Jakarta, December 24, 2023 – PT Pupuk Indonesia (Persero) emphasizes that subsidized fertilizer can only be redeemed at official kiosks. The company also reaffirms the mandatory enforcement of the highest retail price (HET) for subsidized fertilizer across its complete fertilizer kiosk network (KPL), numbering more than 25,000 throughout Indonesia.

This comes in response to reports from farmers in Brebes Regency regarding the alleged sale of subsidized fertilizer by unofficial retailers. "According to the applicable rules, subsidized fertilizer can only be redeemed at official Pupuk Indonesia network kiosks. The HET is set by the government for farmers who redeem in cash in specific packaging and directly at kiosks, not delivered to farmers' locations or individuals," stated Fickry Martawisuda, SVP PSO Western Region of Pupuk Indonesia.

Fickry ensures that the distribution or delivery of subsidized fertilizer by Pupuk Indonesia is running smoothly. The distribution, from the first-line warehouse to the kiosks, has already been digitized.

In supporting the distribution process, Pupuk Indonesia is backed by distribution facilities, including 15 loading and distribution centers, 13 ships with 222 sea transport routes, 8,131 land transport fleet, 581 warehouses with a capacity of 2.89 million tons, a network of 1,077 distributors, and more than 25,000 official kiosk partners.

However, Pupuk Indonesia urges all farmers to actively use Pupuk Indonesia's customer service if they encounter activities outside the provisions regarding subsidized fertilizer. Customer service can be accessed toll-free at 0800 100 8001 or via WhatsApp at 0811 9918 001. This customer service operates during business hours.

Pupuk Indonesia has distributed 39,202 tons of subsidized fertilizer to Brebes Regency, consisting of 29,470 tons of urea and 9,732 tons of NPK. This represents 71 percent of the total allocation of 55,000 tons of subsidized fertilizer in Brebes Regency.

Additionally, the company has prepared a stock of subsidized fertilizer totaling 8,479 tons, equivalent to 259 percent of the minimum requirement set by the government. All of this subsidized fertilizer stock can be utilized by farmers in Brebes Regency, especially those eligible or registered in e-Allocation.

Farmers eligible for subsidized fertilizer must meet the criteria outlined in Minister of Agriculture Regulation (Permentan) No. 10 of 2022, which includes mandatory membership in a farmer group, registration in the Agricultural Extension Management Information System (SIMLUHTAN), and cultivating a maximum of two hectares.

Moreover, only nine strategic commodities are eligible for fertilizer subsidies, including rice, corn, soybeans, chili, shallots, garlic, coffee, sugarcane, and cocoa. Under this regulation, fertilizer subsidies are provided for two types, urea, and NPK.

Regarding the report of two farmers in Brebes Regency, Fickry stated that Wakim from Kubangpari Village, Kersana District, is not registered in the e-Allocation as a subsidized fertilizer recipient. Thus, the farmer cannot redeem subsidized fertilizer. According to the applicable rules, farmers or kiosks that redeem outside the specified conditions may face sanctions for alleged criminal offenses.

"Subsidized fertilizer is a regulated commodity, and its procurement and distribution receive subsidies from the government for the needs of farmer groups and/or farmers in the agricultural sector," he concluded.