Indonesian Cosmetics Industry: Ministry of Industry Deputy Director on the Vast Market Opportunity

“Indonesia offers a huge opportunity in the cosmetics industry given its vast domestic market, the availability of qualified human resources as well as the immense potential of local raw herbal ingredients. Indonesia is undeniably unique.” These were the opening remarks of the Deputy Director of the Pharmaceutical and Cosmetics Ministry of Industry of the Republic of Indonesia, Mrs. Afrida Suston Niar, who intervened at the press launch of Beauty Indonesia, a new international trade exhibition focusing on the cosmetics industry set to open during April 19-21, 2017 in Jakarta.

“Indonesia is an enchanting country characterized by different ethnic groups, features and skin tones, which makes it very unique,” she added.

Halal certification was another key topic addressed by Mrs. Dewi Rijah Sari, L’Oreal Scientific & Regulatory Affairs Director, as well as Vice President of Technical and Scientific Affairs of the Indonesia Cosmetics Association (Perkosmi): “It is difficult to conduct Halal cosmetic certifications because 90 percent of cosmetic raw materials are imported, for a total of more than 76.000 items. The number of products registered until June 2016 is 109.000, five times larger than drugs.

“Cosmetic formulas are also more complex than pharma’s: one type may require 15 to 30 raw materials.”

Mr. Lukmanul Hakim, Director of Research, Institute for Food, Drugs and Cosmetics – Indonesia Muslim Council (LPPOM MUI) added that gradually it will become compulsory for all cosmetic products to be Halal certified.

Also present was the Chairman of the Indonesia Import-Export Profession Association (Apreisindo), Mrs. Bintang Retna Herawati, who declared that the value of Indonesian cosmetic exports in 2015 reached US$ 818 million, or Rp11 trillion. Indeed, in the National Industrial Development Master Plan (RIPIN) 2015 – 2035, the cosmetics industry is indicated as one of the 10 which will play a major role in the development of economy.

Intervening on Beauty Indonesia, Mr. Ivan Ferrari, General Manager of UBM Indonesia, said that Indonesia is an incredibly broad and dynamic market, which creates strong competition and great opportunities.

Beauty Indonesia is a premier beauty trade show for industry professionals, part of UBM’s portfolio of 6 Beauty Events in South East Asia that includes Cosmoprof HK. The first trade-only show in the country with a clear focus on international participation and on representing all beauty sectors: ingredients, packaging & machinery, toll manufacturing, finished cosmetics, toiletries & personal care, wellness & spa, natural health, beauty salons, professional hair, nail and accessories. Additionally, Beauty Indonesia will implement a consolidated business matchmaking program to match the right people before, during and after the show.

Mrs. Afrida Suston Niar commented that Beauty Indonesia in 2017 is expected to be the platform for the promotion and the exchange of information on the national and international cosmetics industries, as well as a catalyst to encourage investments in the production of raw cosmetic ingredients in the country.

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