Pupuk Indonesia is committed to providing ease for farmers in redeeming subsidized fertilizer in accordance with the new mechanism regulated under Presidential Regulation (Perpres) Number 6 of 2025 concerning the Governance of Subsidized Fertilizers and Minister of Agriculture Regulation (Permentan) Number 15 of 2025 as part of its implementing regulations.

This was conveyed by the Finance and General Director of Pupuk Iskandar Muda, Koko Sudiro, a member of the Pupuk Indonesia holding, during the "Grand Socialization for Subsidized Fertilizer Recipients at the Distribution Point" in Deli Serdang Regency, North Sumatra, on Tuesday (September 9, 2025).

“The government has made significant changes in the governance of subsidized fertilizers in 2025. This new policy has eliminated 145 cross-ministerial and regional regulations and approvals. The expectation is to improve service and ensure that subsidized fertilizers are more targeted and easily accessible to farmers,” said Koko.

He explained that Pupuk Indonesia acts as the operator of the established regulations and is fully responsible for the distribution of subsidized fertilizers to recipients at the distribution points according to the regulations.

Registered farmers can redeem subsidized fertilizers directly at the Subsidized Fertilizer Recipients at the Distribution Point (PPTS), which consist of four entities: retail kiosks, farmer groups (gapoktan), fish cultivation groups (pokdakan), and cooperatives. However, it must be emphasized that the presence of cooperatives does not replace retail kiosks but rather complements the distribution points.

“We believe that this new subsidized fertilizer governance scheme will be a significant milestone in boosting farmer productivity and welfare, significantly advancing the national agricultural sector. This initiative is a crucial step that will bring us closer to achieving the national rice self-sufficiency target,” he asserted.

In front of 250 socialization participants, including Field Agricultural Extension Officers (PPL) and the Head of Subsidized Fertilizer Section of the Ministry of Agriculture, Sry Pujiati, highlighted the importance of accurate data collection for fertilizer subsidy recipients. According to her, the key to successful subsidized fertilizer distribution involves many factors, one of which is valid data. “We must ensure many farmers do not fail to redeem because their data is simply copied from previous years. There have been many changes on the ground,” Sry said.

Therefore, Sry conveyed that farmers eligible to receive subsidized fertilizers are those who own/manage/cultivate land up to a maximum of 2 hectares per planting season. Data collection is not based on domicile but on where the farmers’ land plots are located, as stipulated in Minister of Agriculture Regulation Number 15 of 2025.

Furthermore, these farmers must plant one of the ten designated commodities classified as food crops, horticulture, or plantation crops. “There are ten subsidized commodities: rice, corn, soybean, chili, shallots, garlic, coffee, cocoa, smallholder sugarcane, and cassava. Commodities outside of these ten are not subsidized,” Sry explained.

5.08 Million Tons of Subsidized Fertilizer Have Been Distributed

Koko shared that the facilitation provided under the new governance scheme for subsidized fertilizer distribution has positively impacted the optimization of subsidized fertilizer absorption by registered farmers. As of September 6, 2025, the national realization of subsidized fertilizer redemption reached 5,087,374 tons or 53.3 percent of the 2025 allocation of 9.55 million tons.

For North Sumatra Province alone, 266,497 tons or 50 percent of the annual government allocation of 597,416 tons have been redeemed. Meanwhile, absorption in Deli Serdang Regency during the same period reached 25,661 tons or 59 percent of the government’s total allocation of 43,526 tons.