Indonesian Political, Business & Finance News

Dony Oskaria Reveals Pupuk Indonesia Transformation Results, Here's the Proof

| Source: CNBC Translated from Indonesian | Trade
Dony Oskaria Reveals Pupuk Indonesia Transformation Results, Here's the Proof
Image: CNBC

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, implements the Indonesia-Australia fertiliser export cooperation through a Government-to-Government (G-to-G) scheme, whilst affirming Indonesia’s position as a reliable fertiliser supplier amid global supply uncertainty. This export success reflects the results of the transformation undertaken by Pupuk Indonesia to strengthen 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 internationally. Head of the State-Owned Enterprise Supervisory Board (BP BUMN) and COO of Danantara, Dony Oskaria, stated that the transformation carried out by Pupuk Indonesia has had a tangible impact on the company’s performance and competitiveness. “Pupuk Indonesia’s transformation has already shown results. It is not only strong in meeting domestic needs but is also now capable of being a reckoned export player in the global market,” he said as quoted in a press release on Wednesday (24/6/2026). 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 adequate capacity to meet domestic needs whilst serving export markets. As of 22 June 2026, subsidised fertiliser stock was recorded at 1.23 million tonnes, whilst 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 meeting the needs of national farmers and developing international markets. The urea export to Australia is a follow-up to the agreement established between Indonesian 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 whilst 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 reaching 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.

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