Indonesia reforms subsidized fertilizer governance to boost food security

Indonesia is reforming its subsidized fertilizer governance to support national food self-sufficiency. Under directives from President Prabowo Subianto, the government has consolidated 145 previous regulations into just three. This streamlined process simplifies the distribution flow from the Ministry of Agriculture and Pupuk Indonesia directly to farmers.

Key components of the reform include the implementation of Presidential Regulation Number 113 of 2025. Additionally, the government has implemented a 20 percent reduction in the maximum retail price for five types of subsidized fertilizers: urea, NPK, NPK for cocoa, ZA, and organic fertilizers. This price reduction has been in effect since October 22, 2025.

Beyond fertilizer management, the government is also focusing on land availability. Through the Ministry of Agrarian Affairs and Spatial Planning and the Coordinating Ministry for Food, authorities aim to designate at least 87 percent of standard rice field land as protected rice fields to ensure long-term food security.