Supporting the October–March Planting Season, Pupuk Indonesia Emphasizes Subsidized Fertilizer Sales Must Comply with the Government-Mandated Price (HET)

  • Posted by User01
  • 22 October2025
  • 11:11WIB
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PT Pupuk Indonesia (Persero) reaffirms its commitment to supporting the smooth implementation of the October–March planting season by consistently ensuring the affordability of fertilizers for farmers. One of the manifestations of this commitment is by ensuring that the sale of subsidized fertilizers complies with the Maximum Retail Price (HET) regulations set by the government.

President Director of Pupuk Indonesia, Rahmad Pribadi, stated that compliance with the HET provisions is one of the key factors in ensuring the smooth distribution of subsidized fertilizers to maintain farmers’ productivity.

"Compliance with the HET is crucial to protect farmers and ensure the affordability of fertilizers. We urge all distribution points, including retailers, cooperatives, farmer groups (gapoktan), and fish farmer groups (pokdakan), to strictly adhere to this regulation," said Rahmad in Jakarta.

The HET provisions for subsidized fertilizers in 2025 have been established by the government through the Decree of the Minister of Agriculture of the Republic of Indonesia No. 644/kPTS/SR.310/M/11/2024. According to the decree, the HET for subsidized fertilizers is set at Rp2,250/kg for Urea, Rp2,300/kg for NPK, Rp3,300/kg for NPK Cocoa, Rp1,700/kg for ZA, and Rp800/kg for Organic fertilizer. These HET provisions aim to ensure that farmers can obtain fertilizers at affordable prices to boost agricultural productivity and improve farmers’ welfare.

Corporate Secretary of Pupuk Indonesia, Yehezkiel Adiperwira, added that the company continues to remind all parties that fertilizer sales must strictly follow the HET. If any violations are found, Pupuk Indonesia will impose sanctions on the kiosks or distribution points involved, ranging from administrative penalties to termination of cooperation.

“HET is mandatory and binding. If they sell above the HET, they will face sanctions. In some regions, we have even immediately terminated cooperation with distribution points that failed to comply with the HET,” he said.

As a preventive measure, Pupuk Indonesia actively conducts outreach and education on the importance of complying with the HET regulations. One of the measures includes requiring kiosks or distribution points to display HET stickers in visible areas, so farmers are aware of the official subsidized fertilizer prices and to prevent price markups. Additionally, Pupuk Indonesia regularly issues circular letters on the obligation to distribute fertilizers according to the HET and provides intensive guidance to distribution points.

“If a distribution point is found not displaying the HET sticker, report it immediately to Pupuk Indonesia. We will promptly install the sticker in a visible location so that all parties are aware,” he added.

Furthermore, Yehezkiel emphasized that understanding the HET mechanism is important for both kiosks/distribution points and farmers. The HET applies to the price at the kiosk or distribution point, which means that farmers are expected to obtain subsidized fertilizers directly from these points, including retail kiosks. However, if there is a need for delivery to the farmer's land or residence, delivery fees may be discussed between both parties.

“The delivery of fertilizers can be arranged through negotiations between the distribution point and the farmer, but the delivery fee must be separated from the fertilizer transaction to avoid being considered as selling above the HET. Most importantly, the delivery cost must not burden the farmers,” he said.

All efforts to ensure that fertilizer is sold according to the HET align with Pupuk Indonesia's commitment to implementing Presidential Regulation No. 6 of 2025 on the Governance of Subsidized Fertilizers, as well as Minister of Agriculture Regulation No. 15 of 2025. Pupuk Indonesia is committed to maintaining a transparent and fair fertilizer distribution ecosystem in line with the 7T principles (right target, type, amount, price, time, place, and quality). With improved governance, the company aims to ensure the availability of subsidized fertilizers to support national food security and the success of the October–March planting season.

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