Operational & Commercial Permits

Operational & commercial permits (Izin Usaha Operasional & Izin Usaha Komersial) refer to company-specific types of registrations, certificates and permits.

Permits

In general, the company has to have its business licensing in place, before it can obtain additional permits.

Note that most companies do not need additional permits to commence its operational and commercial activities.

 

However, some (consumer) products need a specific production or distribution permit, before the company is permitted to produce a/o distribute these products.

The relevant authorities can revoke a license when a company has not fulfilled its commercial a/o operational permit requirements.

Product Registration

If your company is producing a/o distributing certain goods and services, your product needs to be registered in Indonesia.

The following products require registration at the National Agency of Food & Drug Control (BPOM):
  • Food & Beverage
  • Drugs & Medicine
  • Cosmetics & Personal care

If you plan to import products which fall under a category on this list, then you need permission of the BPOM, known as the Badan Pengawas Obat dan Makanan.

So prior to registration, you first need a specific import permit, known as a Surat Keterangan Impor (SKI) approved by the BPOM.

The basic registration process consists of 4 main steps:
  1. Company registration at the BPOM
  2. Facility inspection
  3. Product category requirement validation
  4. Product registration number(s) issuance

We can determine and submit all the required documentation on your behalf and monitor the process.

Getting a BPOM registration can be an extensive process with additional product specific requirements depending on the category. Please contact AdvintA to get specific information about the processes involved regarding BPOM product registration.

Halal Certification

For businesses to label their products as ‘halal’, a certification is required for some products that are produced, imported, distributed a/o sold in Indonesia. Halal basically means ‘permitted’ as apposed to haram, being not-permitted.

Halal labeled products show that they comply with the Islamic laws so Muslims can determine that these products are permissible for them to consume or use.

The Institute for the Assessment of Food, Drugs and Cosmetics of the Indonesian Ulama Council (LPPOM MUI) is the authority tasked with carrying out the halal certification process. This includes registration, document collection, auditing and reporting.

Thereafter, the halal status of the product’s ingredients is determined by the Fatwa Commission, after which the Indonesian Ulama Council (MUI) issues the halal certificate.

The basic registration process consists of 4 main steps:
  1. Fulfill the halal requirements regarding the raw materials, production process and end-product, implementing the Halal Assurance System (HAS).
  2. Prepare the required documentation to apply for the halal certification.
  3. Fill in the required documents for the registration process and submit these to LLPOM MUI for processing.
  4. When the product meets the HAS requirements and passes the LLPOM MUI lab analysis, then the MUI issues the halal certificate.

We can determine and submit the required documentation on your behalf and guide you through the process.

Some imported products which are already certified in the country of origin as halal, only need to be registered at the Halal Product Guarantee Agency, known as Badan Penyelenggara Jaminan Produk Halal (BPJPH). Thereafter, the products can be distributed and sold in Indonesia without going through the Indonesian application process as outlined above.

However, overseas products that are certified as halal by a foreign certification institution which is not on the approved list of the BPJPH will need further assessment by the applicable authorities, before they also can be labeled as halal in Indonesia.