Pupuk Indonesia in talks with India and Bangladesh on urea exports after Brisbane delivery

Pupuk Indonesia is in active talks with India and Bangladesh about urea export agreements as the state-owned producer positions itself as a regional supply anchor amid ongoing disruption to Gulf shipping routes.

Rahmad Pribadi, president director of Pupuk Indonesia, said at a Brisbane port ceremony on June 22 that discussions are underway after the company successfully delivered a 47,250-tonne urea cargo to Australia under a government-to-government framework. He added that Indonesia can rotate supply toward South Asia once Australia’s current planting season concludes.

The company has annual production capacity of 14.8 million tonnes and targets 7.8 million tonnes of urea output in 2026 — exceeding estimated domestic demand of 6.3 million tonnes and leaving over 1.5 million tonnes available for export. Indonesia exported 1.72 million tonnes of urea in 2025, up from 1.41 million tonnes in 2024.

Four countries are now in discussions for Indonesian urea supply, with combined demand cited at over 750,000 tonnes. Pupuk Indonesia said it can shift cargoes between origins as seasonal planting windows open across the region.

Indonesia’s urea is produced using domestic natural gas and exported through shipping lanes largely outside the Strait of Hormuz conflict zone, making it attractive to importers seeking supply not dependent on Persian Gulf transit.

Source: ANTARA News