Halal Certification Implementation Strategies for Fashion Product
Abrista Devi and Kholil M. Nawawi
Islamic Economic Department, Ibn Khaldun University, Jl KH Sholeh Iskandar KM.2, Kedung Badak, Tanah Sereal, Kota
Bogor, Jawa Barat, Indonesia
{abristasmart, kholiluika3}@gmail.com
Keywords: Halal Certification, Islamic Fashion, SWOT, Analytic Network Process.
Abstract: The aim of this study is to explore the strategies of Halal certification implementation for fashion product
using SWOT (Strength, Weakness, Opportunity, and Treat) approach and Analytic Network Process (ANP)
method analysis. This study also tries to find the main strategy that can be implemented to encourage the
implementation of Halal certification for fashion product in Indonesia. The findings of this study indicate
that the increasing of Muslim trust is being the highest priority of strength, additional cost for micro and
small business as the highest weakness, increasing the competitiveness and profit as the highest level of
opportunity and the last one is culture contamination perception as the main treat of halal certification
implementation for fashion product. In order to reach the goal, all those priority criteria need to be
considered properly by taking synergy among stakeholders and promotion. This element of strategy takes
the highest priority of strategy cluster. The government must have a synergy with relevant parties such as
ministry of religious affairs, ministry of industry, ministry of trade, and some other ministries. The synergy
also must be made with Indonesian ulama council, halal community, campus organization, and practitioners
of Modest fashion as well to deliver education and socialization regarding the importance of halal
certification for fashion product.
1 INTRODUCTION
Central Intelligence Agency has been reported that
Indonesia is the five biggest populations in the
world, with the total number of population based on
statistic data is 258,316,051 of people (CIA, 2016).
Indonesia population is dominated with Muslim
people with the number of Muslim people is about
85% or 219,568,643 people. In 2010, Indonesia was
being the largest Muslims population in the world,
and it is expected to be increased by 2030. The need
of Muslims fashion in Indonesia is increasing as
well as the increasing of Muslims populations itself.
According to the report of State of the Global
Islamic Economy Report in 2016/2017, it is about
$243 billion Muslim spend on apparel and footwear
and estimated about $44 billion revenues from
modest fashion clothing purchased by Muslim
women. In 2015, Indonesia was the third country
with the biggest number of hijab (Islamic fashion)
consumption in the world after Turkey and United
Arab Emirates (UAE), but in 2016 Indonesia is not
in the top 10 of modest fashions any longer.
Indonesia with the biggest Muslim populations is
estimated to have halal modest fashion as the
biggest contribution of Global Islamic Economy
Indicators. Another analysis has been captured by
the number of volume of millennial interaction
recorded by country and sector, where Indonesia has
the highest rank of this indicator. Global Islamic
Economy Indicators 2016/2017 indicates that 54%
of Indonesia millennial interactions related to the
Modest Fashion sector. This data obviously would
be the basis data to indicate that Indonesia has the
highest demand of the modest fashion product.
Halal fashion product is being a new issue
recently after some of business fashion owner state
their product is secured from unlawful (haram)
material and also halal to be used. Some literature
review put halal as one indicator of product attribute
(Verbeke, 2005; Mohayidin and Kamarulzaman,
2014; Yunos et al., 2014). Verbeke (2005) stated
that halal is a part of product attribute which refers
to the nature, origin, and process method from raw
material until ready to consume. In order to produce
the product, halal aspect is needed to ensure that
producer keeps concern on animal welfare and its
Devi, A. and Nawawi, K.
Halal Certification Implementation Strategies for Fashion Product.
In Proceedings of the 1st International Conference on Islamic Economics, Business, and Philanthropy (ICIEBP 2017) - Transforming Islamic Economy and Societies, pages 645-649
ISBN: 978-989-758-315-5
Copyright © 2018 by SCITEPRESS – Science and Technology Publications, Lda. All rights reserved
645
sustainability issues into account, such as the quality
of material is clearly declared through the label or
package of the product.
