Daewoong Pharmaceutical Indonesia

Daewoong Invests IDR 2.68 Trillion in Cikarang to Support Indonesia’s Rise as a Global Halal Pharma Hub

Writer

Manager

October 28, 2026

As Indonesia moves to implement mandatory halal certification for food and cosmetics on October 18, 2026, the country is entering a new phase in the development of its healthcare industry. With the Indonesian government pursuing policies to improve public health and strengthen the country’s healthcare self-sufficiency, Daewoong Pharmaceutical is expanding local investment and technology transfer as a long-term partner in Indonesia.

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◆ Strengthening Healthcare Self-Sufficiency: GMP Approval Targeted for 2027, Seven Years Ahead of Halal Mandate

Daewoong Pharmaceutical has made local manufacturing and technology transfer central to its strategy in Indonesia, with the goal of helping build a sustainable healthcare ecosystem rather than relying solely on exporting products to Indonesia. The company is supporting efforts by Indonesia’s Ministry of Health and the Indonesian Food and Drug Authority (BPOM) to expand domestic pharmaceutical production and reduce dependence on imports. Daewoong has committed approximately IDR 2.68 trillion (USD 170 million) in phased manufacturing investments in Cikarang, representing one of the largest investments by a Korean pharmaceutical company in a single overseas manufacturing site. Following GMP approval from BPOM for its cell therapy manufacturing facility in 2024, the company began construction of a new solid-dosage smart factory in 2025, further expanding its local production base. The new facility is targeting GMP approval in July 2027, seven years ahead of Indonesia’s mandatory halal certification for prescription medicines scheduled for October 2034. Once operational, it is expected to help ensure a stable supply of high-quality, locally manufactured medicines for patients in Indonesia.

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◆ Combining Advanced GMP and Halal Standards with Smart Manufacturing Technology

The Cikarang solid-dosage smart factory is being designed from the outset to meet the strict halal requirements of Indonesia’s Halal Product Assurance Organizing Agency (BPJPH). Rather than designating only selected production lines as halal, the entire facility will be halal-compliant: all raw materials, packaging materials, and consumables entering the site will be registered and controlled to prevent cross-contamination with non-halal substances.

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Daewoong is also developing an integrated quality assurance system that combines advanced GMP standards with the Halal Product Assurance System (Sistem Jaminan Produk Halal, SJPH). It is designed to provide full traceability throughout the manufacturing process, from raw material intake through production and final product release, with each procedure documented to meet stringent regulatory requirements. The company is also transferring manufacturing expertise from its headquarters in South Korea while recruiting and developing local talent, contributing to stronger pharmaceutical and biotechnology capabilities in Indonesia.

Daewoong Pharmaceutical’s Oral Solid Dosage Manufacturing Facility in Cikarang, Indonesia

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◆ Supporting Indonesia’s Growth as a Global Halal Pharmaceutical Manufacturing Hub

Daewoong Pharmaceutical’s broader vision is to leverage its Cikarang manufacturing base to support Indonesia’s development as a key manufacturing hub for the halal healthcare industry across ASEAN and global markets. By supplying high-quality, halal-certified pharmaceuticals produced locally in Indonesia to ASEAN and global Muslim markets, the company expects to contribute to strengthening Indonesia’s position in the regional healthcare industry. Looking ahead, Daewoong Pharmaceutical plans to continue expanding local investment and technology cooperation, while building a long-term partnership that supports better public health in Indonesia and the country’s development as a leading healthcare hub in ASEAN.

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