PRODUCTION REMAINS RELIABLE AMID GLOBAL DYNAMICS, PETROKIMIA GRESIK PREPARES 219 THOUSAND TONS OF SUBSIDIZED FERTILIZER TO GUARD THE PLANTING SEASON

13 May 2026 09:12 / Corcom of PG / 0x viewed

To guard the planting season, Petrokimia Gresik, an Agroindustrial Solutions company and member of the Pupuk Indonesia holding, has prepared 219,648 tons of subsidized fertilizer stocks. This stock availability serves as one of the indicators of the company's readiness in maintaining production sustainability and guaranteeing fertilizer availability for farmers amidst global dynamics that impact the raw material supply chain of the world's fertilizer industry.

The President Director of Petrokimia Gresik, Daconi Khotob stated that Petrokimia Gresik together with Pupuk Indonesia has prepared various strategic steps to maintain production sustainability while ensuring the availability of subsidized fertilizer for farmers throughout the planting season.

These various steps are carried out through the optimization of the company's production and operational facilities to maintain the continuity of fertilizer production, the strengthening of subsidized fertilizer stocks, as well as the support of Pupuk Indonesia Group's national distribution network so that fertilizer is available on time for farmers.

In addition, Petrokimia Gresik also continues to strengthen anticipations against various global dynamics that have the potential to affect the raw material supply chain of the world's fertilizer industry.

“Changes in global conditions and the potential disruption of international logistics routes are becoming concerns for the world's fertilizer industry. However, Petrokimia Gresik continues to strive optimally in producing fertilizer so that fertilizer availability for farmers remains secured,” said Daconi in Surabaya, East Java, Tuesday (12/5/2026).

As an anticipatory measure, Petrokimia Gresik is strengthening its raw material procurement strategy, among others through the diversification of origin countries for the supply of phosphate rock, potash, and sulphur, as well as the optimization of sulphuric acid supply from domestic production.

Furthermore, the company is also optimizing long-term procurement contracts and accelerating the securing of raw material stocks for the next six to twelve months' needs in order to maintain production sustainability.

"On the operational side, Petrokimia Gresik ensures the readiness of the company's production and operational facilities so that fertilizer production continues to run optimally to support national planting season needs," Daconi stated.

Meanwhile, as of May 10, 2026, Petrokimia Gresik ensures that the availability of subsidized fertilizer stocks remains secured to support planting season needs. It consists of subsidized Urea at 32,054 tons, NPK Phonska at 166,324 tons, Petroganik organic fertilizer at 16,611 tons, ZA at 2,720 tons, and SP-36 at 1,939 tons.

"This stock is already available within the Pupuk Indonesia distribution network and is ready to be distributed to recipients at the PPTS (Fertilizer Recipients at the Delivery Point) in accordance with applicable regulations. We hope farmers do not need to worry, the April–September planting season can be gone through optimally," said Daconi.

He further explained that the Government has made many changes to the governance of subsidized fertilizer distribution. These changes are an effort to provide ease of access for farmers to subsidized fertilizer.

The changes include the simplification of regulations, where 145 rules were trimmed into one master regulation, namely Presidential Regulation (Perpres) Number 6 of 2025 concerning the Governance of Subsidized Fertilizer, which was later perfected by Perpres 113/2025. Complementing the master regulation, Minister of Agriculture Regulation (Permentan) Number 15 of 2025 was also issued as part of its implementing regulations.

This simplification supports the smooth distribution of fertilizer throughout Indonesia, making it run increasingly effectively and on time. In addition, it is able to support the high absorption of subsidized fertilizer at the beginning of the year. In fact, the realization of national subsidized fertilizer distribution as of May 10, 2026 reached 3.46 million tons or 35 percent of the total 2026 allocation of 9.85 million tons. This realization was also recorded 35 percent higher compared to the same period in 2025.

He also ensured that PI Group is committed to conducting strict supervision so that Fertilizer Recipients at the Delivery Point (PPTS) disciplinedly apply the Highest Retail Price (HET) which has been lowered by the Government by 20 percent for all types of subsidized fertilizer. This, he added, becomes a form of the company's commitment in supporting the national food self-sufficiency program.

Furthermore, he urged that redemption must be carried out at the PPTS or official kiosks so that farmers get genuine products. Currently, there are many irresponsible elements offering counterfeit products, generally with the lure of cheaper prices. Farmers must be careful not to be deceived and to continue getting optimal results in their cultivation.

“Petrokimia Gresik is committed to maintaining production sustainability and national fertilizer availability amidst global challenges. We want to ensure that farmers' fertilizer needs remain fulfilled so that national agricultural productivity can be continuously maintained,” he concluded.

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