Petrokimia Gresik

Petrokimia Gresik is one of the largest fertilizer producers in Indonesia, established in 1972 and headquartered in Gresik, East Java. The company primarily produces urea, compound fertilizers, and other agricultural chemicals, and also engages in chemical products. As a subsidiary of PT Pupuk Indonesia, it provides crucial support to Indonesian agriculture.

Petrokimia Gresik emerged from Indonesia’s post-independence effort to build domestic fertilizer capacity. After the establishment of PT Pupuk Sriwidjaja in Palembang in 1959, the Indonesian government pursued additional fertilizer projects in other parts of the country. The East Java initiative had antecedents in planning work undertaken from 1956 by the State Design Bureau, or Biro Perancang Negara. It was initially framed as the Surabaja Petrochemical Project and was connected to national development priorities for the first phase of Indonesia’s planned economic development. The project received political and administrative backing through national planning and presidential instruments in the early 1960s. A feasibility study conducted in 1962 by the Industrial Project Preparation Agency, coordinated by the Ministry of Industry and Mining, assessed possible locations. Gresik was selected for a combination of geographic, agricultural, and logistical reasons. The site offered a large area of available land, access to water resources associated with Java’s major river systems, and proximity to plantations, sugar-cane cultivation, and other agricultural users. Gresik’s coastal location also made it suitable for bringing in large construction equipment and raw materials and for distributing products by sea. Its position within the Surabaya metropolitan economic region added further industrial and transport advantages. The construction agreement for the project was signed on August 10, 1964, and became effective on December 8, 1964. The project was formally inaugurated on July 10, 1972, by the President of Indonesia. That inauguration date is treated as the company’s anniversary. The name Petrokimia derives from “petroleum chemical,” reflecting the project’s original petrochemical orientation and its connection to the use of petroleum- and natural-gas-derived chemical feedstocks. Over time, Petrokimia Gresik developed into a diversified fertilizer and chemicals producer rather than remaining limited to the project’s initial identity. Fertilizer production became its central activity, with products serving both Indonesia’s subsidized fertilizer program and commercial agricultural markets. The company’s portfolio has included nitrogen, phosphate, potash, compound, organic, and specialty fertilizers. It has also added seeds, decomposers, biological products, aquaculture inputs, poultry products, and other agricultural-support offerings. Its industrial-chemical operations complement the fertilizer business. Products and materials associated with the company include ammonia, sulfuric acid, phosphoric acid, aluminum fluoride, oxygen, nitrogen, hydrogen, dry ice, hydrochloric acid, gypsum, and cement retarder. This combination allows the company to use chemical intermediates and industrial capabilities across multiple product categories while maintaining agriculture as its main commercial and strategic focus. Petrokimia Gresik is part of Indonesia’s state-linked fertilizer industry and is associated with PT Pupuk Indonesia (Persero). Its current role is to manufacture and supply fertilizer and related products for the Indonesian market. The available reference material does not provide a reliable current list of executives, detailed ownership percentages, production-capacity figures, financial results, or a separate international operating footprint. Those fields are therefore left unreported in this dossier.

• 1972

  Formal inauguration

  [1]Petrokimia Gresiken.wikipedia.org

  The Gresik project was formally inaugurated by Indonesia’s president on July 10, 1972, a date commemorated as the company’s anniversary.

• 1964

  Construction agreement for the Surabaja Petrochemical Project

  [1]Petrokimia Gresiken.wikipedia.org

  The construction agreement was signed on August 10, 1964, and took effect on December 8, 1964.

• 1962

  Gresik selected after a feasibility study

  [1]Petrokimia Gresiken.wikipedia.org

  A feasibility assessment identified Gresik as a suitable location because of its land availability, water access, agricultural demand, coastal logistics, and proximity to the Surabaya metropolitan area.

• 1959

  Expansion of Indonesia’s fertilizer-development program

  [1]Petrokimia Gresiken.wikipedia.org

  Following the establishment of PT Pupuk Sriwidjaja in Palembang, the government pursued additional fertilizer factories, including the project that became Petrokimia Gresik.

