“ Indonesia’s diverse biodiversity will attract international investors as there are still many untapped potentials for the development of herbal and plant extracts. ”
We established our Azarine brand in 2002, in which I saw an opportunity for the use of cosmetic products that was not very popular at the time and consumers had little knowledge of the health and safety issues regarding the ingredients being utilised. This was also partly driven by cosmetics brands in Indonesia during that time solely focusing on price and not product quality. This is why I wanted to establish a brand that produces high-quality products which utilises safe, natural ingredients and could cater to the local as well as global cosmetics market.
Our current corporate strategies are to use more renewable resources throughout the production process as well as reducing the amount of synthetic chemicals in our products. We are incorporating more indigenous Indonesian extracts in order to support local producers. Through this measure, we have gained good cooperation with farmers and small-holders and thus we have established an efficient supply chain. We are also committed to environmental sustainability initiatives and have invested in technology that reduces our energy consumption as well as waste production. As a company that utilises natural extracts, we have a commitment towards our corporate social responsibilities and environmental sustainability.
Furthermore, we have been successful in developing a new concept for the spa experience that caters to the busy lifestyles of today’s consumers. We educate our customers through seminars and workshops on the importance of quality and safety over price. One of our successful products has been our body mask which is available in paste form which provides greater convenience than the powder variety; consumers can therefore bring the spa environment in the comfort of their homes.
Despite the economic slowdown, we still believe there are many opportunities within Indonesia’s cosmetics industry. With the current government initiating policies that assist in the growth of SMEs like us, we believe more international investors will see Indonesia as an investment opportunity. It also provides us with the chance to showcase our cosmetics product line to the world as well as the potential of Indonesia’s plant and herbal extracts. We recently have had enquiries from countries such as the UK, USA, Spain as well as Japan for export purposes of our products. This is due to the latest worldwide trend in cosmetics for the use of natural ingredients in cosmetics as well as rising consumer awareness for the sustainability of raw materials sourcing as consumers are more willing to purchase products that utilise renewable or environmentally-friendly materials.
The government has supported the country’s cosmetics sector through international trade events where we can showcase our products to the global audience; however, there is still room for improvement. One area in which the government can help to advance this industry is reducing bureaucracy especially in regards to the number of regulations to which our industry must adhere.
For instance, by 2019 the government has mandated that every cosmetic product must be Halal-certified. Given that the majority of raw materials for our industry have to be imported from abroad, it is difficult to attain this certification since many of the overseas suppliers are not Halal-certified. Furthermore, the government can further improve the exposure of emerging cosmetics brands to the global market since the current trend has been to promote more well-established brands. Through greater exposure, the industry can gain a much wider consumer base as well as investment.
Our philosophy is that we are a brand that provides a complete one-stop-solution for cosmetics and spa products. Through our interactive seminars and workshops, we provide information to participants on the latest trends in Indonesia and abroad within the cosmetics industry. Going forward, we are aiming to develop new formulations as well as increase the use of state-of-the-art machinery in our operations. We are also aiming to attain the necessary international certifications in order to meet international standards; this will help us in exporting our products to overseas markets.
We are very much open to international companies for partnerships and technology transfer. We are looking to expand overseas, and we look for international partners that have a market presence to which we can capitalise upon. We are also looking to streamline our operations through the use of the latest processing technology as well as deliver training to our human resources so that we can meet with international regulations. Moreover, Indonesia’s diverse biodiversity will attract international investors as there are still many untapped potential for the development of herbal and plant extracts.
Our message is for investors to come to Indonesia and capitalise on our resources. For international partners looking to enter Indonesia’s lucrative cosmetics industry, finding the right local partner with a market presence as well as industry insights such as Wahana Kosmetika Indonesia will prove invaluable if they want to succeed in Indonesia.