Welcoming the Planting Season, Pupuk Indonesia Encourages Farmers to Maximize Subsidized Fertilizer Absorption
Sembalun, September 28, 2024 – In preparation for the upcoming planting season, PT Pupuk Indonesia (Persero) is urging farmers to optimize the use of subsidized fertilizers to meet agricultural needs. This follows the government's efforts, through the Ministry of Agriculture, to simplify subsidized fertilizer policies and increase the subsidy allocation for the 2024 fiscal year.
Rahmad Pribadi, President Director of Pupuk Indonesia, stated that the simplification of subsidized fertilizer policies aims to facilitate national farmers in accessing these fertilizers, contributing to national food security.
“There has been a lot of policy simplification (for subsidized fertilizers from the government). The volume has been increased, the redemption process has been simplified, and we’ve also implemented digitization,” said Rahmad during the "Rembuk Tani" event in Sembalun District, East Lombok Regency, West Nusa Tenggara (NTB) on Saturday, September 28, 2024.
Speaking to hundreds of farmers, Rahmad explained in detail that the government has increased the volume of subsidized fertilizers from an initial allocation of 4.7 million tons to 9.55 million tons this year. This additional allocation is expected to boost agricultural productivity. "The government has decided that the most accurate allocation of subsidized fertilizer is based on the size of the land. If the land requires a certain amount, then the 9.5 million tons will be maintained accordingly," Rahmad added.
As part of the increased fertilizer subsidy allocation, Rahmad mentioned that the government has reintroduced organic fertilizer, with around 500,000 tons included in the subsidy scheme. This policy aims to promote sustainable agriculture in Indonesia.
"Organic fertilizer has been reintroduced. Why is organic important? Because we are trying to increase productivity. When you push for higher productivity, the organic matter disappears. You might see results in two to three years, but after that, productivity will plummet," he explained.
However, Rahmad emphasized that the increased allocation of subsidized fertilizers must be accompanied by enhanced supervision. In February, Pupuk Indonesia took the initiative to digitize kiosks. "We successfully digitized more than 27,000 kiosks in just one month. Registered farmers can redeem subsidized fertilizer simply by presenting their ID card (KTP) at the kiosk," he said.
Another simplification measure implemented by the government is updating e-RDKK data every four months each year. This allows farmers who have not received an allocation to be included during the evaluation phase within the same year.
As of September 25, 2024, the national realization of subsidized fertilizer distribution reached 51.8 percent, or 4.94 million tons out of the 2024 allocation of 9.55 million tons. Therefore, Rahmad urged all farmers, including those in NTB, to promptly redeem their allocated subsidized fertilizers to meet their needs for the planting season.
To support the availability of subsidized fertilizers, Pupuk Indonesia has ensured stock availability at Level III warehouses (district/city level) above the minimum requirements set by the government. As of September 25, 2024, the stock of subsidized fertilizer in NTB included 31,383 tons of Urea (620 percent of the government-mandated minimum stock), 19,493 tons of NPK (520 percent), 66.35 tons of NPK Cocoa (102 percent), and 1,220 tons of organic fertilizer (203 percent).
To further optimize the distribution of subsidized fertilizers, Pupuk Indonesia has prepared various supporting facilities, including 34 distributors, 32 warehouses, 1,603 kiosks, and 20 field officers to ensure the accurate distribution of subsidized fertilizers.
"By optimizing the absorption of subsidized fertilizers, we hope to support increased agricultural productivity in order to safeguard national food security," Rahmad concluded.
It is worth noting that Pupuk Indonesia is holding the "Rembuk Tani" program at 75 locations in nine provinces with the largest subsidized fertilizer allocations. This program, running from September to October 2024, aims to encourage farmers to optimize the redemption of subsidized fertilizers, which is now easier than ever.
"Rembuk Tani" serves as a platform for Pupuk Indonesia to share information about the government’s efforts to simplify the subsidized fertilizer redemption process for farmers. Moreover, as many regions are entering the rainy season and beginning their planting cycles, the availability of fertilizer is crucial for a bountiful harvest.
Lastly, Pupuk Indonesia ensures that the distribution and allocation of the additional volume of subsidized fertilizers are being well-supervised to assist farmers in obtaining the fertilizers they need for their crops.