Al Jallad (2008) conveyed in his study that halal
and haram assurance not only implemented to
product, but also can be implemented to speech,
manner, the way to get dressing, etc. Elasarg (2016)
also confirmed that the halal industry has expanded
into lifestyle involve halal travel, service &
hospitality and fashion. In order to identify whether
the product consumed halal or haram, it is required
the legal label which is issued by government. The
studies conducted by Abdul et al. (2009) in
Malaysia, only 64.9 percent of SMEs which have
been observed own halal certification and 44.3
percent of these entrepreneurs are muslims. The
study conducted by Verbeke (2005) stated that
religion and halal certification have a significant
correlation, while halal certification and venturing
internationally have not.
According to the Indonesia’s law number 33 year
2014 about Halal Product Guarantee (Jaminan
Produk Halal / JPH), the material and the process of
clothes and shoes production in fashion industry
must be halal detected. Unfortunately, halal
certification for fashion product is just a new idea
and hasn’t been supported by the existing of
assessment agency. Hence the communication
source and message conveyed with respect to the
credence quality have to be trustworthy and
believable (Verbeke, 2005).
Not all muslim entrepreneurs own halal
certification for their fashion product (Abdul, 2009).
Obviously, it is ironic, when the 85% of Muslim
population in Indonesia don’t have the guarantee to
have halal modest fashion product. Sociologically, it
is normal if the Muslim customer seek a halal
guarantee from the producer, businessman, and
government regarding to the halal certification
provision of the modest fashion product. Therefore,
the objective of this study is exploring the
appropriate strategies to implement halal
certification for modest fashion product by
considering internal and external condition.
2 METHODS
In order to gather the primary data of fashion
product halal certifications strategies, the main
source of data that conducted in this research comes
from empirical in-depth interviews with 7 experts
consists of 2 experts from Indonesian Ulama
Council (MUI), 4 experts from academia, and 1
experts from modest fashion player. Those experts
are known have good understanding about the
problem studied using an open-ended questionnaire.
Interviews between interviewer and informant are
conducted face to face. The interview transcripts
used are to be based upon no less than one hour of
interviewing time in order to address the problems
being studied. The obtained-interview result will be
structured using SWOT (strength, weakness,
opportunity, and treat) approach, and explore the
elements of each aspect in order to find the best
strategy to implement halal certification for fashion
product in Indonesia. A second meeting (interview)
with experts and practitioners is required to
synthesize the aspect/element, and create a priority
scale. In this step, the interviewer uses a pair-wise
questionnaire to obtain the ratio scale of the
problems based upon the model discussed in the first
step of the interview. This study employs an
Analytic Network Process (ANP) analysis method in
three steps. Tanjung and Devi (2013) stated there are
three steps conducted using ANP method namely,
problems decomposition, pair-wise questionnaire,
and synthesis/analysis.
3 RESULTS AND DISCUSSION
3.1 Decomposition of Problems and
Strategies
The controversy of halal fashion appeared after one
of Indonesia’s Muslim fashion companies ‘Zoya’
brand in their social media account has claimed that
Zoya has been awarded the first Halal certification
for hijab from Indonesian Ulama Council. The claim
of halal hijab was discussed by most people in
social media, involve questioning about why hijab is
needed to be categorized as halal or not.
Using textile product which is contained pork
gelatin would cause a big problem for Muslim,
especially when they use it for prayer. Although that
certain gelatin is istihalah (from the fiqh point of
view is defined as changing the nature of the defiled
or forbidden substance in name, properties, and
characteristics (Kamali, 2011) from pork, it will not
change the substance of fiqh from haram to Halal.
Therefore, the controversies to exclaim halal
certification for fashion product is urgently need
some strategies.
Decomposition of ANP model which has been
conducted from in-depth interview to some expert
generates some strategies to implement halal
certification for fashion product. The first strategy is
ICIEBP 2017 - 1st International Conference on Islamic Economics, Business and Philanthropy
646
having a synergy among stakeholders. The
government have to synergy with relevant parties
such as ministry of religious affairs, ministry of
industry, ministry of trade, ministry of cooperatives
and small and medium enterprises, ministry of
tourism, Indonesian Ulama council, halal
community, campus organization, and practitioners
from Muslim fashion industry. They have an
important role to deliver education and socialization
regarding to the importance of halal certification for
fashion product. Second strategy is elevating
domestic design in order to be more recognized by
international citizen. The third is establishing the
funding facility from the government to help small
micro enterprises (especially for Islamic fashion
enterprises) to promote and distribute their product.
