Japan’s Sumitomo Mitsui Banking Corp. will work with an Indonesian university to guide Japanese corporations through the process of certifying their products as halal, or in accordance with Islamic law.
The Sumitomo Mitsui Financial Group unit sees the collaboration as a way to stir lending opportunities among Japanese companies looking to cater to Muslims. Indonesia will make halal labeling mandatory by 2019.
The bank will survey 200 to 250 corporate clients in industries such as food and cosmetics, referring those interested in halal certification to partner Bogor Agricultural University.
The university will explain the certification process and give advice on preparing application materials, instruction on factory modifications and other assistance.
SMBC expects up to about 70 companies a year to seek guidance.
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