country has increasingly emphasized the importance of the halal market in line with its Vision 2030 plan, which aims to diversify its economy by strengthening sectors outside of oil, including tourism and Islamic finance.

This burgeoning market provides ample opportunity for Jakarta’s SMEs. The Saudi government, for example, has been actively promoting tourism, to attract 100 million visitors by 2030. Events like the Saudi Halal Expo help connect international suppliers with Saudi distributors and consumers, who are eager to explore new halal-certified products.

5. Jakarta’s SMEs

One sector that holds immense promise for Jakarta’s businesses is halal tourism, which is gaining traction in Saudi Arabia. The global halal tourism market is expected to reach $300 billion by 2030, driven by rising interest in travel options that accommodate Muslim travelers’ needs. By attending the Saudi Halal Expo, Jakarta’s SMEs are ideally positioned to tap into this lucrative market. With their diverse product lines that meet halal requirements, these businesses can appeal to both local Saudi consumers and international tourists visiting the kingdom.

For example, Cairo Food’s fusion dishes, inspired by both Middle Eastern and Indonesian flavors, resonate well with travelers seeking authentic, halal-certified dining experiences. Similarly, Jakarta’s modest fashion brands like Zulfa Collection and Santoon offer a fresh take on trendy yet halal-compliant attire, appealing to Muslim women in Saudi Arabia and beyond.

6. Emphasis on Sustainability

The Saudi Halal Expo 2024 places a heavy emphasis on two pillars: innovation and sustainability. With consumers increasingly interested in environmentally conscious products, the expo invited exhibitors who prioritize eco-friendly practices. For Jakarta’s SMEs, this theme aligns perfectly with their business values. For instance, Kopi Presiden emphasizes sustainable sourcing of coffee beans and eco-friendly packaging, while Mitra Samba has been lauded for its commitment to sustainable food production practices.

These Indonesian companies’ focus on sustainability is significant, especially in a market like Saudi Arabia, where the government has committed to the Saudi Green Initiative. This initiative, part of Vision 2030, encourages local businesses to adopt greener practices. By participating in the Saudi Halal Expo, Jakarta’s SMEs align themselves with this mission, increasing their appeal to Saudi consumers and stakeholders who prioritize sustainability.

7. Saudi Arabia’s Growing Demand

While food remains a cornerstone of the halal industry, the market has expanded considerably, encompassing sectors like pharmaceuticals, beauty, finance, and logistics. At the Saudi Halal Expo, Jakarta’s representatives connected with industry leaders across these sectors, opening possibilities for partnerships in fields beyond food and fashion. With the global halal market projected to reach USD 3.2 trillion by 2028, Jakarta’s SMEs have significant growth potential across multiple industries.

In particular, Islamic finance is a rapidly growing field in Saudi Arabia, and Jakarta’s SMEs may find new avenues for halal-certified investment and financing options. Financial institutions in the kingdom are increasingly looking for products and services that cater to Muslim clients, creating opportunities for Jakarta-based entrepreneurs to explore financial partnerships.

8. Market Accessibility

To meet the rising global demand, halal certification is critical. As a country deeply rooted in Islamic values, Saudi Arabia prioritizes high standards of halal certification for products entering the market. Indonesia has been proactive in this regard, establishing the BPJPH, which ensures local products meet international halal standards. Jakarta’s participation in the Saudi Halal Expo reinforces Indonesia’s commitment to certification and quality, boosting the credibility of Indonesian products in the international halal market.

For Saudi businesses looking to diversify their offerings, Jakarta’s halal-certified products provide a unique advantage. The certifications assure consumers of the products’ compliance with strict halal requirements, making them a reliable choice for Saudi distributors and consumers alike.

9. Bilateral Trade Ties

Jakarta’s involvement in the Saudi Halal Expo 2024 also signifies a strengthening of economic ties between Indonesia and Saudi Arabia. Over the past few years, both countries have explored ways to increase bilateral trade, with the halal industry seen as a promising avenue for growth. In 2022, trade between Indonesia and Saudi Arabia reached a record high, indicating a shared interest in expanding economic collaboration. By participating in high-profile events like the Saudi Halal Expo, Jakarta contributes to building a robust trade relationship that can benefit both countries’ economies.

For instance, Indonesia’s exports to Saudi Arabia have seen consistent growth, with halal-certified food and fashion products among the top exports. The Saudi Halal Expo serves as a springboard for Jakarta to introduce new products to the Saudi market, with potential benefits for the larger Indonesian economy.

10. Indonesia in the Halal Economy

As the global demand for halal products continues to rise, Indonesia is positioning itself as a central player in the halal economy. By 2028, Indonesia aims to be a top exporter of halal goods, with a focus on food, fashion, pharmaceuticals, and cosmetics. Jakarta’s participation in the Saudi Halal Expo 2024 is a step towards achieving this goal, allowing local SMEs to forge international connections and gain insights into the preferences of Saudi consumers.

To support its SMEs, the Indonesian government has announced several initiatives, including grants, subsidies, and educational programs that help businesses obtain halal certification and understand export regulations. This support enables Jakarta’s SMEs to better compete in the global market, fostering an environment where halal businesses can thrive internationally.

Indonesia’s Halal Industry

The Saudi Halal Expo 2024 has provided Jakarta’s entrepreneurs with an invaluable opportunity to gain visibility, foster partnerships, and expand their reach in the international market. With a strong commitment to innovation, sustainability, and halal standards, Jakarta’s SMEs are poised to make a lasting impact on the global halal economy. Through events like this expo, Indonesia continues to pave the way for local businesses to succeed on a global scale, supporting its vision of becoming a leader in the halal industry. For Jakarta’s SMEs, the journey to Riyadh has not only opened new doors for trade but also strengthened the bond between Indonesia and Saudi Arabia – a partnership set to flourish in the coming years.

With their participation in the Saudi Halal Expo 2024, Jakarta’s businesses are well-positioned to capture new markets, drive exports, and contribute to Indonesia’s growing influence in the halal economy. The road ahead holds vast potential, and for Jakarta’s entrepreneurs, this expo marks the beginning of a promising future in the global halal marketplace.