An Analysis of Halal Regulation and Its Implications for MSMEs: A Systematic Literature Review

Abstract

This study aims to analyze halal regulations and their implications for Micro, Small, and Medium Enterprises (MSMEs) in Indonesia through a systematic literature review approach. The halal regulations, established by Law Number 33 of 2014 concerning Halal Product Assurance, mandate businesses to comply with halal certification standards, directly impacting the dynamics of MSME operations. Using the PRISMA 2020-based systematic literature review method, this study identified and synthesized 40 selected scholarly articles from major databases such as Scopus, Google Scholar, and ScienceDirect. The analysis reveals that the implementation of halal regulations offers significant opportunities for MSMEs to enhance competitiveness, market access, and consumer trust, particularly in the rapidly growing domestic and global halal markets. However, notable challenges were also identified, including limited access to information, relatively high certification costs, and insufficient technical assistance from relevant institutions. These implications call for collaborative strategies between the government, certification bodies, and MSMEs to create an inclusive and sustainable halal ecosystem. This study contributes original insights to the literature by offering a critical synthesis of the dynamics surrounding halal regulation and evidence-based policy recommendations to strengthen the MSME sector. It is expected that this research will serve as a vital reference for policymakers, academics, and practitioners in optimizing the potential of the national halal sector.

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