MSMEs and Halal Certification: The Issue of Ingredient Traceability

Many MSMEs already understand the importance of halal certification. However, when they begin the process, they often run into a problem that is not always visible on the surface: raw material traceability. It is not merely knowing what ingredients are used, but being able to prove their origin in writing down to the supplier.

Why traceability is an issue

Halal certification does not stop at a statement that a product contains no pork or alcohol. The process requires evidence that every ingredient entering the production line has a clear and accountable origin. This is where MSMEs often face difficulties.

MSMEs generally buy ingredients from small distributors or markets. Purchase documents are simple receipts, without information on the original producer. When asked to trace the source of ingredients, MSMEs do not have adequate records. As a result, the certification process is held up not because the product is problematic, but because the documents are incomplete.

Critical points that require tracing

Some ingredients require special attention because their halal status depends on the source. Available critical point data provide a concrete picture.

• Pepsin. A protein-digesting enzyme from the stomach of pigs or cattle, used in the cheese and pharmaceutical industries. Alternatives are pepsin from the stomach of halal-certified cattle or microbial protease enzymes.
• Alcohol-solvent propolis. The source is halal, but the extraction process generally uses high-concentration ethanol. Alternatives are water-extracted propolis or alcohol-free propolis powder.
• Mechanically separated meat (MSM). Meat remaining on bones that is extracted by machine, with a risk of mixture from various types of animals. A guarantee of a dedicated halal production line and a certificate from a certified slaughterhouse are required.
• Lecithin (E322). An emulsifier generally from soybeans, but partly from egg yolk or animal fat. Alternatives are soybean lecithin or sunflower lecithin clearly stated on the label.

For MSMEs, the issue is not only whether these ingredients are present in the product. The issue is whether MSMEs can show documents explaining the origin of these ingredients when asked.

The root of the problem at the supplier level

Ingredient traceability is closely tied to the supply chain. MSMEs that buy from small distributors often do not receive adequate information about the original producer. Large producers usually have halal certificates for the ingredients they sell, but that information does not always reach buyers at the lower level.

There are also ingredients bought in large packaging and then repacked into small packaging. In that process, the producer's identity and certificate number can be lost. MSMEs then find it difficult to reconstruct the origin of ingredients when preparing documents.

Another problem arises when MSMEs use bulk or unbranded ingredients. The price is cheaper, but origin information is unavailable. In the short term this is beneficial, but it complicates the certification process.

Practical steps that can be prepared

MSMEs do not have to wait for everything to be perfect to start improving traceability. The following steps can be taken gradually.

1. Record every ingredient purchase. Keep receipts or invoices that state the ingredient name, quantity, date, and supplier name. If possible, request information on the original producer.
2. Request halal certificate information. For ingredients whose status depends on the source, ask the supplier whether the ingredient has a halal certificate. Keep a copy or screenshot of the information.
3. Separate ingredients that are clear from those that are not. Plant-based ingredients such as soybean lecithin are relatively easier. Animal-based ingredients or alcohol derivatives require more attention.
4. Compile a supplier list. This list helps MSMEs see which suppliers have complete documents and which need further inquiry.
5. Use ingredients with clear labels. If there is a choice, prioritize ingredients that explicitly state the producer and source information.

These steps do not guarantee that certification will be completed automatically. However, organized traceability makes the inspection process easier and reduces the possibility of documents being returned as incomplete.

The role of assistance

Some MSMEs find it burdensome to trace the origin of every ingredient themselves. This is where assistance plays a role. Facilitators can help map which ingredients need deeper tracing, prepare a list of questions for suppliers, and organize existing documents.

It should be noted that determining the halal status of a product is the authority of the MUI Fatwa Commission or the Halal Product Fatwa Committee. Halal certificates are issued only by BPJPH. Assistance focuses on document and system readiness, not on determining the halal status of the product.

Organizing from now

Ingredient traceability is work that piles up if postponed. The longer MSMEs sell without recording ingredient origins, the harder it is to reconstruct the information when needed. Conversely, the habit of recording purchases and keeping supplier information will make the certification process easier in the future.

For MSMEs that want to organize ingredient traceability while preparing certification documents, IndoHalal.id provides regular halal certification assistance services that guide the process from readiness assessment to certificate issuance.