Pupuk Indonesia Ready to Distribute 9.55 Million Tons of Subsidized Fertilizers in 2024
Jakarta, May 1, 2024 - PT Pupuk Indonesia (Persero) is prepared to distribute 9.55 million tons of subsidized fertilizer allocation in 2024. This follows the issuance of Minister of Agriculture Decree (Kepmentan) Number 249 of 2024 and Minister of Agriculture Regulation (Permentan) Number 01 of 2024 concerning Amendments to Permentan Number 10 of 2024.
Under these new regulations, the Government has decided to subsidize three types of fertilizers: Urea, NPK, and Organic. Specifically for organic fertilizers, their utilization is prioritized in rice commodity centers on paddy fields with less than 2% Organic C content.
"Pupuk Indonesia, as a state-owned enterprise mandated to produce and distribute subsidized fertilizers by the Government, is ready to distribute subsidized fertilizers to registered farmers totaling 9.55 million tons in 2024," revealed Pupuk Indonesia's Marketing Director, Tri Wahyudi Saleh.
According to Minister of Agriculture Decree Number 249 of 2024, the Government has allocated a subsidy for fertilizers amounting to 9.55 million tons, doubling from the previous 4.7 million tons. This subsidy allocation is directed towards three types: Urea, NPK, and the new addition, Organic fertilizer.
A detailed breakdown reveals that urea fertilizer is set at 4,634,626 tons, NPK fertilizer at 4,415,374 tons, including NPK Special Formula, and Organic fertilizer at 500,000 tons.
Subsidized fertilizer allocations have increased across all regions. For instance, West Java's allocation has reached 1,211,550 tons, Central Java at 1,514,402 tons, East Java at 1,920,074 tons, South Sulawesi at 798,233 tons, and Lampung at 803,719 tons.
All of these allocations can be utilized by registered farmers or those who meet the criteria according to Minister of Agriculture Regulation Number 01 of 2024, namely those who are part of Farmer Groups and are registered in the electronic definitive group needs plan (e-RDKK).
Subsidized fertilizers are intended for farmers engaged in the sub-sector of food crops such as rice, corn, and soybeans; horticultural crops such as chili, shallots, and garlic; and plantation sub-sectors such as smallholder sugarcane, cocoa, and coffee, with a maximum cultivated land area of 2 hectares, including farmers who are part of Village Forest Community Institutions (LMDH) in accordance with statutory regulations.
Under these new regulations, the Electronic definitive group needs plan (e-RDKK) can be evaluated every four months in the current year. In other words, said Tri, farmers who have not received allocations can register during the evaluation process in the current year.
Pupuk Indonesia, as the largest fertilizer company in the Asia-Pacific, Middle East, and North Africa, currently has a fertilizer production capacity of over 14.6 million tons per year. Meanwhile, organic fertilizers will be produced by production partners scattered in various regions. With this capacity, Pupuk Indonesia becomes a key pillar in supporting national food security.
Therefore, Tri urges all registered farmers to promptly redeem their subsidies at official kiosks through the i-Pubers (Integrated Subsidized Fertilizer) application.
Tri requests all appointed distributors and official kiosks to assist in disseminating information regarding the increase in subsidized fertilizer allocations and support from local Governments, provinces, and districts/cities in its implementation so that these fertilizer subsidies can aid agricultural production programs for food security.
"We are ready to produce and distribute subsidized fertilizers given our production capacity can meet the allocated fertilizer subsidy determined by the Government," concluded Tri.