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Andi Refandi
Andi serves as a Senior Account Executive on Emerhub’s global team.
Did you know that Indonesia boasts some of the fastest-growing consumer markets in Southeast Asia? Current trends show that the Indonesian food industry alone is valued at USD 280.20 Billion with other popular industries like cosmetics and pharmaceuticals also showing significant growth.
As a result, more and more foreign companies are seeing a unique opportunity to invest and enter the Indonesian market for the manufacturing or sale of goods. That being said before products can be legally distributed, companies must undergo registration with the country’s Food and Drug Authority, which is known as the BPOM in Indonesia.
This article will walk you through the process of BPOM registration for regulated products, and explain which certificates and licenses are necessary for your specific operations.
Overview of the BPOM in Indonesia
What is the Indonesian BPOM?
The BPOM stands for Badan Pengawas Obat dan Makanan and is the Indonesian Food and Drug Authority. The agency operates under the Ministry of Health and oversees regulations for products that are to be circulated within the Indonesian market for consumption.
The main purpose of the BPOM is to ensure safety and quality standards for goods and protect public health and consumer interests from potentially dangerous or ineffective products. They fulfill this role by evaluating each product, as well as by monitoring companies to ensure consistent compliance with current safety regulations.
BPOM registration in Indonesia is required for any operations that involve the import, manufacture, and/or distribution of regulated products within Indonesia.
Did you know? You can find all registered products in Indonesia and file product registration applications via productlist.id?
Understanding regulated industries and products in Indonesia
The BPOM regulates industries and products which are meant for human consumption, or that will be applied to or have an effect on the human body. These industries are broken down into specific categories, each with its own regulations and certification processes:
- Cosmetics: products being applied to the human body (beauty, cleansing, fragrances etc.)
- Processed foods: food products prepared through various processing methods that alter the original state of raw materials for varying consumption purposes.
- Health Supplements: Orally ingested products containing specific ingredients meant to supplement a regular diet (vitamins, minerals, etc.)
- Pharmaceuticals: Scientifically designed products intended for medicinal purposes (diagnosis, curing, mitigation, treatment, disease prevention)
- Traditional medicine: Products derived from natural ingredients for non-scientific medical purposes (traditional beliefs and practices)
Navigating BPOM registration for your operations
How to secure the BPOM certificate of product registration for food
BPOM certificates are mandatory to demonstrate that your products have been properly registered through the agency. The BPOM certificate for food products is valid for 5 years, and is extendable, as long as renewal is done within 90 days of expiry. Keep in mind that foreign manufacturers need to have a registered Indonesian entity before applying for the certificate.
To register and certify a food product, you will need to submit an application that includes some key details regarding the product intended for Indonesian consumers. These include the list of ingredients, information about the production process, and shelf life, among others. The BPOM will also conduct audits of your distribution facilities to ensure compliance with safety standards.
The exact extent of product evaluation for food products in Indonesia will be determined based on the risk assessment of the specific product. If your planned activities involve the Indonesian food market, then take a look at our related article on how to get a BPOM certificate in Indonesia for processed food.
Entering the cosmetics product market in Indonesia
The Indonesian cosmetics market is currently seeing rapid growth with an increasing demand for Halal beauty products. Current projections show an annual growth rate of at least 5.35% until 2028. While it is a popular investment opportunity for foreign manufacturers, it is important to ensure compliance with BPOM quality standards.
To receive a BPOM certificate for cosmetic products in Indonesia, companies must ensure to demonstrate the safety of their products by submitting supporting evidence to the supervisory agency :
- Administrative data which includes details on the company and the inclusion of cosmetic industry technical experts who oversee the process.
- Product data including composite ingredients, quality and efficacy information, safety and usage details.
- Certificates of Good Manufacturing Process (GMP) which demonstrates product quality control and Free Sale (CFS) which ensures that a foreign-produced product has sales approval by regulatory authorities in the country of origin.
- Proof of payment of fees
- Payment is per evaluated product
- IDR 500,000 for cosmetics originating from ASEAN countries
- IDR 1,500,000 for cosmetics originating outside of the ASEAN region
How to legally distribute and sell BPOM-regulated products in Indonesia
BPOM license for circulating and distributing goods
For Food and Drug products that are ready for distribution within the Indonesian market, you must secure a BPOM license for circulation. The license has a validity period of 5 years and must be secured to legally sell manufactured goods to consumers in Indonesia. If you are still undergoing manufacturing or importing of your goods, then it is not yet necessary to apply.
The license is attached to the product and demonstrates that it has been deemed safe by the BPOM. Depending on the category of your goods, the end product will need to meet specific approval criteria:
| Category | Food | Drugs |
| Safety | BPOM evaluation and testing based on risk assessment | Efficacy and safety demonstrated through results of clinical/non-clinical trials |
| Manufacturing | Compliance confirmed through successful audit of distribution facility | Licensed production process that meets BPOM and GMP standards |
| Labeling | Includes ingredients and shows compliance with quality and safety standards | Includes product information and objective, non-misleading instructions/statements |
Bypass company setup by appointing a nominee product holder
As mentioned previously, only companies that are registered in Indonesia can register products with BPOM and sell their goods to Indonesian consumers. For foreign-owned manufacturers, this can be a time-consuming and costly process, as you will need to register the right type of legal entity for your specific operations.
A popular alternative to company registration is to appoint a nominee product holder in Indonesia, who will act as the registered holder of your product and can therefore more rapidly apply for the necessary distribution license and related certificates from the BPOM. This removes the need to set up a local entity.
When drafting a product holding contract, official ownership of your assets will remain in your name. This process will allow you to start distributing your products in Indonesia more quickly. Through our Product Holder Service, Emerhub can secure the necessary BPOM registration for your product and enable you to start distribution more quickly.
Consider using end-to-end solutions for all of your cross-border operations
Emerhub can advise and assist in every step of your distribution process through our end-to-end business solutions for your cross-border operations. Our extensive network allows us to assist you every step of the way, from bringing goods into Indonesia through our Importer of Record service to setting up E-commerce sales solutions.
If you are interested in securing BPOM registration in Indonesia for your products or discussing your end-to-end support needs, contact us via the form below and one of our advisors will be in touch to get the process started.