This strategy is aimed to reinforce the middle-class
fashion industry competitiveness development, so
that halal product will be dominant than others. The
forth is the existence of government regulation to
constrict importer in serving textile raw material by
developing bonded logistic center (Pusat Logistik
Berikat / PLB). The fifth is having an intensive
promotion to foreign countries by emerging Islamic
fashion exhibition internationally in order to
introduce local brand to the world and be well-kwon
product. The sixth is increasing and developing
human resource that has good knowledge in Islamic
fashion (modest design, substantive of fiqh, and
fashion technology).
In order to achieve the goal, some criteria of four
aspects need to be considered. There are strength,
weakness, opportunity and treat. Strength aspect
involves of the increasing of Muslim trust and being
a trendsetter. By implementing halal label for
fashion product, societies have no doubts to promote
and wear fashion product, especially use it for
worship. Indonesia also will be the pioneer for halal
fashion product in the world by considering of each
production aspect and sharia compliance design.
The weakness aspect involves of the rates charged
which is entailed for halal certification will burden
additional cost especially for small micro enterprises
and there is no sanction if the industry do not
attached halal label in their product.
The opportunity aspect involves of the increasing
of competitiveness and profit in Islamic fashion
business because of the large number of Muslim
population and the increasing of world Muslim
awareness regarding to consume halal product.
Despite of increasing the competitiveness and profit,
another opportunity is Halal certification will lead
the businessman/women easily to export their
product to various countries especially to the
countries that has special concern regarding to halal
product. The treats aspect consists of halal label
which is attached in the fashion product will emerge
unrest to the society and culture contamination
perception. The existence of Islamphobia
assumption will emerge the perception of Arabic
culture and will eliminate Indonesia culture.
3.2 Synthesis Results
The results obtained show a statistical consensus of
the experts and practitioners in relation to criteria of
strength, weakness, opportunity and treat and
strategies of halal certification for fashion product.
Statistical consensus is addressed to identify the
most priority element in order to reach the best
implemented strategy.
The finding of strength cluster shows that the
need to increase Muslims trust to halal product is
escalated (it takes the highest score 55.03%). Being
a trendsetter is less priority (38.16%). This is
evidenced from interview with Islamic fashion
entrepreneur(s) and expert of fiqh who become
respondents of this research, who proposed the
importance of attaching halal label for fashion
product. Moreover, textile material is often used in
daily activity especially for worship. Therefore,
Muslim consumers need a guarantee from the
producers that the clothes or shoes they wear for
worship is not contaminated with forbidden
materials. So that, halal label implementation for
fashion is considered increasing the trust of Muslim
society and there is no doubt for them to use textile
product. This finding is supported by Verbeke
(2005); Quantaniah et al. (2013); Baharuddin et al.
(2015) stated that when the word of halal is labeled
to the product, it means that producer want to
communicate to the customer and tell them that their
products have been fulfilled sharia quality.
Therefore, the customer is expected to be
trustworthy and believable.
Moreover, it is understandable that by
implementing halal certification to the product will
cause to the emerging of additional cost to the
producers. This problem takes the highest priority
(48.79%) of the weakness cluster. It means that
fashion producers need to pay extra cost for
launching their product to get Muslim’s trust. This
finding is supported by Abdul (2009) where the
process of getting halal certification is tedious and
stringent. Therefore, the impact of this condition is
some muslim entrepreneurs just remain focus on
how do they can meet the quality standard of the
Halal Certification Implementation Strategies for Fashion Product
647
product rather than have to process halal label as
attribute of the product.
Somehow, the difference of weight value
between these two elements is insignificant. There is
no sanction to the producers who doesn’t attach the
halal label to their product make the halal label is
only being the complement of marketing (it takes the
second priority 47.71%). It can be seen from the
case of food industry, not little industries who don’t
attach halal label to their product but the product is
still be consumed by Muslim customer (Abdul,
2009). Some Muslims felt unsettled to the issue of
halal product, but another are apathy. The lack of
Muslim awareness to the halal product assign that
the halal certificate is not important to the most
Muslim society in a country (Salman and Siddiqui,
2011; Rajagopal et al., 2011, Rahim et al., 2013;
Yunos et al., 2013; Ahmad et al., 2013). The same
condition is predicted would happen as well for
fashion product.
