New Fertilizer Subsidy Rules Deemed a Solution, Here's the Explanation The government has changed the fertilizer subsidy scheme.

REPUBLIKA.CO.ID, JAKARTA — The issuance of Presidential Regulation (Perpres) Number 113 of 2025 regarding the Management of Subsidized Fertilizers is considered to address the inefficiency of the national fertilizer industry that has long been a record of the Financial Audit Board (BPK). Through this new regulation, Deputy Chairman of Commission IV of the House of Representatives of the Republic of Indonesia Panggah Susanto said the government is changing the subsidy scheme for fertilizers from cost plus to marked to market, which is considered more efficient and transparent for the national fertilizer industry. "Commission IV of the House of Representatives supports the President's policy (Perpres 113 of 2025) regarding fertilizer subsidies, because with the Cost Plus Margin scheme it causes inefficiency in the fertilizer industry," Panggah said in a written statement in Jakarta, Thursday (18/12/2025). The subsidized fertilizer scheme based on cost plus has been applied for about ...