As an ASEAN member country, Indonesia formulates its cosmetic regulation in accordance with ASEAN Cosmetic Directive (ACD), in line with these requirements Indonesia adopts a notification system and ingredients requirements for cosmetics.

In Indonesia, all cosmetic manufacturing enterprises must obtain a production license before production. The production license is divided into two classes: Class A and Class B. Enterprise which obtain a Class A license are permitted to manufacture all kinds of cosmetics while Class B are prohibited from manufacture of 1) children cosmetics, 2) cosmetics contain antiseptic, anti-dandruff, skin lightening and sunscreen ingredients.

Halal cosmetics are also a feature of the Indonesian market, because this country is a primarily Muslim country. Sale of halal cosmetics requires a Halal certificate. There is a complicated procedure to apply for this certificate.

Part 1: Regulatory Framework and Competent Authority

1 Existing Main Cosmetic Regulations in Indonesia

2 Competent Authority

The Agency for Drug and Food Control (BADAN POM) is the competent authority in Indonesia to regulate cosmetics, it is the agency to issue cosmetic regulations and grant cosmetic production license and cosmetic notification before market entry.

The Institute for Food and Drug Assessment of Indonesian Council of Ulama (LPPOM MUI) is the authority which regulates HALAL cosmetics and issue HALAL Certificate enterprise looking to enter the HALAL market in Indonesia.

Part 2 Cosmetic Products

1 Definition

In Indonesia, cosmetics are products that are intended for use on the outside of the human body (epidermis, hair, nails, lips and external genital organs), teeth and mouth mucous membranes, primarily to cleanse, alter the appearance and/or improve body odor or protect or maintain the body in good condition.

2 Production License

In Indonesia, the manufacturer must obtain a “production license” before manufacturing cosmetics. Production License is a permit which must be owned by cosmetics factories to perform cosmetic manufacturing activities.

Production license is divided into two categories by cosmetic forms and types:

Class A Production License grants rights to manufacture all forms and types of cosmetics

Class B Production License grants restricted rights confined to manufacture following kinds of cosmetics without conditions, and prohibit manufacturing 1) children cosmetics; 2) cosmetics contain antiseptic, anti-dandruff, skin lightening and sunscreen ingredients.

If cosmetic industry with class B license wants to manufacture cosmetics which are neither prohibited for class B and are not listed on the above positive list, the industry should submit a safety assessment of the cosmetic before manufacture.

To obtain Class A production License, a cosmetic industry should reach following requirements:

1. Have a pharmacist as the responsible party;
2. Have production facilities for products to be manufactured;
3. Have laboratory facilities;
4. Have GMP qualification

To obtain Class B production license, a cosmetic industry should reach following requirements:

1. Have at least one pharmaceutical technical personnel in charge;
2. Have production facilities with simple technology for products to be manufactured;
3. Able to provide appropriate hygiene and sanitation documentation.

The production license is valid for 5 years, and may be extended as long as they comply with regulations.

3 Notification

Both domestically manufactured and imported cosmetics should be notified with the Agency for Drug