• 1956

  Early state planning for an East Java fertilizer project

  [1]Petrokimia Gresiken.wikipedia.org

  Planning work for the project’s eventual East Java fertilizer complex began under Indonesia’s State Design Bureau.

• Expansion into diversified agricultural and chemical products

  [1]Petrokimia Gresiken.wikipedia.org

  Over its operating history, the company expanded beyond core fertilizers into seeds, biological inputs, aquaculture and poultry products, food-related offerings, and industrial chemicals.

A state-linked Indonesian fertilizer and agrochemical manufacturer supporting national agriculture through subsidized and commercial fertilizers, industrial chemicals, and related farming products.

• Subsidized fertilizer

  Urea

  A nitrogen fertilizer in Petrokimia Gresik’s subsidized fertilizer range. Urea supplies concentrated nitrogen for crop nutrition and is distributed as part of Indonesia’s agricultural-input system.

• Compound fertilizer

  NPK Phonska

  A branded NPK compound fertilizer offered in the subsidized portfolio. It combines key plant nutrients in a single product and is intended for broad agricultural use.

• Organic fertilizer

  Petroganik

  An organic fertilizer product in the subsidized range. It represents the company’s participation in fertilizer categories that supplement mineral nutrients with organic soil-management inputs.

• Phosphate fertilizer

  SP-36

  A phosphate fertilizer included among Petrokimia Gresik’s subsidized products. It is intended to provide phosphorus for crop development and agricultural production.

• Nitrogen and sulfur fertilizer

  ZA fertilizer

  A fertilizer product in the subsidized portfolio that supplies nitrogen and sulfur. It is used as an agricultural nutrient source within Indonesia’s fertilizer-distribution system.

• Commercial compound fertilizer

  NPK Kebomas

  A non-subsidized NPK fertilizer associated with the company’s commercial agricultural portfolio. It is positioned for customers seeking compound nutrient products outside the subsidized range.

• Commercial fertilizers

  ZK, DAP, KCl and rock phosphate

  A group of non-subsidized fertilizer and nutrient products covering potassium sulfate, diammonium phosphate, potassium chloride, and phosphate-bearing mineral inputs. Together they broaden the company’s commercial nutrient offering.

• Rice seeds

  Petroseed and Petro Hybrid

  Rice-seed offerings that extend Petrokimia Gresik’s agricultural business beyond fertilizer. Petroseed and Petro Hybrid are intended to support crop production through branded seed products.

• Agricultural biological input

  Petro Gladiator

  A decomposer product for agricultural use. It belongs to the company’s biological and soil-support portfolio, complementing mineral and organic fertilizer products.

• Aquaculture probiotic

  Petrofish

  A probiotic product intended for fish and shrimp ponds. It reflects the company’s move into aquaculture-support inputs designed to help pond productivity.

• Poultry input

  Petro Chick

  A product for poultry farming, including chickens and ducks. It forms part of Petrokimia Gresik’s broader range of livestock and agricultural-support products.

• Food product

  Fit Rice

  A rice product described as having a low glycemic index. It represents a downstream food-related offering alongside the company’s agricultural inputs.

• Industrial chemicals

  Industrial chemicals

  The company’s chemical portfolio includes ammonia, sulfuric acid, phosphoric acid, cement retarder, aluminum fluoride, liquid oxygen, dry ice, hydrochloric acid, oxygen, nitrogen, hydrogen, and gypsum. These products serve industrial, manufacturing, and process-related applications.

• Diversification beyond core fertilizersStrategy

  Background

  Petrokimia Gresik developed a portfolio spanning subsidized fertilizers, commercial nutrients, biological inputs, seeds, aquaculture and poultry products, food products, and industrial chemicals.

  Action taken

  The company expanded its product categories while retaining fertilizer manufacturing as its central business.

  Aftermath

  The resulting portfolio positioned the company as a diversified agricultural-input and chemicals producer rather than a single-category fertilizer manufacturer.

  Source

1. 1Petrokimia Gresiken.wikipedia.org