President Jokowi Inaugurates Ammonium Nitrate Factory in Bontang City

President Jokowi inaugurates PT Kaltim Amonium Nitrat in Bontang city, East Kalimantan province, Thursday (02/29). (Photo by: BPMI)

President Joko “Jokowi” Widodo Thursday (02/29) stated that the development of an ammonium nitrate factory can encourage food independence in the country as well as a strategic effort in facing the global food crisis.

“In the past, it was a simple task when we want to import rice or wheat. Now, 22 countries—from which we usually buy rice or wheat—limited their sales and some even stopped their exports,” President Jokowi said after inaugurating PT Kaltim Amonium Nitrat in Bontang city, East Kalimantan province.

According to the President, Indonesia still imports several fertilizer components, including the key raw material ammonium nitrate, and expressed hope that PT Kaltim Ammonium Nitrate will be able to reduce imports of ammonium nitrate to around 8 percent from previously 21 percent.

“We must domestically produce not only ammonium nitrate, but also goods and products which are still imported for we have the capabilities to do that,” he remarked.

For the record, PT Kaltim Amonium Nitrat, which was built with an investment of Rp1.2 trillion, can produce around 75 thousand tons of ammonium nitrate per year. In addition to being raw material for fertilizer, ammonium nitrate is also raw material used in defense industry, especially for explosives. (TGH/UN) (GWH/MMB)