Ban on tin ore export to start June 15<\/p>\n
Adianto P. Simamora, The Jakarta Post, Jakarta<\/p>\n
The government will ban the export of tin ore from the Bangka and
\nBelitung islands starting June 15 in a bid to help prop up
\nsagging prices of the commodity, Minister of Industry and Trade
\nRini M. Soewandi said on Thursday.<\/p>\n
\"The ban on tin ore export will start June 15,\" Rini told
\nreporters.<\/p>\n
The ban was initially planned to start this month.<\/p>\n
Rini said that the delay was made following demands from the
\nlocal governments of the Bangka and Belitung regencies, to give
\nmore time for investors to set up local tin smelting facilities.<\/p>\n
Illegal tin mining has been the main source of living for some
\n6,000 people of the two islands. Banning the export of tin ore
\nwould force them out of business.<\/p>\n
Tin ore produced by the illegal miners is estimated to reach
\nmore than 30,000 metric tons per year or close to the production
\nlevel of state-owned tin mining company PT Timah. The tin ore
\noutput of the illegal miners is being exported.<\/p>\n
Timah, whose net profit plunged by 89 percent last year, had
\nblamed the illegal miners for causing a drop in the international
\nprice of tin. The company has said that unless the government
\ndoes something about the illegal mining operation, Timah would go
\nunder.<\/p>\n
The Bangka and Belitung regency governments have invited
\nprivate investors to set up smelting facilities to process tin
\nore into tin metal, which would help increase the price of tin in
\nthe international market.<\/p>\n
\"(But) the regents of Bangka and Belitung islands have asked
\nme to delay the ban because the investors are not yet ready,\"
\nRini said.<\/p>\n
Tin price reached its lowest level in three decades in
\nSeptember last year at around US$3,630 per ton, while Timah's
\nproduction cost stands at about $4,200 per ton.<\/p>\n
But on Thursday at 5 p.m., the commodity was quoted at $4,100
\nper ton, which is still much lower than the $5,225 per ton in
\nJanuary 2001.<\/p>\n
Timah's full capacity is 50,000 metric tons a year, but the
\ncompany is currently running at only 70 percent capacity.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/ban-on-tin-ore-export-to-start-june-15-1447893297",
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"sponsor_url": "https:\/\/okusiassociates.com"
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