Only problem is that on Android 7 and above apps can choose to ignore any added certificates in the user store and the system store is off limits. Only way you can do it is by managing the phone in COBO or COPE mode with Android Enterprise. Which requires an expensive MDM system and a factory reset to enroll it.
Also the app can do certificate pinning which is even worse to get around. You'll have to modify the actual app.
I wouldn't be surprised if this rigmarole was the result of app development companies trying to keep secret how much data they exfiltrate.