Indonesian Political, Business & Finance News

Fertiliser Becomes the Foundation of Food Security

| Source: CNBC Translated from Indonesian | Agriculture
Fertiliser Becomes the Foundation of Food Security
Image: CNBC

Jakarta, CNBC Indonesia - The Director General of Agricultural Infrastructure and Facilities at the Ministry of Agriculture, Andi Nur Alamsyah, has revealed that fertiliser constitutes the foundation of food security. Amid geopolitical pressures, fertiliser plays a key role in Indonesia’s agriculture.

“So, there is geopolitical pressure today, yes. But agriculture is ready. Insyaallah, there will be no problems. This isn’t empty talk. Why is it so hard to convince the public that we are self-sufficient,” he stated during the CNBC Indonesia Coffee Morning themed “Securing Indonesia’s Food Sovereignty through Value Chain and Financing Amid Global Disruption” in Jakarta recently.

Andi also elaborated on significant changes in the governance of subsidised fertiliser distribution for 2025. According to him, these regulations will make Indonesian agriculture more resilient.

“Our allocation is 9.58 million tonnes. The subsidy will remain in place. Even if there is a rise in the US dollar exchange rate and so on. The 9.58 million tonnes is guaranteed. And this with sufficient fertiliser availability,” he stressed.

It is known that these changes are regulated in Presidential Regulation (Perpres) No. 6 of 2025 on the Governance of Subsidised Fertiliser and Minister of Agriculture Regulation (Permentan) No. 15 of 2025 as part of its implementing regulations. This policy is expected to improve services and ensure that subsidised fertiliser reaches the right targets and is easily accessible to all farmers.

In addition to the subsidised fertiliser allocation, the government is also balancing the Highest Retail Price (HET) and Cost of Goods Sold for fertiliser at Rp6,500.

“That there are price changes is seeking a new balance. As usual, and the government when it drops, stabilises the price,” Andi explained.

Furthermore, according to Andi, the Planting Index (IP) is currently rising by 2.5%. This achievement allows three planting seasons compared to only one previously.

The Ministry of Agriculture is also optimising land. In 2024, an area of 480,000 hectares, then in 2025, 500,000 hectares.

“Our swampy land that was previously planted only once can now be planted two to three times. This increases our harvested area,” he concluded.

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