The main opportunity of implementing halal
certification for fashion product is expected to
increase the competitiveness in global fashion
industries (it takes the highest priority 63.77%).
Indonesia would be a leader for Islamic fashion in
the world. We highly believe that halal certification
implementation for fashion product will generate
more profit to the producers. Yunos et al. (2013)
through his study confirmed that halal label will
help business owner to promote their product and
obviously will lead to income. This evidence also
was proven by Baharuddin et al. (2015) regarding
the halal label will emerge the profit for the
entrepreneurs. Till to date, there is no country in this
world that is implementing halal certification for
fashion product, even Arabic countries.
As one of the world’s most diverse countries,
Indonesia has diversity of cultures, ethnicities,
religions and languages. It is estimated that
Indonesia has over 300 ethnic groups, 750 languages
and dialects and 5 recognized religions. Therefore,
no doubt that Indonesian people are highly
appreciated to their culture and feel proud of it.
However, this diversity seems not applicable to
Muslim. Islamic fashion is often called (known) as
Arabic fashion. Some people are worried that
Indonesia’s culture will be contaminated with
Arabic culture if Islamic fashion designers apply and
recognize their product as Islamic fashion. Culture
contamination perception takes the highest priority
(59.35%) of the treat cluster.
Clothing code (particularly the headscarf) is one
of the most visible and origin sign of Muslimah
(women muslim), but in a western context it is still
being a controversy. There are a number of reasons
for this, some are based on misunderstanding, some
on politics, and some just on the incongruity of the
Islamic and current Western dress codes
(Boulanouar, 2006). It is also supported by the
research conducted by Roald (2001) and El Guindi
(1999) stated that the emphasis on political Islamic
though in contemporary research on Muslims might
also be attributable to the fact that religion in a
Western context tends to be considered as belonging
to the personal sphere, which might make it difficult
for researchers reared in such a tradition to wholly
grasp the idea of Islam as “a comprehensive
system”. Jameelah (1978) stated that all the relevant
things to Islamic view are backward, primitive, or
even irrelevant to the freedom.
The finding of strategy cluster is in-line with in-
depth interview result to some Islamic fashion
business owner. They argued that in order to
improve Islamic fashion industries in Indonesia, the
government need to have a synergy with relevant
parties such as ministry of religious affairs, ministry
of industry, ministry of trade, ministry of
cooperatives and small and medium enterprises,
ministry of tourism, Indonesian ulama council, halal
community, campus organization, and Islamic
fashion industry (it takes the highest priority
18.49%). This synergy is considered to improve not
only the implementation of halal
certification for
Islamic fashion but also improve the promotion that
coverage to local and international scope.
This finding is fully supported by study
conducted by Darby and Karni (1973) that halal is a
credence quality attribute, a product characteristic
that cannot be evaluated or ascertained by the
individual consumer, even upon or after consuming
the good. Therefore, in order to reach this goal, it
highly needs the serious role from the government to
implement halal certification for fashion product.
Zakaria (2008); Kamali (2011) also explained that
government departments, universities, and other
relevant institutions should coordinate their efforts
more effectively to concern on the development of
halal industry, and also evolve in response to the
new halal issue.
4 CONCLUSIONS
Halal certification for fashion product is considered
could raise Muslim trust for fashion product. On the
contrary, halal certification is considered could
generate the additional cost to some fashion-players.
But in another side, halal certification is also
ICIEBP 2017 - 1st International Conference on Islamic Economics, Business and Philanthropy
648
considered could generate more income to the
modest fashion producers. Culture contamination
perception takes the highest priority of treat cluster;
therefore, Islamic fashion producers and government
need to consider properly regarding to the society
perception, especially for Indonesian people. By
implementing halal certification for fashion product,
it is normally that the government, especially
(Indonesian Ulama Council/MUI) will face pro and
cons from the society. Finally, synergy among
stakeholders to socialize and educate people with
halal fashion product and promotion take the highest
priority of the strategy. The implementation of halal
certification for halal fashion product is urgently
needed as guidance for consumers and producers in
producing halal product. Therefore, there should be
a mutual agreement among decision-makers in
supporting the existence of halal certification for
fashion product in Indonesia.
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