PT Pupuk Indonesia (Persero) has confirmed that the recent changes in governance will not interfere with the distribution of subsidized fertilizers to registered farmers. The company also maintains national availability of subsidized fertilizers by preparing a stock of 2 million tons.

SVP of Sales Strategy and Customer Service at Pupuk Indonesia, Deni Dwiguna Sulaeman, stated that several governance changes to subsidized fertilizer distribution occurred following the issuance of Presidential Regulation (Perpres) No. 6 of 2025 and Minister of Agriculture Regulation (Permentan) No. 15 of 2025.

“This year, there are changes in governance due to the issuance of Perpres 6/2025 and Permentan 15/2025. We assure that these changes will not disrupt the smooth distribution of subsidized fertilizers to farmers,” said Deni during the webinar "In-Depth Discussion on the Governance of Subsidized Fertilizer (Permentan)" hosted by Tabloid Sinar Tani on Wednesday, June 11, 2025.

The stock comprises 1.2 million tons of Urea and 800 thousand tons of NPK. These figures exceed the minimum stock levels set by the government, amounting to 316 percent for Urea and 292 percent for NPK compared to the required levels. The fertilizers are already available in distributor and retailer warehouses.

Deni further explained that Pupuk Indonesia acts as the operator in implementing all regulations set by policymakers, in this case, the government. With the introduction of the new regulations, Pupuk Indonesia has made several adjustments. One of the key changes is the company's responsibility to distribute subsidized fertilizers up to the designated handover points.

“To facilitate distribution, Pupuk Indonesia is supported by 1,218 distribution businesses at the district or sub-district level to deliver products to the handover points. We are also backed by 27,672 handover points or retailers. While waiting for farmer group associations (Gapoktan) and cooperatives to be designated as handover points, we are still involving existing retailers,” Deni added.

He also highlighted that the simplification of subsidized fertilizer governance has had a positive impact on its distribution. As of June 10, 2025, Pupuk Indonesia has distributed 3,276,124 tons of subsidized fertilizers, or 34.3 percent of the total 2025 allocation of 9.55 million tons. This realization is higher than in the same period in both 2024 and 2023.

“This is because subsidized fertilizers have been redeemable since January 1, 2025. Some farmers even attempted to redeem them at 12:22 a.m. We've been able to go full speed from the beginning of the year,” Deni emphasized.

Meanwhile, Jekvy Hendra, Director of Fertilizer at the Directorate General of Agricultural Infrastructure and Facilities, Ministry of Agriculture, who also spoke at the webinar, explained that the core aim of the regulatory changes is to streamline various existing regulations that were seen as obstacles to the efficient distribution of subsidized fertilizers. One of the major changes is that distribution, which was previously handled by distributors as field executors, is now under the responsibility of Pupuk Indonesia. The company now directly distributes the fertilizers to the handover points.

“Pupuk Indonesia is now responsible for the presence of fertilizers all the way to the handover points. We’ve proven this—up to now, fertilizer availability from January to June has been consistent across all regions, from provincial and district/city levels to retailers,” he stated.

Regarding handover points, which were previously limited to Gapoktan and retailers, they now also include fish farmer groups (Pokdakan) and cooperatives, including Koperasi Merah Putih.