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Distribution

DISTRIBUTION SCHEME

To answer the government's assignment to PT Pupuk Indonesia (Persero) in supplying the domestic needs of Urea Fertilizer and subsidized NPK, Pupuk Kaltim has prepared sufficient stock of Urea Fertilizer and Subsidised NPK in each distribution area corresponding with Government's provisions which periodically appointed through the Minister of Agriculture Republic of Indonesia decree.


Pupuk Kaltim is a member of Pupuk Indonesia (Persero) Holding with a responsibility to distribute subsidized Urea and NPK following the allocation appointed by the government. Pupuk Kaltim also must fulfill the 6 main principles in managing the procurement and distribution of fertilizer based on 6 Tepat principles, which are Accurate in Type, Amount, Price, Place, Time, and Quality.


The distribution configuration of fertilizer from producer to farmers is also managed through 4 lines of distribution, which are:

  • Line I, is the producer's fertilizer storage or imported fertilizer disassembling and storage area to be sent to Line II.
  • Line II, is a fertilizer storage warehouse or Fertilizer Packing Unit in province-level owned by producers to be distributed to Line III.
  • Line III, is District’s / City’s storage warehouse owned by producer or official distributor to be distributed to Line IV.
  • Line IV, is the official retailer’s kiosk fertilizer storage warehouse running fertilizer sale to farmers.


As a producer, Pupuk Kaltim is obligated to assure the distribution fluency of subsidized fertilizer.