Pupuk Indonesia Prepares 1.45 Million Tons Of Subsidized Fertilizer Stock

Illustration. (Photo: Doc. Antara)

JAKARTA - PT Pupuk Indonesia (Persero) has prepared a stock of 1.45 million tons of subsidized fertilizer or 194 percent of the minimum stock requirement set by the government.

"Earlier this year, we prepared subsidized fertilizer stocks up to line III with a total of 1,454,828 tons. The subsidized fertilizer stock figures are also able to meet the demand for the next few weeks according to applicable regulations," said the Head of Corporate Communications at Pupuk Indonesia Wijaya Laksana in Jakarta, as quoted from Antara, Monday, January 16.

The subsidized fertilizer stocks consist of two types, namely urea and NPK with details of 992,791 tons of urea and 462,937 tons of NPK or respectively recorded at 188 percent and 203 percent of government regulations.

In 2023 the government has set a Highest Retail Price (HET) for subsidized fertilizers of IDR 2,250/kilogram for urea fertilizer, IDR 2,300/kilogram for NPK, and IDR 3,300/kilogram for NPK fertilizer with a special cocoa formula.

Wijaya emphasized that his party will not hesitate to take firm action against distributors and kiosks that are proven to be selling fertilizer at prices above the HET.

"We also urge the public, especially farmers, to immediately report if they see the practice of buying and selling fertilizers that do not comply with the regulations that apply to Pupuk Indonesia via customer service number 0800-100-8001 or WhatsApp [phone]," he said.

Based on the Regulation of the Minister of Agriculture Number 10 of 2022 concerning Procedures for Determining the Allocation and HET of Subsidized Fertilizers in the Agricultural Sector, farmers who are entitled to receive subsidized fertilizer must join farmer groups, be registered in the Agricultural Extension Management Information System (Simhultan), cultivate a maximum of two hectares of land, and using a Farmer's Card (for certain areas).

Wijaya further explained that farmers can redeem subsidized fertilizers at designated official kiosks. Currently, he continued, subsidized fertilizers focus on two types, namely urea, and NPK. The two types of subsidized fertilizers are intended for nine strategic agricultural commodities that have an impact on inflation, namely rice, corn, soybeans, chilies, shallots, garlic, sugar cane, cocoa, and coffee.

As of January 13, 2023, Pupuk Indonesia has distributed 150,635 tons of subsidized fertilizer nationally, with details of 100,312 tons of urea and 50,324 tons of NPK.

Wijaya also said that his party made it easy for farmers to redeem subsidized fertilizers, one of which was through the development of the Rekan Application system.

"The application is intended for kiosks with the aim of accelerating kiosks making sales, recording both retail and commercial, this application is even integrated with the Ministry of Agriculture's digital system," said Wijaya Laksana.