DPR: Rare Earth Metal Management Cannot Be Haphazard

The government and the House of Representatives (DPR) are currently preparing the establishment of a mineral and strategic commodity exchange, which is expected to commence on 1 January 2027, to strengthen downstream processing and national competitiveness while allowing Indonesia to influence national reference prices. Chairman of Commission XII of the Indonesian House of Representatives, Bambang Patijaya, stated that the formation of the mineral exchange is a step towards avoiding transfer pricing and under-invoicing practices, as well as improving the governance of Indonesia’s mineral supply chain. Furthermore, the DPR is encouraging efforts to explore the potential of rare earth metals, which are highly sought after globally to support the development of telecommunications and defence security technology. Several regions, such as Bangka Belitung, a tin-producing area, also contain rare earth metals, and this potential has also been identified in Sulawesi. Therefore, efforts are needed to strengthen governance, technology, investment, and the market for rare earth metals, which must be carefully considered by the government.