War Disrupts Global Urea Supply, Australia and India Approach Indonesia

JAKARTA, KOMPAS.com - PT Pupuk Indonesia has received approaches from several countries due to disruptions in the global urea supply. Australia and India are among the nations exploring supply cooperation.

PT Pupuk Indonesia’s President Director, Rahmad Pribadi, stated that demand has increased because supplies from the Gulf region are stalled.

“This afternoon, I will meet or hold a special meeting with the Indian government, followed by the Australian government and others,” Rahmad said at the Ministry of Agriculture in Jakarta on Monday (30/3/2026).

This situation is pressuring the global urea supply. Indonesia is in a different position due to its large production capacity.

“The world is losing urea supply, and Indonesia is a urea exporting country,” Rahmad said.

Pupuk Indonesia’s urea production capacity reaches 9.4 million tonnes. Of this amount, exports range from 1.5 million to 2 million tonnes, depending on domestic needs.

“If domestic needs are high, we export 1.5 million tonnes. If they are low, we can export up to 2 million tonnes,” Rahmad explained.

Global demand is also rising due to planting seasons in various countries. The United States is entering its corn planting season. Australia is entering its wheat planting season.

This condition increases fertiliser needs in the global market.

“So this is indeed a time of high global needs. Alhamdulillah, hopefully with prayers, Indonesia and Pupuk Indonesia can contribute to saving the world’s food,” Rahmad said.

The situation has intensified following the involvement of the United States and Yemen’s Houthi group.