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Total Export Value Potential of Halal Food Reaches US$229 Million: Sri Mulyani

Translator

Antara

25 October 2020 15:00 WIB

Finance Minister Sri Mulyani. Instagram

TEMPO.CO, Jakarta - Finance Minister Sri Mulyani revealed that the total potential value of Indonesian halal food exports reached US$229 million.

"If we look at Indonesia, currently, there are 10 top halal food products, with a total export value potential of US$229 million," Sri Mulyani noted during an online seminar in Jakarta, Saturday.

The minister stated that these products were exported to 29 Muslim-majority countries, which was an area that could still be improved.

The top 10 halal food products include margarine, which is related to crude palm oil (CPO) and its derivatives.

"Of course, we still have a big opportunity for our export share of up to 61 percent that Indonesia should be able to utilize to increase the exports of several products," the minister stated.

The minister noted that of the 10 types of food, margarine, wafers, biscuits, processed pineapple, packaged coffee, coffee extract, malt extract, sauce, baby food, bread and cakes were products consumed by various countries, especially Muslim-majority countries.

The government provides fiscal incentives that can be used to encourage investment and boost exports of halal products. These incentives are delegated to the Investment Coordinating Board (BKPM), so that it can directly provide various incentives for investment in priority areas.

In his presentation, the finance minister highlighted income tax facilities in the form of tax holidays, tax allowances, reduced import income tax, and super deduction for vocational research and training.

Meanwhile, incentives from customs and excise facilities are exemption/return of import duty to Export Destination Import Facility (KITE) companies, government-borne import duties for certain industries, and so on.

Incentives from value-added tax (VAT) facilities include VAT deductions for capital goods, health and education services, social services, and export services.

Meanwhile, special facilities to support halal products include facilities in special economic zones, free trade zones, and industrial areas.

Also Read: Minister Highlights Free Halal Certification of MSME Under Omnibus Law

ANTARA



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