Protecting Farmers, Pupuk Indonesia Takes Firm Action Against ‘Rogue’ Subsidized Fertilizer Kiosks
PT Pupuk Indonesia (Persero) has reaffirmed its commitment to taking strict action against subsidized fertilizer kiosks proven to violate distribution regulations. This step is taken to ensure the smooth, targeted, and timely distribution of subsidized fertilizers, thereby protecting farmers’ interests and strengthening national food security.
“Pupuk Indonesia takes firm action against kiosks found violating the rules of subsidized fertilizer distribution, as part of our commitment to safeguarding farmers’ rights, ensuring smooth distribution, and maintaining national food security,” said Cindy Systiarani, VP of Corporate Communications at Pupuk Indonesia, on Thursday, August 28, 2025.
Cindy explained that Pupuk Indonesia strictly penalizes any violations that harm farmers, ranging from administrative sanctions to revoking the operational licenses of kiosks. This aligns with the mandate of the Ministry of Agriculture Regulation Number 15 of 2025, which is a derivative regulation of Presidential Regulation Number 6 of 2025 concerning the governance of subsidized fertilizers.
Ministerial Regulation Number 15 of 2025 grants Pupuk Indonesia the authority to issue written warnings and revoke a kiosk’s status as a subsidized fertilizer recipient at the Distribution Point.
From January to August 2025, Pupuk Indonesia has closed nine kiosks across several regions in Indonesia found violating the rules. During the same period, the company also issued warning letters to 27 kiosks and notices to 258 other kiosks for various violations.
“This supervision and enforcement of regulations aim solely to protect farmers. We will not reduce the rights of retailer kiosks as long as the rules are complied with and implemented,” Cindy said.
Furthermore, Pupuk Indonesia complements these preventive measures by regularly providing education and socialization to all kiosks. The company routinely issues circular letters regarding the obligation to distribute fertilizers in accordance with the Maximum Retail Price (HET) and provides intensive assistance to kiosks. Pupuk Indonesia also invites local governments, law enforcement agencies, farmers, and the wider community to jointly monitor and report any suspected violations in the field.
“With strict supervision and collaboration among all parties, we are confident that subsidized fertilizers can be distributed timely and accurately, thereby strengthening national food security,” she concluded.