Enhancing food labelling system in Indonesia: The case of food with health-related claims in small and medium enterprises
Indah Purwaningsih(a*), Ria Hardiyati(a)

a) Research Centre for Science, Technology and Innovation Policy and Management,
Indonesian Institute of Sciences (LIPI)
* indahp016[at]gmail.com

Abstract

Food labelling is an important element in realizing food safety and nurturing competitiveness. However, empirical research shows that the enforcement of food labelling policy entails complex issues in Indonesia. Taking the case of food with health-related claim produced by small and medium enterprises (SMEs), this research identifies regulatory strategies taken by the Indonesian government as well as challenges in the policy enforcement. The findings indicate that the performance of SMEs in complying with labelling regulation on food with health-related claim is influenced by business environment and institutional framework where the SMEs grow, including a weak regulatory framework, market condition and infrastructure. Furthermore, limited access of SMEs to strategic resources, including finance, skill and innovation assets have also hindered their compliance to regulation. This study addresses the importance of collaboration between multiple stakeholders to strengthen food safety system from the ecosystem perspective. The interconnection between SMEs, government, research organization/universities, financial institution and other members of the ecosystem in co-creating value is expected to enhance the enforcement of labelling policy on food with health-related claim in the future.

Keywords: food labeling, health-related claim, ecosystem perspective, collaboration

Topic: FOOD SAFETY AND SECURITY