ASEAN Aceh Fertilizer is a fertilizer producer of shared ideas in economic and industrial cooperation of Southeast Asian countries incorporated in ASEAN. This fertilizer factory was established in the oil and gas processing industry in Lhokseumawe City, Aceh. It was originally planned in 1979 and began construction in 1981. The factory issued its first production in 1984.
PT. ASEAN Aceh Fertilizer produces urea and liquid ammonia as a by-product. Offering its products in Vietnam, China, India, Ceylon, Cambodia, Japan, and Taiwan.
As the first joint venture project between ASEAN member countries the presence of fertilizer plant is expected to contribute in stabilizing the supply of fertilizer demand in Southeast Asian countries. The position of the plant and its operational headquarters in the country of Indonesia makes this fertilizer plant run its business based on the laws and laws prevailing in Indonesia.
Along with the end of oil and gas era in Aceh, PT. ASEAN Aceh Fertilizer has finally stopped its production operations. The management of assets owned by the former fertilizer factory is also constrained by differences in views among the Indonesian government bureaucracy. The development and operation of the factories that initially cooperated with ASEAN countries' equity capital made the government unable to determine the status of the liquidation that would be decided upon this factory. Meanwhile, to revive the operation of the fertilizer industry is also constrained by the high cost that must be issued by the government.