Subsidized fertilizers are fertilizers of which procurement and distribution are subsidized by the Government for farmers' needs on the basis of Government programs. With the Government's limitation in providing subsidized fertilizers in accordance to the framework of the government program, subsidized fertilizer is only allocated for agricultural business which includes Farmers of Food Crops, Livestock and Smallholders. To guarantee the procurement and prevent the occurrence of irregularities in the distribution of subsidized fertilizers, stipulated the Decree of the Minister, namely through Decree of Minister of Industry and Trade No. 70/MPP/Kep/2/2003 dated February 11, 2003, concerning Procurement and Distribution of Subsidized Fertilizer for Agricultural Sector.

PT PPI is an authorized distributor, appointed by the manufacturer to purchase, store, sell and market subsidized fertilizer in wholesales to sell to final Consumers through its Retailers. The fertilizers distributed by PT PPI are Pupuk Sriwidjaja, Pupuk Kujang, Pupuk Kalimantan Timur, Pupuk Iskandar Muda, and Pupuk Petrokimia Gresik.