Australia Receives Initial Urea Shipment from Indonesian Supplier

RRI.CO.ID, Brisbane - The first shipment of 47,250 tons of urea fertilizer produced by state-owned fertilizer producer PT Pupuk Indonesia arrived at the Port of Brisbane on Monday, June 22, 2026, marking the start of a 250,000‑ton export agreement between Indonesia and Australia.

The fertilizer was transported aboard the Madi Luna vessel, which departed from Bontang, East Kalimantan, in May 2026. The shipment is part of efforts to strengthen food security and maintain a stable fertilizer supply in the Indo‑Pacific region.

PT Pupuk Indonesia President Director Rahmad Pribadi said Australia has long been one of Indonesia’s main markets for urea fertilizer.

“Australia has always been a major market for urea fertilizer from Indonesia. However, this shipment is special because it is managed through a government‑to‑government scheme and supported by a long‑term contract,” Rahmad said at the Port of Brisbane, as quoted by Antara.

He explained that the first phase of exports totaled 47,250 tons, with subsequent shipments to be carried out in stages until December 2026, reaching 250,000 tons overall.

Indonesian Ambassador to Australia Siswo Pramono noted that bilateral economic ties have grown stronger since the implementation of the Indonesia‑Australia Comprehensive Economic Partnership Agreement (IA‑CEPA).

He said trade between the two countries has risen from AUD 14 billion to AUD 32 billion in the past five years, and the fertilizer deal will further strengthen cooperation in food security.

Siswo added that the trade relationship is complementary: Indonesia imports commodities such as cotton and wheat from Australia, while Australia secures fertilizer supplies to support its agricultural productivity. “A strong Indonesia benefits Australia, and a strong Australia benefits Indonesia,” he said.

First Assistant Secretary of the Australian Department of Agriculture, Fisheries and Forestry, Amanda Calmers, welcomed the shipment. “This fertilizer provides the certainty and confidence our farmers need, but it also provides food security for Australia and the region we share,” she said.

Pupuk Indonesia’s operating partner in Australia, Incitec Pivot Fertilizers, announced that the supply will support cotton, wheat, fruit, and vegetable production in Queensland and northern New South Wales, before being distributed to Geelong.

Chief Operating Officer Scott Bowman emphasized that the collaboration is crucial to ensuring fertilizer availability for Australian farmers and supporting the food supply chain between the two countries.

During the launch of the first export in Bontang on May 14, 2026, Agriculture Minister Andi Amran Sulaiman called the exports a milestone in transforming Indonesia’s fertilizer industry.

“This is historic because we will export fertilizer to several countries, including Australia. We planned to export 250,000 tons to Australia, as discussed between the Australian Prime Minister and the President, but this amount will increase to 500,000 tons, valued at approximately IDR 7 trillion,” Minister Amran said.

The first shipment follows communication between President Prabowo Subianto and Australian Prime Minister Anthony Albanese on strengthening cooperation in the food sector. ***