BP BUMN Records Success of Pupuk Indonesia Transformation

The transformation of Pupuk Indonesia has already shown results. Head of the State-Owned Enterprises Supervisory Board (BP BUMN) and Chief Operating Officer of Danantara, Dony Oskaria, noted that the transformation undertaken by Pupuk Indonesia has had a real impact on the company’s performance and competitiveness. “The transformation of Pupuk Indonesia has already shown results. It is not only strong in meeting domestic needs, but has also become an export player to be reckoned with in the global market,” Dony said in a statement received in Surabaya, East Java, on Wednesday. PT Pupuk Indonesia (Persero) has realised the export of 47,250 tonnes of urea to Australia as part of efforts to strengthen food security and the fertiliser supply chain in the Indo-Pacific region. The shipment, marked by the arrival of the MV Medi Luna at the Port of Brisbane, Queensland, Australia, represents the implementation of Indonesia-Australia fertiliser export cooperation through a Government-to-Government (G to G) scheme, while affirming Indonesia’s position as a dependable fertiliser supplier amid global supply uncertainty. This export success reflects the results of the transformation that Pupuk Indonesia has carried out in strengthening competitiveness, operational efficiency, and the company’s production capacity. The transformation has not only reinforced the company’s role in supporting national food security, but also enhanced its ability to expand markets and compete at the international level. With a fertiliser production capacity reaching 14.8 million tonnes per year and a urea production target of 7.8 million tonnes in 2026, Pupuk Indonesia has sufficient capacity to meet domestic needs while serving export markets. As of 22 June 2026, subsidised fertiliser stock was recorded at 1.23 million tonnes, while the realisation of subsidised fertiliser distribution had reached 4.61 million tonnes, an increase of 30 percent compared to the same period the previous year. This condition demonstrates the company’s ability to maintain a balance between fulfilling the needs of national farmers and developing international markets. The urea export to Australia is a follow-up to the agreement established between President Prabowo Subianto and Australian Prime Minister Anthony Albanese to strengthen cooperation in the food and agriculture sectors. With Australia’s urea demand reaching approximately 3.7 million tonnes per year, Indonesia is present as a strategic partner capable of providing supply certainty for Australia’s agricultural sector while supporting regional food security. The maiden shipment was carried out using the MV Medi Luna, which departed from the BSL Jetty of PT Pupuk Kalimantan Timur in Bontang, East Kalimantan, in mid-May 2026. Throughout this year, export realisation will be carried out in stages until it reaches 250,000 tonnes. This step further strengthens Pupuk Indonesia’s position as a globally competitive national fertiliser company and reinforces Indonesia’s role in maintaining fertiliser supply stability and food security in the Indo-Pacific region.