Indonesia has started exporting urea fertilizer to Australia under a government-to-government scheme. The overall commitment is valued at Rp7 trillion with an initial shipment of 47,250 tons. Subsidized fertilizer prices at home have dropped 20 percent.
Minister of Agriculture Andi Amran Sulaiman released the first urea fertilizer export by PT Pupuk Indonesia through PT Pupuk Kalimantan Timur at Bontang Port, East Kalimantan on Thursday 14 May 2026. The initial shipment totals 47,250 tons valued at Rp600 billion and forms part of a 250,000-ton commitment that will rise to 500,000 tons.
Amran said President Prabowo Subianto’s policy lowered subsidized fertilizer prices by 20 percent without adding to the state budget burden. Subsidized volumes were also increased by 700,000 tons to widen farmer access. He noted the step brings happiness to 160 million Indonesian farmers including 115 million rice farmers.
Australian Deputy Ambassador to Indonesia Gita Kamath expressed appreciation for the cooperation that strengthens food security for both nations. The fertilizer will help Australian farmers produce wheat later used in Indonesia. The government next targets export markets in India, the Philippines, Brazil, and Bangladesh.