As a follow-up to the investigation into allegations of maladministration in data collection and redemption of subsidized fertilizers using Farmer’s Cards in Indonesia, Member of the Indonesian Ombudsman, Yeka Hendra Fatika revealed various findings of problems faced by farmers regarding the distribution of subsidized fertilizers, especially in the West Sumatra region at the conference press conference held in Bukittinggi, Friday (18/11/22). 

Yeka stressed that the Indonesian Ombudsman had explored in depth the problems faced by farmers as recipients of subsidized fertilizers through audiences involving farmers and farmer groups, agricultural extension workers, retail kiosks, distributors in the West Sumatra region, and HIMBARA (Bank Mandiri) simultaneously in working visit for 5 (five) days on November 14-18 2022. The Indonesian Ombudsman also collaborated with the Indonesian Ministry of Agriculture as the regulator of the Subsidized Fertilizer program and PT Pupuk Indonesia (Persero) as the operator to attend directly to hear complaints from the public as beneficiaries of the Subsidized Fertilizer program. 

Based on the results of the hearings, it was found that several things had become complaints from the people in the West Sumatra region, including:

1. Unequal distribution of Subsidized Fertilizers in various regions in West Sumatra;
2. Inequality between production costs and harvest yields, where production costs are greater than the yields obtained;
3. The amount of additional transportation costs for the distribution of Subsidized Fertilizers, especially in the Mentawai Islands and several other areas that require additional access other than land routes;
4. Discrepancies in the arrival schedule of Subsidized Fertilizers with the planting period of the farmers;
5. There is no transparency of RDKK information (Definitive Plan for Group Needs) in the field, especially at Retail Kiosks considering that what is held is still in the form of demand proposal data, not subsidized fertilizer allocation data;
6. Problems with Farmer Cards include being inactive, lost, forgetting pins or cannot be used due to the lack of information received by Farmers/Poktan;
7. The use of EDC machines as a transaction tool that is still inefficient and constrained by network/signal constraints at several locations;
8. The limited availability of NPK-type Subsidized Fertilizer allocations as an application of the results of a study by the Research and Development Unit of the Indonesian Ministry of Agriculture (Litbang Kementan) on the condition of agricultural land in Indonesia.

In addition, Yeka considers that the use of Farmer Cards in purchasing subsidized fertilizers is considered forced, as the issuance of the Letter of the Director of Fertilizers and Pesticides of the Ministry of Agriculture regarding the Distribution of Subsidized Fertilizers using Farmer Cards Number on 21 September 2022 which mandates that in the redemption of subsidized fertilizers as of 1 October 2022 it will use The Farmer Card, which was later postponed to January 1, 2023. 

This is also supported by data from Bank Mandiri, that as of October 2022 as many as 146,000 of the 372,000 target distribution of Farmer’s Cards in Padang City have not been distributed with one of the main obstacles, namely the difficulty of distributing directly to farmers. However, in 2022 distribution will be boosted again after the issuance of a Ministry of Agriculture Circular regarding the use of Farmer Cards. As of October to November 2022, 20,000 cards have been distributed. 

In addition, the validity of the data collection on subsidized fertilizer recipient farmers also needs to be a focus considering that in 2024 the Direct Fertilizer Subsidy (SLP) program will begin to be implemented. It is necessary to prepare the maturity of the program, bearing in mind that the main problem in data collection is the validity of the data.

On this matter, the Indonesian Ombudsman conducted a field test to confirm the data on the e-RDKK with the real conditions of farmers. The data collection includes:

1. Scheme for collecting data on land area and proposals for subsidized fertilizer needs by Extension Workers to Farmers/Poktan;
2. Checking the land area data on the e-RDKK refers to the statement of the farmer, the Chairperson of the Poktan, direct checking/measurements on arable land, and checking documents refers to the ownership of documents related to land tenure for planting;
3. Checking the proposed needs and the amount of NPK subsidized fertilizer redemption based on e-RDKK data with information from Farmers, Head of Poktan, Agricultural Extension;
4. Collection of information regarding Farmer Card ownership and the extent of socialization that has been carried out by the Government regarding the benefits and ease of redemption using the Farmer Card;
5. Collecting information regarding the redemption of subsidized fertilizers (Urea and NPK) is carried out independently by Farmers or collectively through Poktan or Retail Kiosks;
6. Collecting information on the redemption mechanism for subsidized fertilizers (Urea and NPK) is carried out using (i) Farmer Cards, (ii) KTP/KK, (iii) there are other mechanisms implemented by retail kiosks;
7. Farmers/Poktan hopes for the subsidized fertilizer redemption mechanism in the future.

Yeka added, if the problem with the distribution of Farmer Cards is not resolved, it will have an impact on stagnation in the implementation of the Fertilizer Direct Subsidy (SLP) program in 2024. The Ministry of Agriculture has carefully prepared data validation for recipients of subsidized fertilizers that are right on target. 

“There is only one goal of the Indonesian Ombudsman, namely in 2023 for farmers who are registered with the RDKK or have already received a Farmer’s Card, they must get subsidized fertilizer, not first come first serve,” said Yeka.

In addition, Yeka also stated that it was necessary to make policies through a bottom-up procedure related to the uniformity of the types of fertilizer distributed, so that local farmers, especially horticultural farmer groups, could propose subsidized fertilizer commodities obtained. 

Due to these conditions, the Indonesian Ombudsman is currently initiating an examination of alleged maladministration in data collection and redemption of subsidized fertilizers using Farmer’s Cards with data collection carried out in the provinces of West Java, Central Java, East Java and sampling trials in Banten, Bengkulu, Gorontalo, South Kalimantan , and finally in West Sumatra. It is hoped that a solution option will emerge from the problems in the prolonged Subsidized Fertilizer Program in the Republic.