Public Service Obligation

Indonesian Subsidized Fertilizer Distribution Mechanism

skema distribusi

Single Brand Packaging

In accordance with the Regulation of the Minister of Agriculture No. 10 of 2022 concerning Procedures for Determining the Allocation and Highest Retail Price of Subsidized Fertilizer in the Agriculture Sector, Regulation of the Minister of Industry of the Republic of Indonesia Number 17/M-IND/PER/3/2016 concerning Amendments to the Regulation of the Minister of Industry Number 69/M -IND/PER/8/2015 regarding the use of Single Brand Bags for subsidized fertilizer, where subsidized urea, NPK and organic fertilizers must be packaged using single brand bag and the words "Government Subsidized Fertilizer, Goods Under Supervision" written on the bag are written in red. In accordance with the Regulation of the Minister of Trade of the Republic of Indonesia Number 15/M-DAG/PER/4/2013 in the procurement and distribution of domestically subsidized fertilizers for the Agricultural Sector following the principles of 6 (six) exactly:

  • ✔ Exact Type
  • ✔ Exact Amount
  • ✔ On Time
  • ✔ Right Place
  • ✔ Right Price
  • ✔ Right Quality

Fertilizer Distribution Rayonization

Distribution Facilities

Type Unit Amount
Owned Vessel 9
Chartered Vessel 12
Number Producer Total Route PIHC Route
1 PKT 30 0
2 PIM 11 -
3 PSP 13 -
4 PKG 36 109
Number Pier Area Total Pier Draft Pier Capacity Sheep
1 Bontang 7 5 s.d. 15 MLWS 2.000 s.d. 55.000 ton
2 Palembang 5 5 s.d. 8 MLWS 1.000 s.d. 7.000 ton
3 Lhokseumawe 3 -8 s.d. -12 MLWS 5.000 s.d. 10.000 ton
4 Gresik 4 -6,7 s.d. -14 MLWS 2.000 s.d. 60.000 ton
Number Distribution Center Capacity (Ton)
1 Medan 103.100
2 Padang 32.500
3 Lampung 60.000
4 Semarang 11.000
5 Dumai 30.100
6 Banyuwangi 40.000
7 Surabaya 132.560
8 Makassar 83.500
No UPP Capacity (Ton) Status
Bulk In Bag Total
1 UPP Cilacap 10.000 3.000 13.000 Owned
2 UPP Semarang 10.000 - 10.000 Chartered
3 UPP Meneng Banyuwangi 15.000 10.000 25.000 Owned
No Facility Unit Amount
1 Armada Truk Sewa unit 6.151
2 Gudang Lini I kapasitas unit (ton) 260.856
3 Gudang Lini II kapasitas unit (ton) 546,350
4 Gudang Lini III kapasitas unit (ton) 546,350
5 Total Kapasitas Gudang (590) kapasitas unit (ton) 2.484.766
6 Distributor 1.542
7 Pengecer 45.005

Distribution Planning and Control System

Digital transformation through the strong data science continues to be the concern of Pupuk Indonesia Group, especially in order to assist the operational decision-making process that is fast, precise, and accurate. One of them is the digitization of distribution and warehousing in order to keep up our improvement in the distribution management and supervision of subsidized urea fertilizer through the Distribution Planning & Control System (DPCS) technology innovation.

This technology aims to optimize fertilizer production and stock from the production center to the district warehouse by utilizing geospatial data-based technology. DPCS is able to monitor the stock and allocation of fertilizers in real time, including the ongoing distribution process, production limits, to the stock that reaches the retailers.

With DPCS innovation, it is hoped that Pupuk Indonesia Group can continue to improve the effectiveness and efficiency of distribution supply lines across the country in accordance with the allocation set by the government, and ensure that subsidized fertilizers are always available throughout Indonesia. Here is the list of distributors and retailers of PT Pupuk Indonesia (Persero) in 2024 link.