Minister of Agriculture: Subsidized Fertilizer is Guaranteed to Increase Indonesian Rice Production

JAKARTA - Minister of Agriculture (Mentan) Andi Amran Sulaiman stated that the availability of subsidized fertilizers was maintained as an important factor in increasing national rice production in the midst of the threat of a global food crisis and climate change.

The Minister of Agriculture in his statement in Jakarta, Saturday, said the government's success in maintaining subsidized fertilizer access, including lowering the highest retail price (HET) by 20 percent, was one of the main factors that contributed to the increase in national food production.

"When farmers in many countries face scarce and expensive fertilizers, the Indonesian government actually lowers the subsidized fertilizer HET by 20 percent and ensures that farmers can easily access fertilizers. This is one of the keys to why Indonesian food production continues to increase," said Amran.

In the midst of pressure on the world's agricultural sector due to climate change and international fertilizer price volatility, Indonesia has shown a positive performance. The availability of subsidized fertilizer remains maintained and national rice production continues to increase.

According to the Minister, the government's support for farmers is an important basis for maintaining national food production in the midst of global challenges.

The Food Outlook Food and Agriculture Organization (FAO) report for June 2026 also strengthens this optimism. In the report, Indonesia is recorded as the largest rice producer in Southeast Asia and ranks fourth in the world.

FAO projects Indonesia's rice production to reach around 38.6 million tons. At the same time, world rice production is expected to decline by around 1.6 percent due to climate change and supply disruptions in a number of major producing countries.

According to Amran, this condition shows that Indonesia is able to maintain production when a number of countries face pressure due to extreme weather and the high cost of agricultural production facilities.

Director General of Agricultural Infrastructure and Facilities at the Ministry of Agriculture Andi Nur Alam Syah ensures that subsidized fertilizer stocks are still sufficient for farmers' needs until the next planting season.

He said that as of June 25, 2026, the realization of the distribution of subsidized fertilizer had reached 54.28 percent of the national allocation of 9.55 million tons.

"This means that there are still about 45.72 percent or approximately 5.1 million tons of subsidized fertilizer ready to be used by farmers throughout Indonesia," he said again.

The government continues to ensure that distribution runs smoothly, so that fertilizers are available on time, in the right amount, and on target.

He said the government continued to accelerate the distribution of fertilizer, so that farmers could immediately utilize it to support increased production.

On the other hand, the government is also anticipating the impact of the El Nino phenomenon which has the potential to affect agricultural production in a number of areas.

He invited local governments, extension workers, and all farmers to take advantage of the availability of subsidized fertilizers, the use of modern agricultural tools and machinery (alsintan), water pumps to meet water needs, and tractors to cultivate land to accelerate planting.

"The sooner the planting is carried out in conditions that are still possible, the greater the opportunity to maintain and even increase national food production," he said.

The government has also previously lowered the subsidized fertilizer HET which has been in effect since the end of 2025. This policy is the first to be carried out by the government by lowering the price of fertilizer by about 20 percent without reducing the quality or volume of allocation.

This step was taken to reduce farmers' production costs, while maintaining the competitiveness of the national agricultural sector.

In 2026, the government allocated subsidized fertilizer of 9.55 million tons. With the availability of maintained fertilizer, increasingly simple distribution, and various programs to increase production, the government is optimistic that the target of food self-sufficiency can continue to be realized.

The synergy between government policies, support for production facilities, and the hard work of farmers is considered an important capital for Indonesia in maintaining food security in the midst of global uncertainty.