DPR: Rare Earth Metal Management Cannot Be Haphazard

The Government and the House of Representatives (DPR) are currently preparing for the establishment of a mineral and strategic commodity exchange, which is expected to commence on 1 January 2027. This move aims to strengthen downstreaming and national competitiveness, while enabling Indonesia to influence national benchmark price movements.

The Chairman of Commission XII of the DPR RI, Bambang Patijaya, stated that the formation of a mineral exchange is a step towards avoiding transfer pricing and under-invoicing practices, while simultaneously improving the governance of Indonesia’s mineral supply chain.

Furthermore, the DPR is encouraging efforts to tap into the potential of rare earth elements, which are highly sought after globally as pillars for the development of telecommunications and defence and security technologies. Several regions, such as Bangka Belitung—a known tin producer—contain rare earth elements, and similar potential has been identified in Sulawesi.

Consequently, it is necessary to strengthen governance, technology, investment, and the market for rare earth metals, all of which must be prioritised by the government.