Inp.polri.go.id - Jakarta. State-owned enterprise PT Pupuk Indonesia assured domestic farmers during a hearing in Jakarta on Thursday (2/4/2026) that subsidized fertilizer prices will remain unchanged despite escalating geopolitical tensions in the Strait of Hormuz.
"The maximum retail price has already been reduced by 20 percent, and there are no plans for a hike, meaning the current rates will stay," confirmed Rahmad Pribadi, the President Director of PT Pupuk Indonesia, as cited by antaranews.com.
The company mitigated concerns over global supply chain disruptions by highlighting Indonesia’s robust domestic urea production capacity of 8.8 million tons. This self-sufficiency allows the nation to bypass international price spikes, which recently saw global urea costs double to $800 per ton.
While the Strait of Hormuz handles nearly a third of global fertilizer trade, the government maintains that local stockpiles are secure. These stabilized prices, effective since late 2025, continue to support national food security and agricultural productivity across the archipelago.
(mg/inp/pr/rs)
