Prabowo Allows Imports to Fulfill Subsidized Fertilizer Needs

TEMPO.CO, Jakarta - Indonesian President Subianto allows imports to meet subsidized fertilizer needs. The fertilizer import regulations are stated in Presidential Regulation Number 6 of 2025 concerning Subsidized Fertilizer Management which was signed on January 30, 2025.

The policy is an amendment to Presidential Regulation Number 77 of 2005 concerning the Determination of Subsidized Fertilizer as Goods under Supervision. Prabowo granted the fertilizer import permit to achieve the food self-sufficiency target which is now a government priority.

Based on Article 1 paragraph 11, State-Owned Enterprises (BUMN) are tasked with procuring and distributing subsidized fertilizers in accordance with the provisions in the agreement and/or laws and regulations. Procurement and distribution of subsidized fertilizers carried out by BUMN Pupuk are carried out based on the allocation of subsidized fertilizers determined by the technical minister, in the agriculture or fisheries sector.

Import needs will be considered based on the proposal of the technical minister. Then, the import permit will be issued after a coordination meeting led by the Coordinating Minister for Food. Fertilizer imports may only be carried out when state-owned companies are unable to meet domestic fertilizer supplies.

"Procurement of subsidized fertilizer from abroad is carried out in the event that BUMN Pupuk cannot meet the need for Subsidized Fertilizer," reads Article 11 paragraph 2.

BUMN in the fertilizer sector is also responsible for distributing subsidized fertilizer to the delivery point. Recipients of subsidized fertilizer at the delivery point include Farmer Groups (Gapoktan), Fish Farming Groups (Pokdalan), retailers, cooperatives engaged in or in the field of fertilizer distribution.

After the subsidized fertilizer is distributed to the delivery point, Pupuk submits a bill, and is verified by the Ministry of Agriculture and the Ministry of Maritime Affairs and Fisheries. Provisions regarding the procedures for billing and payment will be regulated in the Regulation of the Minister of Finance.

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