JAKARTA – PT Pupuk Indonesia (Persero) has a fertilizer production capacity of 13.9 million tons, with details of urea production of 8.8 million tons, NPK of 3.8 million tons, and others around 1.3 million tons. This production capacity has supported the availability of domestic subsidized fertilizers.

SVP of Pupuk Indonesia Corporate Secretary, Wijaya Laksana said that the allocation of subsidized fertilizers is set at 7.8 million tons in 2023. With details of urea type fertilizer of 4.6 million tons and NPK of 3.2 million tons.  "With a production capacity of 8.8 million tons, our production ability to meet the needs of subsidized urea is more than enough. Likewise with NPK Fertilizer, where our production capability is 3.5 million tons, with subsidized NPK needs of 3.2 million tons," said Wijaya in Jakarta, Monday (13/3/2023).

As of March 11, 2023, Pupuk Indonesia has distributed subsidized fertilizer of 1.50 million tons from January to March 11, 2023. This amount is equivalent to 67% of the allocation until March 2023 of 2.23 million tons. The total allocation of subsidized fertilizers set by the government in 2023 is 7.85 million tons. In detail, Urea fertilizer is 4.64 million tons and NPK is 3.21 million tons. Meanwhile, the production plan of Pupuk Indonesia in 2023 is 12.3 million tons, both subsidized and non-subsidized fertilizers.

Based on the Regulation of the Minister of Agriculture (Permentan) Number 10 of 2022, the Government focuses fertilizer subsidies on two types, namely Urea and NPK. "We have distributed subsidized fertilizer in accordance with Permentan Number 10 of 2022, which has been distributed 1.50 million tons, the details are Urea of 885,675 tons and NPK of 614,106 tons," he added.

Meanwhile, in terms of stocks, Wijaya said that Pupuk Indonesia has prepared a subsidized fertilizer stock of 649,374 tons at the Line III Warehouse or district level. The amount of stock is equivalent to 190% or twice the minimum stock requirement set by the Government, which is 341,556 tons. As for the details, urea stocks amounted to 368,014 tons and NPK amounted to 281,360 tons.

Subsidized fertilizer stocks, emphasized by Wijaya, are only distributed to farmers who are entitled according to the criteria from Permentan Number 10 of 2022, for farmers who do not meet the criteria, they cannot get subsidized fertilizer. The requirements for obtaining subsidized fertilizer are mandatory to be members of farmer groups, registered in SIMLUHTAN (Agricultural Extension Management Information System), work on a maximum of two hectares of land. In addition, subsidized fertilizers are currently focused on 9 types of strategic commodities, namely rice, corn, soybeans, chilies, onions, garlic, coffee, sugarcane, and cocoa, from those previously intended for about 72 commodities.

Pupuk Indonesia also has customer service that can be accessed by all farmers with toll-free contact at 0800 100 8001 or WA 0811 9918 001. Through customer service, Pupuk Indonesia will accommodate complaints related to subsidized fertilizers both from availability, price, and quality.

In order to support the availability of domestic fertilizers, Pupuk Indonesia also has several factory development plans in order to increase urea and NPK production capacity. The urea plant is planned to be built in Papua. Meanwhile, NPK plans to convert SP-26 into an NPK plant with a capacity of around 600,000 tons which is planned to operate in 2024. As well as the construction of NPK factories in Pupuk Kujang Cikampek and Pupuk Kaltim with a capacity of around 100,000 tons each.

Recently, Pupuk Indonesia also increased NPK capacity by operating the NPK Pupuk Iskandar Muda (PIM) plant with a capacity of 500,000 tons. In addition, PIM also re-operates the PIM 1 plant with a capacity of 570 thousand tons of urea, as well as complementing the PIM-2 plant which also has a capacity of 570 thousand tons of urea.